Low interest rates and aggressive marketing campaigns have driven home lending to record levels. But increasingly Americans with good credit are being saddled with loans designed for high-risk borrowers.
These higher-cost loans have been the fastest-growing segment of the mortgage market, accounting for 20 percent of the home loans issued last year, up from 10 percent a decade ago.
Freddie Mac, the government-sponsored mortgage financer, estimates that more than 20 percent of people who obtain these sub-prime loans could have qualified for prime loans.
For this complete story, please visit Good Borrowers Getting Bad Loans.
