Trouble at Countrywide, Capital One
Countrywide Bank printed a bunch of ads reminding people that it is an FDIC insured bank. Meanwhile, they laid off people in their “alt-a” (read: D-) rated loan group, Full Spectrum. People in southern california made a run on the bank on Friday. Around 20% of mortgages are held by countrywide.
Capital One is closing its jumbo loan department, GreenPoint.