JSSkinz Posted September 1, 2018 Share Posted September 1, 2018 14 hours ago, Destino said: Brokers had to use a version of those as well Its called Calyx Point and its a 3rd party software that's been around for 20+ years and is exclusively used by the broker community but it doesn't do what I explained in my earlier post, same concept but not near as powerful and it didn't have the accountability tied in to make sure if a 2 yr adj arm was sold and the client qualifies for a 30 year fixed that the client should only be offered the 30 year fixed program. 14 hours ago, Destino said: There was garbage everywhere. Countrywide comes immediately that mind. 90% of what you heard in the media about Countrywide was bull****, Countrywide used "Clues" which was a software that did just as I explained. You could not give an inferior loan to someone who received an uplift message without getting the DVP to sign off and that was never happening. It did not happen unless fraud was committed. Countrywide's problem was they bought too many loans from the wholesalers I mentioned earlier and they either didn't audit them correctly or the paper was fraudulently rated (its now common knowledge this was happening at that time). 30% of all branch files were audited on a monthly basis and once again you could not give an inferior loan to someone, the only way that could happen is if fraud was committed by the AE, BM, RVP, and DVP. 14 hours ago, Destino said: Whatever bank you worked for approved those loans though right? No, they were approved and funded by private banks, I listed a few names for you but there were about 10 or so major players at that time. Those private banks funded loans with their own money(or warehouse line)and packaged the loans up and sold them to whoever would buy them. Now Countrywide did fund many loans on their wholesale side which is their direct broker channel and they did a poor job of dealing with the fraud that was taking place. The reality is they were dealing with so many brokers and they didn't hold them to the same standards as the loans that they were funding in-house by actual Countrywide employees. Now Mozilo was a dirtbag no doubt and so were many of the executives who were at the very top of the Countrywide hierarchy, they poorly managed the way they purchased paper and it bit them in the ass. I always argue with people over corporate america because Countrywide is a great example of how a few at the top made an entire organization look crooked and it just wasn't true, there were 1000's of great people who worked there and took the fall for the poor decisions made at the top and the lack of policing in their broker channels. Link to comment Share on other sites More sharing options...
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