Bank of America Resumes Foreclosure Process in 23 States
Oct 18th 2010 4:10PM
Updated Oct 19th 2010 8:20AM
The largest U.S. bank by asset value is preparing affidavits related to 102,000 foreclosures for submission to the courts on Oct. 25, Bank of America spokesman Dan Frahm said in a statement Monday. The company, which has delayed fewer than 30,000 foreclosure actions, will continue to review cases in the remaining 27 states, according to Frahm.
The company is the largest of several major financial institutions that in recent weeks have delayed foreclosures due to concerns about documentation. JPMorgan Chase (JPM) said Oct. 13 that it was broadening its review of its foreclosure process to about 115,000 cases in 41 states. Ally Bank unit GMAC Mortgage also said last week that it would review its foreclosure procedures in all 50 states, broadening an initial review that began about two months ago.
Bank of America said on Oct. 8 that it would halt foreclosures in all 50 states, extending a mortgage foreclosure moratorium it had initiated in 23 states earlier this month after it came to light that employees were signing off on foreclosure documents without verifying all the information contained in the documents.
Bank of America shares advanced 2.8% to $12.32 in New York Stock Exchange trading Monday.