Ameriquest Shuts Its Doors
Posted on May 2, 2006
Filed Under Mortgage Companies, Mortgage Updates
In a shocking move Ameriquest a large mortgage provider, has closed 229 retail branches. They are also laying off more than 3,800 workers.
The company said it will consolidate its branch operations into four regional mortgage production centers in Arizona, California, Connecticut and Illinois, and handle more corporate matters from its headquarters in Orange, Calif.
”The drive for this is that the company sees a fundamental shift going on in how consumers buy mortgage loans with a move away from bricks and mortar and more towards technology,” a spokesman for ACH said.
In a nationwide lawsuit settled in January, Ameriquest agreed to pay $325 million to the states for predatory lending practices that costs consumers tens of millions of dollars.
It should not be a surprise to anyone that people are greedy. This company was doing great until they decided to bilk customers out of millions and now they have to pay back so much money it could cost them the entire business. Ethical is as ethical does I guess.
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