You may have noticed that Nationstar is no more. After several years of transitioning, Nationstar has officially renamed itself “Mr. Cooper.” Why the new name? According to CEO Jay Bray, it’s all part of a “cultural shift” to improve the experience for customers, as Bray’s mission is to be the leader in service.
Time to Rebrand
The former Nationstar has quite a history. It was among the most complained-about companies, according to the Consumer Financial Protection Bureau’s reports on consumer complaints. Nationstar was also previously hit by the Bureau with the largest civil penalty ever imposed, in the amount of $1.75 million, for Home Mortgage Disclosure Act violations.
Due to such negative publicity, presumably, the Nationstar team realized that a total rebrand would create a new identity for the mortgage servicer. The “Mr. Cooper” brand hopes to create an impactful relationship with its customers, “upgrading [the] customers’ experience and challenging the standard for customer service in the mortgage industry.”
Mr. Cooper has already transformed its name, website, and mobile app; and aims to completely transform its identity to “personify” its relationship with customers. Mr. Cooper moved its customer service operations back to the United States and also released a Home Rewards credit card that provides customers with 1% cash back on purchases where the rewards are applied to the borrower’s mortgage principal.
What This All Means
The Nationstar-Mr. Cooper transformation leaves a few questions to be answered. Will Mr. Cooper erase Nationstar’s negative past? Will other mortgage servicers, hoping to shed their culpability in the foreclosure crisis, also rebrand? Will “Ms. Doe” be next? Even if rebrands happen, our question at Oppenheim Law is, can a leopard change its spots?
From the trenches,