Stearns Lending, LLC is one of the American wholesale, retail and correspondent lender. Stearns is one of the largest mortgage lenders in the US , Stearns was the fifth-largest privately held lender nationwide.

Overview

Glenn Stearns Glenn Bryant Stearns (born 1963) is an American businessman, and the founder of Stearns Lending. He is the star of the Discovery Channel's show Undercover Billionaire, and subsequent founder of Underdog BBQ in Erie, Pennsylvania. Early life Stea ...

founded the company in 1989. He was chief executive officer (CEO) from its founding until May 2012 when Stearns named Brian Hale, former president and national production executive of

MetLife MetLife, Inc. is the holding corporation for the Metropolitan Life Insurance Company (MLIC), better known as MetLife, and its affiliates. MetLife is among the largest global providers of insurance, annuities, and employee benefit programs, wi ...

Home Loans, as his successor. On May 15, 2017, David Schneider joined Stearns Lending as CEO and a member of its board of managers. Stearns was featured on the Inc. 5000 list of fastest growing private companies in America in 2013, 2014 and 2015. In August 2015, Stearns' parent company, Stearns Holdings, LLC, was purchased by

The Blackstone Group Blackstone Inc. is an American alternative investment management company based in New York City. Blackstone's private equity business has been one of the largest investors in leveraged buyouts in the last three decades, while its real estate bu ...

. The

American Bankers Association The American Bankers Association (ABA) is a Washington, D.C.-based trade association for the U.S. banking industry, founded in 1875. They lobby for banks of all sizes and charters, including community banks, regional and money center banks, sav ...

added Stearns Lending to its list of endorsed lending services through the Corporation for American Banking in May 2016. As of January 2021, Chicago-based lender Guaranteed Rate is acquiring Stearns for an undisclosed sum.

2019 Bankruptcy filing

On July 9, 2019, after Stearns' business did poorly in the rising interest rate environment of 2017–2018, Stearns Lending filed for

Chapter 11 bankruptcy Chapter 11 of the United States Bankruptcy Code (Title 11 of the United States Code) permits reorganization under the bankruptcy laws of the United States. Such reorganization, known as Chapter 11 bankruptcy, is available to every business, whe ...

. The filing was precipitated by failure to come to an agreement on restructuring with

Pacific Investment Management Company PIMCO (Pacific Investment Management Company, LLC) is an American investment management firm focusing on active fixed income management worldwide. PIMCO manages investments in many asset classes such as fixed income, equities, commodities, asset ...

(PIMCO), which owns 67% of the $183 million in senior secured notes owed by Stearns. On September 11, 2019, Stearns announced that it had reached an agreement with its largest noteholders under which the noteholders will support a plan of reorganization.2021, Stearns folded into Guaranteed Rate.

References

1989 establishments in California American companies established in 1989 Mortgage lenders of the United States Companies based in Santa Ana, California Financial services companies based in California Financial services companies established in 1989 Companies that filed for Chapter 11 bankruptcy in 2019 The Blackstone Group companies 2015 mergers and acquisitions {{US-finance-company-stub