 "I can't stress enough how important it is to make the call for
help," Madigan said. "Whether you are eligible under this settlement
or another assistance program, we want to connect you with the free,
legitimate resources available for distressed borrowers."The
court filing is the next critical step in formalizing the
settlements reached with Bank of America, JPMorgan Chase, Wells
Fargo, Citibank and Ally Bank, formerly GMAC, over allegations of
widespread "robo-signing" of foreclosure documents and other
fraudulent practices while servicing loans of struggling homeowners.
Last month, Madigan joined U.S. Attorney General Eric Holder,
U.S. Housing and Urban Development Secretary Shaun Donovan and her
counterparts in Washington, D.C., to announce the agreement had been
reached with the five servicers following months of joint
investigations and negotiations.
The national settlement is the largest settlement ever obtained
through joint action of state attorneys general and the federal
government. It is estimated to provide more than $1 billion in
relief for Illinois borrowers who fit into one of three categories:
(1) borrowers who have lost their homes; (2) homeowners who are
still in their homes but at imminent risk of defaulting on their
mortgages or behind on their mortgage payments; and (3) borrowers
who are current on payments but underwater.
The attorney general urged consumers seeking more information to
contact her office's Homeowner's Helpline, 866-544-7151, or visit
www.illinoisattorneygeneral.gov/
consumers/bankforeclosuresettlement.html. Borrowers can also
visit
www.nationalforeclosuresettlement.com.
Madigan said borrowers also should contact their mortgage
servicer to obtain more information about specific loan modification
programs and whether they qualify under terms of this settlement.
Participating mortgage servicer
consumer numbers:
-
Bank of America:
1-877-488-7814
-
Citigroup:
1-866-272-4749
-
Chase: 1-866-372-6901
-
Ally/GMAC:
1-800-766-4622
-
Wells Fargo: 1-800-288-3212
In addition, Madigan said there is help available from an
independent foreclosure review through the Office of the Comptroller
of the Currency and the U.S. Department of Treasury. Borrowers whose
primary residence was involved in a foreclosure process between Jan.
1, 2009, and Dec. 31, 2010, may qualify for a free, independent
review to determine if they are eligible for compensation because of
errors or other problems during their home foreclosure process. All
review requests must be submitted online or postmarked no later than
July 31, 2012. For more information, visit
www.independentforeclosurereview.com
or call 1-888-952-9105.
[to top of second column] |
Already, more than 3,000 borrowers have contacted Madigan's
office to determine whether they may be eligible for help under the
settlement. Madigan noted that under the agreement, an independent
monitor has been established to oversee the terms of the settlement
and ensure that the banks comply.
Next steps
Madigan noted that the settlement does not grant the banks any
immunity from criminal offenses, nor does it prevent homeowners or
investors from pursuing individual, institutional or class action
civil cases against the five banks. The state attorneys general and
federal agencies will continue to investigate and pursue other
aspects of the mortgage crisis, including securities cases.
In Illinois, Madigan already has filed lawsuits against Wells
Fargo, Standard & Poor's and Nationwide Title Cleaning Inc. as part
of her aggressive efforts to hold financial institutions accountable
for their part in the housing crisis and the country's economic
collapse.
"This settlement does not mark either the beginning or the end of
our work to hold banks and other institutions accountable for the
destruction they've caused our families, communities and country,
but it is a warning to financial institutions that there are
consequences for engaging in practices that jeopardize the stability
of our communities and our economy," Madigan said.
[Text from file received from the office
of
Illinois Attorney General Lisa
Madigan]
 |
