My colleague Mary Ann Milbourn writes that Ditech.com is losing more than 200 jobs. (Her blog tracks job losses and gains in Orange County.)
Jeannine Bruin, a GMAC mortgage spokeswoman, said most of the workers affected are sales agents and back office personnel who support the Ditech brand.
Ditech will remain part of GMAC’s mortgage business, Bruin [...]
Future in doubt for O.C. lender is a post from: Mortgage Insider
I missed this yesterday from Bank of America:
Bank of America announced that it is the first mortgage servicer to sign an agreement formally committing to participation in the pending second-lien component of the federal government’s Home Affordable Modification Program (HAMP). The formal action follows a verbal commitment to the program made by Bank of America’s [...]
Citigroup Inc., which is 27 percent owned by the Treasury Department, ended a three-quarter profit streak with a $7.6 billion loss on costs to begin exiting the government’s bailout program, reports Bloomberg.
Chief Executive Officer Vikram Pandit had to book an $8 billion pretax charge when he repaid $20 billion of bailout funds in December to [...]
Anthony Hsieh, who previously founded and sold LoansDirect.com to E*Trade and HomeLoanCenter.com to LendingTree, is at it again, National Mortgage News reported recently.
His latest venture is LoanDepot.com in Irvine, naturally. NMN reports:
The backers for loanDepot include San Francisco-based private equity company Parthenon Capital Partners. Mr. Hsieh has ambitious plans for the company, projecting the creation [...]
Warren Buffett is in talks to buy Residential Capital — which controls Costa Mesa-based Ditech.com — from GMAC, the New York Post reported just before the holidays.
National Mortgage News ran a more recent story on ResCap, saying the Buffett deal is a likely scenario for the troubled company, which is the fifth largest loan servicer [...]
The Huffington Post recently published a colorful look into how loan underwriting worked, or didn’t work, at Long Beach Mortgage — the subprime operation Washington Mutual bought after Roland Arnall sold his stake in a public offering.
The story profiles what life was like at Long Beach for Diane Kosch. She sat “elbow to elbow” with [...]
The Associated Press reports:
Citigroup Inc. will suspend foreclosures and evictions for 30 days in a temporary break for about 4,000 borrowers during the holiday season.
The New York-based bank said Thursday the suspension will run from Friday through Jan. 17. It applies only to borrowers whose loans are owned by Citi. Borrowers who make payments to [...]
Bloomberg reports:
The Federal Deposit Insurance Corp. barred the former controller of New Century Financial Corp., once the third-largest subprime lender, from working as a contractor for the agency after he was sued for alleged securities fraud, a person familiar with the matter said.
David Kenneally worked until this week at Mir Mitchell & Co., an Irving, [...]
While fortunes were won during the credit boom, reports of violence are now surfacing as California continues to struggle with the credit bust and fortunes lost.
The latest is a story that police arrested three men Tuesday night on suspicion of breaking into the Newport Coast mansion of former subprime highflyer Daniel Sadek. He founded and [...]
(Update II: Quotes added from defendants attorneys.)
The Securities and Exchange Commission today charged three former executives of failed Irvine-based subprime lender New Century Financial with fraud for allegedly misleading investors as the business was “collapsing” in 2006.
Robert Khuzami, the agency’s director of enforcement, said, “New Century shareholders took a double-hit: The company’s mortgage assets and [...]
