JPMorgan Slashes Mortgage Products Along with Jobs
JPMorgan Chase is scaling back its mortgage products as the market cools.
The company plans to eliminate 22 of its 37 mortgage products and programs by the end of 2014, according to a Tuesday presentation to investors. It has already jettisoned 12 and plans to get rid of 10 more by the end of the year.
JPMorgan will also cut 8,000 jobs from its consumer and mortgage banking divisions this year, according to the presentation. The company attributed the decision to the refinancing slowdown.
Among the products on the chopping block are JPMorgan’s partnership rewards program, nonagency relationship credit program and second-lien home equity loan, according to the presentation.
The company is "committed to the mortgage business for the long run" despite current challenges facing the industry, mortgage banking chief executive Kevin Watters said to scattered laughter during the presentation.