Financial literacy and numerical ability: Keys to better mortgage outcomes

• Main Author: Singapore Management University
• Format: text
• Language: English
• Published: Institutional Knowledge at Singapore Management University 2012
• Subjects: Corporate Finance; Finance and Financial Management
• Online Access: https://ink.library.smu.edu.sg/pers/306; https://ink.library.smu.edu.sg/cgi/viewcontent.cgi?article=1310&context=pers

While mortgage credit expansion had lead to a rapid increase of home ownership in the US, the reversal of home prices beginning in 2006 resulted in a substantial increase in mortgage delinquencies and an explosion in outright defaults. Its devastating impact on the associated mortgage backed securit...