Bank of America cuts 3,000 mortgage positions
Cuts come as refi demand dwindles
According to The Wall Street Journal, Bank of America (BAC) plans to slash another 3,000 mortgage jobs in the fourth quarter as it seeks to cut expenses in response to a drop in refinancing and within its delinquent loan portfolio.
The bank notified about 1,200 employees Thursday in its legacy mortgage group and its home loans fulfillment unit that they will be let go, said a person familiar with the matter. The bank is also aiming to cut a total of 3,000 jobs in its legacy asset servicing group, the unit that manages the bank’s mortgage portfolio. That unit doesn’t originate loans, but services both current and delinquent loans.
The majority of the jobs cut will come from temporary contracting companies, the people said. The exact breakdown hasn’t been decided, one of the people said.