MGIC’s Delinquent Loan Inventory Falls by 1,350 in July

The number of loans in Mortgage Guaranty Insurance Corp.’s delinquent inventory declined by 1,350 in July, although the company received 1,813 more new notices of delinquency than loans curing during the time period.

There were 117,105 loans in the inventory at the start of the month and MGIC said it received 9,556 new notices of delinquency from mortgage servicers.

Cures took out 7,743 loans, while claims were paid (or charged to a deductible or captive reinsurance arrangement) on another 2,998.

Rescissions and denials removed another 165 loans. In a footnote in parent company’s MGIC Investment Corp.’s 2Q13 results press release, the company said, “We have suspended rescissions related to loans that we believe could be included in potential settlements. As of June 30, approximately 300 rescissions, representing total potential claim payments of approximately $21 million, were affected by our decision to suspend such rescissions.”

These numbers do not include any rescissions suspended as a result of the Bank of America settlement.

At the end of July, the delinquent inventory consisted of 115,755 loans.

During July, MGIC had $3.2 billion of primary new insurance written. June’s NIW was $2.8 billion and July 2012’s was $2.4 billion.