T-minus ? until Countrywide goes under.. . .

NEW -> Contingent Buyer Assistance Program
I went to an open house with a mortgage expert helping the realtor. That was a first for me. The mortgage expert assured me that she has seen evidence that the secondary mortgage paper market is coming back. Alert the media.
 
NEW YORK, Sept 28 (Reuters) - U.S. mortgage giant Countrywide Financial Corp (CFC.N: Quote, Profile, Research), scrambling for sources of cash following this summer's broad credit crunch, says its savings bank unit is attracting more than $50 million of new deposits a day, the Wall Street Journal reported on Friday.

Countrywide has turned to bank deposits to fund its lending business after turmoil in credit markets stymied its ability to raise cash by selling debt and loans.

The largest U.S. mortgage lender plans to double the number of Countrywide Bank branches offering savings accounts to more than 200 over the next four to six months, the Journal reported, citing an interview with Countrywide President and Chief Operating Officer David Sambol. The branches offer above-average interest rates on certificates of deposit and money-market accounts, the Journal said.
 
Looks like Lehman did not have anything nice to say about CFC today. So the stock which has been hovering at $ 20.00 for a couple weeks is down its typical 5% or around a dollar so far today. Looking forward to the conference call on 10/21. That should be great listening. Eventually this company is going to be exposed to some huge write downs. The question is can it remain solvent. I think the long term answer to that question is. No.
 
That article makes a good point: For a lot of people CFC is the face of their mortgage bank because they retained the servicing rights, even if CFC no longer owns the loan. All they see is CFC ignoring their plight, and the media continuing their lazy coverage of the issue by picking a big name to at which to point their camera, and every group with an acronym and a need for relevance out there pointing fingers for a better 5-second soundbite. CFC doesn't have a chance of overcoming the PR waves crashing over them and eventually they are going to sink under all that water, no matter how much they try to readjust, modify, or resell these loans.
 
Is it just me or is it absolutely ridiculous to think that Countrywide is going to help underwater mortgage holders?
 
They ain't gonna really help anyone

http://www.sanluisobispo.com/breakingnews/story/162040.html

"Countrywide — which generally has sold its loans while handling bill collection for a fee — has a reputation for being inflexible....Countrywide suggested the couple consider a “short sale,” in which they sell their home for less than the loan balance and the lender would accept the proceeds to satisfy the debt."
 
Countrywide's lending dropped 44 percent in September compared to '06...

http://mortgage.freedomblogging.com/2007/10/11/countrywides-lending-drops-44-in-september/
 
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