Monday, October 4, 2010

Robo-signings And The New Mortgage Crisis

Bank of America, GMAC, and J.P. Morgan Chase have temporarily halted foreclosure proceedings in 23 states while they review the possible mishandling of those foreclosures.  The lenders are reviewing procedures involving tens of thousands of foreclosures that were possibly approved by employees of those lenders without actually reading or reviewing those cases.  The practice, known as robo-signing, is under heavy fire from critics.  NBC reports:

Update 10/04/2010 - Old Republic Title Insurance Company stops insuring homes foreclosed by Chase and GMAC until "the objectionable issues have been resolved."  Oh, this is not going to be pretty. 

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