Welcome to The Home Equity Theft Reporter, a blog dedicated to informing the consumer public and the legal profession about Home Equity Theft issues. This blog will consist of information describing the various forms of Home Equity Theft and links to news reports & other informational sources from throughout the country about the victims of Home Equity Theft and what government authorities and others are doing about it.
Friday, January 08, 2016
After Already Coughing Up $2 Billion, JP Morgan Chase Gets Clipped By Banking Feds For An Additional $48 Million For Its Dubious Loan Servicing Practices That Screwed Over Homeowners In Foreclosure
The New York Times reports:
JPMorgan Chase will pay an additional $48 million to settle remaining issues stemming from missteps in its handling of mortgage servicing accounts after the 2008 financial crisis.
The bank already paid $2 billion in a 2013 settlement with the Office of the Comptroller of the Currency, but did not meet all the obligations of that earlier settlement. The new penalty, announced by the regulator on Tuesday, resolved remaining problems.
Several other banks have been forced to clean up their mortgage servicing processes under orders by regulators last year because they also had failed to meet the terms of that 2013 settlement, which ultimately included 15 banks that paid about $11 billion.
Other banks that have resolved issues and are no longer subject to regulator-imposed restrictions on their servicing activities include Bank of America, Citibank, PNC, One West and EverBank. In EverBank’s settlement, also announced on Tuesday, it will pay $1 million.
Four banks remain under restrictions until they fix lingering issues, including HSBC Bank USA, Santander Bank, U.S. Bank and Wells Fargo.
A JPMorgan spokeswoman said, “Our mortgage employees have worked very hard over the last several years to make changes that will further enhance the customer experience and we’re pleased by the outcome of the O.C.C.’s assessment of our work.”
Big mortgage servicers had gotten into trouble for mishandling loan processing, including using so-called robo-signing to endorse foreclosure affidavits. JPMorgan had been scrutinized for inaccurate payment change notices, untimely filings and inaccurate credentials on those filings.
The comptroller office said that from December 2011 to November 2013, JPMorgan’s payment change notices in bankruptcy court didn’t comply with bankruptcy rules and were “unsafe or unsound” banking practices.
CBC News: Betrayal of Trust (A CBC investigation reveals how lawyers across Canada have misappropriated and mishandled clients money, to the tune of tens of millions of dollars, or sometimes even charging vulnerable people top dollar for shoddy services)
Land Contract/Contract For Deed/Rent-To-Own Rackets
The New York Times: The Housing Trap (In the wake of the housing crisis, low-income families have turned to seller financing to buy homes but these deals can be a money trap)
Beware The Fine Print: Consumers Forced To Sign Away Their Rights To Use Court System
The NY Times: Arbitration Everywhere, Stacking the Deck of Justice(Part 1 in series examining how clauses buried in tens of millions of contracts have deprived Americans of one of their most fundamental constitutional rights: their day in court)
Foreclosure Mills' Abysmal Record In Complying With New NYS Foreclosure Requirements
Justice Deceived: How Large Foreclosure Firms Subvert State Regulations Protecting Homeowners
MFY Legal Services Report On Questionable Practices By Process Servers In Debt Collection Cases
Justice Disserved: A Preliminary Analysis of the Exceptionally
Low Appearance Rate by Defendants in Lawsuits Filed in the Civil Court of the City of New York
Mortgage Mess Redux: Robo-Signers Return (A Reuters investigation finds that many banks are still employing the controversial foreclosure practices that sparked a major outcry last year)
CNN Video: As Foreclosures Mount, Florida Court Turns To 'Rocket Docket'
The Wall Street Journal: A Florida Court's 'Rocket Docket' Blasts Through Foreclosure Cases (2 Questions, 15 Seconds, 45 Days to Get Out; 'What's to Talk About?' Says a Judge)
"Produce The Note" Strategy When Dealing With Missing Promissory Notes In Foreclosure Actions
ABC Video: Fighting Against Foreclosure (Some homeowners have found a new tactic to keep the banks at bay)
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