View more on these topics

Money Partners RMBS goes 34% into arrears

Three of Money Partners’ residential mortgage-backed securities tranches have over 34% of their book in arrears of 90 days or more.

As of February 2011, Money Partners Securities 2 cumulative losses as a percentage of the original portfolio balance amounted to 4.1%, up from 1.5% in May 2008.

Loans delinquent by more than 90 days, including outstanding repossessions as a percentage of the current non-conforming portfolio balance, amount to 34.3% an increase from 17.9% in May 2008.

Around 12.7% of the MPS2 current portfolio balance is represented by loans in arrears by more than 360 days.

In June last year Moody’s downgraded MPS3 and MPS4 and at the time loans in arrears of more than 90 days totalled around 31.9% and 34.3% respectively.
The Goldman Sachs-owned lender suspended new lending in February 2009.

Moody’s says it has downgraded the tranches because of the macroeconomic environment, elevated unemployment, weak house prices, anticipated tightening of fiscal policy and an expected increase in interest rates.

The ratings agency has also downgraded nine classes of notes issued by Kensington Mortgage Securities plc Series 2007-1.

Loans delinquent by more than 90 days, including outstanding repossessions as a percentage of the current portfolio balance, amount to 29% an increase from 13.1% as of September 2008.

In March Mortgage Strategy reported that overall, 23% of Kensington Mortgages’ portfolio was 180 days or more in arrears in 2010.

Recommended

Soaring demand could see renters priced out

A potential housing crisis is brewing which could lead to renters being priced out of the market, John Heron, managing director of Paragon Mortgages, has warned. A shrinking owner-occupier sector, lack of new homes and fewer homes in the social rented sector means tenant demand is at an all-time high. Heron says: “It’s clear we […]

Value of surveys

Value of surveys

The downturn and allegations of over-valuations and potential fraud have taken a toll on the surveying industry and its relationship with brokers. But it’s time to start rebuilding trust and ensure advisers are educated on how surveys can help business and customers

Guide

Guide: day-to-day tasks ​— can your system manage?

This guide from Johnson Fleming will take you through the required communication and also give ideas for additional actions that will ensure your auto-enrolment project is a success. As well as highlighting what is required from a system to ensure it is up to the tasks, an overview of the following is also provided: data validation; data categorisation; employee communication; opt-in process; opt-out process; produce contribution schedule; contribution reconciliation process; upload of member data to pension provider; upload contribution to pension provider; manage salary sacrifice process; enrolment process; re-enrolment process; and management of increased employee queries.

Newsletter

News and expert analysis straight to your inbox

Sign up