August 31, 2007

Countrywide Mortgage's Orange Mozilo says he did no marketing to potential homebuyers. "They came to us". Sorry, Angelo. Incorrect. Liar.

Here's the Orange One, to Maria Bartiromo in a follow-up interview to the softball piece she did the other day:

Maria Softball:
Did you tailor your business accordingly as this (housing bubble) was happening?

Orange One's Response:
Remember, we didn't reach out to home buyers. They came to us.

Well, that's an interesting thing for the CEO of a publicly traded company to say. You'd have thought he'd have met his own marketing director one day, or approved his massive advertising budget. Guess that slipped his mind.

Folks, Countrywide spent $260,000,000 in 2006 on advertising and promotions (page 179 annual report, and for fun spent $35 million last month on internet ads alone!

"We didn't go to them! They came to us" - come on Angelo, how stupid do you think we are? Too bad Maria isn't a better reporter - she should have called you a bald-faced liar right then and there. Or were you flying her somewhere after the interview?

Boy, the Orange One is gonna have a real tough time in front of Congress answering questions without taking the fifth. Answering a reporter's softballs is one thing - answering under subpoena is another.

Yes, I'm short CFC. What a stinking pile of manure, led by a snake oil salesman who's gonna have some serious trouble staying out of jail. The mug shot will be a hoot though.

22 comments:

foreclosureboy said...

NOW HIRING: Large mortgage company executive seeks body double for 'permanent assignment'. Orange applicants only need apply.

GreedKills said...

Id be interested in seeing how they "tailored" the loans and loan standards as it progressed. The last ones written that are going to reset in a couple years are gonna be the ugly ones.

Anonymous said...

http://abcnews.go.com/Nightline/Story?id=3030705&page=3

Casey Serin under investigation by FBI. Charges expected.

bitter said...

The selfish Libertarians and Ron Paul supporters want to bailout for Mozillo. Vote for Hillary. She is opposed to any bailout.

Mr. Flibble said...

WTF?!?

Countrywide pesters me every damn month to switch from a sweet fixed-rate to a toxic ARM. They just don't quit, no matter how many times you tell them "no" and "don't call back".

Anonymous said...

That's the most ridiculous thing I've ever heard. Up until just a few weeks ago I've been receiving Countrywide refi letters at least once a week. No, sorry, I am not interested in refinancing to a 40-year loan!

David said...

You rock Keith!

:-)

Keep up the fight against the REIC

David
Bubble Meter Blog

Anonymous said...

bitter said...

The selfish Libertarians and Ron Paul supporters want to bailout for Mozillo. Vote for Hillary. She is opposed to any bailout.

August 31, 2007 12:14 PM
___________________________________


HILLARY WAS THE ONE WHO PROPOSED BAILOUT FIRST YOU IDIOT.

http://tinyurl.com/2oxeas

Anonymous said...

One question - didn't these subprime borrowers have PMI? Why aren't we hearing about the insurance companies getting hammered by defaults?

Anonymous said...

So, Maria, does the orange come off when you suck it?

mrmx said...

it's probably true. first you give free dope away and then, once "your clients are hooked," take them to the cleaners. that's what subprime is about to me.

coffee is for closers still solvent said...

Interesting, because in Maryland, Countrywide's loan officers would visit real estate agency's and leave their cards, flyers etc, and urge the agents to send theirclients to Countrywide. Nope, Countrywide didn't reach out to anybody...

Happy Homedebtor said...

If you do an 80/20, 80/10/10, etc, there is no PMI. So, the insurance companies don't care.

Anonymous said...

Hmm...

I think Mozillio originated the bathroom stall code at the airports...

Tangelo Mozilo said...

One question - didn't these subprime borrowers have PMI? Why aren't we hearing about the insurance companies getting hammered by defaults?

------------------------------

Aha! Great question! It is, I think, due to the 80-20 mortgages, where you get your 20% down from a separate (I think recourse)loan. So even though you are financing 100% of your purchase, you avoid the PMI because your actual mortgage accounts for only 80% of the financing.

This is one of the ways that banks like to "make it happen" -- a very creative method of shoehorning people into mortgages that they really should not have.

Now, I agree that it is odd that there hasn't been ANY news of insurance companies getting hammered by PMI claims. Perhaps 80-20 loans were so prevalent that they made PMI a thing of the past (at least for a little while). Or maybe insurance companies are not as retarded as banks are in their ability to assess risk, and therefore refused to offer PMI on rotten loans, or were not willing to charge a risk premium as low as as the banks were.

smitty said...

"One question - didn't these subprime borrowers have PMI?"

maybe that's why the industry likes 100% loans! I understand that such arrangements got around PMI...

so, class: "who wins with creative financing?"

Salt Lake Mortgage Guy said...

Countrywide is a horrible lender. They took too long with subordinations for their seconds, sometimes costing borrowers their rate locks.

Everytime a payoff was requested, they would contact the borrower directly to try and offer a better deal than the new lender they were trying to work with.

Worst of all, they bought so many mortgages to service, even if a homeowner got their loan through someone else, there was a high probability their mortgage check would be made out to Countrywide.

I'm not buying it either. Countrywide disgusts me and I have never originated a loan through them.

Anonymous said...

Maria needs a good hard, stiff one for about an hour.

Shakster said...

Looks like he saw a GHOST!Wher'd the orange glow go Mozero?

Anonymous said...

"So Maria...Does the orange come off when you suck it"??---

POST OF THE DAY!! Bravo!! I needed that after a long hard day in Subprime Land....

s said...

What's wrong with his eye?

Anonymous said...

I watched Maria interview orangy-missed him saying "we didn't reach out to borrowers-they came to us-boy what a lie-I had numerous unsolicited phone calls from countrywide people-in-unknown-positions asking me to refinance, and as recently as july 2007-i had to tell them their company was in big trouble-they all went-"duh?" Finally I screamed-do not call me again-I have no mortgage, do not want a mortgage and would not qualify for a mortgage as I am not employed - go away.