Subprime Lending

ResCap To Shed 700 More Jobs Amid Subprime Turndown 

GMAC LLC’s Residential Capital home-lending unit will let go of roughly 700 workers — or five percent of its U.S.-based employees — as a continued subprime credit crunch has nearly every lender in the space wondering what will come next. About 600 to 700 workers will lose their jobs in cuts expected to take effect during the next few months, GMAC spokeswoman Gina Proia said in an interview with Bloomberg earlier yesterday. “The decision was influenced by current market conditions and the deterioration of the U.S. mortgage market,” said Proia.