NYT: Subprime Loans Rear Their Ugly Heads Again

Jon Banking, Economy, Market Commentary, Real Estate

Remember the subprime mortgage loans that helped spark the 2008-09 financial crisis?
They may be gone for a while, but other areas of the subprime lending market, particularly auto loans, have begun to look worrisome, The New York Times reports.
Deep subprime auto loans, those made to people with credit scores below 550, soared 13 percent in the second quarter from the year-earlier period, according to Experian.
"We're five years into the new cycle, so you've got to imagine that there are excesses cropping up," William Ryan of Portales Partners research firm told the paper.

This post was published at Money News