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On Wednesday, all 50 state attorneys general announced an investigation of mortgage servicing.
Problem loans in Countrywide's huge mortgage servicing operation grew significantly last month.
Last year, he acquired H&R Block's subprime mortgage servicing operations for $1.3 billion.
DealBook » Bank of America to Sell Mortgage Servicing Rights to KeyBank | Bank of America is selling a portfolio of commercial mortgage servicing rights valued at about $110 billion for an undisclosed amount, Reuters reports.
Even before the political outcry, many of the banks shifted employees into their mortgage servicing units and beefed up hiring.
Currently, a hodgepodge of agencies oversees mortgage servicing.
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At least 100,000 layoffs in the construction-mortgage servicing sector will percolate through the next few months.
Interlinq sells mortgage-servicing software.
Its mortgage-servicing business will continue, it said.
The investment bank remains a small player in the mortgage-servicing industry.
They have held meetings bringing together mortgage-servicing companies and groups representing investors holding mortgages.
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