Underwriting Standards

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Dictionary Says

Definition of 'Underwriting Standards'

Guidelines established to ensure that safe and secure loans are issued and maintained. The underwriting standards in place help to set benchmarks for how much debt may be issued to a person, the terms of the loans, how much debt a specific company is willing to issue, and what interest rates will be charged.
Investopedia Says

Investopedia explains 'Underwriting Standards'

During economic turmoil, underwriting standards may become more lenient, as acquiring loans may become too difficult for the majority of borrowers. For example, during the economic downfall of 2008-2009, some lenders reduced pre-payment fees and offered heightened flexibility regarding the terms of the loans issued. At the same time, during that same crisis many companies also tightened underwriting standards that had been one of the culprits in the downturn.
Search results for

'Underwriting Standards'

  • Is Taking Out A HELOC Right For You? - Investopedia.com

    http://financialedge.investopedia.com/financial-edge/0911/Is-Taking-Out-A-HELOC-Right-For-You.aspx
    ... Underwriting Standards HELOCs are subject to underwriting standards, which means
    that you'll need to document your income and employment status like you would ...

  • The Rise And Demise Of New Century Financial

    http://www.investopedia.com/articles/07/new-century.asp
    ... not fulfilled by traditional financial institutions because they do not satisfy
    the credit, documentation or other underwriting standards prescribed by ...

  • Progressive Insurance Making Progress

    http://stocks.investopedia.com/stock-analysis/2010/Progressive-Insurance-Making-Progress-PGR-ALL-BRK.A-BRK.B-TRV0716.aspx
    ... consumers. Progressive also has a reputation for conservative underwriting
    standards, which should help minimize downside risk. ...

  • Conquering The Terms Of Your Mortgage

    http://www.investopedia.com/articles/mortgages-real-estate/08/loan-to-value.asp
    ... as a result, many conduit lenders (lenders that originate loans that are pooled
    for securitization) increased their underwriting standards, requiring greater ...

  • Credit Crisis: Foundations | Investopedia

    http://www.investopedia.com/university/credit-crisis/credit-crisis3.asp
    ... expensive homes. At the same time, lenders relaxed underwriting standards,
    allowing more marginal buyers to receive mortgages. The ...

  • Payment Option ARMs: A Ticking Time Bomb?

    http://www.investopedia.com/articles/mortgages-real-estate/08/payment-option-ARM.asp
    ... August 12 2008 | Filed Under ยป Bonds. Loose underwriting standards and bad assumptions
    about future rates of home price appreciation in the mortgage market ...

  • Tempest-Tossed Berkley

    http://stocks.investopedia.com/stock-analysis/2011/Tempest-Tossed-Berkley-WRB-ALL-ACGL-BRK.A-PGR-XL0729.aspx
    ... Loose underwriting standards and a drive for market share have kept a lid on premium
    price increases, storms and natural disasters have been whacking the loss ...

  • Buffett's Take On The Credit Crisis

    http://stocks.investopedia.com/stock-analysis/2010/Warren-Buffetts-Take-On-The-Ratings-Agencies-BRK-MCO-MHP-WFC-BAC-GS0603.aspx
    ... liar loans" and flipping houses, it was entirely reasonable for the ratings agencies
    to sound the alarm that underwriting standards had fallen meaningfully. ...

  • QE2: The End Is Near - Investopedia.com

    http://financialedge.investopedia.com/financial-edge/0611/QE2-The-End-Is-Near.aspx
    ... to borrow, and that demand is low, though some skeptics argue that the demand is
    there and the banks are now too strict with their underwriting standards. ...

  • Wells Fargo Stands Out

    http://stocks.investopedia.com/stock-analysis/2009/Wells-Fargo-Stands-Out-WFC-BAC-C-USB-JPM0527.aspx
    ... This is nothing new for Wells, as it has typically maintained solid underwriting
    standards and avoiding the deadly option adjustable rate mortgages. ...

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