New Century Financial Corporation Takes Steps to Fight Mortgage Fraud

- Selects BasePoint Analytics FraudMark(TM) to Supplement Company's Fraud

Prevention Efforts -



- Tools Enhance Company's Ability to Protect Consumers Against Fraud and

Identity Theft -



Nov 18, 2005, 00:00 ET from New Century Financial Corporation

    IRVINE, Calif., Nov. 18 /PRNewswire-FirstCall/ -- New Century Financial
 Corporation (NYSE:   NEW), a real estate investment trust (REIT) and parent
 company of one of the nation's premier full-service mortgage finance
 companies, today announced an aggressive new measure to stamp out mortgage
 fraud. The company has selected BasePoint Analytics to implement fraud
 prevention solutions and services that is designed to provide consumers
 additional protection against mortgage fraud by ensuring quick and accurate
 detection of fraudulent applications, while also improving overall loan
 production.  The agreement will allow New Century to significantly improve its
 pre-funding fraud detection and prevention, while also reducing review costs
 for potentially fraudulent applications.
     Terry Theologides, Executive Vice President and General Counsel of New
 Century Financial Corporation, said, "New Century has always worked hard to
 detect and prevent fraud in the origination process, and our investment in
 deploying the BasePoint tools and techniques will allow us to better protect
 our customers from fraud and identity theft by enabling us to more easily
 identify and weed out fraud perpetrators and identity thieves in the
 marketplace.  At the same time, these tools will allow us to maximize overall
 loan quality and profitability."
     BasePoint Analytics will provide New Century with FraudMark -- an
 application scoring solution that combines the predictive power of loan
 applicant data with the proven pattern-recognition analytics of BasePoint's
 fraud modeling technology.  BasePoint Analytics will also provide
 fraud-consulting services that further refine existing fraud detection
 strategies and operations to take full advantage of the new fraud scores.
     "We chose BasePoint Analytics because we wanted to enhance our current
 strong controls with the latest advances in fraud detection methods for
 mortgage lenders, to the benefit of our customers, investors and the
 communities in which we lend," said Theologides.
     "We are extremely pleased to be working with a forward-thinking lender
 such as New Century," said Tim Grace, president of BasePoint Analytics.
 "Fraud in the mortgage industry is increasing at a dramatic rate, and it is
 the mission of BasePoint Analytics to provide the next-generation of fraud
 solutions to lenders such as New Century.  We believe that integrating
 BasePoint's advanced pattern recognition technology with best-in-class fraud
 review processes and strategies will become the standard for the industry."
 
     About New Century Financial Corporation
     Founded in 1995 and headquartered in Irvine, California, New Century
 Financial Corporation is a real estate investment trust (REIT) and one of the
 nation's premier full-service mortgage finance companies, providing first and
 second mortgage products to borrowers nationwide through its operating
 subsidiaries, New Century Mortgage Corporation and Home123 Corporation.  The
 company offers a broad range of mortgage products designed to meet the needs
 of all borrowers. New Century is committed to serving the communities in which
 it operates with fair and responsible lending practices.  To find out more
 about New Century, please visit www.ncen.com.
 
     About BasePoint Analytics
     BasePoint Analytics, based in Carlsbad, Calif., is a fraud analytics and
 consulting company serving the financial services market.  BasePoint Analytics
 integrates advanced analytics, proven fraud strategies and best-practice
 consulting services for measurable results in fraud mitigation and optimized
 fraud operations.  With some of the top fraud scientists in the field,
 BasePoint Analytics builds state-of-the-art predictive models using advanced
 techniques such as neural networks and machine learning algorithms and ensures
 those scores are integrated into the right loan review processes, lending
 policies and management reporting systems to achieve substantial and
 continuous fraud reduction.  BasePoint Analytics is partnering with First
 American Real Estate Solutions to provide mortgage lenders with reliable and
 flexible solutions for detecting and preventing fraud.  More information on
 BasePoint Analytics can be found at www.basepointanalytics.com.
 
                Safe Harbor Regarding Forward-Looking Statements
     Certain statements contained in this press release may be deemed to be
 forward-looking statements under federal securities laws and New Century
 Financial Corporation (New Century) and BasePoint Analytics (BasePoint) intend
 that such forward-looking statements be subject to the safe-harbor created
 thereby.  Such forward-looking statements include, but are not limited to: (i)
 New Century's belief that the agreement with BasePoint will allow New Century
 to improve its pre-funding fraud detection and prevention significantly, while
 also reducing review costs for potentially fraudulent applications; (ii) New
 Century's belief that its partnership with BasePoint will allow New Century to
 better serve its customers and maximize overall loan quality and
 profitability, while reducing fraud and identity theft; (iii) New Century's
 belief that the BasePoint tools and techniques will help take its fraud
 prevention to an industry leadership position; and (iv) BasePoint's belief
 that integrating its advanced pattern recognition technology with
 best-in-class fraud review processes and strategies will become the standard
 for the industry.  New Century and BasePoint caution that these statements are
 qualified by important factors that could cause actual results to differ
 materially from those reflected by the forward-looking statements.  Such
 factors include, but are not limited to: (i) the condition of the U.S. economy
 and financial system; (ii) the interest rate environment; (iii) the effect of
 increasing competition in each company's sector; (iv) the stability of
 residential property values; (v) the potential effect of new state or federal
 laws and regulations; (vi) the outcome of litigation or regulatory actions
 pending against either company; (vii) New Century's ability to maintain
 adequate credit facilities to finance its business; and (viii) New Century's
 successful implementation and proper usage of BasePoint's fraud modeling
 technology.  Additional information on these and other factors is contained in
 New Century's Annual Report on Form 10-K for the year ended December 31, 2004
 and the other periodic filings of New Century with the Securities and Exchange
 Commission.  New Century and BasePoint assume no, and hereby disclaim any,
 obligation to update the forward-looking statements contained in this press
 release.
 
 

SOURCE New Century Financial Corporation
    IRVINE, Calif., Nov. 18 /PRNewswire-FirstCall/ -- New Century Financial
 Corporation (NYSE:   NEW), a real estate investment trust (REIT) and parent
 company of one of the nation's premier full-service mortgage finance
 companies, today announced an aggressive new measure to stamp out mortgage
 fraud. The company has selected BasePoint Analytics to implement fraud
 prevention solutions and services that is designed to provide consumers
 additional protection against mortgage fraud by ensuring quick and accurate
 detection of fraudulent applications, while also improving overall loan
 production.  The agreement will allow New Century to significantly improve its
 pre-funding fraud detection and prevention, while also reducing review costs
 for potentially fraudulent applications.
     Terry Theologides, Executive Vice President and General Counsel of New
 Century Financial Corporation, said, "New Century has always worked hard to
 detect and prevent fraud in the origination process, and our investment in
 deploying the BasePoint tools and techniques will allow us to better protect
 our customers from fraud and identity theft by enabling us to more easily
 identify and weed out fraud perpetrators and identity thieves in the
 marketplace.  At the same time, these tools will allow us to maximize overall
 loan quality and profitability."
     BasePoint Analytics will provide New Century with FraudMark -- an
 application scoring solution that combines the predictive power of loan
 applicant data with the proven pattern-recognition analytics of BasePoint's
 fraud modeling technology.  BasePoint Analytics will also provide
 fraud-consulting services that further refine existing fraud detection
 strategies and operations to take full advantage of the new fraud scores.
     "We chose BasePoint Analytics because we wanted to enhance our current
 strong controls with the latest advances in fraud detection methods for
 mortgage lenders, to the benefit of our customers, investors and the
 communities in which we lend," said Theologides.
     "We are extremely pleased to be working with a forward-thinking lender
 such as New Century," said Tim Grace, president of BasePoint Analytics.
 "Fraud in the mortgage industry is increasing at a dramatic rate, and it is
 the mission of BasePoint Analytics to provide the next-generation of fraud
 solutions to lenders such as New Century.  We believe that integrating
 BasePoint's advanced pattern recognition technology with best-in-class fraud
 review processes and strategies will become the standard for the industry."
 
     About New Century Financial Corporation
     Founded in 1995 and headquartered in Irvine, California, New Century
 Financial Corporation is a real estate investment trust (REIT) and one of the
 nation's premier full-service mortgage finance companies, providing first and
 second mortgage products to borrowers nationwide through its operating
 subsidiaries, New Century Mortgage Corporation and Home123 Corporation.  The
 company offers a broad range of mortgage products designed to meet the needs
 of all borrowers. New Century is committed to serving the communities in which
 it operates with fair and responsible lending practices.  To find out more
 about New Century, please visit www.ncen.com.
 
     About BasePoint Analytics
     BasePoint Analytics, based in Carlsbad, Calif., is a fraud analytics and
 consulting company serving the financial services market.  BasePoint Analytics
 integrates advanced analytics, proven fraud strategies and best-practice
 consulting services for measurable results in fraud mitigation and optimized
 fraud operations.  With some of the top fraud scientists in the field,
 BasePoint Analytics builds state-of-the-art predictive models using advanced
 techniques such as neural networks and machine learning algorithms and ensures
 those scores are integrated into the right loan review processes, lending
 policies and management reporting systems to achieve substantial and
 continuous fraud reduction.  BasePoint Analytics is partnering with First
 American Real Estate Solutions to provide mortgage lenders with reliable and
 flexible solutions for detecting and preventing fraud.  More information on
 BasePoint Analytics can be found at www.basepointanalytics.com.
 
                Safe Harbor Regarding Forward-Looking Statements
     Certain statements contained in this press release may be deemed to be
 forward-looking statements under federal securities laws and New Century
 Financial Corporation (New Century) and BasePoint Analytics (BasePoint) intend
 that such forward-looking statements be subject to the safe-harbor created
 thereby.  Such forward-looking statements include, but are not limited to: (i)
 New Century's belief that the agreement with BasePoint will allow New Century
 to improve its pre-funding fraud detection and prevention significantly, while
 also reducing review costs for potentially fraudulent applications; (ii) New
 Century's belief that its partnership with BasePoint will allow New Century to
 better serve its customers and maximize overall loan quality and
 profitability, while reducing fraud and identity theft; (iii) New Century's
 belief that the BasePoint tools and techniques will help take its fraud
 prevention to an industry leadership position; and (iv) BasePoint's belief
 that integrating its advanced pattern recognition technology with
 best-in-class fraud review processes and strategies will become the standard
 for the industry.  New Century and BasePoint caution that these statements are
 qualified by important factors that could cause actual results to differ
 materially from those reflected by the forward-looking statements.  Such
 factors include, but are not limited to: (i) the condition of the U.S. economy
 and financial system; (ii) the interest rate environment; (iii) the effect of
 increasing competition in each company's sector; (iv) the stability of
 residential property values; (v) the potential effect of new state or federal
 laws and regulations; (vi) the outcome of litigation or regulatory actions
 pending against either company; (vii) New Century's ability to maintain
 adequate credit facilities to finance its business; and (viii) New Century's
 successful implementation and proper usage of BasePoint's fraud modeling
 technology.  Additional information on these and other factors is contained in
 New Century's Annual Report on Form 10-K for the year ended December 31, 2004
 and the other periodic filings of New Century with the Securities and Exchange
 Commission.  New Century and BasePoint assume no, and hereby disclaim any,
 obligation to update the forward-looking statements contained in this press
 release.
 
 SOURCE  New Century Financial Corporation