As very critical discussions between the banking industry and the 50-state multigroup start in our nation’s capital, Attorney General Chris Koster addressed last Tuesday that any settlement with the top banks in the country should incorporate considerable mortgage loss mitigation measures. Koster also stated that he is very pleased that the, “robo signing,” investigation in all 50 states has developed into a wide spread effort to calm down the housing mortgage market.In one of his sites news releases, Koster said that the work that the fifty-state working group is doing to fight the fraud issue will soon put a stop to fraudulent foreclosures, and the foreclosure process will soon return to its initial integrity. He has also made a statement regarding the need for the nation’s top banks to assist in mitigating the loss of home value experienced by homeowners.
The attorney General is very optimistic about the 50-state working group. He says that the state of Missouri is enthusiastically involved, and the whole thing will eventually lead to the resolution of the robo-signers and other fraud activity in the next 3 months. A note was additionally made by Koster that the group also is continuing to come up with substantive changes to the procedures done by the banks.
According to Koster, key provisions that would be the best to include in any settlements with the country’s largest banks include new standards for documents in foreclosure and bankruptcy measures, mandatory requirements for the upmost accuracy and verification of borrower’s account info, absolute documentation of note-holder status and chain of assignment, and mandatory training, quality assurance systems and audits.