What factors contribute to Turbo-Lock underwriting decisions?
• At the heart of approving a potential borrower is what lenders call “the three C’s of underwriting”: Credit – applicant’s credit history; Collateral – the value of the property securing the loan (residential real estate); Capacity – the applicant’s financial ability to assume and repay debt. Taken together, these create a portrait of a potential borrower’s risk – that is, whether or not he or she will pay back his or her loan. If the risk seems high, Turbo-Lock may not provide an underwriting recommendation. Depending upon the degree of risk, TIB Mortgage may perform a traditional underwriting review of the case file and then choose to charge higher rates and/or fees, or decline to make the loan altogether.
