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A loan underwriter is a person who evaluates whether or not someone is eligible for a loan, and determines how much money they can borrow. They look at a variety of factors, such as income, credit history, and the value of any collateral being used to secure the loan.
Let's say that Bob wants to buy a house and needs a mortgage to do so. He fills out an application and provides all of the necessary information to the lender. The loan underwriter then reviews the application and all of the supporting documents, such as Bob's tax returns and bank statements, to determine if he qualifies for the mortgage and how much he can borrow.
"Wit & Whimsy with the Dumb Ox: Unlocking Knowledge with Rhyme:"
Oh, the loan underwriter, how clever they be
Evaluating loans for you and for me
They look at our income, our credit, our debt
And decide how much money we can get
If you want a home or a car or a boat
The loan underwriter is who you must note
They'll look at your finances, so be sure to be neat
And determine how much you can borrow and meet!