Mortgage lender abruptly shuts down (Capitol Commerce )

Posted on Sat, Aug. 16, 2003

Mortgage lender abruptly shuts down
By Michael Liedtke
Associated Press

Midsize lender Capitol Commerce Mortgage abruptly closed Friday, stranding hundreds of prospective borrowers who had been counting on the firm to finance home purchases and refinancings at low rates that are no longer available.

The closing came just a few weeks after Sacramento-based Capitol Commerce celebrated one of the busiest months in its 17-year history -- the lender funded $3.7 billion in mortgages during July, according to several account executives interviewed Friday.

``I feel sorry for consumers because they are really going to get stung by this,'' said Steve Crago, a Capitol Commerce account executive who learned of the company's demise Friday after returning from a San Diego business trip. ``It's a major shock to me and a lot of other people.''

Messages left at Capitol Commerce's headquarters weren't returned Friday.

More: http://www.siliconvalley.com/mld/mercurynews/business/6547524.htm

Would be nice if the mortgage industry got a good investigation before the market softens again.

competition is unusually fierce in this industry now. I'm hoping to close my loan with a different lender next week.

The collapse of a major pillar that was keeping this economy afloat...

we will have to bail out the fatcats again --- to bad they have already got the cream