Non-bank mortgage servicing giant Nationstar settled a huge class action law suit in November, 2015 over requiring homeowners to purchase “forced placed insurance.” They settled the case for $77 million and have attempted to bounce back from years of bad publicity since the housing crisis. Recently, the company announced they will rebrand as Mr. Cooper, a mortgage company with a customer-first approach to doing business.
“If there’s any industry that’s sort of old-school and old-fashioned, it’s mortgage … so we’re trying to think of ourselves more as a consumer product company that embraces technology,” said Kevin Dahlstrom, Nationstar’s chief marketing officer. The company opened their headquarters in suburban Dallas less than a year ago. Mr. Cooper is planning on putting a lot of money and effort into revamping their website and investing in mobile apps, according to The Dallas Morning News.
Nationstar also plans to combine its originations and servicing business under the Mr. Cooper brand umbrella. The company currently has over 2.5 million existing customers. CEO Jay Bray discussed the new name with online the publication Housing Wire.
Bray said that when customers have a positive mortgage experience, it’s because of “connection with an individual,” and Mr. Cooper is meant to represent that.
“So Mr. Cooper is meant to be that advocate, that person that’s going to connect with the customers to deliver a better experience and be an advocate for them day in and day out,” Bray said. “And when you talk to the customers about (Mr. Cooper), it’s been very positive as well.”
Bray said the launch of Mr. Cooper also includes a “completely new web and mobile experience” that the company anticipates launching in the first half of 2016, as well as “new products and service offerings designed to remove the worry in the home loan process and reward customers over the life of their loan.”
Will the new name be enough to turn around the company’s image? Let us know what you think in the comments.