Finance
A Florida lender who approves a mortgage without properly verifying income or assets may be engaging in:
AStandard subprime lending
BPredatory lending practices that may violate federal and state consumer protection laws✓ Correct
CConventional underwriting
DFHA-approved lending
Explanation
Approving mortgages without proper income/asset verification (no-doc or low-doc loans on owner-occupied residences) can constitute predatory lending. Post-2008 Dodd-Frank rules require lenders to make a good-faith determination of the borrower's ability to repay.
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