HUD investigation confirms banks’ ‘robo-signing’

A federal investigation has confirmed what has been widely reported for 18 months: that Bank of America Corp., Wells Fargo & Co. and other major mortgage servicers signed foreclosure documents without always verifying the accuracy of the forms, the Charlotte Business Journal reported. The results of the U.S. Department of Housing and Urban Development investigation were filed Tuesday afternoon as part of a $25 billion mortgage industry settlement struck earlier this year. The 27-page document detailing findings at BofA alleges workers signed hundreds of documents on a daily basis, including 18-inch stacks of pages, without ever verifying the information. The findings report the improper policies were often allowed and supported by managers.

 

A federal investigation has confirmed what has been widely reported for 18 months: that Bank of America Corp., Wells Fargo & Co. and other major mortgage servicers signed foreclosure documents without always verifying the accuracy of the forms, the Charlotte Business Journal reported. The results of the U.S. Department of Housing and Urban Development investigation were filed Tuesday afternoon as part of a $25 billion mortgage industry settlement struck earlier this year. The 27-page document detailing findings at BofA alleges workers signed hundreds of documents on a daily basis, including 18-inch stacks of pages, without ever verifying the information. The findings report the improper policies were often allowed and supported by managers.