Three States Set To Join Foreclosure Deal
February 8, 2012 by UPI - United Press International, Inc.
WASHINGTON, Feb. 8 (UPI) — Arizona, Florida and Michigan are set to join at least 40 other states in a settlement over foreclosure abuses by nationwide lenders, officials said.
Twincities.com, the online version of the St. Paul, Minn., Pioneer Press, reported Wednesday that officials with direct knowledge of the deal making said Arizona and Florida would make announcements next week.
The officials, however, were not authorized to speak on the matter and asked that their names not appear in print, the newspaper said.
Michigan announced Tuesday that it would join in the settlement, part of which includes a bonus of $3 billion if all 50 states go along with the deal.
Some state attorney general offices had been balking at joining in the deal, in part because of the bonus, which was a trade-off. States signing on are also agreeing to restrictions on future lawsuits.
Nationwide lenders in late 2010 were discovered to be taking shortcuts on paperwork through what was called foreclosure mills — law firms hired to process a mountain of foreclosure cases.