...Implementation of CFPB Rules: On Jan. 10, 2014, the CFPB rules went into effect for mortgage servicers. Servicers are subject to the new rules that broadly impact nine servicing areas. While all servicers have indicated implementing significantly all the new requirements, not all Fitch-rated servicers have been reviewed by the CFPB. Slowing of MSR Transfers: In 1Q14, Bank of America (BoA) and OneWest Bank's IndyMac platform completed portfolio transfers to Specialized Loan Servicing, LLC (SLS). The BofA transfer reflects the bank's continued strategy of transferring a significant portion of its delinquent portfolio, which has been primarily to nonbank servicers. The OneWest transfer represents the bank selling approximately 80% of its portfolio, maintaining only its owned portfolio. However, the transfer of MSRs has seemingly slowed since a Wells Fargo MSR transfer to Ocwen was halted by the NYDFS in February2014....
