Breaking News
FONT-SIZE Plus   Neg
Share SHARE

Federal Judge Approves $25 Bln National Foreclosure Settlement

RELATED NEWS
Trade BAC now with 

A federal judge has approved the $25 billion national joint federal-state settlement with five top U.S. banks over mortgage foreclosure abuses and fraud and unacceptable nationwide mortgage servicing practices.

According to court documents, U.S. District Judge Rosemary Collyer in Washington signed consent judgments with the banks.

Under the settlement reached with the federal government and 49 states, the five banks -- Bank of America Corp. (BAC: Quote), JPMorgan Chase & Co. (JPM: Quote), Wells Fargo & Co. (WFC: Quote), Citigroup Inc. (C: Quote) and Ally Financial Inc. -- have agreed to a $25 billion penalty under a joint state-national settlement structure.

As per the settlement structure, the banks have committed a minimum of $17 billion directly to borrowers through a series of national homeowner relief effort options, including principal reduction. The have committed another $3 billion to an underwater mortgage refinancing program. The banks will also pay $5 billion to the states and federal government - $4.25 billion to the states and $750 million to the federal government.

The settlement was announced in February.

Click here to receive FREE breaking news email alerts for Bank of America Corporation and others in your portfolio

by RTT Staff Writer

For comments and feedback: editorial@rttnews.com

Business News

Editors Pick
Following the long, holiday weekend, stocks may move to the upside in early trading on Tuesday. The major index futures are currently pointing to a modestly higher open for the markets, with the Dow futures up by 15 points. The Swiss economy stalled in the second quarter as the improvement in household spending was insufficient to offset the weakness in exports and investment in construction. Gross domestic product remained flat from the first quarter, when it accelerated to 0.5 percent, the State Secretariat for Economic Affairs said Tuesday. Economists had expected GDP to rise 0.5 percent in the second quarter. Policymakers of Reserve Bank of Australia decided to maintain its record low interest rate once again as they continue to assess that the most prudent course is a period of stability in interest rates. The monetary policy board retained the cash rate at 2.50 percent. The rate has been at the current level since August 2013.
comments powered by Disqus
FREE Newsletters, Analysis & Alerts

 

Stay informed with our FREE daily Newsletters and real-time breaking News Alerts. Sign up to receive the latest information on business news, health, technology, biotech, market analysis, currency trading and more.