Borrowers who stated but did not document their incomes are referred to as
A) subprime.
B) alt-A.
C) adjustable.
D) securitized.

Question

Quizplus · Accepted Answer

Borrowers who stated but did not document their incomes are referred to as alt-A. Alt-A mortgages are considered riskier than prime mortgages but less risky than subprime mortgages. They often require a credit score of at least 620 and have less strict documentation requirements than prime mortgages. However, borrowers may have to provide some proof of income and assets.

Borrowers Who Stated but Did Not Document Their Incomes Are