Essays Tagged: "Subprime lending"

The Rise and Fall of New Century Financial

hapter 11 of the Bankruptcy Court.The second-largest provider of home loans to high-risk borrowers (subprime) in the US collapsedamid rising delinquencies and defaults: in recent years, when housing p ... home prices leveled off, borrowers started to default on their mortgages. That wreakedhavoc on the subprime sector, which accounted for about a fifth of all new mortgages lastyear.In addition to this ...

(19 pages) 185 2 3.0 Oct/2007

Subjects: Businesss Research Papers > Markets & Exchanges

Superior Bank & Trust

Bank FSB got caught up in some problems with sub prime loans. This was their main focus. Sub prime lending is lending to people who are poor credit risks. They lend money or issue credit cards at hig ... can refinance at lower rates. Superior Bank & Trust's failure was directly related to sub prime lending.Regulators were believed to have detected problems as early as January 1999. These regulator ...

(2 pages) 8 0 3.0 Feb/2008

Subjects: Businesss Research Papers > Accounting

Spillover of the US Subprime Loan Crisis to Australia in Relation to the Banking Industry

Topic: Spillover of the US Subprime Loan Crisis to Australia in Relation to the Banking IndustryWhat is the subprime loan crisi ... the share prices of three major Australian banks and three major American banks we can see how the subprime crisis has affected these prices. This may also show us how similar or delayed the effects ... riod. These results, although possibly effected by other factors, can be directly linked to the U.S subprime crisis.The following graph shows the comparison between the Australian Index (All Ordinarie ...

(16 pages) 41 0 4.0 Feb/2009

Subjects: Businesss Research Papers

Global Financial Crisis: Causes and Impact

financial institutions whereby the loans or mortgages issued act as collaterals (Figure 1 shows how subprime loans and its securitization works). Thus, there was very little concern for the banks to c ... ities by credit rating agencies further emboldening the behaviour of the irresponsible bankers. The subprime loans were as much as 20 percent of the total mortgages in the US in the year 2006 (Arnold, ...

(9 pages) 318 0 4.3 Mar/2009

Subjects: Businesss Research Papers > Markets & Exchanges

Subprime Meltdown & Cause and Effect of Rising Oil Prices

, when the housing boom and economic recovery in the United States encouraged a heavy spiralling in subprime mortgage lending. This increase saw a parallel increase in the securities offered through a ... lending. This increase saw a parallel increase in the securities offered through a pooling of such subprime mortgage loans through the process of "securitisation".Investors moved from buying pooled m ...

(13 pages) 62 1 5.0 Sep/2009

Subjects: Businesss Research Papers

Project Of Financial Crisis

Group 7Financial Crisis in USAContents3Acknowledgments �4Background �5Subprime Mortgage Crisis �5Subprime Mortgage �6Misrepresentation of loan application d ... ;14U.S. Government to Invest in Banks to Boost Confidence �15U.S. government policies in the subprime mortgage crisis �18Conclusion �20Appendices �21Work Contribution ʏ ... rities loses value and leads to an impact on global market.In this research, we will first describe subprime mortgage and housing bubble crisis.Then we will study one of the investment bank failures i ...

(8 pages) 61 0 0.0 Mar/2010

Subjects: Social Science Essays > Economics

Strategic Leadership

Freddie Mac involved in financial crisis and taken over by US government signaled the arrival of US subprime lending crisis. Later on, U.S. stocks fell sharply. Dow crash of 777 points which is the bi ... uthorities have taken measures to ease monetary policy and bank capital injection. Finally, this US subprime lending crisis caused a global financial crisis. The global stock market witnessed this (se ...

(12 pages) 65 0 0.0 Apr/2010

Subjects: Businesss Research Papers > Management

Effects Of Financial Crisis On Real Estate Industry

EFFECTS OF FINANCIAL CRISIS ON REAL ESTATE INDUSTRYSubprime mortgage lending is the origination of residential mortgage loans to customers with impaire ... edit scores and/or other credit deficiencies that prevent them from qualifying for prime mortgages. Subprime borrowers pay premium above the prime market rate in order to compensate the lender for bea ... prime market rate in order to compensate the lender for bearing greater default risk. In addition, subprime borrowers pay higher origination and continuous costs, such as applications fees, appraisal ...

(6 pages) 20 0 0.0 Mar/2011

Subjects: Social Science Essays > Economics