GE Loan Group Pushes Into Japanese Mortgages
RENEE MONTAGNE, host:
One reason mortgage defaults are skyrocketing is that lenders gave out home loans at the drop of a hat, and to many borrowers with questionable credit histories. That's unlikely to become a problem in Japan. Our last word in business today is selective lending.
Japanese papers report that GE Consumer Finance is offering low-interest mortgage rates to customers in high-value professions. Lawyers, accountants and doctors can get an interest rate reduction of up to one percent point a year on their home loan. The very logical reason: they're more likely to actually pay off that loan. And if the borrower's children also have professional qualifications, it will bring down the family mortgage rate even further.
NPR transcripts are created on a rush deadline by Verb8tm, Inc., an NPR contractor, and produced using a proprietary transcription process developed with NPR. This text may not be in its final form and may be updated or revised in the future. Accuracy and availability may vary. The authoritative record of NPR’s programming is the audio record.