Before giving a loan to a customer, a lender examines the…

Question:

Before giving a loan to a customer, a lender examines the customer’s credit report. Which explains why the lender examines the customer’s credit report?

A. To determine if the customer is a likeable person

B. To determine the customer’s income

C. To determine the customer’s job title

D. To determine if the customer is likely to pay back the loan

Answer:

D. To determine if the customer is likely to pay back the loan