scratch and dent loan
n.— «The “other” category includes…scratch and dent loans and resecuritizations.» —by Frank J. Fabozzi Handbook of Mortgage-Backed Securities Dec. 21, 2005. (source: Double-Tongued Dictionary)
scratch and dent loan n. a loan or mortgage that has become a risky debt investment, especially one secured with minimal documentation or made by a borrower who has missed payments. (source: Double-Tongued Dictionary)
scratch and dent loan n.— «A company that invests in high-yield real estate debt is looking to buy loans that have been “kicked out” of commercial MBS deals. Midwest Equities of St. Louis has initially allotted $50 million for the purchase of...