More On

Banks pay New York state $25 million for alleged foreclosure abuses

Deal comes one month after a record-setting national mortgage settlement

A month after reaching a record $25 billion foreclosure settlement with U.S. mortgage lenders, several states are ready to collect.  Today it’s New York, which will collect $25 million from five major banks over their alleged abuse of the Mortgage Electronic Registration System (MERS).

The state attorney general’s office accused JPMorgan Chase & Co., Bank of America Corp. and Wells Fargo & Co. of using the electronic mortgage database for deceptive and fraudulent foreclosure filings. Citigroup Inc. and Ally Financial also agreed to a financial settlement, though they were not named in the New York lawsuit. None of the banks admitted or denied guilt as part of the deal.

Alanna Byrne

Bio and more articles

Join the Conversation

Advertisement. Closing in 15 seconds.