The lawsuit alleges that search results on Mortgage Matchup “are designed to direct borrowers to brokers who funnel substantially all of their business to UWM, regardless of whether UWM offers the most competitive loan terms.”
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Forget the Super Bowl—now wholesale lending giant United Wholesale Mortgage is in the NBA trying to sell mortgage brokers as the best way to find a loan.
The NBA and WNBA jointly announced Thursday that UWM’s consumer-facing Mortgage Matchup website, a searchable database that helps consumers find local mortgage brokers, is the official mortgage partner of the NBA and WNBA.
But Mortgage Matchup also figures prominently in a lawsuit that accuses UWM of “corrupting” mortgage brokers by prohibiting them from transferring business to competitors.
The lawsuit alleges that search results on MortgageMatchup.com “are designed to direct borrowers to brokers who funnel substantially all of their business to UWM, regardless of whether UWM offers the most competitive loan terms.” “Conversely, brokers that do not provide loans to UWM can expect that UWM … will reduce the number of borrowers seeking its services.”
UWM, NBA and WNBA did not respond to requests for comment on the allegations.
Originally launched by Woodward Loop Properties LLC as FindAMortgageBroker.com in 2015, UWM took control of the site in 2018 and renamed it Mortgage Matchup in January.
Prior to renaming the site, UWM promoted it in ads that aired during the 2020 and 2021 Super Bowls, helping UWM surpass its competitor Rocket Mortgage (also a well-known Super Bowl advertiser with a history of dating back to the days of Quicken Loans).
But last year, the conflict between UWM and the Rockets also shifted when UWM CEO Mat Ishbia acquired the Phoenix Suns and their sister WNBA team, the Phoenix Mercury. On the basketball court. Dan Gilbert is co-founder and chairman of Rocket Companies, parent company of Rocket Mortgage, and owner of the Cleveland Cavaliers.
UWM denies the allegations in the lawsuit, which centers on an ultimatum the company issued to mortgage brokers in 2021. Or send a loan application to Fairway for an independent mortgage.
Ishbia went a step further, claiming that Rocket and Dan Gilbert were in part behind the allegations against UWM, which were initially made by Hunterbrook Media, a newly formed company funded by a hedge fund that Take a short position in UWM.
The Rockets and Hunter Brooke Media called the accusations Ishbia made in April to a sports reporter covering the Phoenix Suns without merit.
In advance of the public release of the report on UWM on April 2, Hunterbrook Media provided data analysis and research to the New York City-based law firm Boies Schiller Flexner, which filed a lawsuit against UWM the same day, seeking to represent the alleged victims. Class Action Status for Borrowers Injured Through UWM’s Practices.
MortgageMatchup.com, which featured prominently in the complaint, noted that the UWM website supported the accusation that the site used an algorithm that favored mortgage brokers who sent the majority of their business to UWM.
According to UWM, mortgage brokers can improve their “professional ranking” by submitting loan applications to UWM, visiting UWM campuses, communicating with UWM account executives and engaging with UWM content online.
UWM states on its own website: “The higher your PRO Score, the faster your turnaround and the greater your visibility on Mortgage Matchup.”
The league said in a press release that Mortgage Matchup “will receive media exposure through various league platforms, including through on-court virtual signage during NBA and WNBA national broadcasts and the league’s official social and digital platforms.”
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