The Federal Reserve has announced formal enforcement actions against 10 banks over their “pattern of misconduct” and negligence related to residential mortgage loan servicing and foreclosure processing. Named in the actions are Bank of America, Citigroup, Ally Financial, HSBC North America Holdings, JPMorgan Chase, MetLife, PNC Financial Services Group, SunTrust Banks, U.S. Bancorp and Wells Fargo, which the Fed says represent 65% of the servicing industry. The Fed says it will impose “monetary penalties” in addition to requiring them to take “prompt steps” to establish practices that “treat customers fairly, are fully compliant with all applicable law and are safe and sound.”
