Regulators Target Loan Servicers to Fix Foreclosures

This article highlights the failures of the mortgage servicing industry and the proposed oversights that are underway. Possible changes would include new servicer fee structures, a requirement of independent reviews for denied modification requests, and funds to assist victims. The article includes the reaction of the Mortgage Bankers Association (which fears an overreaction by regulators), plus covers other issues such as timing, foreclosure incentives, and flawed paperwork methods.

SOURCE: Bloomberg, 1/27/11

URL: http://www.bloomberg.com/news/2011-01-27/regulators-in-u-s-zero-in-on-mortgage-servicers-to-fix-foreclosure-crisis.html