Settling The Foreclosure Reviews: Winners And Losers
Who says there’s no recovery?
Monday’s announcement of an “agreement in principle” to end the foreclosure reviews at ten of the fourteen mortgage servicing companies provided a neat recovery for the banks, and their ‘independent” consultants, who’ve been mired in an expensive, seemingly unending project from hell. The “independent” consultants assisted the banks in “extending and pretending” long enough to figure a way out. Now no one will ever have to admit how much the banks really owed borrowers and institutional investors for financial damage from foreclosure abuses.
Regulators also recovered from the persistent criticism and growing scrutiny of a poor design and weak monitoring of the consent decrees that started it all.