5. Who are the typical targets of predatory lenders? 1. Predatory lenders target Individuals with high credit scores. 2. Prodatory lenders target individuals who are in financial distress 3 . Predatory lenders target wealthy individuals looking for investment opportu 4. Predatory lenders target individuals with stable financial backgrounds.

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5. Who are the typical targets of predatory lenders? 1. Predatory lenders target Individuals with high credit scores. 2. Prodatory lenders target individuals who are in financial distress 3 . Predatory lenders target wealthy individuals looking for investment opportu 4. Predatory lenders target individuals with stable financial backgrounds.

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The correct answer is **2. Predatory lenders target individuals who are in financial distress.**Predatory lenders specifically look for people who are vulnerable and likely to accept unfavorable loan terms due to their circumstances. These circumstances often include:* **Low credit scores:** Making it difficult to obtain loans from traditional lenders.* **Urgent need for cash:** Leading them to accept high fees and interest rates.* **Lack of financial sophistication:** Making them less likely to understand the complex terms of predatory loans.* **Elderly or disabled individuals:** Who may be more susceptible to deceptive practices.Options 1, 3, and 4 are incorrect. Individuals with high credit scores, wealthy individuals, and those with stable financial backgrounds typically have access to better loan options and are less likely to fall prey to predatory lending practices.

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