Bank Settlement Primarily Benefits Banks, Leaves Mortgage Fraud Victims in the Cold

The details of the national mortgage fraud settlement with Bank of America, JP Morgan Chase, CitiGroup, Ally Financial and Wells Fargo are in, and nobody is happy except the banks. Max’s initial reaction to the settlement: The reports released today by the Investigator General for HUD with respect to the five major banks involved in the settlement with the Department of …

Sorry ‘Bout that Wrongful Foreclosure…Here’s $1500

David Dayen at Firedoglake took a look at the latest version of the proposed foreclosure fraud settlement this morning, and (surprise, surprise), it’s still “woefully inadequate”. In a nutshell, those who lost their homes to fraudulent proceedings would get about $1500–about enough to pay a security deposit on a nice place in the midwest or a studio apartment (maybe) in …

Representative Tammy Baldwin Introduces Resolution Against Servicer Releases

For more than a year, we’ve been watching key players in the “investigation” by Attorneys General across the country into fraudulent and otherwise illegal mortgage and foreclosure practices drift toward an inadequate settlement based on insufficient information.  Individual AGs who object too strenuously to the rush to settlement, like New York Attorney General Eric Schneiderman, are ignored, reviled or even …

Delaware v. MERS

On October 27, Delaware Attorney General Beau Biden filed suit against MERS, alleging that the registry had repeatedly violated the state’s Deceptive Trade Practices Act.  In a press release, AG Biden said: Since at least the 1600s, real property rights have been a cornerstone of our society. MERS has raised serious questions about who owns what in America. A man …

One Year Later…Nothing

It’s been a year since 50 state Attorneys General announced that they would undertake an investigation into bank foreclosure procedures. Many of us thought government regulators were a bit late to the party at that point, but since the damage was still in full swing they could still have taken meaningful action. Unfortunately, that hasn’t happened: at the one-year anniversary …

Nevada Expands Bank of America Lawsuit

ProPublica is reporting that the state of Nevada significantly increased the scope of its lawsuit against Bank of America today. Nevada’s attorney general charges that Bank of America and the now-defunct mortgage giant Countrywide acquired by the bank in 2008, deceived borrowers and investors at almost every stage of the process. According to the suit, borrowers were duped into unaffordable …