Household HSBC Watch

Why did the subprime money pipeline shut down? And which bank was buying mortgages from brokers and lenders? HSBC of course. Subprime and second mortgages were to HSBC like Household International was to predatory lending - an easy ride to profits. Or so they thought. Second mortgages? Sorry, but HSBC has […]

Household International’s predatory lending settlement in 48 states had some exclusions. So did a recent Ameriquest settlement. Excluded are mortgages arranged by independent mortgage brokers. Those small, local companies arrange most high-rate loans. Internet brokers are just as prolific.

Knowing where most of their business came from, predatory lenders simply exclude them from settlement […]

Household International’s predatory lending settlement in 48 states had some exclusions. So did a recent Ameriquest settlement. Excluded are mortgages arranged by independent mortgage brokers. Those small, local companies arrange most high-rate loans. Internet brokers are just as prolific.

Knowing where most of their business came from, predatory lenders simply exclude them from settlement […]

Following a $484 million settlement between Household Finance and 50 states in 2002, Household International is now a subsidiary of HSBC Group plc. The company sold 2,188 high-rate loans in the Carolinas in 2004.
Since the settlement agreement, HSBC has adopted standards that consumer advocates regard as among the most stringent in the industry. Much of […]

Of Decision One, HSBC writes: “While Decision One makes the final credit decision on these loans, the mortgages are sourced by a network of independent brokers, rather than retail branches open to consumers.” HSBC goes on to make a final distinction: “The lending model of HSBC Mortgage follows a substantially different business model, and offers […]