Take a little mortgage business quiz. Match the allegation and the firm.
Allegation
1. Handed out copies of the movie Boiler Room as a training tape
2. Partnered to sell its “PayOption Arms” with a brokerage owned by a five-time felon, whose convictions included gun-related charges
3. Forbade loan officers to check borrower income on certain loans
4. Ran an “art department” in its Tampa office, where documents were altered
5. Settled allegations of institutionalized marketing deception that covered two million customers
6. Developed “FastQual,” a program designed to approve borrowers in twelve seconds
7. Incentivized brokers and loan officers through “yield spread premiums” and other compensation schemes to put borrowers into more expensive loans
8. Tapped two kegs of beer at weekly staff meetings
Institution
A. Citigroup
B. Countrywide
C. Ameriquest
D. IndyMac
E. Merit Financial
F. New Century
G. All of the above
From an excellent profile of the mortgage crisis at Columbia Journalism Review. The answers are in the first comment.
1C, 2B, 3D, 4C, 5A, 6F, 7G, 8E
And let us not forget these beauts, this wasn’t ALL Wallstreet:
http://www.csmonitor.com/2008/0917/p09s01-coop.html