The OCC has released a Stipulation and Consent Order issued to Colonial Savings, Federal Association, Fort Worth, Texas, ordering Colonial to pay a Civil Money Penalty of $87,500 to the National Flood Insurance Program, because of a “pattern or practice of failing to ensure the timely notification and force-placement of the requisite amounts of flood insurance on property securing loans in a special flood hazard area in which flood insurance is available under the National Flood Insurance Act ….”
The image above shows that Colonial Savings FA, bought Mortgage Servicing rights from FDIC after the financial collapse in 2008. It paid a shocking 4.75% of the Book value of the purchased loans. e.g. $44k for $930k worth of mortgage servicing rights.