At the end of June the five agencies that regulate federally chartered
banks and their subsidiary lending corporations issued final
guidance to those institutions regarding subprime
lending, particularly the so-called exotic or non-traditional
loans that are threatening to bring down those lenders who haven't
already filed bankruptcy or shut their doors.
Also General Electric (GE) announced that it was
getting out of the subprime mortgage business and that it has already rid
itself of $3.7 billion in loans, about 75 percent of its total portfolio,
to reduce its exposure to the volatile market...
Read More Now