WASHINGTON (CNN) - Sen. Chris Dodd says he got no sweetheart deals from embattled mortgage lender Countrywide Financial Corp., telling reporters Tuesday that he would reject "out of hand" any hint of preferential treatment.
"At no point did anyone ever suggest to me that we were going to get some deal out of Countrywide," said Dodd, the chairman of the Senate Banking Committee and a former Democratic presidential contender. "I never spoke to anybody except loan officers - never any higher-ups or any senior people within Countrywide."
Last week, Portfolio magazine reported that Countrywide - one of the companies accused of fueling the subprime mortgage crisis - gave favorable mortgage rates to Dodd. A similar allegation forced the head of Sen. Barack Obama's vice presidential search team, Jim Johnson, to step down last week.
Obama has criticized the mortgage company for its lending practices. But Republicans had been hammering Johnson since The Wall Street Journal reported on June 7 that he received a good deal on a mortgage from Countrywide because of his friendship with Angelo Mozilo, the company's CEO.
Dodd, an Obama supporter who has been mentioned as a potential vice presidential candidate, said he would fully cooperate with any investigation.
The Connecticut senator said he sought out Countrywide in 2003 in order to refinance his two homes - one in his home state of Connecticut, the other in Washington.
He said he received a 5-year, adjustable-rate mortgage at 4.25 percent for his home on Capitol Hill and a 10-year ARM at 4.5 percent for his home in Connecticut.
He said that like millions of other Americans, he was shopping around for the best mortgage refinancing deal.
"If anyone had ever suggested to me that somehow I was going to get preferential treatment because I was a United States senator, that would have ended the relationship immediately. Terminated. Immediately - never do business with that organization again."
From CNN Politics
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I believe Dodd. I watched this live. A lot of people are called VIP at their mortgage companies, those of us who pay on time.
We really need to move past this and get on about business. Time is a wasting
SO FAR OBAMAS LEADERSHIP SKILLS DONT SHOW ME.
BUSTED!
When Barack Obama goes to the toilet he gives hope to all the plumbers out there.
A rate of 4.25 or 4.5 is clearly prefential. I have near perfect credit and make more than Senator Dodd does as Congressman and I couldn't get a rate that low. Something is fishy here.
Heck they gave me and several of my colleagues an excellent fixed rate on refi's in 2003. That's why they handled all our refis. At that point in time millions were refinancing homes to take advantage of those amazingly low fixed rate mortgages. None of us had to be a Senator to qualify.
What a non-issue.
The repubs don't have a toe to stand on. I know they can't even begin to say anything regarding this issue as crooked as they have been and then there is john mcwar and his lobbyist campaign people. BTW john, did you get rid of charlie black yet?
Looks like SAME OLD POLITICS to me...... If you are avoiding the same old politics why would you have the same old politicians vouching for you????? If Obama does keep his word he will have no one to work for him. But he thinks he is the "GREAT ORI" and does he really need anyone else anyway????
GO PUMA!
For those looking for scandal here, I wonder how many GOP felons got favorable loans???
What does Dobb home finances have to do with gas prices, horrible health care, fake war, and an economy in the toilet? Nothing and that is what the republican party is about ...nothing.
How many of you have attempted or has refinanced your mortgages? Have any of you used Countrywide? If yes, what was your interest rate? He is no different from millions of other Americans.
According to their corporate hype–everybody gets special deals.
Guess he intentionally wanted to pay more for his mortgage/refi than everyone else. What a guy!!!
I'm sure he didn't read the fine print–nor expect it to become public record.
THIS IS A WITCH HUNT BY THE REPUBLICAN PARTY. THE GOP HAS NO VISION, THERE AGENDA IS THE SAME THAT IT WAS 50 YEARS AGO. MOST OF THE GOP CAN'T SEE PAST THERE NOSE. THERE POLICIES ARE THE SAME DANGERIOUS POLICIES THAT GOT US INTO THIS TROUBLE. THEY(THE GOP) IS GOOD AT GETTING US INTO TROUBLE, THEY HAVE NO KNOW HOW OF HOW TOO GET US OUT OF TROUBLE..
Lol @ CNN.
Not that this isn't a story, but in conjunction with all their other ever-so-slightly cynical Obama stories, or the All-out pro Clinton stories, its starting to become a laughable to check the ticker.
Nowadays, I go to politico if I want to get serious, minute-by-minute political scoop. Not they are the promised land, but at least I can disagree/agree with their reporting with 50/50 odds. CNN is so obvious with their Clinton fawning. Barf.
Amazing how Dodd just happens to get his mortgages from Countrywide. A remarkable coincidence. And he denies it. How Washington. Is this change we believe in? Obama criticizes Countrywide for its lending practices, and Dodd borrows from them. How will Obama get anything through a Dodd-led Senate? Dodd should resign.
This is getting rediculous. Joe Public should be the last to point a finger. He's the father of shaddy deals. When he gets his fingers out of the cookie jar, then he can judge others.
I AM SURE CHRIS DODD KNEW EXACTUALLY WHAT HE WAS DOING. USING HIS POSITION. OBAMA IS JUST LIKE DODD, STAY AWAY FROM THESE PEOPLE.
If Dodd is right, he can keep his seat, but I doubt he is. Then he would have to go.
I received no special deals from Countrywide, either. In fact, I didn't even seek a deal with them. When we bought out house in July of 2006, the mortgage broker we were dealing with during the buying process sold our mortgage to another company the day of our closing. Two months later, we got a letter saying that our mortgage had been sold to Countrywide.
I believe you Senator Dodd, the republicans are grasping at straws.
This is not just democrats
It also includes Donna Shalala and Alphonso Jackson.
Besides hiring Doyle, Johnson's resignation was the worst move by Obama's campaign.
Johnson should have never been allowed to "resign."
Let the stupid Republicans say what they want. Democrats should learn to do what they want. Look at Bush. For 8 years he has not been intimidated by Democrats once. He does his own thing. Obama should not react to every little thing the Republicans harp on.
Keep telling yourself that, Dole... I bet Dole is wrong, as he was when together with 352 superdelegates a decision to gamble with the general election gave us a more divisive party and a less deserving presumptive nominee.
Countrywide have a number of Obama VIP's in their pocket, and Obama had to fire the VP vetter for having not one, but four of those VIP special loans. Nobody longer believes Obama got to be the richest candidate on little peoples money. That was a ploy to ride the underdog strategy, and media let Obama do it far too long.
Such corruption. Not.
No news here. I have 3.875% on a 5/1 ARM. My 5 year fixed rate is ending next year. So I don't think his rates were that special, because I know mine wasn't.
I wish I could have received the same deal. Do you think the American people believe he only talked to Loan Officers. Yea sure.
If you think this story matters, then google.....
" Keating five"
Let's hear what McBush..... uh oops...McCain has to say about his Saving & Loan involevments during first Bush regime!!!!
My rate is 4.875 and we bought our house back then also. What's the problem?
Here we go again CNN.
This has nothing to do with Obama but you mentioned him three times in this article. I guess Obama's proposal to repeal Bush's tax cuts for the rich has you overpaid news people nervous.
In most cases Senator Dodd is rich and has great credit so he was able to get the best rates offered by the company.
Dem or GOP,, too many of these guys are given breaks not available to the regular guy. Be it slaps on the wrist for their criminal conduct or cool perks from corporate America,, it undermines one's confidence in our government.
The fact he doesn't understand it was a deal the avg. person would not be given is a testement to how much he's out of touch. This guy is WEAK!!.
Alot of people got low motgages. Some had good credit and some were told the had good credit. That is the issue with the predatory lending. It's a non-issue.
leave Dodd alone, a very honest man. I believe him
Bob, Do your homeowork, it is not hard to go onto to Google and see historical rates, you will see these rates were normal for that time period. If you were not getting these rates quoted to you, you are not as described in your comment, or you was dealing with a broker or loan officer that was trying to make money off of you.
"Bad Karma" for Dodd.
Dodd may have to be on sideline for a while now.
obama has poor judgement when it comes down to picking people of good character, but he wants to talk about everybody else's judgement. he needs to work on improving his own judgement.
Some people – and journalists – really need to educate themselves how the mortgage industry works...I am no one special but do pay my bills on time with an excellent credit rating...I have the same re-mortgage interest rate as Senator Dodd...just that simple...this is a non-story...
Please be advised that there are other bloggers out there posting under my good name and its making me angry. Its causing me to go crazy and make false accusations against Mr. Axelrod that are completely unfounded. Its causing me to still operate under the delusion that somehow Hillary was cheated out of the nomination when we all know that she got beat fair and square. I know that I need to come to grips with my candidate losing the nomination and that I need to support Obama in November.
Obama '08
republicans' need to get a life . they have nothing to say or offer america. out with the old in with the new.
Everybody seeks favorable lending terms. So what? It's not like he got a free house or 0% financing.
So if he did, he isn't by himself.............the "TANK" is probably close to full with others, with sweet deals from this Company. Expose them, too!!!!!!
True. Countrywide provided many homeowners with low rate mortgages not just the Senators. Back off Obama's supporters. No matter who is on his team, he will still beat McCain in November.
4.25 and 4.5 seem very rates but absolutely within normal limits for ARMs in 2003. Nothing fishy at all. End of story.
i have a man-crush on barack obama.his graciousness makes me love him,deeply.his policies are spot-on,and i would urge all republicans ,independents,and former hillary supporters,to join me in voting for this beautiful man whom i love.
Wasn't the whole problem with the subprime mortgage lending that they (mortgage companies) were giving Low rate (arm) mortgages to everyone? The problem came when all the arms (adjustable rate mortgages) rates adjusted up (usually it was 5 years) and people could not pay the new "adjusted" mortgage payments. i even heard about mortgages that you only had to pay the monthly interest (very low percentage rate) payment and nothing on the principle. (i wont even go in to how stupid that was) I would give this mortgage thing a rest. Lots of people borrowed from "Countywide" Not eveyone is Mortgage Savvy!
with all the CDOs that were selling like hotcakes thanks to the Financial Modernization Act, there is NO WAY to control who holds your mortgage!
i am soooo sick of the GOP with their DIRTY, cheating, lying campaigns. we are ALL on to you, repugs, we all know McCON cant run on the issues so you resort to your usual cheating and lying. you are DISGUSTING!!!
NO MORE REPUGS!
wow, that's two already...johnson, dodd, who's next. so much for your reelection senator dodd....Obama is political poison.
country before party.....vote McCain
PUMA08 all the way to Denver.
The only way the GOP thinks they can win this Election is to disenfranchise everyone regarding Obama. If they can get enough people to believe what they say, they might have a change. The GOP will twist anything. I swear if Obama said the sky was blue they would find something wrong with that too.
I purchased my first home in 2003 and took out a 7-year balloon mortgage at 4 3/8 percent through Waterfield Financial. My credit was fairly good with a Beacon score around 720 and rates were low so I got a good deal.
I am guessing the Chairman of the Senate Banking Committee has a better credit score than I did at the age of 23. This seems like a lot to do about nothing. I'm sorry you can't pay your mortgages, but it's not the bank's fault. If they could cure stupid, they would have quit the banking practice along time ago!
Rut-ro, Raggie!
Even if Dodd is guilty of such a deal, this would pale in comparison to the backdoor deals that these Repubs have and are doing (ie war profiteering, fearmongering to continue war profiteering, crimes against humanity, oil deals, etc). Open your eyes people. Wrong is wrong and there is no right way to do it. I am not condoning Dodd if he is wrong, but just think for a minute.
Is the RNC incabable of sticking to the issues at all??? This is an absolute WITCH HUNT on Chris Dodd. What's next "Obama got his cheeseburger with no onions. That's special treatment, he's an empty suite, he's a blah blah blah blah" You've got nothing at all and this proves it.
Obama 08
Dodd is innocent!
His rate was not preferential and neither was the advisor on the search committee compared to what is/was out there in the marketplace. I got a 3.9% arm in 2005. It will adjust every 2 years no more than 1% per adjustment. Am I an important person? No. My credit union just has/had very competitive rates. Move on!Nothing here!
this not an issue
GET HIM!
See if everyone would have gotten these preferential rates then maybe they could have affored their payments and they wouldn't have lost their homes.
You go Dodd get those pacs and special interest behind you!!!
Remember Obama had a shady real estate deal also!!! With Resco!!!
John McCain is a loser. He is pathetic. I would never ever vote for him.
All you Bush/Cheney/Rove hating indivs.... Replace the name Dodd with any from that list, in the article. Now how would you feel/react?... Be honest... Would you be saying "We need to move past this?" Be honest... So much for Nancy and Harry cleaning up the corruption in Washington... It's just the same ol same ol...
OAN... Dodd's father and Bush's grandfather (Preston) were once feuding Connecticut Senators... Look it up...
I received 4.0% on a 5-year arm with Countrywide in 2003. Glad to see I timed the market better than Dodd – This is obviously a non-issue.
This whole countrywide thing is really getting retarded. So the owner of a company decides to tell a friend "hey.. rather than making a commission on your loan.. I'd rather use that commission to buy down your rate a little.. because I don't want to make money off a friend"... what the hell is wrong with that? I worked as a loan officer in the past.. and I've done loans for friends where I've given up a chunk of my commission to get them a better rate. There's nothing illegal about it.
Owners of all types of companies out there do favors for friends. If you feel that's criminal.. go arrest every bar owner who decided to give a friend a beer on the house.. or every restaurant who's given a meal to a good customer on the house.... almost every business in the world would be shut down.
This is the dumbest controversy I've seen in a long time.
Mitt Romney is a lousy politcian
They did waive the points which I know no one has ever done for most of us. The banking chairman should be a bit more aware of appearances and membership in the Friends' club.
To "Independent Now"
How does this article in any way, shape, form, or even tangently have anything to do with Obama's leadership abilities? What are you independent of... Reading comprehension?
Whoever the person that's using "Brian Knoxville TN" as an alias to prove something is a BIG FAT COWARD.
Real Brian Knoxville TN – you go man!
Nothing like the old "culture of corruption" put out by Nancy Balonie. Looks like the dim-wits got caught and I am sure they will find a way to blame Bush....
Typical liberal...i get special treatment to insure you get what you want sometimes at others expenses.
Well that goes to show that, you have to know someone to get special treatments what about the 1,ooo,ooo people that got a foreclose on their home? Mr. Dobbs for VP? ok
I am a retired person on social security and my little retirement income.My husband and I purchased a $150.ooo home in August 2002 intrest rate at 6.25.As the intrest rates continue to fall we refianced in June 2003 at 5.00 intrest .No one did us any special favors.Any one that purchased or refianced a home during that time got the best rates ever for 30 yr mortages.I feel that at that time no one gave Mr. Dodd any perferential favors . I feel that he did what others did , searched for the best rates he could fine.