Moody's withdraws servicer quality rating from Barclays' HomEq
Credit rating agency Moody's Investors Service withdrew Friday the servicer quality ratings of Barclays Capital Real Estate mortgage servicing business HomEq Servicing. Moody's withdrew the ratings on HomEq Servicing after the sale to Ocwen Loan Servicing closed on Sept. 1, 2010, since "the HomEq servicing portfolio, platform, and employees have been absorbed into the Ocwen platform," the agency said in an email. The previous rating action for HomEq's SQ ratings occurred on Sept. 21, 2009. At that time, Moody's downgraded HomEq's SQ ratings to SQ2+ from SQ1- as a Primary Servicer of subprime residential mortgage loans. A rating of SQ5+ is the strongest. The SQ rating reflects Moody's expectation of the impact that the servicing will have on the on-going credit performance of the portfolio. Write to Jacob Gaffney.