Jamie Dimon – You Really Suck!

by Snets ~ June 14th, 2011. Filed under: Blog.

The aforementioned Mr. Dimon – head honcho at Chase, came out in a public meeting with Bernanke and said – we’ve gotten rid of most brokers – mission accomplished.  Does this scare you too?  A large corporation doesn’t like the fact that there is a section of the mortgage business that they don’t control, so what do you do?  Well get rid of them any low down underhanded way you can.

As head of one of the big banks he has a bully pulpit that my industry can’t defend against.  Bernanke doesn’t call in our trade associations to these meetings – so they get to say whatever garbage they want.  In the meantime this spew becomes part of the public consumption.

Chase – STILL has sub-prime loans offered on their website – Their rate today – right off their website for a 30 year fixed rate loan was 4.5% plus 1.25 points – now first of all, for the very same product we are 4.5% with 0 points plus we will process the same file, probably twice as fast, plus you can call me anytime you want with questions (try getting any bank LO on the phone, let alone a processor etc.)

Yeah we’re the bad guys – it’s not as simple as this but on a $300,000 loan – they will make an extra $3,750 gross profit on the deal PLUS they will get a service release premium that we won’t get – yeah I can see why they don’t want us around.

I don’t want Chase out of the mortgage business – brokers need these banks.  What I want them to do is tell the truth, get their facts straight and play fair.

Do you know why we have to order appraisals through 3rd party sources now.  It’s because the Attorney General of NY (Andrew Cuomo at the time) sued Fannie because of all of the appraisal fraud perpetrated by Washington Mutual (a huge bank at the time) .  They went so far as to “blacklist vivaxa” appraisal companies for not playing along.  The AMC or Appraisal Management Companies have  been one of the largest single reasons for the eroding of our property values. 

I mean by definition, we are the intermediaries – think about it – you buy an Impala and the AC breaks – do you fire the salesman?  He sold the product he was given.  We as brokers didn’t make these toxic programs, we were just given them to sell.  We didn’t underwrite or approve the loans – we submitted them for approval to the banks.

We had Chase, WaMU, BofA, every week in our offices begging us to allow them to train loan officers to sell sub prime loans or option arms.  Bayside Mortgage NEVER did an option arm (pick a pay) and we may have done 5 subprime loans in 20 years.  99% of what we did was standard Fannie 30/15 year fixed rate loans – yeah and we’re the bad guys. 

Were there some bad guys out there in our biz – of course there were but there was just as many in the banks.  I had an equity loan on one of my rental properties – the Loan Officer changed the loan all around to “make it work” I didn’t even see the changed application until closing – I refused to sign it unless it was returned to the way I submitted it – they got really pissed off about it – but then they closed it anyway.  They were under tremendous pressure to make their goals so their bosses could get their new BMW’s – the bank – Wachovia (now Wells).

We are fighting for our lives because of this crap – if you as consumer’s don’t see the value of a free marketplace – if you want the recipients of 125 BILLION dollars in bail out money (mostly unregulated) to control your future with no competition – well I have no answer for that.

In any case, review our rates against these banks and then give us a call.  Can’t hurt!

 

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