Dear Brethren, Co-Workers and Friends,
The year of 2007 has now passed, complete with the usual end-of-year spending and excess, which was just a continuation of what has become the norm in many nations around the world. However, financial clouds on the horizon, emanating primarily from the subprime mortgage crisis in the USA, cast a cloud over the normal festivities. Subprime lending is, put simply, the act of approving mortgages to those with a poor credit history at higher than normal interest rates, and many have found it impossible to meet their commitments, with the result of foreclosures and associated problems. In addition, the housing market has cooled significantly, which also brings along another set of problems. Add into that mix the ever-spiraling personal debt situation, and the prospects are less than encouraging. Because of their position on the world stage, whenever there are problems in the USA, these are reflected in the world economy, and the UK and continental Europe, and even countries in Asia, are feeling the same set of pressures. Recent figures in the UK have shown that personal debt has doubled since the year 2000.
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