Several orders issued six years ago over servicing and foreclosure abuses have been terminated, while new civil penalties have been issued.
On Friday, the Federal Reserve Board announced the termination of mortgage servicing enforcement actions against 10 banking organizations.
The actions
were taken in 2011 and 2012 as a result of deficiencies in their handling of residential loan servicing and foreclosure processing.
According to the Fed, the actions required the firms to improve oversight of servicing, while companies with servicing subsidiaries supervised by the Fed were required to correct servicing and foreclosure processing deficiencies.
The termination of the orders
was based on evidence of sustainable improvements in the firms’ oversight and servicing practices.
The companies are Ally Financial Inc., Bank of America Corp., CIT Group Inc. as successor to IMB HoldCo LLC, The Goldman Sachs Group Inc., HSBC North America Holdings Inc., JPMorgan Chase & Co., Morgan Stanley, The PNC Financial Services Group Inc., SunTrust Banks Inc. and U.S. Bancorp.
The Fed also issued today $35.1 million in civil money penalties against Goldman Sachs, Morgan Stanley, CIT, U.S. Bancorp and PNC. The companies had not yet been fined for their servicing deficiencies.
The announcement indicated that the Fed and other regulatory agencies additionally terminated enforcement actions against Lender Processing Services Inc. and MERSCORP Holdings Inc.
Those actions addressed deficiencies in the foreclosure-related services provided to Fed-regulated entities.
In a separate announcement, the Fed announced that it issued a $90,000 civil money penalty against Goldman Sachs Bank USA
over violations of Regulation H. The money will be paid to the National Flood Insurance Program.
