|April 27, 2021|
|United Wholesale Mortgage is facing a Class Action lawsuit that was filed by The Parrish & Goodman Law Firm, on behalf of a large group of independent mortgage brokers from Florida. |
The group is looking to earn back their freedom to choose which lender is best for their clients, following the anticompetitive ultimatum that was issued by UWM CEO Mat Ishbia in early March, according to a press release from the firm. “UWM’s leveraged ultimatum is clearly unlawful, unfair and is designed to use UWM’s dominant market share (nearly 35% according to company claims) to limit the consumers’ choice and steer business for their own gain,” according to the release. “This position also runs counter to the actual value provided by mortgage brokers – the ability to shop all lenders and select the company and loan program that provides their clients the best possible rate, experience and process.
In some cases, this ultimatum could create conditions by which consumers will lose access to financing altogether, depending on which lender is offering programs that match their credit profile.”
Nelson A. Locke, Esq.
Compliance Services USA