Some States Diverting Foreclosure Settlement Funds That Were Intended to Aid Homeowners

Posted on 10/18/2012 by |Money and Work | Comments

Bulletin Today | Money & SavingsWe’ve witnessed some of the worst mortgage fraud and abuse during the housing meltdown, including most notoriously the robo-signing scandal in which some homeowners were rushed to foreclosure illegally. To resolve some of these issues and to help troubled borrowers regain their footing and avoid foreclosure, five of the biggest banks agreed to an unprecedented $25 billion settlement with state attorneys general earlier this year. But now we’re finding out that some of those states are not providing restitution or …