The posse of state attorneys general that began investigating foreclosure practices at major banks in the fall of last year could be getting ready to settle with the top five U.S. mortgage lenders at the heart of the controversy, Iowa Attorney General Tom Miller told Bloomberg. Still, nothing is finalized, according to the foreclosure crusader:
“What we’re looking at is five separate agreements with the five largest servicers,” Miller said. “We’re still a ways away” from reaching agreements, he said. “We’re working very hard to figure out what should be in the settlement.”
Mr. Miller has also told Bloomberg that the investigation into practices by Bank of America, JPMorgan Chase, Citigroup, Wells Fargo and Ally are not criminal. The attorneys general are primarily interested in providing remedies to the foreclosure debacle. They’re exploring possibilities that include banning foreclosures when homeowners are undergoing loan modifications and shoring up the modification system.
mtaylor [at] observer.com | @mbrookstaylor