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by evandijk70
978 days ago
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You can repay early in the Netherlands as well. A friend of mine works for a major bank to hedge the risk of their mortgage portfolio. He mentioned once that the biggest risk for Dutch banks is not the risk of default, but risk of early repayment. This always surprised foreign investors when they did due diligence to invest in Dutch mortgages. There are ways they use to hedge for this risk. I don't know if this is desirable, but that is probably the case in the US as well. |
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