Countrywide Served with Subpoena in Mortgage Fiasco
January 31st, 2008 joshua
Countrywide Financial Corp. confirmed that it received a subpoena from Florida’s Attorney General wanting information on its business practices, The Wall Street Journal is reporting.
Countrywide is at the core of the investigation into predatory loan techniques. The Florida AG wants information on how the company handles payments from borrowers, sales practices and its loan standards.
The company is also under investigation for the fees it attaches to consumers who face foreclosure on their homes. Florida joins states like California and Illinois currently investigating Countrywide over its business practices.
Florida AG Bill McCollum says his office is investigating at least 150 complaints about Countrywide, the country’s largest home loan lender. Illinois is already underway in looking at the documents Florida subpoenaed. That office is specifically looking at consumer fraud violations, deceptive practices, subprime and option adjustable rate mortgages.
