<P> In 1994, the company was purchased by DLJ Merchant Banking Partners, a unit of Donaldson, Lufkin & Jenrette . In 1999 First Franklin was purchased by National City Corp. from a subsidiary of Bank of America for $266 million . By 2003, the company helped National City become the sixth largest mortgage lender in the country . In December 2006, First Franklin was sold to Merrill Lynch for $1.3 billion, at a time when the shakeout in the subprime mortgage lending market had started to begin . Merrill Lynch acquired the company with the intent to create a pipeline of loans that it could package into mortgage - backed securities . </P> <P> During the fourth quarter of 2006, First Franklin ranked as the fifth largest subprime lender in the country . On March 5, 2008 the company halted loan originations . The next month Merrill Lynch alleged that National City had misrepresented the condition of the company . </P>

First franklin financial a division of national city bank of indiana