We're living in a world in which companies are, by and large, focused on PR almost as much as they are focused on compensating their top executives. How else to explain banks acting reasonably responsibly to the foreclosure of homes owned by military personnel yet continue to screw we civilians?
Of course, it did take a law suit to get JP Morgan to act. There is something called the Service Members Civil Relief Act, which says that banks can't foreclose on military personnel and that banks are limited on how much interest they can charge. Well, JP decided to settle a lawsuit brought under this statute. The settlement calls for JP paying $12,000,000 to those foreclosed plus another $21,000,000 for additional damages. Beyond the settlement, JP has lowered interest rates to a number less than they can legally charge, given 1,000 homes to veterans,said it will hire 100,000 veterans over the next five years and, for those who experienced a wrongful foreclosure while serving overseas, give them back their homes for free, forgiving all remaining mortgage debt. Isn't JP Morgan really a good and fair company? Please don't remember that all this largesse was triggered by a law suit.
Wells Fargo, Morgan Stanley and BofA are instituting similar programs. The question is what are these banks doing for the millions of civilians who face foreclosure because of the greed of the banks and the mortgage service companies.
Of course, it did take a law suit to get JP Morgan to act. There is something called the Service Members Civil Relief Act, which says that banks can't foreclose on military personnel and that banks are limited on how much interest they can charge. Well, JP decided to settle a lawsuit brought under this statute. The settlement calls for JP paying $12,000,000 to those foreclosed plus another $21,000,000 for additional damages. Beyond the settlement, JP has lowered interest rates to a number less than they can legally charge, given 1,000 homes to veterans,said it will hire 100,000 veterans over the next five years and, for those who experienced a wrongful foreclosure while serving overseas, give them back their homes for free, forgiving all remaining mortgage debt. Isn't JP Morgan really a good and fair company? Please don't remember that all this largesse was triggered by a law suit.
Wells Fargo, Morgan Stanley and BofA are instituting similar programs. The question is what are these banks doing for the millions of civilians who face foreclosure because of the greed of the banks and the mortgage service companies.
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