Arab Today, arab today wells fargo accused of careless lending
Last Updated : GMT 01:58:56
Arab Today, arab today
Arab Today, arab today

Wells Fargo accused of careless lending

Arab Today, arab today

Arab Today, arab today Wells Fargo accused of careless lending

New York - UPI

Wells Fargo Bank cheated the U.S. government for 10 years by improperly writing mortgages, federal prosecutors alleged Wednesday. The mortgages were insured by the Federal Housing Administration, which had to cover the loans when the housing market collapsed in 2007 and 2008. The lawsuit filed by federal authorities in U.S. District Court in New York claims the FHA \"paid hundreds of millions of dollars in insurance claims on thousands of mortgages that defaulted,\" Preet Bharara, the U.S. attorney for the Southern District of New York, said in a statement. \"Yet another major bank has engaged in a longstanding and reckless trifecta of deficient training, deficient underwriting and deficient disclosure, all while relying on the convenient backstop of government insurance,\" Bharara said. Prosecutors also said Wells Fargo\'s bonus plan encouraged reckless mortgage lending as employees were rewarded based on the number of loans they put through the bank\'s system. The bonus system \"was an accelerant to a fire already burning,\" the federal office said, stating, \"quality [loans] repeatedly took a back seat to quantity.\" Beyond that, prosecutors said Well Fargo knew of the rising concern over mortgages, but failed to report on it to regulators until they were forced to do so with a subpoena. With the lawsuit, Wells Fargo joins a growing list of banks federal prosecutors are tagging with accusations that reckless mortgage writing contributed to the financial meltdown in 2008, which spurred the economic downturn.

arabstoday
arabstoday

Name *

E-mail *

Comment Title*

Comment *

: Characters Left

Mandatory *

Terms of use

Publishing Terms: Not to offend the author, or to persons or sanctities or attacking religions or divine self. And stay away from sectarian and racial incitement and insults.

I agree with the Terms of Use

Security Code*

Arab Today, arab today wells fargo accused of careless lending Arab Today, arab today wells fargo accused of careless lending

 



Arab Today, arab today

Name *

E-mail *

Comment Title*

Comment *

: Characters Left

Mandatory *

Terms of use

Publishing Terms: Not to offend the author, or to persons or sanctities or attacking religions or divine self. And stay away from sectarian and racial incitement and insults.

I agree with the Terms of Use

Security Code*

Arab Today, arab today wells fargo accused of careless lending Arab Today, arab today wells fargo accused of careless lending

 



Arab Today, arab today France defies terrorism through tourism

GMT 15:18 2017 Saturday ,20 May

France defies terrorism through tourism
Arab Today, arab today How to do your own Ramadan corner?

GMT 15:53 2017 Saturday ,27 May

How to do your own Ramadan corner?
View News in Arabic - Business: مصارف
Arab Today, arab today
Arab Today, arab today
Arab Today, arab today
Arab Today, arab today
 
 Arab Today Facebook,arab today facebook  Arab Today Twitter,arab today twitter Arab Today Rss,arab today rss  Arab Today Youtube,arab today youtube  Arab Today Youtube,arab today youtube
arabstoday arabstoday arabstoday arabstoday
arabstoday arabstoday arabstoday
arabstoday
بناية النخيل - رأس النبع _ خلف السفارة الفرنسية _بيروت - لبنان
arabstoday, Arabstoday, Arabstoday