subprime mortgages news stories on Newser

Subprime's New Frontier: Auto Loans

Kevin Spak — Wed, 11 Apr 2012 07:44:41 CDT

That whole "subprime crisis" hasn't scared banks away from the lucrative world of subprime lending. The nation's top subprime lenders—like Capital One, GM Financial, HSBC, and JPMorgan Chase—are all trying to woo back less-creditworthy borrowers, who tend to rack up late fees while paying rates as high as...

Feds to Charge Crooked Bond Traders

Rob Quinn — Wed, 01 Feb 2012 04:00:00 CST

Looks like it's payback week: Federal prosecutors are planning to file fraud charges against four former Credit Suisse traders accused of overstating the value of mortgage securities in order to boost their bonuses, the Wall Street Journal reports. The alleged fraud happened in early 2008 as problems with complex mortgage...

This Woman's Job: to Make You Like BofA

Neal Colgrass — Sun, 15 Jan 2012 15:43:52 CST

Anne Finucane has one of the hardest jobs in the country: to make us like Bank of America. The high-powered image-maker juggles politicians, interest groups, and her own boss—BofA President Brian Moynihan—in an ongoing effort to resuscitate the bank's flailing reputation and lowly stock price since the 2008...

Ex-Banker: Yeah, Collapse Was Our Fault

Kevin Spak — Thu, 01 Dec 2011 10:08:36 CST

If you were trying to get a loan in southern Florida in 2007, bankers like James Theckston were there to help. "If you had some old bag lady walking down the street and she had a decent credit score, she got a loan," Chase's then-regional VP of Home Finance tells...

Perry Gave Huge Tax Grants to Subprime Lenders

Matt Cantor — Mon, 03 Oct 2011 10:03:26 CDT

Rick Perry handed mortgage lenders millions to draw them to Texas—right when their risky lending practices surged. The governor gave Countrywide $20 million and Washington Mutual $15 million in what he called an exemplary job-creation move; in effect, that $35 million subsidized dangerous subprime lending, an AP analysis of...

Feds Sue Big Banks Over Mortgages

Mark Russell — Fri, 02 Sep 2011 16:18:31 CDT

The Federal Housing Finance Agency—the agency behind Fannie Mae and Freddy Mac—has filed suit against more than a dozen big banks for their role in the mortgage meltdown mess. The feds, seeking billions in compensation, accuse the banks of misrepresenting the quality of mortgage securities, reports the New...

Fed Hits Wells Fargo With Record $85M Fine

Rob Quinn — Thu, 21 Jul 2011 03:31:50 CDT

Wells Fargo has agreed to cough up $85 million to settle allegations that it steered borrowers with good credit towards expensive subprime mortgages and falsified information on borrowers' income on loan documents. The Federal Reserve says the fine, the first levied in relation to the predatory big-bank practices blamed for...

Goldman Preps Counterattack on Senate Report

Matt Cantor — Mon, 06 Jun 2011 09:25:05 CDT

Goldman Sachs is ready to take a stand against a Senate subcommittee report that slammed the firm for allegedly misleading clients . Goldman will argue that the report exaggerates the firm’s 2007 bets against the housing market; it may release documents that support its belief that the subcommittee’s investigation wasn’t thorough...

SEC Poised to Charge Fannie, Freddie Execs

Evann Gastaldo — Fri, 18 Mar 2011 08:30:06 CDT

The SEC is making moves toward charging current and former Fannie Mae and Freddie Mac executives, sources tell the Washington Post , but the Federal Housing Finance Agency disagrees with the move. The SEC has sent notices to at least four senior executives over the past eight weeks warning them they...