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Under the proposed rule, small entities making a loan using the ATR approach would need to project the borrower's financial capacity, and therefore that aspect of this requirement would impose no additional cost on the lender.
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Outstanding loan means a loan that the consumer is legally obligated to repay, regardless of whether the loan is delinquent or is subject to a repayment plan or other workout arrangement, except that a loan ceases to be an outstanding loan if the consumer has not made at least one payment on the loan within the previous 180 days.
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After just a few months of this, the borrower can find themselves owing more in interest and charges than they owe for the principal amount of money originally borrowed.
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in business communications from Bentley College, responds to public inquiries via the advice resource "Just Ask" and is frequently quoted in traditional and social media on the topics of student loans and financial aid.
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