Rhyming with Subprime

The SCI Online Lending Conference was a big success. Well attended, with thoughtful discussion, and a positive energy focused on the enormous opportunity ahead. Just like subprime in 2005?

There are some close analogies to that market and era. In those days, many consumers consolidated their credit card debt under a lower rate Home Equity loan. Just so, today many consumers are consolidating their credit card debt under a lower rate online loan. In those days, complicated and often obscure models drove the analysis. In those days, investors predicted a permanent change for the better in the dramatic expansion of credit.

History never repeats itself; will it rhyme with subprime?