Ocwen is largest subprime mortgage servicer

In 2010, Ocwen ranked fourth in subprime mortgage servicing, at $56 billion in volume. That was behind American Home Servicing ($78 billion), Bank of America/Countrywide ($82 billion) and Chase Home Finance ($90 billion). Ocwen claims its recent acquisition activity will catapult its volume to close to $100 billion per year. During the quarter, Ocwen acquired …

Wells Fargo paying record fine of $85 million over loan practices

By George Avalos Contra Costa Times Posted: 07/20/2011 08:21:45 PM PDT Updated: 07/20/2011 08:21:50 PM PDT Wells Fargo agreed to pay a record $85 million fine amid allegations that the bank steered customers into more costly loans and falsified information in mortgage applications. San Francisco-based Wells Fargo didn’t admit wrongdoing in its settlement with the …

Morgan Stanley settles lawsuit in Massachusetts

Saxon Mortgage parent company Morgan Stanley agreed to pay millions of dollars to the state of Massachusetts to end an investigation into its role in loaning billions to a company that gave mortgages to unqualified borrowers. The financial services firm, which funded subprime loans throughout the country, agreed to give Massachusetts a settlement of $102 …

How predatory lending became acceptable to everyone

In the United States, years before the so-called “subprime crisis”, various financial businesses existed to serve the needs of the middle class. Among those were Household International, Citifinancial, and Avco. Household International represented the Household Finance (HFC) and Beneficial Finance brands. As these companies were purchased or absorbed into parent companies, some were also charged …