Do you know where I can find a list of banks that were not involved in subprime lending fiascos? Thanks
2007-11-05 09:46:41 · 4 answers · asked by walkathisway 2 in Business & Finance ➔ Renting & Real Estate
The answer you are looking for would be hard to come by. Most all the banks and lending institutions have most of the same mortgage programs, other wise they would not be able to compete with other banks and would suffer.
I don't think you will be able to find a list of banks that did not some how find themselves involved in subprime lending. Some did,but more so than others.
Most of your large mortgage bankers that had sub-prime as their primary business are no longer around. I can name a few B&C mortgage, New Century Mortgage, American Home.
You might not have heard of these companies, but they were a few of the giants in the sub-prime lending.
Even though some banks did not have sub-prime as their #1 product most did do some as a matter of being able to stay competitive in the mortgage industry.
Some banks might not have orginated sub-prime loans, but might have purchased sub-prime mortgages from brokers or added them to their portifillo from other sources.
The mortgage industry is a strange animal.
70-75% of mortgage originations come from mortgage brokers not individual banks. Now since these mortgage brokers/bankers don't have any money to fund these loans, they gather the information necessary to have a lender fund the loans for their clients.
Now even after the lender/bank fund the loan, in all most all the cases the bank or lender will sell this loan to one of the two big mortgage purchasers.
Why are you interested in banks that were not involved in sub-prime lending and can withstand the pressures of foreclosures.
You will have to look at the strength of each bank, the reserves they have and any outstanding debt they might have.
I hope this has been of some use to you, good luck.
"FIGHT ON"
2007-11-05 10:17:23 · answer #1 · answered by loanmasterone 7 · 1⤊ 0⤋
There are a number of regional or local smaller banks that do mortgage lending and do NOT do subprime loans (my bank being one). However, I don't know of any database for them. I would check the smaller banks or S&Ls in your area.
2007-11-05 10:32:50 · answer #2 · answered by Anonymous · 0⤊ 0⤋
State Farm Bank didn't do any subprime lending. I know because I processed their mortgages.
And I would repeat, why are you asking, or what is the real question?
2007-11-05 10:15:00 · answer #3 · answered by Debdeb 7 · 1⤊ 0⤋
Synovis did very few 'El Stupid" sub-prime mortgages and is in great shape.
2007-11-06 07:47:40 · answer #4 · answered by Terry S 5 · 0⤊ 0⤋