which example is a predatory lending situation?\na creditor knocking on a persons door and agreeing to…

which example is a predatory lending situation?\na creditor knocking on a persons door and agreeing to refinance the persons mortgage with a competitive interest rate.\nan employed executive agreeing to a high - cost loan with excessive fees.\na lender who offers to refinance the loan at a higher interest rate when the person is unable to make payments.\na lender who offers a loan that the person can afford with a low interest rate.

which example is a predatory lending situation?\na creditor knocking on a persons door and agreeing to refinance the persons mortgage with a competitive interest rate.\nan employed executive agreeing to a high - cost loan with excessive fees.\na lender who offers to refinance the loan at a higher interest rate when the person is unable to make payments.\na lender who offers a loan that the person can afford with a low interest rate.

Answer

Brief Explanations:

Predatory lending involves unfair, deceptive, or fraudulent practices by lenders. Offering to refinance at a higher rate when a borrower is in a vulnerable position due to inability to make payments is such a practice. A competitive or low - interest rate and affordability are not predatory. Agreeing to a high - cost loan might be a personal choice but not inherently predatory like taking advantage of a borrower's vulnerability.

Answer:

C. A lender who offers to refinance the loan at a higher interest rate when the person is unable to make payments.