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Ally Returns to Mortgage Business Two Years After Total Exit

  • Won't be like last time, Brown says, referencing old GMAC unit
  • Mortgages were put in ``rearview mirror,'' former CEO had said
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Ally Financial Inc. is reentering the mortgage business just two years after it stopped making new home loans.

Ally, whose defunct GMAC Mortgage unit was one of the biggest lenders of subprime mortgages in the run-up to the 2008 housing bust, will inch back into direct home loan originations next year, the bank’s Chief Executive Officer Jeffrey Brown said this week at a Goldman Sachs Group Inc. financial conference in New York.