Federal Home Loan Bank of Chicago Home Loan Review

Aames Funding Corporation is based in Los Angeles, CA, and is also known as Aames Home Loan Corporation. They are a retail loan and broker company that provides sub-prime home mortgage equity loans. The company originates loans through its retail and broker office networks and through the Internet and telemarketing. Aames Funding is based in Los Angeles, California. The company is a subsidiary of Aames Financial Corp. and has no BBB profile or rating in spite of its alleged 68-year tenure as a business. They are listed in the Ripoff Report as a company that is designed to scam desperate homeowners that have gotten in over their heads by dangling unrealistic refinance possibilities and string the borrower along in order to extract fees for their “services.”

Encouraging Community Building

The nature of this particular institution is different from the average home loan company. They are designed to facilitate home ownership on a community wide scale. Their mission is connected to the government’s mission of providing available funds for people to purchase their own homes because homeownership is a societal value. Their existence as a cooperative changes the nature of their institution and therefore the financial packages they offer are less about the bank’s bottom line and more about providing a service to a community. The bank itself is an institution created to bolster other member institutions like banks, credit unions and loan companies. Any such institution within their geographic limits can become a member of the cooperative and receive support services and make investments.

Creating Stability from Chaos

Although not a lending institution to individuals in the classic sense, the FHLB Chicago provides all of its member institutions with stability in a volatile market. Since the nature of the capitalist system is to change within cycles of boom and bust, the process of financing homeownership can also suffer from instability. In light of that, the Federal Home Loan Bank and others like it  were created to make the homeownership process less subject to the whims of the market and stock prices. In that sense, borrowers who chose a lender from their membership are doubly protected from the changing financial scene.