Although Wells Fargo & Co. won't talk about its 'exclusionary' list of third-party lenders, correspondent loan buyers doing business with some of the firms say they wound up on the list mostly because of buyback disputes with the megabank.
“We do business with a lender that had a buyback dispute with Wells a year ago,” said one mortgage executive close to the situation. “They made Wells whole on the transaction and they're still on the list and don't know why.”
The executive requested his name not be used because he too conducts business with Wells. He said he will continue to buy loans from the firm in question, which he would not identify.
“I saw the list,” he added. “I told some of these firms, 'Just talk to me and let us know what happened.' We'll do business with them. They're some good companies on that list.”
Last week National Mortgage News reported that Wells — the nation's largest buyer of closed loans outside of the GSEs — has circulated around the industry an “exclusionary list” of 88 firms that it will no longer buy loans from. But when contacted by NMN, Wells would not reveal what exactly lands a lender on the list.
The list also contains the names of firms that are out of business including Taylor Bean & Whitaker, and a 'dba' for LendAmerica.
