Issue 2                                                                                                                                   March 2, 2012    
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Please Share Information Regarding the $25 Billion National Mortgage Settlement 


On February 9, 2012, a $25 billion national settlement was announced with the 5 largest mortgage servicers in the nation.  The settlement follows an investigation by the Department of Justice, state Attorneys General and state banking regulators.  Maryland's Commissioner of Financial Regulation, Mark Kaufman was one of three state banking regulators to serve on the Executive Committee of the investigation and the Office has been asked to serve as the only state banking regulator on the Monitoring Committee established as part of the settlement to oversee servicer compliance with the settlement.

The settlement addresses extensive problems uncovered in the servicing process including a practice known as "robo-signing" where banks and their agents submitted foreclosure documents that were not properly reviewed or notarized.  The total national settlement is for $25 billion which will provide close to $1 billion of benefits to Maryland.

Specifically, the settlement involves loans which are or have been serviced by Bank of America, GMAC (now Ally Bank), Citibank, JP Morgan Chase and Wells Fargo.

Please see the FAQ's posted on the Commissioner's website at:

For more information:

The federal website:   CLICK HERE
Maryland 's Attorney General, Doug Gansler's website: CLICK HERE
OR Maryland's Department of Housing and Community Development's (DHCD) website: CLICK HERE

Thank you.

Division of Financial Regulation

Maryland Department of Labor, Licensing and Regulation

500 North Calvert Street, Suite 402

Baltimore, MD 21202-3651

410-230-6155 | Office    410-333-0475 | Fax


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