FHA lender Taylor, Bean & Whitaker (TBW) might be done for, but its Ginnie Mae securities portfolio has already found a new servicer. According to a US Department of Housing and Urban Development (HUD) spokesperson, Ginnie took back the securities portfolio, worth about $26.5bn, from TBW after HUD suspended its FHA approval. Bank of America (BAC) will service those loans within the securities as Ginnie Mae’s master sub-servicer because of a 2003 bidding process won by Countrywide, which merged with BofA in July of 2008. BofA will service that portfolio until the contract expires. The assignment of TBW’s portfolio to BofA as servicer comes as the latest blow to the Ocala, Fla.-based mortgage lender after it said on August 5 it would cease all origination operations in cooperation with HUD and Ginnie. “Regrettably, TBW will not be able to close or fund any mortgage loans currently pending in its pipeline,” the lender said in a statement. “TBW is cooperating with each of the agencies with respect to its servicing operations and expects to continue to service mortgage loans as it restructures its business in the wake of these events.” In the days after issuing the statement, however, it not only became clear BofA would take on the servicing responsibilities, but doubts also circulated the industry regarding TBW’s solvency as an operating company. In court papers filed August 6, TBW said that “bankruptcy filing was imminent,” according to industry reports. Lawyers from Steptoe & Johnson made the filing on TBW’s behalf in hopes of halting HUD’s and Ginnie’s actions against it, halting all origination and underwriting of new FHA-insured mortgages. Representatives for TBW and Steptoe & Johnson were not available for comment. Write to Jon Prior.

More: