Countrywide Financial Corp is being criticized due to an email response accidentally made by Angelo Mozilo, their chairman, to Daniel Bailey Jr. Bailey had sent an email asking the company to modify or change the terms on his adjustable-rate mortgage. Bailey was confused about the terms, having been ill advised that he could refinance after one year. He was close to losing his home due to payments he could not afford.

Mozilo had wanted to forward the email to others at Countrywide, but besides doing that he inadvertently replied to Bailey as well. In the email, Mozilo spoke about the numerous emails Countrywide had recently been swamped with, saying that it was unbeliveable and "Most of these letters now have the same wording. Obviously they are being counseled by some other person or by the Internet. Disgusting."

Upon receiving the email, Bailey posted it on a LoanSafe forum. This caused an uproar, with many comments being made by upset viewers. One comment said this email was "a perfect example of the 'help' they can expect to receive when contacting their lenders.". Some comments were also left against Bailey, saying "If borrowers want the freedom to take out credit for hundreds of thousands of dollars, they are equally responsible to not sign something they don't understand."

In response to the mayhem, Countrywide made a statement that they and Mozilo "regret any misunderstanding caused by his inadvertent response to an e-mail by Mr. Bailey. Countrywide is actively working to help borrowers like Mr. Bailey keep their homes."

A shareholder lawsuit may go to trial, as a federal judge recently ruled in favor of the plaintiffs proposal. The plaintiffs claim is against Mozilo and Countrywide saying that the officials did not provide enough oversight to the lender/shareholders about their acutal financial state.

Based on congressional data, Countrywide reportedly lost $1.2 billion in the 3^rd part of 2007 and $422 million in the 4^th during the mortgage crisis. This caused their stock to fall 80% from February to the end of the year. Mozilo´s salary at this time was $1.9 million, besides receiving $20 million in performance-based stock awards and selling $121 million in stock.