NEW YORK, NY--(Marketwire - Mar 14, 2013) - A recent foreclosure settlement between banks and homeowners resulted in $9.3 billion going to the homeowners -- but according to the lawyers at WT Lee & Associates, this arrangement may be more advantageous to the banks than to the homeowners themselves. To illustrate their point, the firm points to a recent Bloomberg Businessweek report, which makes similar observations. According to the report, the results of the settlement may ultimately be insufficient to truly aid homeowners. WT Lee & Associates has issued a new statement to the press, commenting on the article and on the settlement itself.
The case itself began in 2011, when the Office of the Comptroller of the Currency signed consent decrees with some of the nation's largest banks, ordering them to review their foreclosures and to compensate homeowners for any mistakes that were uncovered. According to Businessweek, however, the case ultimately glossed over many of these crucial errors and foreclosure flaws. Though the OCC claimed that the process revealed relatively few errors on the part of the banks, independent reporting from The Wall Street Journal revealed that, at some banks, error rates topped 20 percent.
Businessweek continues by reporting that, just last week, the OCC releases the full details of the settlement -- and that some of the details suggest that the settlement has been "watered down" to protect the banks and to harm homeowners. This finding has won a comment from WT Lee & Associates.
"As could be expected, the new $9.3 billion settlement benefits the banks more than the homeowners," says the new press statement from WT Lee & Associates. "The banks being allowed to count $10,000 of assistance to the homeowner as $100,000 towards the settlement is an outrage."
Despite the disappointing results of the settlement, the firm continues by noting that there is still hope for homeowners seeking assistance or compensation. "Despite the banks attempting to bypass the agreements they have made to provide homeowners help, WT Lee & Associates will continue to fight to get our clients the modifications they deserve," the firm concludes.
The legal team at WT Lee & Associates offers services to clients around the country, including representation in bankruptcy cases and in foreclosure litigation. However, the firm's true mission is to help homeowners and their families avert foreclosure. As such, WT Lee & Associates emphasizes its consultation and representation services in home loan modification.
WT Lee & Associates is a law firm that strives to help homeowners remain in their homes, even during periods of financial crisis. The firm offers a number of foreclosure prevention services, including guidance through the loan modification process. Additionally, WT Lee & Associates provides services in real estate litigation, in bankruptcy law, and in upholding the rights extended through the Fair Credit Reporting Act and the Fair Debt Collection Practices Act. Ultimately, the firm's passion is for working to help homeowners and their families find the best way forward out of economic uncertainty, and toward reaching all of their financial dreams.
- Company Legal & Law Matters