Final answer:
The Guaranteed Underwriting System (GUS) includes borrower/property eligibility through credit scoring, alongside assessing income sources, credit history, possibility of a cosigner, and requiring collateral as a risk mitigation strategy.
Step-by-step explanation:
The student's question relates to the Guaranteed Underwriting System (GUS) which incorporates borrower/property eligibility with: a) Credit scoring. Before a bank makes a loan, it assesses a borrower's creditworthiness in several ways. Prospective borrowers must provide information about income sources, and a credit check is conducted to review the individual's past borrowing history.
Other risk mitigation strategies may include requiring a cosigner who legally pledges to repay the loan if the original borrower defaults, or requiring collateral such as property or equipment which the bank can seize and sell if the loan is not repaid. These processes help financial institutions assess the risk associated with lending and determine the terms of the loan.