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Federal Government & Attorneys General reach landmark settlement with major banks
Roughly $25 billion in relief for distressed borrowers, states and federal government...In February 2012, 49 state attorneys general and the federal government announced a historic joint state-federal settlement with the country’s five largest loan servicers:
The settlement provides as much as $25 billion in relief to distressed borrowers and direct payments to states and the federal government. It’s the largest multistate settlement since the Tobacco Settlement in 1998.The agreement settles state and federal investigations finding that the country’s five largest loan servicers routinely signed foreclosure related documents outside the presence of a notary public and without really knowing whether the facts they contained were correct. Both of these practices violate the law. The settlement provides benefits to borrowers whose loans are owned by the settling banks as well as to many of the borrowers whose loans they service.
  • About the Settlement: Learn about the settlement, who is affected and what claims may still be pursued against the banks. Find links to your state Attorney General’s Office to find state-specific information and contacts.
  • Help for Borrowers: Learn how to find out if your loan is affected by this settlement, the timeline for relief, how you will know if you are eligible. Find links to your state Attorney General’s Office to find state-specific information and contacts.
  • News: Read the national news release and find links to your state Attorney General’s Web site for state-specific news.


Comments RSS
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Alex on Monday, October 15, 2012 2:33 PM
We are glad that you found this information helpful. Banks and other lending institutions must be held accountable for their unfair dealings. Be sure to visit www.nationalmortgagesettlement.com to find out more and see if you qualify for some of the settlement funds available.

Birmingham Accountant on Wednesday, January 30, 2013 5:24 AM
It is really a very encouraging move by Federal Government & Attorneys General. No doubt it will be going to relief the distressed borrowers.

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