Servicing

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.

Consumer advocates are protesting specific risk-weighting changes affecting borrowers with lower down payments. Also, a broader increase in requirements may discourage depository holdings of servicing.

All of the company's fair value gains in its portfolio during the quarter were wiped out by a larger loss from hedging activities.

The growing number of financially troubled customers and servicing transfers gone wrong helped to lower the overall industry score by 6 points, J.D. Power said.

The company also has been upgrading technology to manage its large servicing portfolio, which, with pending additions, is within reach of Chairman and CEO Jay Bray's $1 trillion goal.