Fitch Assigns Servicer Ratings To Seneca Mortgage Servicing, LLC

NEW YORK--(BUSINESS WIRE)-- Fitch Ratings has initiated coverage of Seneca Mortgage Servicing, LLC (Seneca) and has assigned the following U.S. residential mortgage servicer ratings.

--U.S. Primary servicer rating for prime product 'RPS3'; Outlook Stable;

--U.S. Primary Special servicer rating 'RSS3'; Outlook Stable;

The rating assignments and Stable Outlook are based on Seneca's developed servicing platform, experienced management team, financial support and oversight by the parent company, and its staffing and retention practices. Additionally, the ratings take into consideration the servicer's enterprise risk management practices and its systems and technology capabilities.

Seneca f/k/a AMS Servicing LLC (AMS) was established in 2008 as a special servicer of residential and small balance commercial mortgages. In February 2014, Seneca Mortgage Investments LP (SMI), a real estate investment company that invests in mortgage servicing rights (MSRs), acquired AMS, from Arbor Commercial Mortgage, LLC. The acquisition was completed as a joint venture among affiliates of GSO Capital Partners LP; EJF Capital, LLC, and Arbor Residential Mortgage.

The servicer operates its mortgage loan servicing business from Elma, New York and its corporate functions are performed in Manhattan, New York. As of May 31, 2015, Seneca primary serviced 183,611 loans for $42.5 billion and special serviced 7,095 loans for $1.3 billion. On Dec. 31, 2014, Seneca primary serviced 111,972 loans for $25.4 billion and special serviced 5,875 loans for $940 million.

The servicer maintains a highly experienced management team averaging over 29 years industry experience and has successfully recruited various industry professionals to support its ongoing growth plans. Furthermore, Seneca has a highly developed internal control environment that includes effective internal audit, compliance, and quality control practices with strong oversight by senior management. In addition, the servicer uses third-party providers to enhance its internal audit and quality control processes.

Seneca maintains an integrated technology platform that supports its mortgage servicing operations. The servicer utilizes an industry standard mortgage servicing system, which provides capacity and growth potential for its business needs. During the current review period, the servicer experienced elevated levels for both average hold times and abandonment rates for its customer service and collections areas. The servicer indicated that it has implemented new technology enhancements and increased management oversight over these areas leading to improving trends in both customer service and collections.

Fitch will continue to monitor Seneca's ability to maintain its strategic growth objectives operating as a non-bank servicer in a highly regulated environment.

Additional information is available at 'www.fitchratings.com'.

Applicable Criteria and Related Research:

--'Rating U.S. Residential and Small Balance Commercial Mortgage Servicer Rating Criteria' (April, 2015).

Applicable Criteria

Rating Criteria for Structured Finance Servicers (pub. 23 Apr 2015)

https://www.fitchratings.com/creditdesk/reports/report_frame.cfm?rpt_id=864375

Rating Criteria for U.S. Residential and Small Balance Commercial Mortgage Servicers (pub. 23 Apr 2015)

https://www.fitchratings.com/creditdesk/reports/report_frame.cfm?rpt_id=864368

Additional Disclosures

Solicitation Status

https://www.fitchratings.com/gws/en/disclosure/solicitation?pr_id=987279

Endorsement Policy

https://www.fitchratings.com/jsp/creditdesk/PolicyRegulation.faces?context=2&detail=31

ALL FITCH CREDIT RATINGS ARE SUBJECT TO CERTAIN LIMITATIONS AND DISCLAIMERS. PLEASE READ THESE LIMITATIONS AND DISCLAIMERS BY FOLLOWING THIS LINK: HTTP://FITCHRATINGS.COM/UNDERSTANDINGCREDITRATINGS. IN ADDITION, RATING DEFINITIONS AND THE TERMS OF USE OF SUCH RATINGS ARE AVAILABLE ON THE AGENCY'S PUBLIC WEBSITE 'WWW.FITCHRATINGS.COM'. PUBLISHED RATINGS, CRITERIA AND METHODOLOGIES ARE AVAILABLE FROM THIS SITE AT ALL TIMES. FITCH'S CODE OF CONDUCT, CONFIDENTIALITY, CONFLICTS OF INTEREST, AFFILIATE FIREWALL, COMPLIANCE AND OTHER RELEVANT POLICIES AND PROCEDURES ARE ALSO AVAILABLE FROM THE 'CODE OF CONDUCT' SECTION OF THIS SITE. FITCH MAY HAVE PROVIDED ANOTHER PERMISSIBLE SERVICE TO THE RATED ENTITY OR ITS RELATED THIRD PARTIES. DETAILS OF THIS SERVICE FOR RATINGS FOR WHICH THE LEAD ANALYST IS BASED IN AN EU-REGISTERED ENTITY CAN BE FOUND ON THE ENTITY SUMMARY PAGE FOR THIS ISSUER ON THE FITCH WEBSITE.

View source version on businesswire.com: http://www.businesswire.com/news/home/20150701006096/en/

Fitch Ratings
Primary Analyst
Michael Laidlaw
Director
+1-212-908-0251
Fitch Ratings, Inc.
33 Whitehall Street
New York, NY 10004
or
Secondary Analyst
Thomas Crowe
Senior Director
+1-212-908-0227
or
Committee Chairperson
Suzanne Mistretta
Senior Director
+1-212-908-0639
or
Media Relations:
Sandro Scenga, +1 212-908-0278
[email protected]

Source: Fitch Ratings

---

Serious News for Serious Traders! Try StreetInsider.com Premium Free!

---

You May Also Be Interested In

• T-Mobile executives oppose $300B Deutsche Telekom merger plan - report
• WAKE TEAMS WITH THRILL SPORTS TO ENTER THE U.S. MARKET WITH WORLD RECORD-SETTING STUNT, REINVENTING HOW CONSUMER BRANDS LAUNCH IN THE DIGITAL ERA
• Airwheel Showcases AI Wheel Cabin 20 Inch Luxury Suitcase Innovation at ChinaJoy 2026, Bringing Smart Scooter Carry on Hand Boarding Travel Electric Luggage to the Future of Mobility