Knowledge Tree
subprime loans
Facts (8)
Sources
Predatory Lending Practices - House.gov commdocs.house.gov 5 facts
measurementThere are approximately 5 million outstanding subprime loans in the United States.
claimSubprime lending is distinct from predatory lending, as subprime loans are provided to individuals who may not qualify for prime or 'A' credit ratings due to life events such as job loss, medical bills, or missed mortgage payments.
measurementThe U.S. Department of Housing and Urban Development study 'Unequal Burden, Income and Racial Disparities in Subprime Lending in America' found that subprime loans are five times more likely to occur in black neighborhoods than in white neighborhoods.
measurementThe U.S. Department of Housing and Urban Development study 'Unequal Burden, Income and Racial Disparities in Subprime Lending in America' found that subprime loans are three times more likely to occur in low-income neighborhoods than in high-income neighborhoods.
measurementThe U.S. Department of Housing and Urban Development study 'Unequal Burden, Income and Racial Disparities in Subprime Lending in America' found that homeowners in high-income black neighborhoods are twice as likely to have subprime loans as homeowners in low-income white neighborhoods.
Financial Ethics 101: Predatory Lending - Seven Pillars Institute 7pillarsinstitute-org.sevenpillarsconsulting.com Jun 18, 2024 2 facts
referenceThe Dodd-Frank Wall Street Reform and Consumer Protection Act was passed by the U.S. Congress in 2010 in response to the Great Financial Crisis of 2007-2008, which was caused by subprime loans.
referenceThe Dodd-Frank Wall Street Reform and Consumer Protection Act was passed by Congress in 2010 in response to the Great Financial Crisis of 2007-2008, which was caused by subprime loans.
Fair Lending Enforcement Program - Department of Justice justice.gov 1 fact
measurementStudies conducted in New York and Chicago identified a substantial surge in mortgage loan foreclosures, which occurred disproportionately among subprime loans.