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By Kevin Spak, Newser Staff That whole "subprime crisis" hasn't scared banks away from the lucrative world of subprime lending. The nation's top subprime lenders -- like Capital One ( COF), GM Financial, HSBC and JPMorgan Chase ( JPM) -- are all trying to woo back less-creditworthy borrowers, who tend to rack up late fees while paying rates as high as 29%, the New York Times reports. "It's clear that we are returning to business as usual," said a former Federal Reserve regulator. But that's not entirely true; the focus hasn't yet shifted to mortgages -- it's on auto loans.
Auto loans were left largely unaffected by new post-crisis regulations, and the market for bundled auto loan securities is expanding -- so much so that Moody's last year issued a report that it was growing "too much too fast." In the fourth quarter of 2011, 23% of new auto loans were subprime. But lenders are also eager to roll out credit cards: In December, 1.1 million new cards were issued to people with damaged credit, the Times notes. --Written by Kevin Spak of Newser