FirstPlus Financial Inc., which specialized in making loans up to 125% of the value of a home, filed for bankruptcy in March, a victim of the one- two punch of declining credit quality and last fall's liquidity crunch.

Its woes, however, have not dissuaded Residential Finance Corp., a wholesaler and subsidiary of GMAC Mortgage Corp., from intensive pursuit of such loans, known as 125s.

Subscribe Now

Access to authoritative analysis and perspective and our data-driven report series.

14-Day Free Trial

No credit card required. Complete access to articles, breaking news and industry data.