Fannie Mae added JPMorgan Chase (JPM) to its list of largest mortgage servicers on track to receive top ratings in its review program.
The government-sponsored enterprise began reviewing 33 servicers for how they handle delinquent loans, process foreclosures and comply with other guidelines last year.
Chase serviced roughly 10% of the Fannie single-family mortgage portfolio, making it the second-largest servicer, according to the GSE’s fourth quarter filing.
Of the largest 11 servicers Fannie reviews under its scorecard, Chase, Citigroup (C), Wells Fargo (WFC), Ally Financial and EverBank were on the list of top performers, with only Chase added during the fourth quarter.
Bank of America (BAC) , which services 21% of the Fannie portfolio, remains absent from the list of top performers as it was for the previous report.
The Treasury Department did determine Chase and BofA made enough improvements in the Home Affordable Modification Program to earn back withheld payments last year.
Fannie added Third Federal Savings and Loan to the list of top-performing smaller mortgage servicers.
The GSE will release its annual results in April, ranking servicers on a five-star scale. The report will be used to determine future compensation.
“Servicers in the STAR Program are changing their approach to managing Fannie Mae loans, assisting homeowners, and measuring success,” said Tara Malone, vice president of servicer reviews at Fannie Mae. “Servicers have increased their focus on areas of key importance for helping Fannie Mae manage losses and prevent foreclosures, which should drive improved STAR performance in 2012.”
jprior@housingwire.com
