Student and auto loans could be start of bigger problems for economy

(PRO Views are exclusive to PRO subscribers, giving them insight on the news of the day direct from a real investing pro. See the full discussion above.) When subprime mortgage lender New Century Financial went bankrupt in early 2007, it was a canary in the coal mine for a housing crisis that wouldn’t fully spread until 2008, bringing down the economy and markets with it. There are certain pockets of the lending market today with early signs of trouble — not heralding something on the scale of the Great Financial Crisis, but perhaps a slowdown in borrowing and the economy if the woes spread, according to Larry McDonald purveyor of the The Bear Traps Report and author of