VERY important to note that NONE of these were actual banks that went under. They were “middle men” originating and underwriting loans and selling them off on Wall Street.
Very few were considered direct lenders, lending their own money. They were working off lines of credit from Wall Street.
I don’t think that ANY of them can be compared to Northern Rock, as the US government wouldn’t consider bailing out any of these private entities.
I don’t miss any of these companies and business can still be done without them, with reasonable underwriting guidelines today.
