Tag:
Subprime Loans
Latest Headlines
Latest Headlines
SEC charges top Fannie Mae, Freddie Mac execs
Many have bemoaned the fact that law enforcement authorities have charged relatively few executives of firms that helped usher in the financial crisis and recession. Will charges against six top executives of Fannie Mae and Freddie Mac--including former CEOs of both--lessen the frustration?
Th
Goldman Sachs wants to sell Litton
Goldman Sachs ( NYSE: GS ) reportedly wants to sell its Litton Loan Servicing unit--to which we respond, it's about time. We've suggested before that buyer's remorse had long since set in. The company has little to gain from owning a firm that has carried heightened reputational risks for we
Just how vulnerable are banks in foreclosure crisis?
When it comes to Bank of America (NYSE: BAC ), a stark difference of opinion has emerged about the ultimate costs of the foreclosure mess. Branch Hill Capital, a hedge that is now shorting the bank, has suggested the nation's biggest consumer bank could be facing more than $70 billion in lo
Study: Subprime loans hit minorities hardest
Lower income minority neighborhoods have long been targets of predatory financial services that charge souped-up, near usurious interest rates, such as pawn shops, payday lenders and check cashing services. iIt all sounds like the redlining debate of yore. People have long assumed that subprime mo
WaMu executives knew about fraud
Looks like it's Washington Mutual's ( WaMu news) turn in the hot seat. Ahead of scheduled hearings, the press was abuzz with the leaked news that top executives at the disgraced bank--which became the largest bank failure in history--knew about rampant fraud in the banks' home lending arena, an
More mortgage, card losses at JPMorgan
JPMorgan ( JPM ) is wise in taking a cautious approach to upcoming losses. Losses on home equity, prime and subprime loans are all forecast to rise. The loss ratio in the Chase credit card business could near 11 percent by the first quarter of 2010. The card business it got from Washington Mutua
QSPEs at issue
Recall that, in June FASB ruled that banks have to take all the off-balance sheet assets they hold in qualified special purpose entities (QSPEs) and put them back on their balance sheets. That has led to some big charges at companies such as State Street.
TheStreet.com notes there could a
Damning emails sent by Mozilo?
Once again, the case against Countrywide CEO and two other executives comes down to email. TheStreet.com offers some choice excerpts .
Here's one to executive David Sambol about Countrywide's 80/20 subprime loans: "In all my years in the business I have never seen a more toxic prduct [s
Financed by UBS, BlackRock purchases UBS portfolio
Private equity firms and hedge funds are making some massive bets on distressed debts. The terms have been pretty good of late, though the leveraged loan market has rallied. The latest news, as noted by the Financial Times , is that UBS has closed on a deal to sell a portfolio of primarily Alt
Subprime delinquencies still rising
Don't think it's almost over. Delinquencies for subprimes extended in 2005 to 2007 are still rising, according to Standard & Poor's. For 2005 and 2006, the increases have been boosted to the 35 percent level. For subprimes issued in 2007, the increase has been higher, to about 25 percent. You
