The performance of first-lien mortgages serviced by large national banks and federal savings associations declined slightly during the second quarter of 2011, according to a report released Sept. 29 by the Office of the Comptroller of the Currency (OCC). The quarterly OCC Mortgage Metrics Report showed that 88 percent of the 32.7 million loans in the portfolio were current and performing at the end of the second quarter, down from 88.6 percent at the end of the first quarter, but up from 87.3 percent a year earlier. The decline in portfolio quality is mainly attributable to an increase in early-stage delinquencies – mortgages 30-to-59 days delinquent – which reflects seasonal effects as well as a sluggish economy and elevated unemployment.  To view the report, click here.