The Subprime Mortgage Crisis was a financial disaster that began in the mid-2000s when banks offered loans to people with poor credit histories, known as subprime borrowers. These loans often had high interest rates and were risky, as many borrowers struggled to make their payments. When housing prices fell, many homeowners found themselves owing more than their homes were worth, leading to widespread foreclosures. As more people defaulted on their loans, financial institutions faced huge losses, causing a ripple effect throughout the economy. This crisis contributed to the 2008 financial meltdown, leading to the collapse of major banks and a global recession, affecting millions of lives.