Has anybody seen this yet?
I hope my sale goes through!!!!!!!
It’s swelling like that pressure in the pipe that Augustus Glut(I think) got stuck in, in Charlie and The Chocolate factory…..I am not real funny am I….oh well here it is……
NEW YORK – New Century Financial Corp., a struggling mortgage lender to people with poor credit histories, said Tuesday it can no longer sell mortgage loans to Fannie Mae or act as the mortgage financier’s primary servicer of mortgage loans.
In a filing with the Securities and Exchange Commission, New Century said Fannie Mae terminated “for cause” a mortgage selling and servicing contract with its New Century Mortgage Corp., citing alleged breaches of that contract and others. New Century said it received notice on March 14.
AdvertisementFannie Mae was not immediately available for comment.
Separately, Irvine, California-based New Century said California issued an order barring it from taking loan applications, and that it entered similar consent agreements with Florida and Washington state regulators. At least 13 states have required it to halt lending.
New Century also said New York’s banking department suspended the banking license of its Home123 Corp. affiliate for up to 30 days. It has not decided whether to appeal.
New Century was the largest independent U.S. subprime lender before it stopped making home loans this month. Many analysts have said it is on the brink of bankruptcy.
More than two dozen subprime lenders have quit the industry in the last year. Many were hurt by rising delinquencies and defaults, or lax underwriting standards.
Shares of New Century fell 33 cents to $1.84 in afternoon trading on the Pink Sheets.
(Additional reporting by Patrick Rucker in Washington, D.C.)
Fannie Mae never should have been buying this crap in the first place. If Fannie Mae hadn’t been buying these subprime and Alt-A loans on the back end, no way this bubble would have reached the proportions it did. Now, when this bubble explodes, American taxpayers will get to clean it up (Fannie Mae is propped up by the government).
I’m glad I was able to finance (second-hand, through my taxes) so may idiots into homes while at the same time I couldn’t finance myself into a home because of this *#!*%#* government-sponsored bubble!
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