Just recently it was announced that the NY Fed is probing Goldman Sachs mortgage servicing unit Litton Loan Servicing
BLOOMBERG-
Goldman Sachs Group Inc. (GS) agreed to sell Litton Loan Servicing LP to Ocwen Financial Corp. (OCN) for $263.7 million in cash, ending the New York-based bank’s 3-1/2 year experiment in processing home-loan payments.
In addition to the cash payment, which may be adjusted at closing, Ocwen will pay about $337.4 million to retire some of Litton’s debt, according to a filing by West Palm Beach, Florida-based Ocwen. The sale of Litton comes two months after Goldman Sachs wrote down the value of the mortgage-servicing business by about $200 million.
How does this sale help the homebuyers? I have been struggling with Litton loan to get accurate information on my home modification and still no resolution. They have lost paperwork I have sent multiple times. Will this acquisition help the consumer?