The Office of Financial Regulation has ordered Taylor, Bean and Whitaker Mortgage Corp. (TBW) to cease foreclosure proceedings, cease assessing late charges and cease reporting late payments to any credit bureau.
The cease-and-desist order was filed against the Florida-based mortgage lender following actions by the U.S. Department of Housing and Urban Development (HUD), Freddie Mac and Ginnie Mae earlier this month to suspend or terminate TBW.
Under the terms of the order, TBW must also transfer all loans to a new servicing company within 60 days, safeguard customers' payments (including escrow funds by establishing custodial accounts), provide the regulator with daily reports on the serviced loans and forward all checks received to the new servicers.
Freddie Mac says it has arranged for several undisclosed servicers to begin working with TBW borrowers, while HUD announced that Bank of America has taken over TBW's Ginnie Mae portfolio.
SOURCES: Florida Office of Financial Regulation
