Essay About New Century Financial And Loan Originator

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New Century Financial was founded in 1995 as a loan originator and became one of the largest sub-prime originators. They divided their business into two divisions: wholesale loans and retail mortgages. They also maintained a web based underwriting business called “Fast Qual,” and provided three lines of business, loan origination, loan servicing and loan securitization. New Century generated income from the difference in the lending rate and the borrowing rate. As a low cost originator, they were able to become very profitable as the sub-prime industry expanded. New Century Financial was founded in 1995 as a loan originator and became one of the largest sub-prime originators. They divided their business into two divisions: wholesale loans and retail mortgages. They also maintained a web based underwriting business called “Fast Qual,” and provided three lines of business, loan origination, loan servicing and loan securitization. New Century generated income from the difference in the lending rate and the borrowing rate. As a low cost originator, they were able to become very profitable as the sub-prime industry expanded. New Century Financial was founded in 1995 as a loan originator and became one of the largest sub-prime originators. They divided their business into two divisions: wholesale loans and retail mortgages. They also maintained a web based underwriting business called “Fast Qual,” and provided three lines of business, loan origination, loan servicing and loan securitization. New Century generated income from the difference in the lending rate and the borrowing rate. As a low cost originator, they were able to become very profitable as the sub-prime industry expanded.