Rumor Mill: Ameriquest Shutdown, Offices Closing, Employees Ordered to Leave

by Alex Stenback on May 2, 2006

File this under completely unsubstantiated rumor that may not have a shred of truth to it [now confirmed, read on for the full scoop], based on a single tip and a large amount of traffic heading our way via "Ameriquest Shut Down" google searches, but there is a rumor that our favorite lender (upon whom we hate) has shut down all, or a substantial number of offices at 1:30 today (hell, we don’t even know the time zone.)  Here’s the tip:

"You will be happy to know that today at 1:30 Ameriquest Mortgage offices all
over the country were shut down"

Anyone have any word on this Update: The Tipster emails back (we asked for proof):

We are a title company for ameriquest
mortgage and have been told by the account executives at our branches.  All the
branches we deal with Memphis, Nashville, Orlando Louisville, Mobile, Knoxville, and several others are shut down and
all employees have been ordered to leave.  Nothing in writing to confirm only
phone calls.

Time to feed the blog folks – anyone out there know anything more?  Any Ameriquest employees willing to share?  Email us or comment below.

**Update 2:  We’ve tipped this story to a couple of real reporters who might have the resources to confirm (as in, um, actual credentials) but there is definitely more to this story. The latest from our tipster:

Included in this is Town and Country Mortgage.  My “suits” are all still in a
meeting upstairs with Ameriquest Corporate office.  No information regarding why
has not been forwarded to us yet…Evidently HSBC has came in bought them
out and fired all employees nationwide.

Unless this is some elaborate hoax, you heard it here first…though the HSBC thing sounds like pure rumor.

***Update 3:  Astute reader Tonja points out this press release dealing with this at, of all places, the Ameriquest Website (show off.)  Apparently, it is a "restructuring" that will lay off 3800 employees and close 229 branches nationwide:

"Although difficult, the decisions announced today are the best
strategy for improving our cost structure and increasing our ability to
price loans competitively – changes that are critical to our long-term
success…"

Ameriquest Announces New Retail Business Model [Ameriquest.com]

{ 7 comments… read them below or add one }

derrik May 2, 2006 at 2:39 pm

wholly toledo! any reason??? aside from horrible prepay penalties?

Editor May 2, 2006 at 2:44 pm

We know nothing more, and again, this could be nothing more than a bad tip, or out of control rumor.

Working to confirm, until then, take with HUGE grain of salt.

Tonja Deegan May 2, 2006 at 3:22 pm

I went to the Ameriquest site and clicked on “press.” They do have some info in a press release today:

ORANGE, CA – May 2, 2006 – ACC Capital Holdings (ACH) today announced the launching of a new business model for its Ameriquest Mortgage Company and Town and Country Credit retail mortgage subsidiaries, including the centralization of the branch networks into its existing regional production centers and the consolidation of corporate functions. The new centralized operations will improve efficiency and leverage the strengths of the company’s retail mortgage origination business. The changes will result in the closure of local branches and a reduction in the company’s work force.

Tonja Deegan May 2, 2006 at 3:26 pm

OK, buried further down is the dirt:

These changes will result in the total workforce reduction of approximately 3,800 associates and the closing of 229 retail branch offices.

Editor May 2, 2006 at 3:26 pm

Well, that clears things up – who would have thought to check the actual Ameriquest site?

Thanks Tonja…

derrik May 2, 2006 at 4:31 pm

oddly enough, i looked at the site when this was posted and either missed the update, or it wasnt there at the time.

i called their 800 number too and got a real person asking if i wanted to refi or buy something new.

maybe they are going less physical, and more virtual presence?

Madashell March 15, 2007 at 3:59 pm

I am an Ameriquest employee and I don’t think anyone should be happy that over 3000 people lost their jobs.. Some of us have families, mortgages and bill that we must pay.. Maybe a few years ago Ameriquest did do bad loans However, we we restrctured and were following strict lending guidelines.. Everyone was bascially told to leave the office immediately, it was a great shock,tears and anger. The unemployement rate is high enough now there are 3000 more people added to the lives some with 10 or more years with the company. No heads up was given we were just completly screwed!!!! And I feel hurt the most for my co-workers who have children and a family to support..

Leave a Comment

 

Previous post:

Next post: