Washington is seeking help from an unlikely group in its
effort to distribute billions of dollars to struggling homeowners in
foreclosure: the same banks accused of abusing homeowners with shoddy
foreclosure practices.
In doing so, the regulators are trying to speed the process
after a flawed, independent foreclosure review delayed relief for millions of
borrowers, according to people briefed on the matter. But housing advocates
worry that the banks, eager to end the costly process, could take shortcuts as
they comb through loan files for potential errors, in some cases diverting aid
from the neediest homeowners.
Regulators say they will check the work. And banks have
already agreed to pay a fixed amount to troubled homeowners, creating another
backstop. According to officials
involved in the process, who spoke anonymously because the matter is not
public, the regulators had few alternatives...
No comments:
Post a Comment