From Bloomberg by David Mildenberg.
Bank of America Corp. became the latest firm to delay foreclosures as state officials stepped up pressure for a moratorium on evictions because lenders may have submitted faulty documents. …
Bank of America’s freeze “hopefully will give peace of mind to those monitoring the industry that we’ve used an abundance of caution that those foreclosures in process are handled correctly,” Frahm said in an interview. The Charlotte, North Carolina-based firm is not acknowledging that its associates have made errors in the foreclosure process, Frahm said.
“The extent of the problem is enormous,” said Max Gardner, a Shelby, North Carolina attorney who is involved in several lawsuits representing borrowers alleging improper loan servicing practices by banks. “It’s totally unrealistic for the bank to say they can complete this study in a couple of weeks.”