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Title: SUBPRIME LENDING AND ITS IMPACT ON SOCIO ECONOMIC GROWTH IN INDIA
Authors: ABISHEK GOEL
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ABISHEK GOEL Bal bharai public school pitampura, 28 Deepali Pitampura New Delhi 110034
MLA 8 GOEL, ABISHEK. "SUBPRIME LENDING AND ITS IMPACT ON SOCIO ECONOMIC GROWTH IN INDIA." nt. j. of Social Science and Economic Research, vol. 6, no. 6, June 2021, pp. 1635-1644, doi.org/10.46609/IJSSER.2021.v06i06.002. Accessed June 2021. APA 6 GOEL, A. (2021, June). SUBPRIME LENDING AND ITS IMPACT ON SOCIO ECONOMIC GROWTH IN INDIA. nt. j. of Social Science and Economic Research, 6(6), 1635-1644. Retrieved from doi.org/10.46609/IJSSER.2021.v06i06.002 Chicago GOEL, ABISHEK. "SUBPRIME LENDING AND ITS IMPACT ON SOCIO ECONOMIC GROWTH IN INDIA." nt. j. of Social Science and Economic Research 6, no. 6 (June 2021), 1635-1644. Accessed June, 2021. doi.org/10.46609/IJSSER.2021.v06i06.002.
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Abstract: Subprime Loans are those provided to individuals and companies who have a background in inability or difficulty in paying back the loan amount. Such loans are usually provided on highinterest rates, poor quality of collaterals, and less favorable terms for the borrower as they have a higher risk of defaulting the loan. With many owning sole trading licenses or freelancing jobs, preferring cash transactions to pay lower taxes, and not maintaining proper paperwork, the population of India seems like a lucrative market for subprime lenders. While we already see many large financial corporations like Citi, Bandhan, Yes Bank entering the Indian market between 2010 to 2018, the ongoing recession caused due to the Covid-19 pandemic can act as a catalyst for subprime lending growth within the country. This paper focuses on the Growth of Subprime lending within India and its effect on the socioeconomic growth of the country. By looking into the history of subprime lending and its implication on the national economies then, we can identify Through our research we identify there is a lot of potential subprime loan borrowers in India and there could be a crisis just like it happened in us in 2008 if India does not follow the necessary steps and protect its economy from the default rates of these type of loans which is no the rise due to covid 19 and the ongoing lockdown.

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