The U.S. Attorney’s Office for the District of Connecticut, on behalf of the RMBS Working Group, is seeking an order to compel Clayton to cooperate with a subpoena issued in early July.

Sources contend that other pending jumbo deals could be reduced in size until the market improves.

Is refi specialist CashCall still on the auction block? It’s hard to say since the company doesn’t return telephone calls about the matter.

Not only is Citigroup selling $61 billion in legacy MSRs, but the megabank is trying to clear out its legacy buyback exposure.

David Akre of Five Oaks projects that in a few years, issuance of non-agency jumbo MBS could reach $300 billion annually.

The MBS lawsuits target Barclays, Credit Suisse, Goldman Sachs, JPMorgan Chase, Morgan Stanley, Residential Funding Securities, Royal Bank of Scotland, UBS and Wachovia.

Citadel Servicing CEO Dan Perl said "the phones are ringing like a son-of-a-gun" at his nonprime lending shop.

The jumbo features that Moody's worries about include super senior support bonds, exchangeable securities, principal-only bonds, and pool interest-only bonds.

The talk has prompted speculation that the FHFA could lower the conforming loan limit to $400,000 or, as conservator of the GSEs, direct them to reduce high-cost loan limits.

Banking regulators believe delinquency rates on HELOCs soon may rise sharply upward as a significant number of second liens reach the end of their draw period.