|One of the biggest independent servicers of reverse mortgages saw its servicer rating upgraded. Controlled growth has enabled the Michigan-based company to safely expand its servicing operations.
Celink's ratings as a residential reverse mortgage servicer was raised to "above average" from "average" by Standard & Poor's Ratings Services, a recent announcement said.
S&P based its action on Celink's management team, improvements to its proprietary systems and an overall increase in its ability to effectively service reverse mortgages. Efficient internal controls and superior policies and procedures were also cited.
The ratings agency noted that there are many nuances to servicing reverse mortgages.
"Celink has been successful in hiring, developing and training a staff to proficiently service reverse mortgage loans," S&P stated. "Moreover, Celink's proprietary computer system of record helps the company manage the servicing of its reverse mortgage portfolio, communicate with borrowers and interface with investors."
The Lansing, Mich-based company, which began servicing in 2005, has been able to expand its servicing platform because of its proprietary system as well as effective management, S&P explained. Portfolio growth has been manageable and measured.
Celink "is the largest independent servicer of private-label HECM loans," S&P said.