Company: WAL-PA
Filing Date: 2025-08-01
Form Type: 10-Q
Source: 0001212545-25-000214
Chunk: 228

Company: WESTERN ALLIANCE BANCORPORATION
Filing Date: 2025-08-01
Form: 10-Q
Item: Part I, Item 8
Chunk 228
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 UPB of loans underlying these sales totaled $16.4 billion and $27.2 billion for the three and six months ended June 30, 2024, respectively. As of June 30, 2025 and December 31, 2024, the Company had a remaining receivable balance of $53 million and $37 million, respectively, related to holdbacks on MSR sales for servicing transfers, which are recorded in Other assets on the Consolidated Balance Sheet.The Company receives loan servicing fees, net of subservicing costs, based on the UPB of the underlying loans. Loan servicing fees are collected from payments made by borrowers. The Company may receive other remuneration from rights to various borrower contracted fees, such as late charges, collateral reconveyance charges, and non-sufficient funds fees. Contractually specified servicing fees, late fees, and ancillary income associated with the Company's MSR portfolio totaled $66.8 million and $125.8 million for the three and six months ended June 30, 2025, respectively, compared to $70.1 million and $137.1 million for the respective periods in 2024. Early payoff fee income totaled $6.1 million and $10.5 million for the three and six months 

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ended June 30, 2025, respectively, compared to $4.1 million and $8.8 million for the respective periods in 2024. These amounts are recorded as Net loan servicing revenue in the Consolidated Income Statement.In accordance with its contractual loan servicing obligations, the Company is required to advance funds to or on behalf of investors when borrowers do not make payments. The Company advances property taxes and insurance premiums for borrowers who have insufficient funds in escrow accounts, plus any other costs to preserve real estate properties. The Company may also advance funds to maintain, repair, and market foreclosed real estate properties. The Company is entitled to recover all or a portion of the advances from borrowers of reinstated and performing loans, from the proceeds of liquidated properties or from the government agency or GSE guarantor of charged-off loans. Servicing advances are charged-off when they are deemed to be uncollectible. As of June 30, 2025 and December 31, 2024, net servicing advances totaled $51 million and $84 million, respectively, which are recorded as Other assets on the Consolidated Balance Sheet.The following table presents the effect of hypothetical changes in the fair value of MS