What is NOT an indicator of predatory lending practices?

Transparent loan terms are not an indicator of predatory lending practices because such transparency implies that borrowers can clearly understand the terms and conditions of their loans. In a predatory lending situation, typically, the loan terms are convoluted and difficult to grasp, obscuring potential risks and costs associated with the loan. Predatory lenders often exploit borrowers' lack of knowledge or understanding, leading to unfavorable outcomes for those borrowers.

On the other hand, excessive fees, prepayment penalties, and higher interest rates than the market average are commonly associated with predatory lending, as these practices typically demonstrate a lack of reasonable terms that can result in borrower exploitation. Predatory lenders tend to impose these burdens disproportionately on vulnerable borrowers, trapping them in cycles of debt. Thus, transparent loan terms stand out as the practice that is not indicative of predatory lending.