Hey Moe, or any of you other wizards out there, please be so kind as to explain to me how:

A lender can create what has been called
“the most toxic loan product ever created”, knowingly recruit and train unscrupulous loan officers and brokers to aggressively market this monster to people for whom it was never intended (and why doesn’t anyone ever say anything about the fact that in most cases the borrowers didn’t come to the lender asking for a loan, the LENDER CAME AFTER THE BORROWER, begging THEM to take out another, usually unnecessary loan? and weren’t the majority of these loans refinances on existing properties, oftentimes with the same lender who did the previous refinance, which is why so many people thought that because they ALREADY HAD A RELATIONSHIP with the lender they could TRUST them?), shield themselves from the legal consequences of their actions (lawsuits by borrowers based on fraudulent loans) by using a large percentage of brokers to originate the majority of the toxic loans and then handsomely reward them financially not only for bringing them more of this garbage but also for an unspoken agreement to accept legal liability in the unlikely event that a lawsuit is filed (weasel brokers don’t have nowhere near as much to lose as lender, who must protect their profits and reputation at all costs), accept and process/underwrite or whatever you want to call it loan documents that were so obviously filled with fraud that any DECENT PERSON with COMMON SENSE, half a CONSCIENCE, PRIDE in themselves and their work and a shred of INTEGRITY could have seen it (EX: 85-year old recently widowed woman who NEVER worked, wife of man who worked 30 years for same fed. government employer, but according to loan app. she is suddenly receiving $2,500.00 per month SSI, $2,500.00 per month retirement benefits from the post office, and $2,500.00 for foster care. Can any of you geniuses see the glaring contradictions in these figures? Well maybe not (all income figures the same, single person can’t get that much SSI, SSI is need-based, so you can’t get it and have income from any other source, she NEVER WORKED, so how could she get retirement benefits, she was elderly and disabled, so how could she be paid for doing foster care, husband had worked for the feds, so where was the income from his pension check, etc?) because some greedy idiots sure felt like they didn’t have to exercise due diligence (on top of the other stuff, included with the loan docs were two Letters Of Intent claiming that the reason the cash out was needed was to pay for home improvements and to pay for a grandchild’s college tuition, but the letters were
“signed” by the borrower’s deceased husband over a year after his death! The borrower had never seen these letters and when they were brought to her attention during a legal proceeding it was verified that they were obvious forgeries. On the PMB’s request for payment statement submitted to the lender the broker stated that the borrower was requesting the loan but her deceased husband’s name was still on the deed, and on and on) and protect this poor homeowner by refusing to approve this loan app.How could the so-called “professionals” in the lender’s highly touted underwriting department push this mess through the system so that it ended up being approved nd funded in a matter of weeks?

This borrower’s actual verifiable is only about $1,500.00 per month and of course the lender has foreclosed on her and she is in danger of losing her home. But before you go sprouting off with your self-righteous BS trying to blame her or accuse her of using her home “like an ATM”, first answer consider and then truthfully answer the questions I have asked at the beginning of my post.

I need to know, please somebody help me understand how, in spite of all of the above and so much more, a lender can still have the NERVE to claim that they are not in any way, form shape or fashion responsible for the misery they have put millions of people through. They continue to blame everybody else except themselves.
Its the borrowers fault for using their home like an ATM. Its the broker’s fault for being so greedy that commiting fraud for fees was more important than their fiduciary duty to their clients. A lender doesn’t have to exercise due diligence on behalf of the borrower, so its okay for their underwriting department to turn a blind eye to obvious fraud so they can go ahead and fund loans for immediate gain and long-term pain. Yes, everyone else is guilty, but not the poor innocent lender.

Thank you, and seriously looking forward to your answer.

I am both a licensed mortgage broker and licensed private investigator in Indiana. I have emailed my CV to you, and would be interested in discussing ways to address mortgage fraud issues.

Brian Kertin

Both Myself (Ex -Sr. Staff Review Appraiser at WAMU with 9 years experience in Mortgae, Loan and Portfolio Reviews and Due Diligence)and My wife – (Ex SVP at Bank One – Training Respa, HMDA, Processing, Underwriting, etc with 21 Years in the industry) – Believe that you either “part of the solution or part of the problem” and love what you are doing and absolutely would love to be part of it.

We both happen to be looking for jobs due to the meltdown.

We are in Indiana.

I have been in the mortgage industry for over 10 years. I have exposed several fraud attempts. I have even exposed an underwriter attempting to commit fraud. People that I have worked with in the past have always brought suspicious or questionable documentation for my examination to determine if fraud was being committed. I have even dectected when an underwriter was frauding documentation.

If you are interested in working with me, I would like to further explore working with you.