Harry R. Kraatz has been appointed to the newly created post of chief restructuring officer at Shearson Financial Network Inc., a Las Vegas-based mortgage broker that has temporarily discontinued all operations. Shearson said Mr. Kraatz has been retained to oversee the management and reorganization of the company's business, including a restructuring of its balance sheet and the implementation of a revised strategic plan. The company said it is considering options that may include modifications to its business plan and the sale or licensing of certain assets. The move was attributed to the "severe restriction" of credit facilities in the mortgage banking industry due to the collapse of the subprime market.
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While the three largest lenders now offer VantageScore, Bank of America Securities says two agency pulls boosts consumers scores, no matter which model.
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Federal Housing Finance Agency Director Bill Pulte said last week that it will slash the budget for its inspector general, spurring Senate Banking Committee Democrats to seek his testimony.
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Fitch Ratings, noting the reduction in Wells Fargo's balances and sale of non-agency servicing, said the bank no longer meets expectations at its old grade.
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The chief risk officer's oversight extends to the modernization of loan pricing and scoring, which the GSEs' oversight agency has been accelerating.
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