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Recently, the subprime lending sector has faced challenges due to rising interest rates and inflation, which have increased the cost of borrowing. This has led to higher default rates among borrowers with poor credit histories, exacerbating financial strain for those already struggling. Additionally, stricter lending standards have made it more difficult for subprime borrowers to access credit, further impacting their financial stability. These issues have raised concerns about the potential for a broader economic impact reminiscent of the 2008 financial crisis.

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2mo ago

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