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Borrowers in sentence

472 examples of Borrowers in a sentence

The Bank for International Settlements estimates outstanding dollar credit to non-bank borrowers outside the United States at $9 trillion.
US financial institutions should have continued to lend to distressed borrowers, in order to prevent a spiral in which credit rationing forced price reductions and intensified world deflation.
It is generally true that lower interest rates spur home buying, but this time, as is now well known, commercial and investment banks created new financial mechanisms to expand housing credit to borrowers with little creditworthiness.
Greater home buying pushed up housing prices, which made banks feel that it was safe to lend money to non-creditworthy borrowers.
The international community may rightly believe that both borrowers and lenders have been forewarned.
This is exacerbated by the fact that borrowers can deduct only nominal interest payments when calculating their taxable income.
Rather, investors’ undivided confidence in all eurozone borrowers reflected something else – a general belief in the capacity of rich countries’ governments.
Because the debts of the large industrial borrowers – the UK and the US – are externally financed, the argument that their governments can always monetize debt is not convincing.
The confusion that this has caused among borrowers and lenders would disappear.
Financial panic in Asia emerged after years of growth so high and steady that international lenders and domestic borrowers became complacent about financial risks.
Even if debt levels are tolerable and economies well managed, high short-term debt exposes borrowers to the risk of rapid changes in market sentiment.
If many investors demand repayment, borrowers have a hard time meeting these demands, even if the long-term projects are sound.
This will, it is thought, enable the government to borrow money more cheaply than it would otherwise be able to do, in turn lowering interest rates for private borrowers, which should boost economic activity.
After all, corporate borrowers do not borrow at the “risk-free” yield of, say, US Treasury bonds, and evidence shows that monetary expansion can push down the interest rate on government debt, but have hardly any effect on new bank lending to firms or households.
And while the Fed’s interest-rate hikes could hardly have been more carefully signaled in advance, there are still concerns that the desired financial tightening in credit markets has scarcely occurred yet, and that, if and when it does, some borrowers could find themselves uncomfortably exposed.
The Wolf of Wall Street was a predator, but so were all those reputable investment banks that shorted the products they were selling, and the retail banks that offered mortgages to unviable borrowers, which they could then repackage and sell as investment-grade securities.
The deals that banks arrange between borrowers and lenders are the lifeblood of modern economies – and risky work for which bankers deserve to be well rewarded.
Housing payments are higher because mortgages are of short duration (an average of ten years) and tight loan-to-value restrictions force borrowers to seek additional higher-cost loans from second-tier deposit institutions and non-financial companies.
And, while foreign lenders are happy to extend RMB loans, they are not welcome by foreign borrowers.
Indeed, once the unintended consequences of their actions – more financial duress for the non-rich after the crisis – became clear, Bertrand and Morse show that the legislators in unequal districts moved against the financial sector to protect their constituents, voting to set limits on interest rates charged by “payday” lenders (who lend to over-indebted lower-income borrowers at very high interest rates).
The Andhra Pradesh administration accused the industry of charging usurious interest rates, urging the gullible poor to over-borrow, and then driving some delinquent borrowers to commit suicide.
Local loans also tend to be in domestic currency, so borrowers are shielded from exchange-rate risk.
Foreign financing fueled foreign-currency credit growth, even for borrowers without foreign-currency income.
In fact, creditors arguably are more responsible: typically, they are sophisticated financial institutions, whereas borrowers frequently are far less attuned to market vicissitudes and the risks associated with different contractual arrangements.
Indeed, we know that US banks actually preyed on their borrowers, taking advantage of their lack of financial sophistication.
For example, ruinously expensive “payday loans” can be appealing to cash-strapped borrowers, even if the terms of these loans tend to push people deeper into debt.
But this approach isn’t perfect, either, because the risky borrowers to whom lending is restricted tend to be first-time or low-income buyers.
By limiting the riskiest borrowers’ access to finance, rules on mortgage lending can trigger a fierce political backlash.
In January 2015, the central bank sought to protect financial institutions from another catastrophic bubble by restricting their lending to high-risk borrowers.
Would-be borrowers do indeed face genuine challenges as a result of these regulations; but that is nothing compared to the pain that a collapsing bubble would cause.
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