Countrywide Financial Corp., the nation’s largest mortgage lender, plans to offer refinancing or modifications on $16 billion in loans whose interest rate is set to adjust by the end of 2008.

Rocky Mountain News: Countrywide to push refis, modified loans

New York Times: Countrywide to Help Restructure Loansm

Or are they simply trying to get more business?

Mortgage giant Countrywide Financial Corp., whose loan volume is down sharply in the wake of the housing downturn and the sub-prime meltdown, is aggressively trying to get its customers to refinance. Here are excerpts from two pitches the company sent recently to homeowners:

Exciting news — we are now offering a Special Online Rate Discount. . . . If you qualify, you could get up to $511,006 to pay off credit cards and other loans.

– Countrywide e-mail

No need to show bank statements or verify other assets . . . no paycheck stubs or proof of income required . . . no new appraisal needed (in most cases).

– Countrywide flier

Could be a combination of both. However, this uber annoying Countrywide commercial has been in HEAVY ROTATION:

Is your rate too high? If you're looking to compare mortgage rates or to get a rate quote on a FHA loan start here


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Comments

3 Responses to “Countrywide righting a wrong or righting their ship?”

  1. Dave Barnes on October 30th, 2007 11:42 am

    I just viewed the Countrywide advert.
    My only question is: how will they make any money if there are no fees?
    Just sign me: confused in Denver

  2. Louisville real estate on November 2nd, 2007 5:06 pm

    I agree with Dave. I don’t see how this helps them make any money…

  3. denverlender on November 4th, 2007 10:11 pm

    It’s either deceptive or brilliant marketing. Either way it sparks interest in their product. Several mortgage companies that end up servicing loans use these tactics as loss leaders.

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