Walter Investment Management Corp. provided some insight into why its mortgage servicing subsidiary got such low marks on the servicer settlement evaluation.
A progress report released Wednesday by the monitor of the national servicer settlement found that Green Tree Servicing LLC failed to maintain compliance in eight categories.
The report, which reviewed compliance with a total of 29 metrics, covered the period from Oct. 1, 2013, through Dec. 31, 2013.
Among the areas of deficiency were pre-foreclosure initiation, pre-foreclosure initiation notifications and motion for relief from stay affidavits.
Walter issued a statement following the release of the report indicating that Green Tree agreed to the servicer settlement standards when it acquired mortgage servicing rights in January 2013 from Residential Capital LLC.
But unlike other servicers bound by the settlement that were able to implement the measured metrics in stages, Green Tree agreed to implement all 29 measured metrics in just a single reporting period.
Tampa, Fla.-based Walter said that the settlement provides an opportunity for Green Tree to cure metrics through corrective action plans approved by the monitor.
“As previously reported in the company’s Form 10-Q filed on May 8, 2014, corrective action plans are under development and once approved by Office of Mortgage Settlement Oversight, Green Tree will implement the plans and the metrics will be retested,” Walter stated. “Green Tree has already remediated many of the root causes of the non-compliance and is committed to achieving full compliance when retesting occurs.”
