In accordance with this lease of mortgage storage contract amended and revised from September 1, 1995 by and between BOA, the agent and the company (as amended from time to time), BOA has agreed to lend to the company on the terms and conditions set out in it. The reasons for using a stock line of credit are: The cycle begins with the fact that the lender accepts a credit application from the real estate buyer. Then, the lender insures an investor (often a large institutional bank) to whom the loan is sold, either directly or through securitization. This decision is usually based on the interest rates issued by an institutional investor for different types of mortgages, while a lender`s choice of stock for a given loan may vary depending on the type of credit products accepted by the store provider or investors of the loan authorized by the stock lender to be on the line of credit. In accordance with this mortgage storage agreement of July 22, 1999 between the company, lenders and administrative officer (in the amended, extended and replaced “credit contract” from time to time and with activated conditions that are used and not otherwise defined, which are specified in the elements of these terms in the credit contract), the lenders have agreed to renew the loans to the company under the terms and conditions set out in them. The repayment of inventory lines of credit is provided by lenders by fees for each transaction, in addition to charges when credit investors reserve guarantees. Identifying and deterring fraud is an important function of managing the risk of stock loans. Major fraud risks include collusion between mortgage bankers, titrière companies, real estate agents and clients themselves, as well as false information contained in the credit application (including valuations), false signatures on credit documents and false ownership documents that together induce unsaleable and/or fraudulent loans as a storage guarantee.  “Wet water-financed” credits are more risky for possible fraud, as the lender will not be aware of potential security issues until after the funds are sent to the final agent. The steps the stock lender can take to limit fraud can be a strong screening procedure for mortgage banks, to ensure that the lender itself has a strong internal screening process, limits the amount available for “water financing” and requires that all payment income be first obtained by the final buyer of the mortgage held for re-payment through the credit lender.  The International Finance Corporation has set up credit storage lines around the world and developed an operating guide.
 A stock line of credit is made available to mortgage lenders by financial institutions.