Earnings for the fourth quarter of 2023 are out, offering a view into how lenders did in the colder months and the year overall. Here’s a snapshot of how some of the nation’s top lenders handled last winter.
Rocket Mortgage
Rocket reported depressed earnings, with losses of $233 million quarter-over-quarter and a full-year net loss of $390 million. Its adjusted revenue was $885 million and registered an adjusted net loss of $6 million.
Originations totaled $17 billion in Q4. Its gain on sales margin clocked in at 2.63%.
“I’m so confident about our future and the collective impact we will make as a team, and the best part is that our journey is just beginning,” Varun Krishna, CEO and director…
By KIMBERLEY HAAS
A multistate settlement has been reached after a testing error led to the unauthorized withdrawal of $2.3 billion from the accounts of nearly 480,000 mortgage holders serviced by Mr. Cooper.
ACI Payments, a processor for a variety of third-party clients, erroneously initiated the electronic withdrawals in April of 2021, causing consumers stress nationwide. So state banking officials from 44 states and 50 state attorney generals joined together to take action against ACI Worldwide, levying a total of $20 million in fines.
In addition to paying the states, the settlement announced on Tuesday requires ACI to use artificially created data instead of real customer data when testing systems or software. Testing, development, and quality insurance work will now…
Kurt Johnson and Christine Paxton have been appointed to c-suite positions at Mr. Cooper, the company announced in a press release.
Johnson has been named Chief Financial Officer, and Paxton named EVP and Chief Risk and Compliance Officer. Paxton was promoted to take Johnson’s place after his move to CFO.
Johnson has been with the company since 2015, having most recently served as Chief Risk and Compliance Officer. He has more than two decades of experience in originations, servicing treasury, portfolio management, and financial planning.
“With his decades of experience in mortgage banking, strong relationships with government and industry stakeholders, and a detailed understanding of our platform, Kurt is already a major force at the company and in the industry.…
Mortgage servicer Nationstar, which does business as Mr. Cooper, agreed to pay a $74.5 million settlement with the Consumer Financial Protection Bureau, state attorneys general and bank regulators for violating a variety of federal laws designed to protect borrowers. Regulators had accused Mr. Cooper of violating the law from 2012 to 2015 by: Failing to identify thousands of loans with existing in-flight modifications and failing to recognize some transferred loans with pending loss mitigation applications or trial modification plans or failing to identify and honor other borrowers’ loan modification agreements.Foreclosing on borrowers to whom it had promised foreclosure holds while they applied for loss mitigation relief.Improperly increasing borrowers’ permanent, modified monthly loan payments.Failing to timely disburse borrowers’ tax payments from…
