The secret mortgage servicers don’t want you to know is they can make MORE money off of homeowners when they keep your loan in default. A former employee of loan servicer EMC tells the inside story why so many people can’t get their loan out of default.
I’m a mortgage broker and banker. I used to work for one of the largest banks in the country and to be honest our fees and costs were so much higher than brokers. Large banks spend money on advertising and pay salaries.
I suppose on the one hand that’s fair, with one of these bonds you are buying a fixed income asset, you expect to get your x% and no more, its not like a stock with a variable dividend based on performance. However I think it would only be fair if they put the money aside [...]