The subprime meltdown was the sharp increase in high-risk mortgages that went into default beginning in 2007. · The housing boom of the mid-2000s, along with low ...

A collateralized debt obligation (CDO) is a complex financial product backed by a pool of loans and other assets and sold to institutional investors.

A subprime mortgage is normally issued to borrowers with lower credit ratings. It typically carries a higher interest rate that can increase over time.

The meltdown of the subprime mortgage market in 2007 and 2008 led to the Great Recession. Learn more about the factors that caused the financial crisis.

Read on to learn how the explosive growth of the subprime mortgage market, which began in 1999, played a significant role in setting the stage for the turmoil ...

The subprime market is the business of lending money to people or businesses who are at a greater risk of default on their payments.

CDOs are structured debt instruments and when comprised of mortgages are known as mortgage-backed securities (MBS).

In the early and mid-2000s, high-risk mortgages became available from lenders who funded mortgages by repackaging them into pools that were sold to investors.