The fourteen top U.S. mortgage lenders are reportedly near an agreement with federal regulators which would call for an servicers to completely revamp their foreclosure practices and handling of delinquent borrowers. The investigation and impending agreement stems from numerous allegations of foreclosure abuses, most notably rampant "robo-signing" that has plagued the foreclosure process. Insiders have stated that the regulators, which include the Office of the Comptroller of Currency, the Office of Thrift Supervision, and the Federal Reserve, could potentially announce the agreements as early as next week.
This round of agreements will likely come before any agreements made arising from the investigations being carried out by the 50 state attorney's general into the foreclosure practices of mortgage lenders. Any deal agreed to upon by the two sides will likely include new, mandatory minimum default servicing requirements as well as monetary penalties. Head of the Office of Comptroller of Currency John Walsh has stated that the banks emphasized "timeliness and cost efficiency over quality and accuracy" when pursuing foreclosures and they banks did not promote an environment "is consistent with conducting foreclosure process in a safe and sound manner."
Hopefully this settlement will be good news for the millions of struggling borrowers nationwide. If you are facing a Florida Foreclosure Lawsuit, contact a Florida Foreclosure Lawyer or a Jacksonville Foreclosure Lawyer today.
