Mortgage Brokers Unfairly Targeted.. Victims Of Political Foul Play?
If you are an adult and you have been living in this country for the past year or two, you know about the "mortgage melt down" that occurred. The thing that really bothers me is the talking heads pointed their fingers at the mortgage brokers when in reality, it is Washington and the big banks who were responsible. Mortgage brokers are unfairly targeted again.
That part is water under the bridge and the average US Citizen will never know the truth. Part 2 to the big cover up is that the large banks (Wells Fargo, Citi, Bank Of America, Chase, etc) not only received money from the tax payers to bail them out, but they also (along with the Fed) crafted messages to the general public that put the blame on the mortgage brokers. They painted them as being evil and the reason for the bad loans and economic slow down. Again...mortgage brokers are unfairly targeted.
What happened next? The government forced loan officers who work for a mortgage broker to get tested. That entire process costs about $1000 per loan officer. Guess what? if you are a loan officer who works for one of the big banks, you are exempt. Makes sense right? Someone can be a bank teller today and be moved to the mortgage desk tomorrow and originate loans without any training or testing. Many broker loan officers simply got out of the business because this was all too much for them to deal with. Many small brokers are now out of business. Political contributions by the big banks paying off big time.
How will this impact the mortgage consumer? If the Fed and the large banks get what they want, there will be no brokers and no competition. Consumers will be paying a premium. Take a look at the attached video and let me know what you think.