SERVICING

9 Months Ended

Sep. 30, 2022

Loans and Other Servicing Accounts

Servicing

Servicing

NOTE 5—SERVICING

The total unpaid principal balance of loans the Company was servicing for various institutional investors was $120.8 billion as of September 30, 2022 compared to $115.7 billion as of December 31, 2021.

As of September 30, 2022 and December 31, 2021, custodial escrow accounts relating to loans serviced by the Company totaled $3.1 billion and $3.7 billion, respectively. These amounts are not included in the Condensed Consolidated Balance Sheets as such amounts are not Company assets; however, the Company is entitled to earn fees on these escrow balances, presented as a component of Escrow earnings and other interest income in the Condensed Consolidated Statements of Income. Certain cash deposits at other financial institutions exceed the Federal Deposit Insurance Corporation insured limits. The Company places these deposits with financial institutions that meet the requirements of the Agencies and where it believes the risk of loss to be minimal.