Image via WikipediaThe banks maintain that they made "procedural" mistakes, but nothing as serious as fraud. They all vowed to do things better and to follow the letter of the law this time around. I took this to mean that the employee will read and sign the documents, and that the documents will then be notarized.
A public outcry erupted in September when it became evident that the banks were cutting corners in the foreclosure process. Thousands of foreclosure documents were being signed without being read or notarized. Because of this shoddy paperwork, many judges were dismissing foreclosure cases, and some homeowners claimed that they were wrongfully evicted, and foreclosed. The banks' excuse was that the sheer volume of documents prevented the employees from reading each and every page of a case file.
The issue I have with a quick settlement is that whatever is decided now will be used as the precedent. It would be a kind of blueprint. Can we trust the banks to continue processing the foreclosure documents in a legal fashion? Or will they revert to their old habits?
We need a third party, with no connection to the banking industry or the government to audit the banks and to make sure that the foreclosure documents are in order. This process would be done before any document is submitted to the courts.
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