CNBC Video - Bank of America Paid Bonuses To Foreclose: LawsuitSubmitted by emalvini on Mon, 06/17/2013 - 14:06
CNBC Video - Bank of America Paid Bonuses To Foreclose: Lawsuit
Published: Monday, 17 Jun 2013 | 11:31 AM ET
By: John W. Schoen | Economics Reporter
Bank of America routinely denied qualified borrowers a chance to modify their loans to more affordable terms and paid cash bonuses to bank staffers for pushing homeowners into foreclosure, according to affidavits filed last week in a Massachusetts lawsuit.
"We were told to lie to customers," said Simone Gordon, who worked in the bank's loss mitigation department until February 2012. "Site leaders regularly told us that the more we delayed the HAMP [loan] modification process, the more fees Bank of America would collect."
In sworn testimony, six former employees describe what they saw behind the scenes of an often opaque process that has frustrated homeowners, their attorneys and housing counselors.
Read more: http://www.cnbc.com/id/100818866