Tuesday, Jul 22, 2008

The nation's fourth-largest bank will no longer offer mortgages through brokers starting July 25.

CNN: Wachovia to exit wholesale mortgage business

could this be the next bank to go down?????
Wachovia didn't disclose how many jobs will be cut as a result of the change. More details are expected Tuesday when the Charlotte, N.C.-based bank releases its second-quarter earnings.

Posted by mark @ 10:08 AM (351 views) Add Comment

3 Comments

1. tyrellcorporation said...

IMO this is highly significant. The credit crunch is often seen by bulls as largely a problem that is passing. Announcements like these prove the complete opposite.

Tuesday, July 22, 2008 10:28AM Report Comment
 

2. Whostolemyendowment said...

Wachovia Mortgage is now listed as #267 on the Implode-meter http://ml-implode.com/ & interesting write up on http://ml-implode.com/imploded/lender_WachoviaMortgage,FSB-Wholesale_2008-07-21.html

It will get to the point {if not reached already} that even if you want and can afford a mortgage - there will be non on offer.....

Tuesday, July 22, 2008 10:50AM Report Comment
 

3. beartil2010 said...

TC I agree - I am surprised there are not more comments. A bank of this size afraid to remain in a market in which they should be able to manage risks and get a decent return - and with a 10:1 fractional reserve ratio, any deposits of more than 10% actually give them extra depositor money to help their balance sheet!

If banks can't even stomach that in America then it could be getting 'a lot more serious' - wonder how often we're going to hear that over the next 2 years...

Tuesday, July 22, 2008 12:49PM Report Comment
 

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