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Maybe the bankers are thinking the same thing -- it's the bank that loses, not me who bagged huge bonus. But then how does it pass banks's audit?
by markus_zhang 2y ago
Maybe the bankers are thinking the same thing -- it's the bank that loses, not me who bagged huge bonus.
But then how does it pass banks's audit?
- zdragnar 2y agoThe bank doesn't keep the loan, they sell it off to someone else. This happens all the time with mortgages. The banks are constantly adjusting their portfolios to ensure a desired level of risk and leverage. If nothing else, they've collected the origination fee already, so even if they don't get much in the way of payments they still come out ahead.
- markus_zhang 2y agoAh thanks, this makes a lot of sense now.