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Wednesday, January 30, 2008

Surviving Subprime Loans

At first subprime loans seemed like a fantastic concept. These loans allowed people who would not have been able to purchase a house become home owners. The problem though is that financially, many of these Americans could not and cannot afford the costs associated with home ownership and are now finding themselves in a major mortgage crisis. As today's economy is showing, rates are increasing, property values are decreasing, margins are shrinking, and regulatory pressures are mounting. An escalating foreclosure rate is evidence of the severity of the problem.

Tom Chambers has written an article on steps people can take in order to survive life with their subprime loan.