Former subprime executive making risky loans again

By Daniel Wagner

Andy Pollock, who led First Franklin's bad loan factory, is pushing interest-only loans at new firm.

Center 'Meltdown' series continues to expose abuses that could lead to the next economic crisis

By Bill Buzenberg

Four years after answering 'Who's behind the financial meltdown,' we follow up and see where those people are now.

Excerpts from this story referencing "Subprime lending":

"… five years later and their lavish lifestyles. The second installment, “Subprime lending execs back in business five years after crash,” tells the story of how m …"

Wells Fargo to pay $175M in lending settlement

By The Associated Press

Justice Dept: Wells Fargo to pay $175M to settle allegations of bias against blacks, Hispanics

Fraud and folly: The untold story of General Electric’s subprime debacle

By Michael Hudson

High-paid employees of fraud-plagued, GE-owned WMC Mortgage included ex-porn star, strippers

Excerpts from this story referencing "Mortgage":

"… loans by paying roughly half a billion dollars to buy California-based WMC Mortgage Corp.What GE got in the bargain, former WMC employees say, was a place whe …"

"… ng.Founded in 1955, it had been known for much of its life as Weyerhaeuser Mortgage, a subsidiary of the pulp and paper giant Weyerhaeuser Co. By the lat …"

"… ck defective WMC loans.By October 2007 — as Riedel had predicted — WMC Mortgage was effectively out of business, dead after having pumped out roughly $110 …"

"… loans under GE’s watch, according to industry data tracker Inside Mortgage Finance.‘Living it up’And Amy Brandt?She was “living it up,” at le …"

Ex-WaMu worker claims he was shunned for refusing to push toxic loans on borrowers

By Michael Hudson

Ex-WaMu employee says he fought pressure to sell toxic loans

Excerpts from this story referencing "Bank":

"… because it’s more profitable for the company,” he says.JP Morgan Chase Bank counters that Saffer didn’t sell because he didn’t have the chops to c …"

"… because it bought Saffer’s ex-employer, Seattle-based Washington Mutual Bank, in September 2008, after regulators seized WaMu in what was the largest b …"

Bank of America to pay record settlement over Countrywide abuses

By John Dunbar

Bank of America to pay record settlement over Countrywide abuses

Excerpts from this story referencing "Mortgage":

"… ending practices at Countrywide in a series of stories called “The Great Mortgage Coverup.” Perez said more than 200,000 African-American and Hispani …"

Worst may be yet to come in foreclosure crisis, study says

Millions more homes at 'imminent risk of default' study says

Excerpts from this story referencing "Foreclosure":

"… rs.The study – “Lost Ground, 2011: Disparities in Mortgage Lending and Foreclosures” – concludes with a plea for stronger government measures to prevent …"

Credit unions remake themselves in image of payday lenders

By Ben Hallman

Credit unions remake themselves in image of payday lenders

Excerpts from this story referencing "North Carolina":

"… rom a modest 12 percent with no fees at State Employees’ Credit Union in North Carolina to the high triple-digits loans sold by Mountain America. It has become a …"

"… it unions have closed since 2009. Thomas Glatt, an industry consultant in North Carolina, said that his analysis of financial reports suggests that 700 mostly smal …"

Report: Car loans include billions in undisclosed charges

By Keith Epstein

Beyond regulation, auto lenders charge billions in hidden rate markups

Data shows Deutsche Bank was key patron of questionable mortgage lenders

By Michael Hudson

Data shows Deutsche Bank was key patron of questionable mortgage lenders

Excerpts from this story referencing "Ameriquest Mortgage":

"… d the securities, which were underpinned by home loans from subprime giant Ameriquest Mortgage, were, quite simply, “crap.”For U.S. Senate investigators, the email i …"

Buyer beware

By David Heath

New consumer agency powerless against dishonest auto lending practices

Conservative think tank's plan would limit securitization of mortgages

By Amy Biegelsen

The American Enterprise Institute offered a plan today to eliminate the “bubble-inducing distortion” it blames for the recent financial cris

"The Monster": A guide to the subprime crisis

By Julie Vorman

Congratulations to my Center for Public Integrity colleague, Michael Hudson, whose new book debuted today as the No. 1 bestseller on Amazon.

16 cents on the dollar: Doing the math on Mozilo settlement

By Michael Hudson

In the end, Angelo Mozilo settled for pennies on the dollar. ...

Excerpts from this story referencing "Angelo Mozilo":

"… ed,” Muolo said. “It’s ego and ambition that sunk him.” …"

Boiler rooms, foreclosure mills: The story of America’s mortgage industry

By Michael Hudson

The news about the nation’s foreclosure scandal has been coming fast and furious, driven by tales of backdated documents, false affidavits a

Excerpts from this story referencing "banking":

"… ecame aware of the problems, he said, because “it’s very difficult for banking regulators to deal with that.”With federal officials pushing a soft appr …"

Morgan Stanley latest to settle with Massachusetts

Before Massachusetts Attorney General Martha Coakley gained notoriety as a failed Democratic candidate for the U.S. Senate, she was best kno

WaMu bank executives aware of rampant fraud

By David Heath

WaMu bank executives aware of rampant fraud but failed to act

Excerpts from this story referencing "AIG":

"… ge had among the worst default rates on loans in the industry, so bad that AIG at one point refused to insure their mortgage-backed securities. In 2003, …"

WaMu bank executives aware of rampant fraud

By David Heath

WaMu executives knew of fraud yet they failed to act, Senate investigation finds

Excerpts from this story referencing "California":

"… ternal investigation of two top-producing offices making loans in southern California found that fraud was out of control. At one office in Downey, Calif., 58 p …"

At top subprime mortgage lender, policies Were invitation to fraud

By David Heath

Long Beach Mortgage employees say firm routinely ignored warnings

Excerpts from this story referencing "Assistant Attorney General":

"… senior managers who allegedly misrepresented their lending practices, said Assistant Attorney General Lanny Breuer at a recent Congressional hearing.Earlier this month, the Sec …"

One year later: A meltdown retrospective

By Kat Aaron

Today marks a year since the collapse of Lehman Brothers, the biggest bankruptcy in U.S. history. As President Obama delivers a major speech

Excerpts from this story referencing "player":

"… suspicious activities to the federal government, unlike almost every other player in the financial services realm, from banks to casinos to check cashers. S …"

"… ome Affordable Modification Program, or HAMP, found that many big subprime players stand to collect billions for their efforts to modify bad mortgages. Of t …"

You broke it? You fix it.

By John Dunbar

Firms that fed off the subprime lending frenzy that devastated the banking system are lining up to collect more than $21 billion in taxpayer

Excerpts from this story referencing "Obama administration":

"… ’s Home Affordable Modification Program (HAMP), begun in February by the Obama administration to coax lenders into modifying mortgages that might otherwise result in fo …"

"… ite House hasn’t worked either. The stick has not been effective, so the Obama administration is offering a carrot — billions of dollars in incentive payments to lend …"

Subprime loans were big business for struggling lender CIT

By Kat Aaron

Troubled lender CIT Group found itself on the brink of bankruptcy Monday, as concerns regarding its liquidity and debt mounted. The company

Mortgage fraud reports rise, but some fraud may still be undetected

By Kat Aaron and Nick Schwellenbach

Reports of suspected mortgage fraud — fueled by the current economic crisis — are up in 2008, according to two new reports by the FBI and th

Excerpts from this story referencing "FinCEN":

"… wo new reports by the FBI and the Financial Crimes Enforcement Network, or FinCEN, an arm of the Treasury Department.Those who are allegedly committing the …"

"… e, according to the FBI’s 2008 Mortgage Fraud Report. But the bureau and FinCEN might have trouble catching them because non-bank mortgage lenders, respon …"

"… are alarming. In its twice-yearly SAR Activity Review – By the Numbers, FinCEN tallies all the so-called Suspicious Activity Report forms, or SARs, filed …"

"… rtgages that give borrowers the option to choose very low initial payments.FinCEN spokesman William Grassano cautioned that the rise in suspected fraud repo …"

Leaders of the nation’s No. 1 subprime lender charged by the SEC

By Kat Aaron

Angelo Mozilo, founder and former CEO of Countrywide Financial — the No. 1 subprime lender in America, according to a Center for Public Inte

Excerpts from this story referencing "Angelo Mozilo":

"… Bank of America acquired the lender, but was related to Countrywide loans. …"

Goldman settlement sends shiver through banking world

By John Dunbar

Goldman Sachs & Company’s agreement to pay up to $60 million to settle a Massachusetts investigation of subprime lending sends a sobering me

The Financial Meltdown: A Glossary

By Kat Aaron

Key terms about the financial meltdown

Excerpts from this story referencing "Subprime lending":

"… if a borrower defaulted on the loan without engaging in arbitration first. …"

"… rs.” According to former Federal Reserve Governor Edward M. Gramlich, “Subprime lending can be defined simply as lending that involves elevated credit risk.”Sub …"

No. 11 of The Subprime 25: BNC Mortgage Inc./Lehman Brothers

Total high-interest loans 2005-2007: At least $47.6 billion ***

No. 13 of The Subprime 25: Accredited Home Lenders Inc./Lone Star Funds V

Total high-interest loans 2005-2007: At least $29.0 billion

No. 15 of The Subprime 25: CitiFinancial / Citigroup Inc.

Total high-interest loans 2005-2007: At least $26.3 billion

No. 9 of The Subprime 25: HSBC Finance Corp./HSBC Holdings plc

Total high-interest loans 2005-2007: At least $50.3 billion ***

Excerpts from this story referencing "Charlotte":

"… ional, which became HSBC Finance Corp. in December 2004. The deal included Charlotte, N.C.-based Decision One, which was bought by Household in 1999. HSBC Fina …"

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