Monday, March 19, 2007

New Most Hated Profession in U.S.? Mortgage Lenders Say To Used Car Sales People, Attorneys and Real Estate Agents: "Step Aside!"

It's refreshing when members of a certain profession really step up and call a spade a spade.

In the United States of America, a head of real estate agents, used car salesman and ambulance-chasing attorneys, mortgage lenders are now attempting to blaze their own path to the top of the list of the most hated and distrusted professionals in the country, if not the world.

But why? What on earth could cause mortgage consumers to become so unhinged?

Well, don't take it from the Rancid Truth Blog. Read on from the Reuters' article today that included comments from Ms. Jillayne Schlicke, an eloquent mortgage industry veteran, and head of an organization called The Ethical Lending Foundation.

Interestingly, if you happen to visit the Ethical Lending Foundation's website, you'll notice that one of the first little things you can click on is called a "Code of Ethics".

Ms. Schlicke has tried in vain to train and instruct mortgage lenders, real estate agents and even real estate consumers of the importance of following ethical conduct.

Some damning quotes from Ms. Schlicke in the article about the current state of affairs within the mortgage lending industry:

"We're in ethical chaos in mortgage lending,"

"It's going to be a long road to climb out of that gutter."

When will they recover?


Anonymous said...

The entire real estate and appraisal industries have been in a state of anarchy for 40 years. Every encounter I've had over 40 years of buying homes has been a nightmare. Bait and switch, blatant lies, ignorance, deception and fraud. They are predators of the most vile sort.

Anonymous said...

First, a weekend seminar does not a "Professional" make. How dare they call themselves Professionals.

Second, the real estate industry is far more a threat than Al Qaeda.

Jillayne Schlicke said...

Anon commenter #2, I have to completely agree with you. The mortgage lending industry is very far away from being called a profession using the word in a traditional sense, such as a doctor or a lawyer. Those professionals owe fiduciary duties to their patients/clients, which means to put the the patient's/client's interests above one's own intere$t$.

Loan originators owe no such duties to consumers. I am hopeful that the current crisis will create a climate where we can have a rational dialogue about using the subprime meltdown as fuel for change.