What is most likely to cause a lender to deny credit? Group of answer choices

Few credit and loan applications

A low debt-to-credit ratio

Missed payments on revolving credit

Variety of credit type used

Missed payments on revolving credit

Explanation:

Lenders use credit history and income level to assess the borrower's ability to repay a loan. Missing on installment payments or defaulting on revolving credit payments is indicative of a high-risk borrower. The lender will judge such a customer are highly likely to default on the loan.

Missing installments could communicate an inability to repay due to inadequate income, too many debts, or poor money management. Lenders will reject a loan application from such a borrower due to the high risk of lending to the customer.

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