The Great Recession, which took place from Dec. 2007 to June 2009, was said by many economic experts across the globe to be the single worst economic recession since the notorious Great Depression, which ravaged Americans during the 1920s, some 80-plus years before the United States’ subprime mortgage lending crisis reared its ugly head and ultimately spurred the Great Recession.
Since the Great Recession was resolved in mid-2009, the American economy has been performing exceptionally well. There hasn’t been any considerable downtick in economic growth, consumer spending, and other similarly-important financial metrics used to gauge the health of the exchange of money for goods and services across the nation by government agencies and financial market analysts alike.
However, some experts have expressed concerns throughout the entirety of 2019, pointing to various market factors as a sign of a looming economic recession. One of these several factors that experts have spoken out against, at least in some capacity, however small, was that the bond yield curve became inverted for the first time in over 12 years, before the advent of the Great Recession, which is typically a bad sign for what an economy’s future has to offer within the next few months to as late as two years ahead of time.
Fortunately, for the sake of American laypeople, businesses, and the government alike, all of these supposed indicators of an upcoming economic recession here in the United States have fizzled out. The economy is still going just as strong as it has across the previous few years. Lucky us!
Let’s take a look at personal loans
After the Great Recession, personal loans grew wildly in popularity across the United States. Since mid-2009, when the recession was resolved, personal loans have wildly grown in proportion to other loans sought out and offered, both, in the U.S. financial services market.
Personal loans are continuing to grow. Equifax indicates that personal loan origination has increased over 10 percent since this time in 2018. This growth rate hasn’t been seen for well over a decade.
Experian and TransUnion have confirmed similar findings in regards to what Equifax dug up.
Some economic experts believe that the ongoing rise in personal loan origination, despite the current health of the economy and the employment market, as well, is pointing to an inevitable economic downfall in the next year or two, says Moody’s Analytics’ own Mark Zandi, among many other reputable, high-level economists.
Dil Bole Oberoi
