Monthly Archives: October 2010
Banks ‘Want to Sit Down’ With States to Discuss Foreclosures
A 50-state task force investigating U.S. foreclosure practices may meet with lenders as early as this week, less than a month after JPMorgan Chase & Co. and Bank of America Corp. suspended some home seizures. “We’ve had several conference calls with major lenders,” Colorado Attorney General John Suthers said in an interview, declining to specify which ones. “The banks want to sit down with the attorneys general. These meetings are being set up,” said Suthers, whose office is a member of the executive committee of the task force. All 50 states on Oct. 13 announced a coordinated inquiry into whether […]
Wells Fargo Acknowledges Problems in Foreclosure Paperwork
Wells Fargo, which has stood by its foreclosure paperwork for weeks as other major lenders discovered errors and halted sales, conceded Wednesday it had discovered some flaws in its documents as well. The latest acknowledgement of problems from one of the nation’s biggest lenders points out that the failure to scrupulously check legal documents before foreclosing on delinquent homeowners has been widespread in the industry. Wells Fargo said it is submitting additional affidavits for roughly 55,000 foreclosures pending in 23 states, but said it does not have any plans to halt foreclosure sales. via Wells Fargo acknowledges problems in foreclosure […]
Banks Spend $82 Million to Sell Credit Cards to Students in 2009
Bank of America spends exponentially more money than any other bank to recruit students for credit cards. In 2009, Bank of America unit FIA Card Services paid colleges and alumni associations $62 million for the rights to market cards to students and members, according to a report from the Federal Reserve. The second biggest spender, Chase, dropped $13.8 million to recruit new borrowers, while U.S. Bank forked over $2.5 million. When the Credit Card Accountability and Responsibility and Disclosure Act — better known as the CARD Act — went into effect in February, it required credit card companies to disclose […]
Fed Reserve Making Foreclosure Inquiry
Federal Reserve Chairman Ben Bernanke added weight to those efforts Monday by saying the central bank would look “intensively” at policies and procedures that might have allowed banks to seize homes improperly. The Fed has the power to impose penalties on some of the nation’s largest banks. Still, most legal experts expect an investigation by attorneys general in all 50 states to have a swifter and more lasting impact. via Fed throws its weight into foreclosure inquiry.
FDIC Says Regulators Will Uncover More Flaws in Foreclosures
Regulators are likely to discover more problems related to loan servicing by some of the biggest banks as they probe claims that documents were mishandled, Federal Deposit Insurance Corp. Chairman Sheila Bair said. “We are going to get into more and more problems with the issues that are surfacing now on servicing,” Bair said today at a housing conference in Arlington, Virginia. Resulting litigation could “ultimately be very damaging to our housing markets if it ends up prolonging those foreclosures that are necessary and justified,” she said. Bair didn’t provide details on what other problems she thought might arise. JPMorgan […]
