News Alert: Government asks judge to approve landmark settlement over banks’ foreclosure practices

	Monday, March 12, 2012 1:00:55 PM ECONOMY/BUSINESS NEWS ALERT Government asks judge to approve landmark settlement over banks' foreclosure practices Government officials on Monday asked a federal judge to approve a landmark settlement with some of the nation's largest banks over flawed and fraudulent foreclosure practices, more than a month after they announced the $26 billion deal with fanfare at the Justice Department. The 99-page complaint filed in a D.C. federal court details the "pattern of unfair and deceptive practices" perpetrated by banks in the wake of the housing bust. Among them: filing false and misleading court affidavits, charging excessive and improper fees to borrowers, keeping abysmal records, frequently losing paperwork, breaking promises to homeowners trying to modify their loans, employing staffers with little or no training and improperly foreclosing on active-duty military members. Officials filed separate and lengthy settlement terms with the five banks involved — Bank of America, JPMorgan Chase, Wells Fargo, Ally Financial and Citigroup — that document the penalties each must pay, how that money will be distributed, how new mortgage servicing standards will be enforced and the extent of the legal releases the firms will receive as part of the deal. Read more at: http://www.washingtonpost.com/business/economy/government-asks-judge-to-approve-landmark-settlement-over-banks-foreclosure-practices/2012/03/09/gIQAZtjY7R_story.html Or visit PostBusiness.com. SEND TO A FRIEND UNSUBSCRIBE E-MAIL CENTER GET HELP Washington Post Digital E-mail Customer Care 1150 15th Street NW Washington, D.C. 20071  ©2011 The Washington Post Privacy Policy