Credit Suisse Group, Switzerland’s second largest bank, today told lenders that sell it loans that “until further notice” it no longer wants any subprime loans, second mortgages, option ARMs whose minimum payments increase a loan’s principal, or ARMs with only two or three years of an introductory fixed rate, according to a letter sent to mortgage originators. Karen Laureano- Rikardsen, a Credit Suisse spokeswoman, declined to comment.
You’ll probably want to read the entire story – it does a good job covering many of the other lenders (those not already mentioned here in the last few days) who have also temporarily decided to sit on the sidelines: Wells Fargo, AmTrust Financial, GMAC, Chase and Washington Mutual are on that list. Hello, credit crunch!
