Revisiting The Robo-Signing Debacle of 2010
By Peter Kedzior, Professionalism & Dedication
(Crosstown Realty)
Do you remember September 2010? What started a few weeks earlier as a curious case of one bank employee who admitted he used to approve thousands of foreclosure cases every month without even reading most of them, turned into a nationwide scandal involving hundreds of thousands of homes in the process of foreclosure. By end of September 2010, three major banks: J.P. Morgan Chase, Wells Fargo, Bank of America and GMAC, all announced a halt on foreclosures while the extent of “flawed paperwork” was being investigated. Congress, in an unusually expedited manner, quickly reacted by passing a bill that would make foreclosure documents that meet legal standards in one state, exempt from verification procedures in any other state that requires court approved foreclosure proceedings. Many ban...
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