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CFPB slaps loan officer with $85,000 fine

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Mortgage Professional America | 01 Jun 2016, 08:30 AM Agree 0
The former bank mortgage officer was allegedly involved in an illegal fee-shifting scheme
  • Keith | | 01 Jun 2016, 11:46 AM Agree 0
    What a moron. All that over escrow fees?
    This is a clear reflection on how "weak" most LOs are. Instead of selling the value of his service, he nickled and dimed his way to stupid ville.
    And why did Wells Fargo not get fined for a total lack of supervision. They did not want to question their golden boy making them money. He is their agent and they should be equally liable. Glad to see some good come out of the CFPB.
  • | | 01 Jun 2016, 12:11 PM Agree 0
    I cant believe his punishment is to be banned from the mortgage business for only 1 year.
  • | | 01 Jun 2016, 12:14 PM Agree 0
    These are the idiots that make it tougher on us who do the right thing. I feel no sorrow for them when I read about fines or jail time.
  • Jeff | | 01 Jun 2016, 12:26 PM Agree 0
    Why not punish the Title Company too? They do this all the time.
  • Nocostking | | 01 Jun 2016, 12:28 PM Agree 0
    85 k ? In California ? He probably made close to ten times that. Nice slap on the wrist and he will have a buddy run his pipeline for a year and then give him a signing bonus. Wow . Real punishment here
  • | | 01 Jun 2016, 12:28 PM Agree 0
    How about the fee's Wells Fargo pays Real Estate Companies to be there in House Lender? I guess having 60 attorneys on staff helps
  • 719 | | 01 Jun 2016, 12:47 PM Agree 0
    Wells, what a joke. No checks and balances on their end monitoring this guys book of business going to one title company ? wow .....
  • | | 01 Jun 2016, 02:08 PM Agree 0
    this is barely a slap on the wrist! Escrow company should also be suspended!
  • Paul | | 01 Jun 2016, 05:34 PM Agree 0
    Wells Fargo should also be fined and the Escrow/Title company too.
    He the Loan Officer should be banned for life from the mortgage industry.
  • Robin Seratt | | 02 Jun 2016, 07:51 AM Agree 0
    I agree, Paul. Where was Well's audit department that they didn't pick up on this? Perhaps they were pressured by production management to allow this? The story is most likely deeper than this article describes.
  • SickofBankThieves | | 06 Jun 2016, 08:52 AM Agree 0
    Where are the posts on commercial mortgage thefts. A client of mine paid $57000 to a Russian " hedge fund ledger" only for them to fly in and say they didn't like the site for a Hampton Inn. My client had a heart attack! He ended up giving 80% of his business away to get a mortgage. Local FDIC troubled banks are foreclosing on perfectly performing mortgages to make new asset requirements. I am not for over regulation, but it's long overdue to look at the commercial lending arena as well.
  • SickofBankThieves | | 06 Jun 2016, 08:53 AM Agree 0
    Lender not ledger obviously.
  • kas | | 06 Jun 2016, 05:12 PM Agree 0
    And, hopefully Millennium Escrow and Wells Fargo also shared equally
    the burden of blame and punishment...! Takes two or more in a group dance! AND HOW MANY TIMES DOES IT TAKE FOR WELLS FARGO TO START DOING THINGS RIGHT ---THEY RECENTLY WHEN THROUGH DISCRIMINATION CHARGES....AND BEFORE THAT IF MY MEMORY SERVES CORRECTLY SOMETHING TO WITH VIOLATING THE PROTOCOL FOR ANTI-LAUNDRING PROCEDURES.

    SO where was his boss---we are talking about a mortgage officer.
    AND no he should not be banded for life! I'm sorry guys! It will take him a while to pay off the fine!


    But... deep down in my gut, I can not help but feel an unsettling hint of distrust with it being CFPB doing the investigating and decision making!
  • | | 07 Jun 2016, 02:40 PM Agree 0
    I wonder if the escrow company was dinged. Typically, they are held liable as well.
  • s | | 14 Jun 2016, 11:57 AM Agree 0
    And, just what punishment did that escrow company and/or officer receive for their participation in this scheme??
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