Exact(16)
But other executives at Merrill were worried about the explosion of home equity lending.
It focuses on four key strategies: distressed securities and assets, private equity, lending, and real estate.
"We have gone to lower credit scores," said Steve Krieger, a vice president for mortgage collections and equity lending.
Many other lenders also report an increase in home equity lending, partly because of the lower interest rates.
The institution's overall lending activity grew by 10 percent over 2008, and home equity lending "drove that growth," Mr. Braca said.
She was at Mr. Lewis's side as the bank rapidly expanded its credit card and home equity lending, businesses that are causing charge-offs for the bank.
Similar(44)
What was lost in the orgy of low cost debt that ultimately engendered the securitization boom in credit card and home equity lending--and enabled growing deficit spending at the federal level--was that the American economy, like the American household, was living on a chimera of growth that belied the underlying damage that was being done to our economy.
It also closed its Money Store Inc. home-equity lending unit.
Supervisors continued to issue warnings: they did so about subprime lending in 1999, home-equity lending and commercial property in 2005, and exotic mortgages in 2006.
The company also closed its Money Store Inc. home-equity lending unit and sold branches as part of a company-wide restructuring.
Seven months ago, he closed its home-equity lending unit, Money Store, which had been losing money, and sold branches and unprofitable loans.
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