Bank Of America Issues Foreclosure Stop Order For 50 States

By Victor Hatley on October 9, 2010, 6:36 am Posted in Finance News

Yesterday, Bank Of America (NYSE:BOA), one of the largest bank in the U.S. extended the foreclosure desist order to include all 50 states. Until this move the banks affected by this foreclosure fiasco had inirially only stopped foreclosures in the 23 states where a judge has final authority. This may be in answer to Senator Reid’s letter. Earlier this week 30 Congressmen…and women had asked that the Banking industries practices be looked at. This request was answered by the justice department setting up a commission to look into the questionable practices.

Congressional Leadership Moving On This

Thursday, Senate Majority Leader Harry Reid sent a letter to the big banks that are involved in this scandal, Bank Of America (NYSE:BOA), Wells Fargo (NYSE:WFC), JP Morgan Chase (NYSE:JPM) and Ally Financial (A GMAC company), asking them to stop foreclosures in all 50 states due to the paperwork scandal that is plagueing the nation. In a statement made later about the subject, he said, “I thank Bank of America for doing the right thing by suspending actions on foreclosures while this investigation runs its course, I urge other major mortgage servicers to consider expanding the area where they have halted foreclosures to all 50 states, as well.” It isn’t known if the other banks are planning on following BoA’s suit, but announcements on the subject are expected soon.

 

Now A Congressional Hearing

Senate Banking Chairman Chris Dodd announced the scheduling of a committee meeting next month on this issue. Senator Dodd ssaid in a statement “I am deeply troubled by recent revelations and allegations of practices by some of the nation’s largest lenders. Regulators at the federal, state and local levels have a responsibility to uphold the law and protect consumers from unfair foreclosure, and lenders have a duty to not cut corners around the law.” The meeting is scheduled for the second day of the lame-duck session, Nov. 16th.


4 Responses to “Bank Of America Issues Foreclosure Stop Order For 50 States”

  1. Jose L Valencia says:

    I want to what do I have to do to stop my house from foreclosure. I already got notices of 90 day proceedings. I had applied for 2 different times for mod but the 1rs time they said no and the 2nd time I never heard from them as a response.

  2. Amy Cogle says:

    I was NOT in a trial modification when B Of A took over Countrywide. After 9 months paying on an APPROVED mod I was told i was never approved and we owed over 20K in back mortgage payments. A year later wer have tried twice to do a modification and was denied. We are short selling and B OF A denied the sale. What do they want from me?? I have yet to get ONE phone call from the bank. No notice of anything. They didnt even tell me about the problem originially. I was noticing my balance going up.

  3. jerry says:

    I understand, tried a loan modification from country wide and they sold my mortgage, then bank of america got my loan and i called them and they turned me down, tried 2 seperate companies and no one will help, there crooked butts get help from the government and us working people get screwed in the mix, I hope they have to stand before God one day and get their judgement

  4. robert says:

    Yeah banks are shady and the brokers who do the paper work i tried getting a modifaction paid on my house for five years never issed a payment then there telin me i owe more then what i bought the house for shady crookes , know i been living in y house for almost three years know free cuz all this bullshit whats goin on i told the they can have the house not paying the price they say i owe n it there nuts goverment needs to take them to court for there doings falsfying doucments to make there dollars .

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