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When the U.S. Government Training Wheels Come Off the Lending Industry, So Will the Gloves Sat 01/30/10 02:20:00 pm HOUSINGWIRE
WOHICA. Not a small town in Kansas. Instead a simple acronym for “watch out, here it comes…” For all lenders – small, medium or large – buybacks and rescissions are the haymaker punch aimed squarely at their 2010 financials. Last year was nothing compared to what we expect to see this year, as rescissions from the MI’s and the repurchases from the GSE’s will fuel their capital starved balance sheets. The days of governmental coddling of the lending community are over. The gloves are off, here it comes.
Lenders can’t dodge this fight. And they can’t win it. The best they can hope for is to duck the haymaker and remain standing at the end of the day. The only recourse, implementing a strong defense process platform is the key to success to make it through this crisis. We have found a number of best practices will drive a good process and enable survival.
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When the U.S. Government Training Wheels Come Off the Lending Industry, So Will the Gloves
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