Feature Story

August 14, 2007

'Double Financial Bubble' Looming Large for Middle-Income Communities

From Rochester Institute of Technology:

"America is facing the financial consequences of a 'double bubble' where falling housing prices and bloated mortgage payments are squeezing consumers burdened with record household debt," says Robert D. Manning of Center for Consumer Financial Services at Rochester Institute of Technology's E. Philip Saunders College of Business.

Manning, author of "Credit Card Nation" and frequent expert witness before U.S. Congressional Committees, is available to discuss his "double financial bubble" argument and the next phase of the subprime mortgage crisis, which he predicts will beset middle- and upper middle-income communities in one-and-a-half to two years.

Manning is a leading critic of the nation's financial services industry and research professor and director of the Center for Consumer Financial Services at E. Philip Saunders College of Business, Rochester Institute of Technology.

As Manning explains, the Federal Reserve and government regulators have contributed to this perilous situation, and he recommends pro-active strategies where local communities get involved during the often-lengthy foreclosure process to help save these communities before the foreclosure and bankruptcy waves become overwhelming.

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