Fannie Mae To Face Tough Times
Despite being promised and misguided by the government, Daniel Mudd (CEO) announced amidst a dividend cut that everything was ok. Reuters quotes:
Fannie Mae is “being conservative, keeping dry powder (in capital), preparing for a pretty long winter, a long 2008 and then some recovery” in 2009, said Mudd, who was interviewed in New York.
The Washington-based, government-sponsored enterprise has also raised fees for guaranteeing mortgages to compensate for the increased uncertainty in the housing market, where defaults are rising across all types of loans, Mudd added.
Conservative can generally be interpreted as meaning losses to no profits…might as well read what a money merge account is while learning such useful terms…
Transland Sees Case Dismissed
Yet another lender has escaped unscathed from the interfering grasp of the Federal government. TheTruthAboutMortgage is reporting:
A federal judge dismissed Florida mortgage lender TransLand Financial’s bankruptcy case Wednesday after the company agreed to settle debts with several creditors.
In August, Maitland-based TransLand Financial had been forced into involuntary bankruptcy after Federal Trust Bank, Tier One Bank and MidCountry Bank accused the lender of failing to remit loan payoffs worth $22 million.
On November 27, TierOne Bank and MidCounty Bank asked Judge Arthur B. Briskman of the U.S. Bankruptcy Court in Orlando to dismiss the involuntary bankruptcy case against TransLand.
“Since day one, TransLand wanted this involuntary bankruptcy case dismissed. We’re glad it finally came to pass,” said bankruptcy attorney Roy S. Kobert of Orlando law firm Broad and Cassel.
The company had been accused of a “lapping scheme,” in which the lender used payoff money to make new loans and pay expenses instead of turning over the funds to the banks.
It seems the government can’t do anything right. With so many lenders having acted illegally over the past few years, it’s unbelievable that they can’t nail even one for breaking the law.
Some consider money merge accounts a means of cutting the amount of time spent with a lender.