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Strategies & Market Trends : The Epic American Credit and Bond Bubble Laboratory -- Ignore unavailable to you. Want to Upgrade?

To: shades who wrote (64713)	6/28/2006 2:46:23 AM
From: patron_anejo_por_favor	Respond to of 110194

I guess they kept the origination piece....which will end up costing them, the servicing might manage to make a few bucks even in a downturn

To: shades who wrote (64713)	6/28/2006 2:55:24 PM
From: Elroy Jetson	Respond to of 110194

The article says Wachovia will continue to service its prime mortgages. Golden West's mortgages fall into this category. Having already written off their sub-prime mortgage origination unit, it makes sense for Wachovia to sell their sub-prime loan servicing unit to a company currently making sub-prime loans. The question is why Barclay wants it. Although they have major sub-prime lending operation in many nations, the only sub-prime unit I know that they operate in the US is Barclaycard. Perhaps they hope to expand into home equity loans. juniper.com .