Quelle Surprise! Banks Whining About Cost of Breaking New California Homeowner Bill of Rights


Quelle Surprise! Banks Whining About Cost of Breaking New California Homeowner Bill of Rights

During the protracted negotiations over what was to become the 49 state/Federal mortgage settlement, New York attorney general Eric Schneiderman was hailed as a progressive leader and California’s Kamala Harris was characterized as an opportunist.

Turns out the opportunist cut a much better deal for her constituents than the supposed true believer. Admittedly, Schneiderman laid the groundwork by forming a group seeking tougher terms from the banks than the Administration and the putative leader of the AGs, Iowa’s Tom Miller. But as readers know all too well, Schneiderman torpedoed his group by taking a deal with the Administration to be a co-chair of an obviously toothless mortgage task force. Harris insisted on cutting her own deal for California, which included having her own settlement monitor, and installed the able and knowledgeable Professor Katie Porter.

Harris then further stymied one of the key aims of the deal, which was to institutionalize lax mortgage servicing standards (they include “drive a truck through them” permitted error rates and laughably low penalties) by pushing for, and getting passed, a Homeowner Bill of Rights.

One amusing contrast between the State/Federal settlement and the California Homeowner Bill of Rights: both called for an end to dual tracking, the process by which banks move forward with the foreclosure process even if the borrower has asked for a mod and the application/evaluation/approval process is underway. Porter found in late 2012 that servicers were still dual tracking; we also had a whistleblower report in 2013 that the practice was alive and well at Bank of America. Even the national settlement monitor Joseph Smith ‘fessed up that gambling in Casablanca dual tracking continues:

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2 Responses to “Quelle Surprise! Banks Whining About Cost of Breaking New California Homeowner Bill of Rights”
  1. izraul says:

    Yeah.. 2015 and we now know that B!tch sold us out. Just like all the other AG’s sold out their states. These are not the actions of a government. They are actions of lying lo-life criminal bottomfeeders.

  2. dc says:

    Why is it that Wells Fargo always avoids the radar when they are IMO the worst of the worst and thats because they smile while screwing people out of there homes,and lets chuck the devil themselves US Bank in there as third place corrupt bank that has proclaimed itself TRUSTEE OF ALL TRUSTS.People think oh sure US Bank is a smallish conservative bank there cool but there scum and anyone that banks there is dumb so move your accounts out of any of those places now

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