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The most effective way of resolving subprime crisis is by regulating the lending to the risk profile customer. Just because to get more business, one should not over look the interest of the company in particular and economy in general. National regulators also play an important role in this problem.
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∙ 15y ago
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Why sub-prime crisis is called as Sub-prime?
It is called "sub-rime" because the holding of sub-prime (low credit quality) debt precipitated the crisis.
What loans were partially responsible for the home mortgage crisis during the 2000s?
Sub-prime
What is sub prime crisis?
Subprime crisis is a crisis started in the year 2008 that affects the mortgage industry because of the approved loans that they could not afford. In result, many lending institutions and hedge funds closed. This also affects the global credit market that results in higher interest rates of credit.
What is a sub-prime and Alt-A loan?
A sub-prime loan is a type of loan that is offered to those individuals that have poor credit histories and/or have a relatively high risk of default. Sub-prime loans tend to be costlier in terms of closing costs, fees and APRs than traditional (prime) loans. An Alt-A loan is a type of loan that is offered to those that don't qualify for prime loans, but who have a better risk profile than those in the sub-prime category. Alt-A loans are costlier than prime loans in terms of fees and APRs, however, they are not as costly as sub-prime loans.
What happens when banks fail?
An Economic crisis happens in most cases. Without banks infusing the necessary liquidity in the financial system the whole economy would turn upside down. Just like what happened during the Sub prime economic crisis during early 2008 in the USA and across the world.
Why sub-prime crisis is called as Sub-prime?
It is called "sub-rime" because the holding of sub-prime (low credit quality) debt precipitated the crisis.
Which countries of financial market were badly affected by sub prime crisis?
USA
What countries of financial markets were badly affected in sub prime crisis?
u s a
What loans were partially responsible for the home mortgage crisis during the 2000s?
Sub-prime
Subprime debt crisis?
Sub-prime debt was a major aspect to the Global Financial Crises overall. Sub-prime lending involved the opening of high risk secure and unsecured credit, and unscrupulous to criminal banking policies.
What are the reason of economic crisis the main reason of world economy crisis was the sub prime loan given by the American bank without well evaluate the financial condition of the people?
Did you just answer your own question?
How did the Berlin crisis resolve?
the tore it down
What about the Cuban missile crisis is?
President Kennedy removed nuclear missiles from Turkey to resolve the crisis
What about the Cuban missile crisis?
President Kennedy removed nuclear missiles from Turkey to resolve the crisis
Can a mortgage become sub prime?
No. It begins life as a sub-prime mortgage.
What about the Cuban missile crisis is true?
President Kennedy removed nuclear missiles from Turkey to resolve the crisis
Could anything have been done to resolve the issues of the sectional crisis of the 1850?
Sectional crisis where? Be more specific.
