Wachovia Rewards Risk

Have you read all the news? It seems Wachovia is giving incentives to their employees to sell "Risky Loans." According to the Associated Press Wachovia is "pushing" risky negative amortization loans. And in today's negative mortgage press, this really comes off as if Wachovia is out to screw people over.

The problem here is how the press is presenting the facts... or in this case, the lack of it. To set the record straight, I have written an article that tells you what the media would never take the time to tell you...

Incentives for Selling Risky Negative Amortization Loans

Take a moment and read the article. Feel free to comment on that article, and here if you like. I'd love to hear your thoughts.

FYI. I do NOT work for Wachovia. Just simply tired of half truths being sold as the complete truth to sell advertising by the "news" media.

Ed Nailor
The Ed Nailor Mortgage Team
Charlotte, NC

Charlotte Mortgage Lender

Call 704-651-8704 or visit www.EdNailor.com

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Rainer
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Sean Allen
International Financing Solutions - Fort Myers, FL
International Financing Solutions

I personally see nothing wrong with what they are doing. The program they are pushing came from World Savings which has done those types of loans for many years, long before everyone else joined on the bandwagon. The way they have the loans set up actually cuts down on the amount of negativity over the life of the loan AND they do NOT do these loans on High LTVs. Typically these loans are done at 70%LTV max or low. In some cases they may go to 80%LTV. This is NOTHING like the lenders who were doing these at 100% or 95% or 90% LTVs. These loans are also Portfolioed.....Sooo, if they thought for a moment that they would loose money on them from borrower defaults, I doubt they would be pushing them. They do not sell these loans off to investors but hold them as company investments.

Sean Allen

Jan 27, 2008 12:35 PM #1
Rainer
69,057
Charlotte Home Loans Your Charlotte Mortgage Lender
Charlotte, NC

Sean: I agree. That's why I wrote the article. I am tired of headlines dictating reality. Just funny how the news can take something that is solid if done correct, but easily twist it to seem shady.

Ed Nailor - Charlotte home loans

Jan 27, 2008 12:43 PM #2
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Eleanor Thorne
Equity Resources - Cary, NC
Equity Resources 919-649-5058

Perception is reality most of the time...

Jan 28, 2008 12:32 AM #3
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