BoA Production Edges Up as Servicing Slides

Servicing portfolio has been falling since 2001
By MortgageDaily.com staff
4/16/2003

Loan production at Bank of America increased even as the size of its servicing portfolio continued a nearly two-year slide.

In its recent announcement of earnings, the Charlotte-based bank said mortgage loan originations reached $32.6 billion, up from $31.9 billion in the fourth quarter and $17.9 billion a year earlier. By origination channel, production was reported at $21.8 billion for retail and $10.8 billion for wholesale.

At the same time, Bank of America's mortgage servicing portfolio fell to $257.2 billion from $264.5 billion the prior quarter. The size of the servicing portfolio has fallen every quarter since the third quarter of 2001 -- when it was reported at $338.4 billion.

Mortgage banking income rose 108% to $405 million, and net income for Bank of America Corporation as a whole -- which says it is the second largest banking company in the U.S. by market capitalization -- was reported at $2.42 billion for the quarter.

Special Programs