Monday, May 6, 2013

New York to sue BofA, Wells over mortgage settlement violations

The New York attorney general's office is set to announce lawsuits against Bank of America and Wells Fargo, claiming documented violations of the sweeping mortgage settlement between states and five big banks last year, according to an announcement from the office.

New York Attorney General Eric Schneiderman said his office has found 339 violations between the two banks. It is unclear what violations what type they are. The $25 billion settlement, reached last year, included a slate of more than 300 new servicing rules each bank is required to follow.

But thousands of complaints have continued to pour into the Consumer Financial Protection Bureau. The Observer found earlier this year that banks have continued some practices the settlement was intended to eliminate, like "dual tracking" homeowners through loan modifications and foreclosure processes at the same time.

The suits could pave the way for other state attorneys general to take similar actions. North Carolina Attorney General Roy Cooper was one of the chief architects of the settlement. Former N.C. banking commissioner Joseph Smith, who is now overseeing the settlement, is scheduled to a release a progress report on the banks' adherence to the settlement later this spring.


Anonymous said...

Forget New York and all of those liberal cronies.

Anonymous said...

Agreed. Ban guns, how much ammo you, as a responsible citizen, can load into that gun and how much soda you can drink. Will never visit that city again until they lose the leftist bullies. My guess is that a small percentage are just angry and trying to cause a stir with the banks.