Banks Exceed Mortgage Aid Promised to Californians, Monitor Says

September 24, 2013
Los Angeles Times 
mortgage lending news
Bank of America, Wells Fargo, and JPMorgan Chase have provided more than $18.4 billion in relief to California homeowners. This exceeds by 50 percent the $12 billion promised in a settlement of foreclosure-abuse allegations 20 months ago, according to the monitor, UC Irvine law professor Katherine M. Porter. “I am very, very pleased that these banks delivered such widespread principal reduction so quickly,” Porter said. She pointed out that the California aid included three components: short sales, second liens, and first liens. The California agreement was part of a national settlement announced in February 2012 by Bank of America, Wells, Chase, Citigroup, involving investigations of foreclosure abuses by 49 states and the federal government. The relief is not official until the national mortgage monitor, former North Carolina banking commissioner Joseph A. Smith Jr., has completed auditing of the banks' reports, which should be accomplished by year-end.

Abstract News © Copyright 2008-2013 INFORMATION, INC.
Powered by Information, Inc.

Stay Updated

Join the fight against predatory lending. Enter your e-mail to sign up for breaking news, action alerts, and CRL's original research.

   Please leave this field empty

Help Us End Predatory Lending

Predatory lending destroys family wealth, and preys on our most vulnerable communities. You can help us end abusive lending practices by donating to CRL, or by sharing our work with others.