Subprime lending
While the risks brought up in this reply are certainly valid concerns, the diatribe against the customers and the loan officer are clearly uncalled for. Subprime lending, even when score driven, has always retained a common sense approach. It is possible (yes, I’ve seen it several times) for people to have experienced more than one life altering event (or severe ongoing medical problems) that may have caused them to be put in the position of having no choice in filing either bankruptcy. While BK abuse is certainly out there, the great majority of cases I see are caused by circumstances beyond the filer’s control. And while this is most likely a loan that would be difficult or impossible to place, as a loan officer I’d want to know more about what happened to the customer, whether I was helping them or putting them in a worse position (perhaps, believe it or not, a new loan might mean a lower housing payment), and whether I believed in the customer and the loan.