QuestionWhich of the following would least likely be used to determine your eligibility for a home loan? a. credit history report b. current utility bills c. recurring debt total d. savings account balance
Studdy Solution
STEP 1
1. The problem is asking which factor is least relevant in determining home loan eligibility.
2. We are considering common criteria used by lenders to assess loan eligibility.
STEP 2
1. Identify common factors used in home loan eligibility assessment.
2. Evaluate each option against these common factors.
3. Determine which option is least likely to be used.
STEP 3
Identify common factors used by lenders to assess home loan eligibility. These typically include: - Credit history and credit score - Debt-to-income ratio - Savings and assets - Employment and income stability
STEP 4
Evaluate each option: a. Credit history report: This is commonly used to assess creditworthiness. b. Current utility bills: These are generally not used to determine loan eligibility. c. Recurring debt total: This is used to calculate the debt-to-income ratio. d. Savings account balance: This is used to assess financial stability and ability to make a down payment.
STEP 5
Determine which option is least likely to be used:
- Current utility bills are least likely to be used in determining eligibility for a home loan compared to the other options.
The option least likely to be used is:
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