Until recently I was an underwriter for a sub-prime mortgage company that is about to close. It seems that most media outlets and government officials fain ignorance about the real underlying cause of the problem. There is either a tendency to blame the borrower or act as though no one in the industry {or outside of it} saw this coming. They fail to mention that those who gained the most financially got off scot free while leaving the mess behind for everyone else to clean up. In my former company, the sales managers and loan officers "held the keys to the safe" while deciding which guidelines to ignore sometimes going so far as to bribe fellow underwriters to "look the other way". Sales managers often overrode an underwriter's decision they did not agree with. Other times fellow underwriters would be threatened with their job for "impeding company growth and progress" just because they refused to go along with the flagrant disregard of guidelines . I complained to the sales managers about the bribing but all I got was a formal write-up for making "inappropriate comments".


There was absolutely no support from the owner of the company all the way to the human resource representative. This company is as corrupt as they come. I can't tell you the number of sexual affairs that occurred between married and unmarried people; primarily among the management staff {at the workplace itself}. Promotions were strictly political thus moving people "up the ladder" who never proved themselves worthy or were on a final written warning to be terminated {for poor performance}. As a result of the corrupt management of this company, I and several hundred others were laid off. I believe the federal government needs to investigate this company and bring to trial those corrupt individuals who broke the law. This would set an example for the rest of the mortgage industry that absolute corruption corrupts absolutely.

Joe

You and I know that people in the business can either do the right thing or not. Its a choice that is made on a regular basis. Of course its political wrangling and its who you know and all that. People make choices all the time and not every choice made is the right one. Its the whats in it for me routine that rules business. What can you do about it? not much except roll with the punches and learn from it. As for bringing in the federal govt to investigate goings on in a single company? Do you have evidence that they broke any federal laws pertaining to underwriting loans? As for the screwing around, that has no bearing on anything in reality does it? People want to engage in immoral behaviour in the office and out of it, then thats thier choice.

Have evidence of corruption and such? Then take it to the state attorny generals office and see what they have to say about it. Your first step is there, not the federal govt as you'll get nowhere on your own.

good points