-
Our hope and plan was that the settlement would show principal reduction works and that it would spur the use of writedowns in other loan modifications. That is now occurring.
March 7 -
A side deal struck with the three largest mortgage lenders continues to benefit underwater borrowers in the Golden State, according to the agreement's monitor.
February 21 -
Housing advocates say there is a gap between the relief borrowers are seeing on the ground and what the five largest servicers agreed to do as part of the $25 billion settlement signed in February.
December 7
WASHINGTON — Sen. Barbara Boxer is urging officials to investigate whether banks are complying with certain provisions of the national mortgage settlement announced last year.
The California Democrat sent a letter Friday to Joseph Smith, the national mortgage settlement monitor, Shaun Donovan, secretary of Housing and Urban Development, and Attorney General Eric Holder, in response to a survey of housing counselors that found some banks were violating consumer protections mandated under the $26 billion settlement. Some of the ongoing problems reported included failing to provide a single point of contact, continued use of dual tracking and slow response times on applications for loan modifications, among other issues. The California Reinvestment Coalition
"I strongly urge you to investigate the violations reported in this survey and to hold the banks accountable by taking strong enforcement actions," Boxer wrote in the letter. "Too many Californians already have lost their homes unnecessarily during the foreclosure crisis due to bank malfeasance or error. It is essential that you take swift action to ensure that the banks are meeting their obligations under the terms of the settlement and that struggling homeowners receive the assistance they need."
Joseph Smith, the monitor for the settlement, is scheduled to testify Thursday before a Senate Banking subcommittee.
