It’s not quite a re-brand, but it’s definitely in the ballpark. Ocwen Financial Corporation will be doing most of its business from now on through its two subsidiary brands, PHH Mortgage Corporation and Liberty Home Equity Solutions, the company has announced.
The move comes following the completion of Ocwen’s loan-transfer process, which transitioned the company’s loans from its REALServicing platform – a platform the company’s own head of servicing described as a “train wreck” – to Black Knight LoanSphere MSP. The company initiated the transfer in 2017 after the Consumer Financial Protection Bureau and more than 30 states slapped it with penalties for various servicing abuses. In total, Ocwen transferred approximately 1 million loans to Black Knight’s platform.
Ocwen also completed the merger of its legal entity, Ocwen Loan Servicing, into PHH Mortgage Corporation, the company announced. Ocwen acquired PHH last year in a $360 million deal. As a result of both the transfers and the merger, Ocwen will now provide mortgage services through PHH Mortgage Corporation for forward servicing and lending and Liberty Home Equity Solutions for reverse lending and servicing. Ocwen said that it also expected “to evaluate future branding alternatives.”
“The successful completion of the loan transfers and legal-entity consolidation are the most important milestones in the PHH integration,” said Glenn A. Messina, president and CEO of Ocwen. “Completion of these critical activities serves as a catalyst for continued growth and process improvement, and enables our planned cost re-engineering for the balance of 2019 and 2020. … Overall, I am pleased with our progress to date on delivering on our objectives to strengthen and position the company for a return to profitability.”