I don’t know about your employer, but as a Loan Officer who deals with money and home loans, if I made a $200 dollar error, my but would be in trouble. In fact, I would probably be written up, have to take ‘online training’ that would somehow teach me not to make the same mistake twice and even have the incident on my HR record for at least a year. If it were greater than $500 dollars, I would be subject to greater disciplinary action or possibly fired.
This past week, @CNBC reported that JP Morgan had disclosed that they had lost $2 BILLION dollars in hedging transactions. These trades were flawed and the so-called, ‘system’ that they had designed to conduct these worldwide derivatives fund transactions, which failed. Failed? What makes things worse is that JP Morgan announced that these funds were not part of the US Government Bail Out Funds and that they were still going to post a profit for this coming quarter and that their stockholder dividend would not be affected. Be aware, most of these failed transactions were related to overseas mortgages. The European Real Estate Market has greater instability than the US Real Estate market.
However, where is the accountability with the overall leadership of this Bank? CEO, Jamie Dimon, has not stepped down and in fact, denies any bank wrongdoing. A $2 BILLION dollar mistake and the man who oversees the entire company is not fired for this. What is your take on this? Please leave a comment below.
Speaking of America, I am sure, BofA CEO Brian Moynihan was please of this news because BofA would be happy with any type of distraction away from the multitudes of lawsuits that they face everyday from its ongoing nightmare acquisition of the defunct Countrywide Home Loan portfolio.
Watch for the European Stock markets to continue their slide as Spain begins to bail out their banks and Ireland is in protest over their austerity programs. 30 year fixed rates on Home loans continue to stay under 4% at an average of 3.875%. For more information on a home loan purchase or refinance, go to: RJLOANS.com