After a brief break from writing about the mortgage industry the team at Mortgage Blues has studied end of the year financial reports and the news is not good. One lender that stands out is Thornburg. These guys liked California, Arizona and other areas that required jumbo mortgages. JPMorgan issued Thornburg with a “default notice” after the lender was unable to meet a $28 million margin call, which the bank demanded after a significant decline in the value of its assets.
If a major player cannot make a margin call of $28 million they would have a real problem if they were in the position that Countrywide finds themselves in. Meanwhile HSBC announced year-end earnings. What a shame the purchase of Household International was for HSBC. Although the bank was profitable a $17 billion (USD) hit is huge compared the Thornburg’s mere $28 million.
Hi, I'm Jen and I'm here to help. Submit your complaint here or get help here
This article, Thornburg mortgage blues is minimal compared to HSBC, is just one of our articles from our Mortgage Crisis Daily
The Subprime Mortgage Crisis Before, During, and After
Mortgage Crisis Daily monitors banking problems and customer complaints and has done so since 1999. Writers hold no stock positions. Some material is used under the fair use copyright act.
We use Thomson Reuters News Service Calais in all production material but are not associated with Thomson Reuters, banks, or financial institutions in any way.
