Wednesday, February 8, 2012

Banks Near $25 Billion Pact on Foreclosures

According to the Wall St Journal the deal, totaling as much as $26 Billion with 5 Banks, would settle federal, state probes of lenders.

Government officials are on the verge of an agreement worth as much as $26 billion with five major banks, capping a yearlong push to settle federal and state probes of alleged foreclosure abuses by lenders. The deal would represent the largest government-industry settlement since a multistate deal with the tobacco industry in 1998.

The agreement covers five banks: Ally Financial Inc., Bank of America Corp., Citigroup Inc., J.P. Morgan Chase & Co., and Wells Fargo & Co. Together, the five handle payments on 55% of all outstanding home loans, or about 27 million mortgages, according to Inside Mortgage Finance.

Find out more at http://online.wsj.com/article/SB10001424052970203315804577211620066795962.html?mod=business_newsreel

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