Credit Evaluation School Instructor eBook - Oct 2023

SCENARIO 1  Bank advanced $100,000 for purchase of a single-family residence valued at $125,000.  The borrowers have been employed in their positions for many years

and have paid the loan down to $80,000.  There have been no late payments, ever.

 For this loan, would you recommend:  Pass  Special Mention  Substandard

 Doubtful  Loss