OCC Ends Servicing Consent Orders Against Two Banks

The Office of the Comptroller of the Currency (OCC) has terminated the mortgage servicing-related consent orders against JPMorgan Chase Bank and EverBank that were initially imposed against the financial institutions in April 2011 and later amended in February 2013 and June 2015. The termination follows the assessment by the regulator that both banks are now complying with their respective orders.

The OCC stated that JPMorgan violated the 2011 consent order from Oct. 1, 2014 through June 30, 2015, adding in a press statement that the company “engaged in filing practices in bankruptcy courts with respect to payment change notices that did not comply with bankruptcy rules and constituted unsafe or unsound banking practices” between Dec. 1, 2011, and Nov. 19, 2013. The OCC imposed a $48 million penalty against the lender.

The OCC also stated that EverBank violated its 2011 consent order by “improperly charging fees related to mortgage electronic registration system assignments, property inspections, and late fees to approximately 47,000 borrowers.” These fees were charged by Everbank between January 2011 and March 2015, and the OCC noted these fees occurred “outside the scope of the Independent Foreclosure Review and the 2013 IFR Payment Agreement.”

EverBank has been issuing $1.6 million in remediation payments to borrowers that were charged these fees, and the OCC added a $1 million penalty against the lender.