Over the next few years it is very likely that there will be even more strict standards in lending and they will advertise those standards. A few relatively low key funds that only bought the highest grade loans are up around 50% on the year and getting lots of play on cnbc and the financial media. Everyone is going to want to get in on that gravy train. I can’t blame them, if it was your money that was being lent out you would want ethical people who pay their taxes, pay their loans and honor their obligations. Stated, subprime and Alt-a are all four letter words now. The new phrase in lending will soon be, “prove it.”
