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Was Countrywide The Real “Lender,” Or Merely An “Agent” For The Lender? More Deception Regarding “America’s Wholesale Lender.”

Over the last few years, I have conducted many investigations involving the “America’s Wholesale Lender” and “Countrywide” fact pattern. Though these cases have many similarities, no two cases are exactly alike. Such is the case in a recent investigation involving these entities in North Carolina.

For those of you who originated a loan with either of these parties, check your closing documents closely. In this particular case, a broker took the application and submitted the file to “America’s Wholesale Lender” for approval. During the underwriting process, a “Good Faith Estimate” was provided that shows the following:

This disclosure states that the “lender” is (or will be) “America’s Wholesale Lender” either acting as itself, or as agent for Countrywide Bank, N.A. This disclosure in and of itself is deceptive.

At the closing table, the borrower was provided with the federal “HUD-1 Settlement Statement” naming the “lender” as follows:

On this “HUD-1,” fees are paid to and from “America’s Wholesale Lender” (AWL) as follows. This is proof that AWL was the lender and source of funds on the subject loan.

 

However, the named “lender” on the Deed of Trust and Adjustable Rate Note was “Countrywide Bank, N.A. – a federal savings bank.”

In this particular case, MERS is also named as the beneficiary and nominee for lender and lender’s successor and assigns. So by these entities’ own admission in the “Good Faith Estimate,” the named lender on the Deed of Trust was not really the lender, but rather an agent of the lender. And to make matters worse, MERS was acting as the nominee/agent for the lender’s agent. This is a serious problem folks! The security instrument and note fails to identify the true lender/creditor/source of funds.

Now I should also add the following facts:

  1. The subject loan was originated in 2005. I checked the list of subsidiaries for “Countrywide Financial Corp.” by going to the SEC’s government website at www.secinfo.com. The following link is to “Exhibit 21 – Subsidiaries” for Countrywide Financial Corp’s fiscal 2005, 10-K filing on 03/01/2006:

http://www.secinfo.com/d11MXs.vcfd.9.htm#1stPage

There is no subsidiary named “America’s Wholesale Lender.”

2.  There is also no record of “America’s Wholesale Lender” being registered in the State of North Carolina.

So the facts are self explanatory. This case represents an illegal, non-existent, unregistered “lender” funding a loan while hiding behind the mask of “Countrywide Bank, N.A. – Federal Savings Bank.” And by the way, don’t let anyone convince you these entities were the same. It’s simply not true.

William Paatalo

Oregon Private Investigator – OR PSID# 49411

April 6, 2014

 

 

4 comments on “Was Countrywide The Real “Lender,” Or Merely An “Agent” For The Lender? More Deception Regarding “America’s Wholesale Lender.”

  1. Janet on said:

    I see that my 2004 Deed of Trust lists the lender as America’s Wholesale Lender, but the note says it is Countrywide Home Loans, Inc. AWL has never been registered here in Oregon either. Time to dig out my closing papers.

  2. Dan Schramm on said:

    AWL was never a corp in FL or Indiana. It was registered as an assumed name in Indiana in all counties. In FL it was registered as an assumed name in only one county, Leon. People are still being foreclosed on the basis of these bogus loans. It was alleged to be a NY corp, but never was.

  3. And when some wise New Yorkers did register America’s Wholesale Lenders as a New York corporation, CountryWide sued them! They had only trademarked the name.

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