OFFICE OF THE ATTORNEY GENERAL
February 9, 2012
Earlier today it was announced that the nation's five largest banks will provide roughly $25 billion in relief to resolve a multistate investigation of fraudulent and flawed foreclosure practices. Oregon is one of 49 states, including New York and California, that signed on to this agreement which penalizes banks that engaged in wrongful conduct, brings badly needed assistance to distressed homeowners and will help reverse the housing market's downward slide.
For more information about the settlement and homeowner eligibility please visit the official website: www.nationalforeclosuresettlement.com.
As Attorney General I am deeply committed to protecting consumers and I am confident that signing this agreement is in the best interest of Oregon consumers. Highlights of the agreement include:
An estimated $30 million to the State of Oregon
An estimated $200 million in relief to distressed Oregon homeowners including "underwater" borrowers and homeowners facing foreclosure
Tough new servicing standards that protect all homeowners from unfair and unscrupulous servicing practices
Simply put, I do not believe we could get a better agreement on this limited set of issues if we litigated for several more years and delaying a resolution of this investigation would unnecessarily delay bringing relief to Oregon homeowners who need help now. Because the release in this agreement is narrowly drafted, it will allow Oregon to pursue additional multistate and independent investigations of illegal mortgage securitization and other industry practices that led to the housing crisis.
For more information about Oregon's involvement in the agreement, and what it does and doesn't do, please visit the frequently asked questions on the Oregon DOJ website.
John R. Kroger
Important information - please share:
If you are a distressed homeowner, or if you have gone through the foreclosure process, you may be entitled to additional assistance if your mortgage servicer is participating in the settlement.
Bank of America
JP Morgan Chase