26 Jan 11 Goldman Sach’s Mortgage Trading and Derivatives
A recent Bloomberg article revealed that Goldman Sachs Group Inc. heavily profitted from trading derivatives on home loans during the financial crisis. The company admitted to this risky trading and said it relied on the instruments for most mortgage trades and for revenue from commodities, interest rates and currencies. According to a report by the Financial Crisis Inquiry Commission. Goldman Sachs Group said that derivates accounted for 70% to 75% of revenue in the firm’s commodities business from 2006 to 2009 and “half or more” of revenue from mortgage interest rates and currencies. From May 2007 to November 2008, about 86% of $155 billion in trades made by the firm’s mortgage loan business involved derivatives, the FCIC said. Stephen Cohen, a spokesman for Goldman Sachs, declined to comment.
The commission examined derivatives as part of an investigation of the credit crisis, which sparked the worst recession since the 1930s and the loss of more than 8 million U.S. jobs. Derivatives — contracts whose value is derived from assets such as stocks, bonds, currencies or commodities. Many people in the mortgage industry believe that this likely contributed to the turmoil by making it hard for regulators, responding to Lehman Brothers Holdings Inc.’s 2008 bankruptcy, to gauge the interconnectedness of financial firms. Read the complete Business Week article.
24 Jan 11 Dodd Frank Mortgage Reform
Many brokers and lending companies are nervous about the Dodd-Frank mortgage reform bill. The compensation for loan officer and brokers will change. The cost of loan origination will no doubt rise as a result of the new procedures. Will the cost of mortgage marketing rise as well?
According to the National Mortgage News, the U.S. Department of the Treasury gives notice of the establishment of a Privacy Act System of Records primarily for the benefit of the new Consumer Financial Protection Bureau which will become active July 21. Comments are being sought until Feb. 9. This new system of keeping records will also become effective February 9th, 2011
MASSACHUSETTS RESIDENT CHARGED WITH MORTGAGE FRAUD – FACTS- On January 11th, Rowland Kojo Adjei Sapong, a citizen of Ghana who formerly lived in West Boylston, was charged in for conspiring to commit wire fraud by conspiring with a mortgage broker and various property buyers to defraud numerous mortgage lenders who financed the purchase of homes. The information alleges that, between March 2002 and March 2008, Sapong bought approximately 17 multi-family homes in the Worcester area, and secured financing for most of them by making false statements on loan applications. These false statements usually concerned Sapong’s employment and monthly income, and each application also falsely stated that Sapong was a United States citizen. The Information further alleges that Sapong divided each of the properties into condominium units—over 50 in all—and sold the units, usually to friends and acquaintances, at inflated prices. Working with a local mortgage brokerage business, Sapong allegedly arranged for these buyers to make false statements on their own loan applications to secure the financing necessary to buy Sapong’s condominium units. The Information alleges that Sapong made an average of about 100% profit on each of the homes in a matter of months, and that, after the units had been sold off to buyers, all eventually went into foreclosure. According to the information, the government estimates that Sapong caused losses to mortgage lenders of over $1 million. v If convicted on these charges, Sapong faces up to 20 years’ imprisonment, to be followed by three years of supervised release and a $250,000 fine.
MORAL- I would like you to notice that the federal prosecutors went back to mortgage fraud that occurred in 2002, over nine years ago. This is to reassure you that the federal prosecutors have 10 years to bring a criminal action from the date of the last event that occurred in the transaction. This usually is when the person receives the commission check and cashes it. Cashed any checks lately? Read the entire Dodd Frank Bill Update
Tags: Dodd-Frank mortgage reform bill, mortgage marketing, Privacy Act System of Records
21 Dec 10 Home Loan Debt In America Drops
Lower home sales prices, foreclosures and principal reductions have all contributed to lower mortgage debt in the United States. The dollar amount of outstanding mortgage loans in the U.S. continued to fall in the third quarter as more consumers engaged in cash out refinance and home equity loan transactions while others lost their property due to foreclosure or short sale.
According to reports compiled by National Mortgage News and the Quarterly Data Report, U.S. consumers owed $9.807 trillion on their mortgages at September 30th, down slightly from $9.894 trillion at mid-year.
Housing debt peaked at $10.138 trillion at the end of 2009. Some housing analysts, including Laurie Goodman of Amherst Securities, anticipate that another 11 million homes could be lost to foreclosure over the next few years unless the government improves its loan modification efforts. The dollar amount of outstanding mortgages is being reduced because Americans who can afford to are paying down balances.
13 Dec 10 Millions of Homeowners Have Underwater Mortgages
Unfortunately millions of borrowers are unable to qualify for mortgage refinancing, this year because their mortgage is underwater. That means their home is worth less than their mortgage lien. The homeownership rate could fall below 60% if homeowners who are deeply underwater end up losing their homes, a new underwater mortgage report from mortgage data aggregator CoreLogic suggests. Some 10.78 million homeowners were “underwater” during the third quarter, meaning they owed more on their mortgages than their homes were worth. About 22.5% of all homeowners with mortgages had negative equity. That’s a slight decline from the 10.97 million homeowners who CoreLogic estimates were underwater in the second quarter, but the improvement was driven primarily by foreclosures rather than rising home values.
So far this year, the ranks of underwater mortgages have thinned by about 500,000, CoreLogic said. But price declines in some markets could bring to an end or even reverse recent improvements in negative equity. Many underwater homeowners will eventually lose their homes, and in the meantime may behave more like renters, failing to maintain their properties because they have no stake in them, the report noted.
The official homeownership rate reported by the Census Bureau for the third quarter was 66.9%, down from a peak of 69.2% in the last three months of 2004.
10 Nov 10 Qualified Mortgage Exemptions
The Mortgage Bankers Association announced today that federal regulators should allow 3-year ARMs and certain interest only home loans to be classified as “qualified mortgages” that will be exempt from risk retention rules.
Congress created the qualified mortgage exemption in the Dodd-Frank Act to facilitate the securitization of safe and well-underwritten single-family loans while penalizing those involved in the securitization of high- risk subprime and payment option ARMs. Many of the bad credit mortgage loans have come from 1and 3 year adjustable rate mortgages, so this would be good news if HUD considered these loans exempt. In a letter to HUD and other agencies, MBA president and chief executive John Courson says the impact of the qualified mortgage exemption on credit availability cannot be “overstated.”
MBA wants regulators to preserve lender discretion “within acceptable parameters” and allow lenders to “consider compensating factors in meeting the financing needs of qualified borrowers.” MBA also wants regulatory flexibility on debt-to-income ratios. “If specific numerical standards are prescribed under these rules, we believe DTI should not be lower than 50%, with specific compensating factors defined in the regulation…” MBA says. The federal banking agencies, Securities and Exchange Commission, Federal Housing Finance Agency and the Department of Housing and Urban Development are expected to issue a qualified mortgage rule by April. The deadline for completing the joint ruling making on risk retention is mid-July. MBA maintains the two rules should be “synchronized” and issued at the same time.
26 Oct 10 Fannie Mae and Freddie Mac Fueling Mortgage Crisis
Wall Street insiders continue to discuss the future mortgage bailouts of Fannie Mae and Freddie Mac. Home foreclosures and mortgage defaults continue to mount, even as FHA mortgage rates have fallen below 4% on fixed rate 30-year terms. Home mortgage refinancing applications are up starkly from the previous quarter, but the mortgage crisis deepens.
Another Bailout for Mortgage Giants Fannie and Freddie?
httpv://www.youtube.com/watch?v=UgG5CU2Iq_0
“It appears as though many loans and other mortgage-related assets have been double and even triple-pledged to various constituencies.” Bank of America court filing, June 2010, a court filing made by Bank of America back in June is adding another twist to the foreclosure document crisis, a problem that could mushroom into more write-downs for the banking industry, and headaches for Fannie Mae, Freddie Mac, and the New York Federal Reserve, which now owns $1.25 trillion in mortgage-backed securities guaranteed by Freddie Mac, Fannie Mae and Ginnie Mae.
Attorneys general in 50 states are now investigating allegations of falsified foreclosure documents, where banks allegedly have not proved they own the underlying mortgage and in turn have the right to seize a home when a borrower defaults. But now the question is not just who owns the property the home loans but whether Wall Street and the mortgage industry pumped out too many mortgage-backed securities built on these loans? Specifically, the question is how many mortgages were overpromised and overpledged — sometimes two, three maybe five times, maybe umpteen times — to back securities? How many fraudulent mortgage-backed securities now sit on Fannie and Freddie’s books? At the New York Fed? Who will be on the hook for those securities?
A New York Fed official tells me that because Fannie and Freddie back its $1.25 trillion mortgage-backed securities portfolio, it won’t face any losses for rotten securities. Fannie and Freddie officials tell me that while they do have that unlimited pipeline into the US Treasury, they are going to turn around and make the banks swallow the losses for the bad securities they built on loans. Wall Street analysts concur. That is called a put-back. But if the banks cannot, then taxpayers will because the US Treasury is backing up the balance sheets at Fannie and Freddie.
20 Oct 10 Underwater Mortgages Still Haunting Homeowners
After a week of mortgage interest rates declining yet again to historic levels, a high percentage of American homeowners do not qualify for a low rate refinance. These distressed homeowners are unable to refinance their higher rate mortgages because of their depreciated home that is valued less than their mortgage loan amount owed. The decline in home values has left 23% of homeowners strapped with an underwater mortgage. This situation of negative home equity leaves large numbers of homeowners the majority of whom remain current on their home loan payments are feeling left behind and shut out as mortgage lenders won’t refinance their higher rate loans for fear of increased default risk.
Another problem many borrowers have is that they have a first and second mortgage underwater. Home equity loan refinancing is nearly impossible if your 1st mortgage is already underwater. At the same time, underwater homeowners have noticed that banks and lenders are taking exceptional measures to assist borrowers already in default or at high risk of default.
This is not say that programs like the HAMP are not appropriate or necessary, but in the absence of meaningful help for borrowers who remain current on the mortgages, the impression is created by these efforts that there is no benefit to be had for responsible behavior and that the government and our nation’s lenders care more about borrowers in default than they do those that struggle every month to meet their financial obligations and pay their mortgages on time.
The mortgage relief program would apply only to borrowers whose mortgage rate is higher than current mortgage interest rates. In other words, only when a borrower’s new payment would be reduced by at least $50 per month would they qualify. And with one exception only – NO cash out – this program is intended as a rate reduction program. The only exception to the cash out limitation would be that borrowers with second mortgages or home equity lines of credit would be permitted under this program to pay off both loans – again as long as the total monthly payment of the new mortgage was less than the old combined total payments.
And as for credit requirements, borrowers whose payments would be reduced qualify as long as they have been current on their mortgages for at least two years. That’s it forget credit scores, loan-to-value ratios, front-end or back-end ratios. Borrowers would qualify on the theory they if they have been current on their higher rate home mortgages, their payment history would suggest that they will continue to pay their mortgage if their payments are reduced.
12 Oct 10 HUD Extends 1 Billion to Emergency Homeowner Loan
One billion dollars in emergency funds will soon be available to help homeowners “bridge” their mortgage payments while they recover from the impact of a severe income loss. The Department of Housing and Urban Development (HUD) will make the funds available to homeowners in Puerto Rico and the 32 states not covered by the Department of the Treasury’s Innovation Fund for Hardest Hit Housing Markets program. The Emergency Homeowner Loan Program has allocated funds for individual states to offer additional mortgage relief to distressed homeowners for up to 2 years.
Under the Emergency Homeowner Loan Program, the household must have a reasonable likelihood of resuming payments on the mortgage and meeting other housing expenses and debt obligations within two years. This determination will be based on a back-end ratio below 55% of pre-crisis income.
11 Aug 10 Emergency Homeowner Loan Program
Word on the finance street is that the Federal government will soon announce the Emergency Homeowner Loan Program. The latest round mortgage bail-outs from the Obama Administration is said to be focused on aiding homeowners who have under-water mortgages.
According to CNNMoney, the Obama administration pledged another $3 billion in additional funds available to assist distressed homeowners in a foreclosure prevention effort. One part of the mortgage bail-out plan, includes a new $1 billion program that will offer self-employed home loans to unemployed borrowers at risk of losing their homes. The mortgage loan relief, which will be dispersed through non-profit and housing agencies, will carry 0% interest and be good for a maximum of $50,000 for up to two years. In the coming weeks, HUD said it will announce details about the new loan relief program, called the Emergency Homeowner Loan Program.
It was not clear whether or not the Emergency Homeowner Loan Program would be part of the recently discussed bail-out for Freddie Mac and Fannie Mae. HUD announced just last week more government loan relief with the FHA short refinance program that was created to help homeowners refinance their under-water mortgages. It also wasn’t clear whether or not the FHA short refinance program would be part of the Emergency Homeowner Loan Program. HUD was unavailable for comment.
Recent Government Mortgage Relief Programs
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The administration also added $2 billion in home loan aid for its mortgage program that helps struggling homeowners in the states with highest unemployment rates. Today, the Obama administration announced an additional $2 billion that will expand the mortgage relief program to a total of 17 states and the nation’s capital. The regions chosen have suffered significant home value depreciation, high unemployment and high foreclosure rates well above than the national average for a year.
Tags: Emergency Homeowner Loan Program, FHA short refinance program, self-employed home loans, under-water mortgages
09 Aug 10 1 in 5 Homes Are Plagued with Underwater Mortgages
Zillow published a mortgage report that revealed that more 1 in 5 U.S. homes have a mortgage that is presently underwater. This is the primary reason that so many lenders are offering loan modification agreements in regions that have seen significant declines in home values. Fewer Americans are strategically defaulting on their mortgage loans, foreclosure rates continue to increase with RealtyTrac reporting a first-quarter foreclosure rate of 1.65 million. Analysts project that the number of mortgage defaults, repossessions and scheduled auctions are likely to reach 3 million by the end of the year. Read the original article online > 20% of US Mortgage Loans Under-Water
06 Aug 10 Government Mortgage Help with FHA Short Refi Program
HUD announced another round of government mortgage help with their new FHA Short Refinance program. Many homeowners are struggling as their home values have declined dramatically in recent years. In fact many borrowers are actually underwater with their mortgage balance greater than their home value. According to HUD, 11.3 million borrowers were underwater with their home loan and most would welcome the government mortgage help. HUD Secretary Shaun Donovan told a group in a recent speech that California, Arizona, Florida, Michigan and Nevada were the states with the most underwater home loans.
The FHA Loan Blog reported that many lending companies who are approved to originate FHA loan products believe that this mortgage relief initiative will help out a lot of struggling homeowners, but the reality is that most borrowers will be unable to meet the FHA loan requirements.
Tags: FHA short refi, Government Mortgage Help, underwater home loans
28 Jul 10 Is the Financial Reform Bill Flawed?
Much to the surprise of many pundits, the recently signed Financial Reform Bill did not outline guidelines for regulators to begin crafting the future of Fannie Mae, Freddie Mac, and Ginnie Mae. Although this was viewed as an oversight by most, it was the right move because it will allow our political and financial leadership to focus on repairing the mortgage finance system. Remember that the government loan programs Fannie, Freddie, VA and FHA loans maintain nearly 96% of the mortgage market-share yet they are exempt from most of the financial reform repercussions.
Watch Glen Beck Discuss the Pitfalls of Finance Reform Bill on Fox News
httpv://www.youtube.com/watch?v=IeREpKxIYhY
Read the original mortgage news article > Financial Reform Bill Flawed?
Tags: financial reform bill
21 Jul 10 California Mortgage Brokers Get Criminal Checks Yet Banks Are Exempt
One would think after the recent mortgage debacle and housing crisis that the government would really want to implement mortgage loan reform that closed the “loop holes” to significantly reduce the foreclosures and loan defaults that have been costing U.S. tax-payers billions of dollars each year. California mortgage brokers face closer scrutiny as the state adopts a federal law aimed at curbing the fraud and abuse that helped decimate the housing market. According to Bloomberg, mortgage brokers in the nation’s most populous state will be required by July 31th to have passed criminal-background and credit checks, as well as licensing exams. California, along with about a third of U.S. states, previously didn’t require mortgage sellers to have individual licenses.
That’s about to change as all states by January 1st must implement the national rules, which Congress developed after record mortgage defaults and foreclosures were triggered by rampant lending to people who couldn’t afford to repay their loans or never intended to. Brokers will be assigned identification numbers to enable regulators and borrowers to track their lending histories. “When someone buys 100 shares of stock, they must go through a licensed securities broker,” said Senator Dianne Feinstein, a California Democrat and co-sponsor of the law, the Secure and Fair Enforcement for Mortgage Licensing Act of 2008. “Until recently, some purchased their home — a far more valuable asset — through an independent mortgage broker or lender who may have had a criminal background or no license at all. This lack of accountability enabled unscrupulous brokers to commit fraud at the expense of unsuspecting homebuyers.”
Why Are Banks Exempt?
The 2008 law, dubbed the SAFE Act, doesn’t require testing for mortgage brokers at federally regulated mortgage lenders. That may help companies such as BofA Home Loans, Citi Mortgage and Wells Fargo Home Mortgage increase market share because they face fewer training requirements and costs, said William Emerson, chief executive officer of Quicken Loans Inc., a closely held nonbank lender in Livonia, Michigan. “For large, independent, nonbank lenders, this is certainly an operational challenge,” Emerson, whose company originated $25 billion in mortgages in 2009, said in a telephone interview. “It certainly adds costs.” Bank of America and Wells Fargo together accounted for 46 % of the residential-lending market in the first quarter, according to data compiled by Inside Mortgage Finance Publications in Bethesda, Maryland. Of $320 billion in new mortgages in the quarter, about $184 billion, or 57 %, was originated by lenders whose employees are exempt from the licensing exams, according to Inside Mortgage Finance data. “You see mortgage brokers take the test and fail it and wind up working for banks,” Emerson said. “If you can’t pass a test and work for an independent, why are you qualified to work for a bank?” According to according to Pete Marks from the Conference of State Bank Supervisors, about 71 % of people who took the national broker exams passed on the first try, which was assigned responsibility under the SAFE Act to maintain the licensing system and national registry. Mortgage originators must also pass separate tests in each state they do business.
Increased Protections from Bank Lenders
Bank of America, based in Charlotte, North Carolina, conducts background investigations and credit checks of all hires and provides training in legal compliance and regulations, Terry Francisco, a spokesman, said in an e-mail. Wells Fargo takes similar precautions, said Jason Menke, a spokesman for the San Francisco-based bank.
Borrowers were victimized last year by brokers engaged in fraudulent loan-modification plans, home appraisals and applications for the first-time homebuyer tax credits, the Federal Bureau of Investigation said June 17 in its annual report on mortgage fraud. The top states for fraud in 2009 were California, Florida, Illinois, Michigan and Arizona, based on law enforcement and industry data, according to the bureau. In a law-enforcement crackdown on mortgage fraud announced by the FBI on June 17, mortgage brokers accounted for 169 of the 1,215 defendants charged in the operation; 56 of the 485 arrests; and 46 of the 336 convictions to date. “From homebuyers to lenders, mortgage fraud has had a resounding impact on the nation’s economy,” FBI Director Robert Mueller said in a statement.
Mortgage Fraud Repercussions
According to RealtyTrac Inc, mortgage companies will take-over more than one million homes this year, forecast July 15th. Mortgage defaults soared to 10.1 % and foreclosures reached 4.63 % in the first quarter, both records, the Mortgage Bankers Association said May 19. Median existing-home prices have fallen 22 % to $179,600 since the July 2006 peak, the National Association of Realtors said June 22.
The number of U.S. mortgage brokers shrank to 246,900 in May, less than half of the February 2006 high of 504,400, according to the U.S. Bureau of Labor Statistics. The decline was driven by tighter compliance standards, said David Olson, president of Access Mortgage Research & Consulting, a firm in Columbia, Maryland, that works with residential lenders.
The personal identification number will help weed out brokers with histories of writing home loans that quickly go bad, said Ann Fulmer, vice president of Interthinx Inc., an Agoura Hills, California-based company that sells mortgage-fraud detection software. “One of the things we saw over and over during the boom was that a bad actor would work at a shop for several months, frequently ending up as the ‘top producer,’ and then leave for presumably greener pastures,” Fulmer said in an e-mail. “In actuality, they usually left because their bad loans were about to start blowing up and, if they stayed, they’d be discovered.”
Mortgage Modification Implications
The U.S. Department of Housing and Urban Development, which oversees compliance with the SAFE Act, has proposed that employees handling loan modifications for struggling homeowners also meet the licensing requirements, a policy opposed by banks. Mandating licenses for loan modification advisors would slow hiring and stall efforts to reduce foreclosures, said John Courson, CEO of the Mortgage Bankers Association. “We say this is not originating a new loan, it’s reducing the terms of their loan to get them to affordability,” he said in a telephone interview.
The housing department hasn’t set a deadline for a decision, said Lemar Wooley, a spokesman. It costs $3,000 to $6,000 to train and pay the fees for each new employee to comply with the mortgage-licensing system, said Anthony Hsieh, CEO of LoanDepot.com, an online mortgage originator based in Irvine, California. “The law is supposed to make sure we kick the bad ones out,” said Hsieh. “It could be the opposite — keep the good ones out.”
States with the highest fraud and foreclosure rates are among the last to put the national mortgage-licensing system in place. Nevada, which had the highest foreclosure rate in the first half of this year, goes live Oct. 1. Behind the delay was the state’s multilevel approval process, said Elisabeth Daniels, a spokeswoman for Nevada’s Department of Business and Finance. Florida, where a 2008 Miami Herald investigation found state regulators allowed 10,529 people with criminal backgrounds to work in the mortgage industry, also is scheduled to begin issuing licenses Oct. 1. States including Georgia, Illinois, New Jersey, Ohio and Virginia have already adopted the SAFE Act. Article written by John Gittelsohn for Bloomberg
Tags: California mortgage brokers
14 Jul 10 Prime-Rated Mortgage Loan Security Delinquencies Increase
According to Fitch Ratings serious delinquencies of U.S. prime-rated residential mortgages rose in June from May, the 37th-straight month of sequential gains, though Alt-A and subprime mortgages extended a recent trend of declines. While noting the continued drops are “noteworthy,” the portion of borrowers who had been current in the prior month but fell behind–or roll rate–remains elevated. “The persistently high roll rates indicate that the delinquency declines are more a reflection of increased property liquidation and ongoing loan-modification activity than of widespread improvement in home loan payment performance,” said Fitch’s Vincent Barberio.
Home loan delinquencies have shown signs of plateau in recent months, with a number of measures showing their first declines since 2007, when the housing bubble began to lose air. Delinquencies of 60 days or more on prime-rated jumbo mortgages, or those of at least $417,000, rose to 10.4% in June from 6.4% a year earlier and 10.3% in May. Such loans saw the biggest increase in delinquencies last year among home borrowings, though the overall rate remains far below those of other mortgage types. Roll rates remained above 1% after dipping below that level in April, but were lower than their 1.4% peak in March.
The prime-rated jumbo loans make up the vast majority of the prime-rated mortgage loans in Fitch’s readings. Serious delinquencies for Alt-A loans–typically given to prime-rated borrowers who did not document assets and/or income, declined to 33.7% in June from 33.9% in May, but were up from 29.1% a year earlier. Roll rates rose on month to 3.4% from 3.1%. Prior to a sharp April drop, roll rates haven’t fallen below 3% since June 2008. Subprime delinquencies dropped to 43.7% from 44.8% in May but were above the prior year’s 41.2% The June roll rate fell to 4.2% from 4.3% sequentially but was well below the 12-month average of 5.3%. Article was written by Tess Stynes, Dow Jones Newswires
Tags: Fitch Ratings, subprime mortgages
08 Jul 10 Wells Fargo Announces Nearly 4000 Layoffs in Consumer Finance Unit
Wells Fargo Announced Thursday that it would no longer originate subprime home loans and were closing their finance division that specialized in those higher risked loans. According to Reuters Wells Fargo was poised to close their consumer finance division that was established a hundred years ago. Even though Wells Fargo has a reputation as a prime mortgage lender that had conservative lending guidelines they had been struggling with delinquencies and loan defaults from their own bad credit home mortgages in addition to mortgage portfolios it acquired from Wachovia Corporation when they recently took them over.
Wells Fargo announced they were closing 638 Wells Fargo Financial offices, which increased its number of retail branches to 6,600 after the Wachovia merger. The bank also has 2,200 Wells Fargo Home Mortgage offices and will eliminate about 2,800 employees from its Wells Fargo Financial unit and will most likely slash another 1,000 jobs in the next year.
According to Dave Kvamme, chief executive of Wells Fargo Financial in Des Moines, “The nonprime real estate business had really declined dramatically over the last 12 to 18 months.” He believed that that Wells waited too long to convert their loan officers from originating subprime loans to FHA mortgage loans too late. As the non-prime home loans contributed to the increased loan defaults that put the company in a position of risk they no longer were comfortable with. Kvamme continued, “The bank has switched from offering subprime mortgages to offering FHA home loans guaranteed by the government.”
Tags: bad credit home mortgages subprime home loans, Consumer Finance Unit, Wachovia Corporation, Wells Fargo, Wells Fargo Home Mortgage
