Bloomberg News

BofA Sees Eclipsing JPMorgan in Direct Mortgage Lending, FT Says

January 02, 2013

Bank of America Corp. (BAC:US) Chief Executive Officer Brian T. Moynihan said his firm should overtake JPMorgan Chase & Co. (JPM:US) in direct-to-consumer mortgage lending in the next six months, according to the Financial Times.

Moynihan, 53, also said he has directed bankers to be “more aggressive” in lending to companies, according to the FT, citing an interview with the CEO.

Total mortgage originations at Bank of America plunged 37 percent to $21.3 billion in the third quarter from a year earlier, according to newsletter Inside Mortgage Finance. The Charlotte, North Carolina-based company cut lending to pare assets deemed risky by regulators after its 2008 purchase of Countrywide Financial Corp. and shut a business that bought debt marketed by third-party firms.

Bank of America originated $53.4 billion of retail mortgages in the first nine months of 2012, ranking it third behind San Francisco-based Wells Fargo & Co.’s $189 billion and JPMorgan’s $81.5 billion, according to the newsletter.

Larry DiRita, a Bank of America spokesman, didn’t return phone and e-mail messages seeking comment on the FT report.

To contact the reporter on this story: Hugh Son in New York at hson1@bloomberg.net

To contact the editor responsible for this story: David Scheer at dscheer@bloomberg.net


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Companies Mentioned

  • BAC
    (Bank of America Corp)
    • $15.5 USD
    • -0.09
    • -0.58%
  • JPM
    (JPMorgan Chase & Co)
    • $59.19 USD
    • 0.18
    • 0.3%
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