The Savings & Loan Crisis vs. The 2008 Financial Crisis
Play The Savings & Loan Crisis →
What They Share
Both crises involved risky real-estate-related lending following a period of deregulation, both saw hundreds of financial institutions fail, and both required large government intervention to resolve.
Where They Differ
The Savings & Loan Crisis was largely confined to the thrift industry and U.S. commercial real estate, resolved over years through the Resolution Trust Corporation. The 2008 crisis involved far larger, more complex, and more globally interconnected institutions and securities (mortgage-backed securities, derivatives), producing a much larger and more immediate global shock.