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Note, you may be able to help your borrower-clients with the argument that the 360-day calculation is only to cover interim payments and not to create a higher effective interest rate. If the borrower applies for the loan in the form of pledge, a Pledge Contract shall be signed between the pledgor and the lender if the lender deems it necessary to handle registration procedures for the pledged property, the procedures shall be completed before the loan is granted. In West Bloomfield about one in every 126 households is under foreclosure.
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