Good morning: I was reading the Seattle Times yesterday and it reported that 6 people had been indicted for mortgage fraud. One worked at a bank which says to me not all mortgage brokers are to blame for the mess we're in.
Nationwide, there have been over 200 indictments for mortgage fraud and I'll bet it's just the tip of the iceberg. Personally, I say good riddance! That's the one thing that bothers me about this business. The greed. It appears because there is so much money to be made and borrowers to be taken advantage of that our business often attracts the scam artists of the world. I think that's sad.
I've always felt that people who try and defraud others have a screw loose. And ultimately they'll get what they deserve. If you're still in the business and you're switching people in and out of their loans just to make a buck, or changing the terms of the loan and saying oh well, I hope you get your just due. I'm sorry to be so critical; it's just that the rest of us who go about our business honestly and ethically get a bad name. Our business is confusing to the consumer and there is either a great amount or complete lack of trust in what we do. It doesn't help when we go about deceiving the customer.
So I urge you to operate your business as you know you should. Let's look after our customer and sleep well at night. Otherwise, the chickens will come home to roost! Have a great day!
Paul
Paul McFadden
So, true. If only there was a way to get the people out of the industry before they do any damage. and to ensure that they can never be in the finane industry again.
Thanks for your comments. That will never completely happen. There's always a crook among us. Oh well, right now with more challenging times not too many shysters are interested. There's no money to be made. Have a great day!
Paul
Nice post, I like how you think!
It is unfortunate that there has such pervasive fraud that so many government agencies have to get involved. Greed is truly the word! When I was a mortgage processor, we had a loan officer that made over $15,000 on her sister's loan! I can't even tell you how much she made on folks that weren't related! We chose to end that relationship! Hopefully broker's like that will be gone soon, if they aren't already.
I am glad that they are finally trying to fix something that has been going on for years. I can't tell you how many "bad" loans I have had to try to help people out of! Some we can help, some we can't.
I hope they truly catch the "bad guys"--I am picturing Snidely Whiplash tying a borrower to a loan instead of the train tracks!--and hope that the Dudley Do-Rights are able to survive the fall-out!
Thanks, Bridget, for your insight. I agree with you. Good riddance to everyone who fleeced a borrower. Have a great day!
Paul
Their were 8 people arrested in Houston last week. Fraud can possibly come from anyone involved in the transaction and cannot be blamed on just the brokers. We had a guy in Clear Lake, Texas receive a 5 year prision term for his involvement in mortgage fraud. Another couple in League City, Texas have been charged with mortgage fraud and identity theft. Hope to get all these dirtbags out of the business and they need to receive the justice they deserve. Thanks for the blog.
Jason
Thanks, Jason. You're welcome! I think we've just scratched the surface. Look for many more over the next couple of years.
Paul
I know Countrywide is under congressional investigation right now for making loans that were risky and not in the best interest of clients they had....
OUCH!!
Alexander: That is true. In fact the governor of our state of Washington just fined Countrywide over $1 million dollars and wants to issue a cease and desist order. The only thing that may save Countrywide is the fact they're scheduled to merge with BofA any day now. Take care.
Paul