Servicing

Negotiations are ongoing, but the legal move ends the restraining order trial in federal court scheduled for Aug. 14.

The turnaround was due to a $42 million positive servicing mark. Even with the operating loss, it beat estimates.

A second quarter profit followed two fiscal periods in the red, but the firm had to overcome a $33 million negative mortgage-servicing rights valuation.

But its mortgage business remains a money loser, and it wasn't a great period for the acquisition target either.

Total net income at the company grew to $357 million in the second quarter, more than four times higher from three months earlier.

Hedging affected earnings available for distribution, although the company is now profitable again using standard accounting.

The mortgage company was able to move a lot closer to its goal to become a $1 trillion servicer with the expiration of the final tender offer and closing of the deal.

The Department of Housing and Urban Development would permanently allow servicers to use online and remote communications to establish borrower contact, as they did during the pandemic.

But mortgage numbers remain historically very low and fall short of pre-pandemic levels, according to VantageScore's latest monthly report.

With the appointment, interim leader Bill Emerson will take over the role of president and chief operating officer, while Bob Walters announced his retirement.