NPL Investor now mostly Just Subservicing
Jersey City, NJ-Franklin Credit Holdings, which made a name for itself as an investor in troubled mortgages, has restructured and is operating mostly as a subservicer. Franklin's servicing rights are now housed on the balance sheet of Huntington Bancshares, Columbus, Ohio, which owns about 70% of the non-bank. "In case there was a bankruptcy the restructuring moved assets from our balance sheet to the bank's," said Franklin chief executive Gordon Jardin. In Q1, the bank restructured its relationship with Franklin, buying certain assets from the firm. Tom Axon, Franklin's chairman, is its largest shareholder, said Mr. Jardin.