1 | The bank will insist on collateral for a loan of that size. | |
2 | With the incentive of collateral, the devastating consequences of forced haircuts could be avoided. | |
3 | However, even with the guarantee and the collateral, he says, many banks are still unwilling to lend to small businesses. | |
4 | To regulate contract performance, administer the registration of movable collaterals and regulate auction behaviors; to investigate and penalize contract frauds and other illegal practices. | |
5 | Adding to the risk, the collateral for many loans is local land valued at lofty prices that could collapse if China' s real estate bubble burst. |