June 08, 2017

Federal Reserve Board announces termination of enforcement action with and $1.8 million civil money penalty against EverBank Financial Corp

For release at 5:30 p.m. EDT

The Federal Reserve Board on Thursday announced the termination of an enforcement action against EverBank Financial Corp (EFC) issued in April 2011 related to residential mortgage loan servicing and foreclosure processing. The Board also announced a $1.8 million civil money penalty against EFC for its mortgage servicing deficiencies related to that enforcement action.

The enforcement action required EFC to enhance its oversight over the mortgage servicing and foreclosure processing of its thrift subsidiary, EverBank. A separate enforcement action also issued in April 2011 required EverBank, supervised by the Office of the Comptroller of the Currency (OCC), to correct its servicing practices. In January 2016, the OCC terminated that action because it determined that EverBank had complied with the action's requirements. The termination of the action against EFC reflects that Federal Reserve supervisory teams have found sustainable improvement in EFC's oversight over EverBank's mortgage servicing practices.

The April 2011 enforcement action against EFC was taken in conjunction with Board enforcement actions against other major mortgaging servicing organizations and required correction of their servicing deficiencies. The Board assessed penalties against mortgage servicing institutions when the institutions entered into the National Mortgage Settlement with the Justice Department and the state Attorneys General. The Board believes that penalties are appropriate against EFC and the remaining institutions that have not entered into the National Mortgage Settlement.

These actions against EFC are being announced at this time in order to coordinate with the timing of the acquisition of EFC by Teachers Insurance and Annuity Association.

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Last Update: June 08, 2017