Assignment 6 Subprime Loans: The Under-the-Radar Loans that Felled a Market

Subprime loans are loans that were offered to borrowers whose credit scores were below the acceptable rating of 570. The mortgage lenders made significant earnings by lending to this type of borrower. However, as recent as 2007, these borrowers began to not pay their mortgage payments and thus the mortgage market dropped significantly.

Activity Resources

Gilbert, J. (2011).
Thiel, C., Bagdasarov, Z., Harkrider, L., Johnson, J., & Mumford, M. (2012).
Watkins, J. P. (2011).

Spotlight on Skills: How to Prepare a Blog
This week, you will create a blog. Refer to the resources below to get started if this is your first time writing a blog.

How to write a blog:
How to write a blog in five steps:

MainTask: Interpret Ethical Issues with Subprime Loans
Develop a blog aimed at allowing participants to interpret ethical issues surrounding subprime loans. Be sure to address the following in establishing your blog:

Summarize the concept of subprime loans and the risks they pose to the lender and borrower.
Critique the role of leadership decision-making in the subprime loan financial crisis.
Evaluate subprime loans with the notion of social responsibility. Compare and contrast the resulting consequences for these actions.
What measures have been taken since that time to assure this will not happen again?

Support your blog with at least five (5) scholarly resources. In addition to these specified resources, other appropriate scholarly resources may be included.

Length of blog: 3 entries (approximately 350 words per entry)

Your blog should be located at a web site that can be easily accessed by Faculty (e.g., or It should contain text that is readable, links that work, a display of at least one graphic, and content information that supports the assignment requirements.

Your writing within the blog should demonstrate thoughtful consideration of the ideas and concepts that are presented in the course and provide new thoughts and insights relating directly to this topic. Your response should reflect scholarly writing and current APA standards where appropriate. Be sure to adhere to Northcentral University’s Academic Integrity Policy.

Submit a word document that contains the URL of the blog and your name. Include references to course resources presented in proper APA format. Submit your document in the Course Work area below the Activity screen.
Additional Requirements

Other Requirements: Blog should be located at a web site.
Length of blog: 3 entries, 350 words per entry
9 references