Mr. Cooper pauses mortgage payments of 86,000 borrowers

by Candyd Mendoza07 Apr 2020

A week after Congress approved the $2 trillion CARES Act, Mr. Cooper has placed 86,000 borrowers on forbearance plans to help mitigate the effects of the coronavirus outbreak.

The figure represents 2.5% of Mr. Cooper’s total customer base. Mr. Cooper, among other firms, is mandated to allow borrowers impacted by the pandemic to delay mortgage payments for up to a year.

Mr. Cooper announced Monday that its forbearance volumes ranged from 8,000 to 22,000 per day. The company suffered a net loss of approximately $200 million in the first quarter, according to its regulatory filing.

“What we are experiencing is unprecedented, and although it is too soon to tell what the long-term effects of this pandemic will be, we know that right now, homeowners need a solution for mortgage payment relief,” said Jay Bray, chairman and CEO of Mr. Cooper Group. “We are pleased that the CARES Act creates a simple, consistent solution for our customers. As we continue to navigate this new territory, our team members are working around the clock to ensure we keep the dream of homeownership alive for our nearly 4 million customers."

Last week, Mr. Cooper added new programs and digital tools to its COVID-19 assistance efforts.