On Top of Debt Mountain
The frenzied lending hit an apex in 2006.… An incredible $250 billion in the riskiest stated-income, no-down-payment subprime loans were originated. In truth, barely anyone expected these loans to be around very long. The expectation was not that they would default, but that they would be refinanced before trouble hit.
Even after the bubble had burst, mortgage brokers were still running radio and television ads touting mortgages that could be approved within an hour, with no scrutiny at all, and made available within a week.
If you have ever hiked to the top of a high mountain, you know exhilaration. On the way up, your energy sparks, the territory is new, and your ...