What Is The Sub-Prime Crisis?
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Title: What Is The Sub-Prime Crisis?

Essay Details:

Subject: Business
Author: Myrtle P
Date: September 30, 2014
Level: University
Grade: A
Length: 7 / 1846

Essay text:

But since profits are high where the risk is high, a lot of lenders get into this business to try and make a quick buck. Sub-prime loans are dicey as they are given to people with unstable incomes or low creditworthiness. These individuals are not financially sound enough to be given a loan when judged under the strict standards that should normally be followed by a bank or lending institution. However, there's more to it. Let us simplify this issue to understand better how sub-prime loans work and how they brought the world down to its knees. It all begins with an American wanting to live the famed American dream...

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