Wachovia Corp., the nation's 14th-largest wholesale originator, revealed Tuesday morning that it will exit that channel and shed thousands of mortgage-related jobs. The move was announced in tandem with an earnings report showing a stunning $8.86 billion loss in the second quarter. Overall, the Charlotte, N.C.-based Wachovia will shed 6,350 jobs. It said 1,000 mortgage workers will be "redeployed" to help Wachovia customers refinance "Pick-a-Pay" loans, a product the bank became heavily involved in when it bought World Savings of Oakland, Calif., two years ago. Wachovia blamed the huge losses on writedowns on its "commercial, corporate lending, and investment banking subsegments." Wachovia's investment banking arm was a huge player in the market for mortgage collateralized debt obligations.
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Newly minted Federal Reserve Chair Kevin Warsh will host his inaugural press conference on Wednesday. Bankers will be paying close attention to what he says — and how he says it.
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The Federal Housing Finance Agency's annual report to Congress asks for enforcement and referral powers beyond the limited ones it currently has.
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The deal reinforces PennyMac's AI-focused pivot and will also accelerate development and growth of its proprietary servicing platform, the lender said.
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Rithm and UWM Holdings are the favorite names among publicly traded lenders, while BTIG adds coverage of Better Home & Finance at a buy rating.
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The deal offers a series of exchangeable, class A and B notes, which will pay coupons ranging from 6.00% on the A1 tranche to 5.00% on the A33 tranche.
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This industry executive finds subservicing mortgages impacted by rule changes and relatively higher delinquency rates helps test operations and keep them sharp.
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