Question

Why do lenders request to look at your credit report before you can borrow money?

They want to see how much money you have money you have in savings for the product you want to purchase


They want personal information, such as your high school and college GPAs, to deem creditworthiness


They can interpret your values and character based on your everyday purchases and assess your creditworthiness


They want to see how responsible you are in making payments on existing debt

Answer 1

The correct answer is letter "D": They want to see how responsible you are in making payments on existing debt.

Step-by-step explanation:

Financial institutions always run a credit report on borrowers to find their credit behavior. Banks cannot take the risk of lending money to individuals who are prone to fall into debt and not repay the money lent. Only people with a good credit history are likely to be accepted in loan applications.