Freddie Mac - Federal Home Loan Mortgage Corporation. Government Sponsored Entity (GSE) - Private organizations with government charters whose function is to provide liquidity for the residential loan market. GSEs purchase loans from lenders credit consolidation assume risk for the asset, thereby protecting the investors in the MBS. Home Equity Loan (HEL) Homeowners Insurance credit consolidation Package policy that combines (1) coverage against the insured’s property being destroyed or damaged and (2) coverage for liability exposure of the insured. Jumbo mortgages - Loans with high risk of default ab initio. "They see something on TV or they contact the lender and they find out, my goodness, credit consolidation can borrow all this money," says Dr. Patrick McMurry, and economics professor at Missouri Western
