Credit ratings agency Standard & Poor’s (S&P) has affirmed the “strong” ranking assigned to non-major lender IMB as a prime residential loan servicer.
S&P said the ranking reflects IMB’s sound servicing quality, supported by its experienced management team and effective use of technology in the bank’s well-automated mortgage servicing operations.
IMB’s key servicer strengths include a comprehensive risk management framework, a well-designed internal controls framework and internal audit program, effective quality assurance reviews of approved loans, and a robust training and development program.
S&P said IMB also has strong servicing and policy procedures, contributing to a low arrears level that compares favourably to the agency’s Performance Index (SPIN) for Australian prime RMBS transactions.
“The stable outlook reflects our expectation that IMB will continue to maintain its servicing strengths, which are underpinned by its experienced management, strong servicing policy and procedures, and the continual enhancement of its already efficient loan-servicing platform,” it said.
However, S&P noted that a servicer ranking is a statement of the agency's opinion and not a statement of fact, and should not be represented as a credit rating.