Sub-Prime Borrower

Sub-Prime Borrower

A borrower who does not meet the underwriting requirements of mainstream lenders.

Sub-prime borrowers pay more than prime borrowers and are sometimes taken advantage of. See Predatory Lending.

References in periodicals archive ?
That doesn't turn them into a sub-prime borrower - we are just pitching it somewhere in the middle.
There was the sub-prime borrower (the King), a lack of liquidity and runs on the bank, eventually resulting in the seizure of foreign assets and international turmoil.
Sub-prime borrowers are those people with a credit score below 640.
As we know a big portion of the growth in sales we're seeing is related to the fact that there's zero percent financing available; even sub-prime borrowers can get away with 3 to 4 percent on a loan on a new car," Alec Gutierrez, senior market analysts for automotive pricing company Kelley Blue Book Co.
This deal could well provide added buying power for sub-prime borrowers.
The pressure on sub-prime borrowers was revealed in rising impairment charges at Provident's consumer credit arm and its Vanquis Bank credit card offering.
uk, there were 2,030 mortgages for mainstream buyers and 1,252 for sub-prime borrowers.
Shelter says thousands of sub-prime borrowers face a big shock when their existing deals end.
In addition, banks, thrift institutions and mortgage companies have been pressing Fannie Mac to help them make more loans to so-called sub-prime borrowers.
In the aggregate, these differences would cost Ohio's Libor-based ARM-holders roughly an additional $34 million in 2009 alone, should current interest-rate trends continue, with about 55 percent of this burden being shouldered by sub-prime borrowers.
THE recent financial turmoil is forcing people to become more responsible when it comes to handling their money, research has shown One in five people who are classed as sub-prime borrowers, suggesting there is a higher risk that they will default on their debt, said they had resolved to try to improve their credit ratings in the coming months.
It means more than pounds 13billion of loans held by both prime and sub-prime borrowers are now in default.