Finance
A buyer is pre-qualified for a loan. This means the lender has:
AVerified all income and credit and committed to the loan
BMade a preliminary estimate of how much the buyer may be able to borrow✓ Correct
CIssued a commitment letter to the seller
DCompleted the underwriting process
Explanation
Pre-qualification is an informal, preliminary assessment of a borrower's ability to obtain a loan based on self-reported information. It is not a loan commitment.
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