Some of the fraudulent Abacus loans also were securitized into mortgage-backed securities and sold to investors, authorities said.įannie Mae and Freddie Mac, another government-sponsored enterprise, guarantee or own residential mortgages in the United States. “Poor quality loans are at greater risk of default.” “These alleged actions in this case are egregious,” said Steve Linick, inspector general of the Federal Housing Finance Agency, which oversees Fannie Mae. Customers can open an account at one of its 6 branches. It was founded in 0000 and has approximately 0 billion in assets. The defective loans falsely represented details regarding credit-worthiness, employment status and income, and the source of down payments, Vance said. Abacus Federal Savings Bank is an FDIC insured institution headquartered at 6 Bowery, New York, NY 10013. The scheme resulted in the sale of hundreds of millions of dollars worth of fraudulent loans to Fannie Mae between 2005 and the first quarter of 2010, Vance said. with comment from Abacus Abacus Federal Savings Bank and a group of its former employees were indicted in a mortgage fraud scheme that resulted in the sale of hundreds of. “The irony of this case is the majority of the loans originated by Abacus have continued to perform, which means the monthly mortgage payments are being made by the borrowers,” Vance said at a news conference in New York. Unlike the widespread defaults that led to foreclosures during the crisis, most of the loans Abacus originated have not defaulted, prosecutors said. Law enforcement authorities have been criticized for their failure to bring criminal charges against major banks for the roles they played in causing the crisis. Widespread mortgage fraud led to the financial crisis in 2008. Whether you are looking to purchase, refinance your existing mortgage for better rate, or cash-out some of your equity in the house, we have a mortgage for you. Income Statement (USD, in thousands, ytd) Total Assets: 310,095: Total Interest Income: 3,573: Total Liabilities: 258,032: Total NonInterest Income: 314: Total Bank Equity Capital: 52,063: Total Interest Expense: 303: Total Deposits: 254,870: Total NonInterest Expense: 3,197: Net Loans & Leases: 249,357: Net Income: 247: Loan Loss Allowance. The bank said its loan default rate is one of the lowest in the country: Less than one-half of 1 percent compared to the current national average of more than 5 percent. Online banking portal: You'll be able to get your bank's routing number by logging into online banking. Neither Fannie Mae nor the borrowers were ever harmed.” On this page We've listed above the details for ABA routing number ABACUS FEDERAL SAVINGS BANK used to facilitate ACH funds transfers and Fedwire funds transfers. “Moreover, the only victim in this matter is the bank itself. “There is no evidence that any senior executive at the bank engaged in illegal behavior,” the statement said. The bank uncovered the irregularities more than two years ago, conducted an internal investigation and reported the results to authorities, the statement said. The charges include grand larceny, conspiracy, residential mortgage fraud and falsifying business records.Ībacus said in a statement it was “disappointed” New York prosecutors decided to indict the bank.
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