Banks in Canada didn't do the things that blew other banks up. In the last quarter of 2008, all of Canada's major banks were profitable, collectively making $2.5 billion during a period when U.S. banks lost more than $26 billion.
In fact, since the financial crisis began, American taxpayers have provided more than $300 billion dollars to more than 450 companies. During that same period, from their government, Canadian banks have not received one penny.
One reason: Take those infamous subprime mortgages given to risky homebuyers. They crippled banks in the U.S., where at peak, 25 percent of loans were subprime. In Canada? Three percent.
Another villain in the financial crisis were toxic mortgage-backed securities - risky loans that were chopped up and resold in countless different ways. Many banks gobbled up the now virtually worthless investments.
Canadian banks were up to their ankles in the toxic muck whereas American banks were over there heads.
One reason why Canada is the only industrialized nation in the world without a single bank failure in the current economic downturn.
Here you can read more about Toronto real estate market and great Toronto mortgages - http://www.torontogreathomes.com/ONTARIO_MORTGAGE/page_929364.html
Alexandre Malkhassiants, Sales Representative and Mortgage Specialist,
Right at Home Realty, Centum Mortgage Decision
Office: (416) 391-3232
Cell: (416) 723-9383
E-mail: amalkhass@rogers.com
Web site: www.torontogreathomes.com
Toronto real estate market blog: http://torontorealestate.wordpress.com/
Toronto real estate. No Bank Failures in Canada
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