In deciding wheather or not to grant you credit, businesses consider 3 factors, known as three Cs- character, capacity, and capital.

Character refers to your honesty and willingness to pay a debt when it is due.

Capacity refers to your ability to pay a debt whenit is due. The lender or seller must consider whether your income is larger and steady enough to permit you to pay your bills.

Capital is the value of the borrower’s possessions. It includes the money you possess and the property you own.

When you apply for a credit or a loan, you will be asked to fill out a credit application form. A credit application is aform on which you provide information needed by lender to make a deci-sion about granting credit or approving a loan.

One of the most important parts of the credit application is the listing of credit references. Your signature indicates that you understand the terms of the type ofcredit for which you are applying and that the information you have provided is true. The credit application needs to be filled com- pletely, accurately, and honestly.

8. Прочитайте діалог. “Applying for a Mortgage” (Подання заявки на іпотечний кредит)

C: Good morning, I'm the manager, how can I help you? D: We’d like to apply for a mortgage. C: Have you found a property you're interested in? D: Yes we have. C: How much would you like to borrow? D: Well, the property is $75,000, but we have a deposit of $25,000. C: So you need a $50,000 loan. Do you have an account with this bank? D: Yes, we both have accounts here. I've had my account for over fifteen years. C: How much do you both earn? D: I earn $15,000 a year and my wife earns $12,500. C: That's fine. Now would you like to complete this form.........?

9. Прочитайте текст “Insuarance”. Передайте зміст українською.

Insurance or assurance, device for indemnifying (відшкодування) or guaranteeing an indivi-dual against loss (від втрат). Reimbursement is made from a fund to which many individuals ex-posed to the same risk have contributed certain specified amounts, called premiums (страхова премія). Payment for an individual loss, divided among many, does not fall heavily upon the ac-tual loser. The essence of the contract (cутність договору) of insurance, called a policy, is mutu-ality (взаємність). The major operations of an insurance company are underwriting (підпису-вання), the determination of which risks the insurer can take on (визначення які ризики стра-ховик може взяти на себе); and rate making, the decisions regarding necessary prices for such risks. The underwriter is responsible for guarding against adverse selection, wherein there is ex-cessive coverage (надмірне покриття) of high risk candidates in proportion to the coverage of low risk candidates. In preventing adverse selection (Щоб запобігти несприятливого відбору), the underwriter (страхова компанія) must consider physical, psychological, and moral hazards in relation to applicants. Physical hazards include those dangers which surround the individual or property, jeopardizing the well-being of the insured. The amount of the premium is determined (сума страхового внеску визначається) by the operation of the law of averages as calculated by actuaries. By investing premium payments in a wide range of revenue-producing projects, in-surance companies have become major suppliers of capital, and they rank among the nation's largest institutional investors.