(The following is a reformatted version of a press release
issued by the National Mortgage Settlement and received via
electronic mail. The release was confirmed by the sender.)
August 22, 2013
Banks Report $51 Billion in National Mortgage Settlement
Settlement Monitor nears completion of interim consumer relief
RALEIGH, N.C. - Joseph A. Smith, Jr., Monitor of the National
Mortgage Settlement, has received an update on the consumer
relief activities the five banks that are parties to the
Settlement reported through June 30, 2013. The banks sent these
reports to each state that is party to the Settlement, with
copies to the Monitor and the Monitoring Committee. According to
this data, 643,726 borrowers have benefited from some type of
consumer relief totaling $51.33 billion, which, on average,
represents about $79,742 per borrower. This figure includes both
completed Consumer Relief and active first lien trial
modifications as of June 30. The state-level data can be
downloaded here. A fact sheet summarizing national consumer
relief can be downloaded here.
Joseph Smith released the following statement:
“This is the fifth and final progress report I will release to
share the banks’ self-reported consumer relief activities with
the public. Over the past year, we have seen the amount of
relief and number of borrowers it helped steadily increase. As
the banks begin to reach their total consumer relief
obligations, I am encouraged to see how the Settlement has had a
measurable impact on hundreds of thousands of borrowers and
their communities across the nation.
“This information is self-reported by the banks and will not be
credited under the Settlement until each bank requests a review
by me and I confirm their work; to date, only the ResCap Parties
(formerly GMAC) has received credit. In May, both Bank of
America and Chase asserted that they had completed their
obligations. I am currently reviewing their assertions and, if
my review confirms their assertions, will release reports both
to the Court and the public.
“My professional firms and I also are reviewing consumer relief
progress through the end of 2012 for the four banks that have
not yet been credited. Our review process has been thorough and
ongoing. I plan to release my findings in mid-September. We will
then review the 2013 activities of Bank of America and Chase to
determine if they have satisfied their obligations. I hope to
make this determination by the end of the year.”
The banks have or soon will meet their consumer relief
obligations under the Settlement. The banks have told the
Monitor they continue to offer loan modifications and other
consumer relief to eligible borrowers via their own programs.
The Monitor and his professional firms are also reviewing the
banks’ compliance with the Settlement’s servicing standards. He
plans to submit his second report to the Court concerning the
servicing standards in November or December.
About the Office of Mortgage Settlement Oversight
More information about the National Mortgage Settlement is
available at www.nationalmortgagesettlement.com. Further
information about Joseph Smith and the Office of Mortgage
Settlement Oversight is available at www.mortgageoversight.com.
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