When the borrower engages in activities that make it less likely that the loan will be repaid, is said to exist.

Related MCQs

• When the potential borrowers who are the most likely to default are the ones most actively seeking a loan, _ is said to exist.
• When the lender and the borrower have different amounts of information regarding a transaction,__________
• The market for extremely short period loan is called.....................
• Call money is a loan given for a period of
• The market for extremely short period loan is called
• Statutory regulation is likely to create larger compliance costs than self-regulation because:
• When the least desirable credit risks are the ones most likely to seek loans, lenders are subject to the
• Using a supply and demand framework, what is likely to happen to share prices in general if the central bank unexpectedly raises interest rates?
• Using a supply and demand framework, what is likely to happen to share prices in general if the central bank raises interest rates in response to a fall in the exchange rate?
• ........................ is an apex institution to coordinate, supplement and integrate the activities of all existing specialised financial institutions.