August 24, 2016 3:41 PM ET

Thrifts and Mortgage Finance

Company Overview of Freedom Mortgage Corporation

Company Overview

Freedom Mortgage Corporation, doing business as Jefferson Home Mortgage and Loan, LLC, provides residential mortgage lender services. The company is a mortgage banker and provides origination and servicing through retail, wholesale, correspondent, and commercial divisions. It offers business solutions, such as commercial real estate lending, correspondent lending, freedom mortgage partner group, renovation lending, small business lending, and wholesale services. The company also provides mortgage refinancing, fist-time homebuyer services, refinance with cash out, and FHA loans; and VA financing for active military, veterans, and surviving spouses. It serves its customers in the United States...

907 Pleasant Valley Avenue

Suite 3

Mount Laurel, NJ 08054

United States

Founded in 1990

Phone:

866-759-8624

Fax:

866-931-6883

Key Executives for Freedom Mortgage Corporation

Chief Executive Officer
Age: 62
President of Correspondent Lending Division
National Sales Director of Correspondent Lending
Regional Sales Director of the Midwest
Regional Sales Director of the Southwest and South Central Areas
Compensation as of Fiscal Year 2016.

Freedom Mortgage Corporation Key Developments

Freedom Mortgage Corporation to Pays $113 Million to Settle False Claims Act Violations

Freedom Mortgage Corp. has agreed to pay $113 million to settle allegations that it violated the False Claims Act by knowingly originating and underwriting single family mortgage loans insured by the Federal Housing Administration (FHA) that did not meet applicable requirements for the FHA insurance program. As part of the settlement, prosecutors said Freedom Mortgage admitted the facts: Between Jan. 1, 2006, and Dec. 31, 2011, it certified mortgage loans for FHA insurance that did not meet U.S. Department of Housing and Urban Development underwriting requirements and were therefore not eligible for FHA mortgage insurance. Prosecutors said the lender did not adhere to FHA's quality control (QC) requirements. Between 2006 and 2008, Freedom did not share its early payment default (EPD) QC reviews with production and underwriting management, nor did it require responses to its EPD QC findings from its production or underwriting staff. Due to staffing limitations between 2008 and 2010, prosecutors said Freedom Mortgage did not always perform timely QC reviews or perform audits of all EPD loans, as required by HUD. An EPD is a loan that becomes 60 days past due within the first six months of the loan. The EPD QC reviews, the ones Freedom Mortgage did perform, revealed high defect rates, exceeding 30% between 2008 and 2010. Yet, between 2006 and 2011, prosecutors said Freedom Mortgage did not report a single improperly originated loan to HUD, despite its obligation to do so. In 2012, after identifying hundreds of loans that "possibly should have been self-reported to HUD," prosecutors said it reported only one. As a result, HUD insured hundreds of loans that were not eligible for FHA mortgage insurance and subsequently incurred substantial losses when it paid insurance claims on those loans.

Similar Private Companies By Industry

Company Name Region
120dB Films, Inc. United States
1st 2nd Mortgage Co.of N.J., Inc. United States
1st Integrity Mortgage, Inc. United States
1st Point Lending, LLC United States
1st Security Home Mortgage Corp. United States

Recent Private Companies Transactions

Type
Date
Target
Merger/Acquisition
July 26, 2016
Sterling National Bank, Residential mortgage origination operations
Merger/Acquisition
April 4, 2016
JPMorgan Chase & Co., USDA Origination Business
 

The information and data displayed in this profile are created and managed by Capital IQ, a Standard & Poor's company. Bloomberg.com does not create or control the content. For inquiries, please contact Capital IQ directly by clicking here.

Stock Quotes

Market data is delayed at least 15 minutes.

Company Lookup

Most Searched Private Companies

Company Name Geographic Region
Lawyers Committee for Civil Rights Under Law United States
NYC2012, Inc. United States
Bertelsmann AG Europe
Rush University United States
The Advertising Council, Inc. United States

Sponsored Financial Commentaries

Sponsored Links

Request Profile Update

Only a company representative may request an update for the company profile. Documentation will be required.

To contact Freedom Mortgage Corporation, please visit www.freedommortgage.com. Company data is provided by Capital IQ. Please use this form to report any data issues.

Please enter your information in the following field(s):
Update Needed*

All data changes require verification from public sources. Please include the correct value or values and a source where we can verify.

Your requested update has been submitted

Our data partners will research the update request and update the information on this page if necessary. Research and follow-up could take several weeks. If you have questions, you can contact them at bwwebmaster@businessweek.com.