Bank of America plans to refile paperwork for 102,000
Bank of America plans to resume foreclosures on more than 100,000
homes in 23 states next week, saying Monday it has a legal right to
Bank of America Corp., the country's largest bank, began halting
foreclosures on Oct. 2 amid questions of faulty paperwork.
The company on Monday said it plans to resubmit documents with new
signatures in states that require a judge's approval to restart the
It will continue delaying foreclosures in 27 states that do not
require a judge's approval.
The entire process will result in fewer than 30,000 foreclosures
being delayed, the company said.
The company's initial assessment shows that "the basis for our
foreclosure decisions is accurate," said Dan Frahm, a Bank of
Bank of America is the only lender to halt foreclosures in all 50
states. Other companies including Ally Financial Inc.'s GMAC
Mortgage unit, PNC Financial Services Inc. and JPMorgan Chase &
Co. have halted tens of thousands of foreclosures after similar
practices became public.
The growing questions about foreclosure documents could cause
thousands of homeowners to contest foreclosures that are in the
works or completed. Analysts say most homeowners facing foreclosure
are still likely to lose their homes.
Written by: Alan Zibel, AP Real Estate Writer