Will Banks, Pols Reach A Settlement Over Robo-Signings?

There’s still no deal by the banks to settle claims against them for improper paperwork processing on mortgage foreclosures. There is a way now for those who believe they were wrongfully foreclosed on to state their case.

All the biggest banks are charged in this matter and are expected to eventually pay out $20 billion, rocking their stability and likely reducing their ability to lend.

The WSJ says: Bank regulators and the mortgage industry have launched a complaint process to reach out to more than 4 million homeowners to find and compensate any who were harmed by deficiencies in banks’ foreclosure operations.

Bank regulators in April ordered 14 large mortgage servicing firms to fix problems in their foreclosure-handling processes. The Office of the Comptroller of the Currency and Federal Reserve required these companies to hire independent consultants to fix those problems. The industry has now started sending letters to around 4.5 million borrowers who were in some stage of foreclosure in 2009 or 2010.

Consumers who want to have their foreclosure cases reviewed must submit their information by April 30, though it remained unclear how much they will be compensated, or whether they would be required to waive their right to sue their mortgage company to receive compensation.

About Luke Ford

Raised a Seventh-Day Adventist at Avondale College in Australia, Luke Ford moved to California in 1977. He graduated from Placer High School in 1984, reported the news at KAHI/KHYL radio for three years, attended Sierra College and UCLA, was largely bedridden by Chronic Fatigue Syndrome for six years, and converted to Judaism in 1993. From 1997-2007, Luke made his living from blogging. Living by Beverly Hills (Alexander90210.com), he now teaches the Alexander Technique (moving the way the body likes to move). Lessons cost $100 each and last about 45 minutes. In 2011, Luke completed a three-year teaching course at the Alexander Training Institute of Los Angeles. His personal Alexander Technique website is Alexander90210.com. Luke is the author of five books, including: » The Producers: Profiles in Frustration » Yesterday’s News Tomorrow: Inside American Jewish Journalism
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