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  2. Subprime lending - Wikipedia

    en.wikipedia.org/wiki/Subprime_lending

    These loans are characterized by higher interest rates, poor quality collateral, and less favorable terms in order to compensate for higher credit risk. [3] During the early to mid-2000s, many subprime loans were packaged into mortgage-backed securities (MBS) and ultimately defaulted, contributing to the financial crisis of 2007–2008. [4]

  3. What is a subprime mortgage? - AOL

    www.aol.com/finance/subprime-mortgage-175324178.html

    Other options you might want to consider besides a subprime home loan include: FHA loans – If your credit score is at least 580, consider an FHA loan with a down payment of 3.5 percent. If your ...

  4. Subprime crisis background information - Wikipedia

    en.wikipedia.org/wiki/Subprime_crisis_background...

    Subprime I was smaller in size — in the mid-1990s $30 billion of mortgages constituted "a big year" for subprime lending, by 2005 there were $625 billion in subprime mortgage loans, $507 billion of which were in mortgage backed securities — and was essentially "really high rates for borrowers with bad credit".

  5. Subprime mortgage crisis solutions debate - Wikipedia

    en.wikipedia.org/wiki/Subprime_mortgage_crisis...

    CDS also allow particular credit risks to be hedged, as an entity can purchase protection from many sources of credit risk, much like an insurance policy. While total notional value related to CDS are enormous (estimated between $25–$50 trillion), the true exposure related to that notional value is approximately $2.5-$3.0 trillion.

  6. Housing and Economic Recovery Act of 2008 - Wikipedia

    en.wikipedia.org/wiki/Housing_and_Economic...

    The United States Housing and Economic Recovery Act of 2008 (commonly referred to as HERA) was designed primarily to address the subprime mortgage crisis.It authorized the Federal Housing Administration to guarantee up to $300 billion in new 30-year fixed rate mortgages for subprime borrowers if lenders wrote down principal loan balances to 90 percent of current appraisal value.

  7. A new borrowing option for hard-up Americans: a credit card ...

    www.aol.com/finance/borrowing-option-hard...

    It is aimed at subprime customers—those with credit scores that fall below a certain threshold, which amounts to around 30% of U.S. adults—who may not qualify for another type of credit card ...

  8. When should you refinance your mortgage? - AOL

    www.aol.com/finance/refinance-mortgage-152541677...

    The best mortgage refinance rates go to those with a score of at least 740. ... higher interest rate: If your credit score is ... to figure out how long it will take for the cost of a mortgage ...

  9. Regulatory responses to the subprime crisis - Wikipedia

    en.wikipedia.org/wiki/Regulatory_responses_to...

    Provides loans for the refinancing of mortgages to owner-occupants at risk of foreclosure. The original lender or investor reduces the amount of the original mortgage (typically taking a significant loss) and the homeowner shares any future appreciation with the Federal Housing Administration. The new loans must be 30-year fixed loans.

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