This entry was posted on Monday, September 29th, 2008 at 4:26 pm and is filed under Mortgage Update. You can follow any responses to this entry through the RSS 2.0 feed. You can skip to the end and leave a response. Pinging is currently not allowed.
TODAY…WAS IT ABSOLUTELY CRAZY OR WHAT!
With everything that went on today regarding the failure of the “buyout”, Wall Street and the historic hit that it took, the takeover of Wachovia National Bank by Citi Group, as well as all the other news, it’s nice to know that there are some stable factors in the banking industry in all of this. One of them is Wells Fargo, the banking source for Prudential Florida Realty, our company.
Why Wells Fargo? There are many reasons, not the least of which is their approach to credit risk. Their business practices are sound and they prudently manage credit risk on home mortgages and equity loans with solid underwriting, something that many banks have failed to do.
Because of this prudent risk management, they are not facing many of the issues that other lending institutions currently are. They never have made a habit of purchasing nor servicing negative amortizing loans or option adjustable-rate mortgages. Because of that decision, they are sitting solidly, while others are failing.
Not one, at this time or place wants to knock the competition because it’s like kicking someone when they are down, but it sure is nice to be affiliated with an institution that made tough decisions in the interest of their clients!
Leave a Reply