Big Banks Agree To Pay $8.5 Billion To Homeowners After Foreclosure Abuse
Ten of the nation's major banks, such as Bank of America and Citibank, have agreed to pay $8.5 billion after an investigation into the abuse of homeowners during foreclosures on mortgages during the recent housing crisis. According to the Fed, $3.3 billion of the settlement will be direct payments to eligible borrowers and $5.2 billion will go toward other assistance, such as loan modifications and forgiveness of deficiency judgments.
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