Reported settlement terms offer slap on the wrist rather than real accountability
Working America has launched a campaign calling on the White House and all 50 state attorneys general to hold big banks accountable for corrupt mortgage practices that led to the foreclosure and financial crises that has left millions without homes and more at risk of losing their homes.
The current proposed settlement would only partially help about 2 million homeowners stuck with underwater mortgages– barely 20 percent of people facing foreclosure. The settlement also does not prevent future foreclosures, or create any accountability or restitution for working families who were defrauded by predatory schemes, reports say.
Experts have called the current proposed settlement “meaningless” in offering relief or justice to homeowners deceived by improper mortgage practices.
Meanwhile, the largest mortgage servicers that are being investigated for deceptive practices–Bank of America, JPMorgan Chase, Wells Fargo, Citigroup and Ally Financial –would be essentially let off the hook.
“This would be pocket change for the big banks and a travesty for working families,” said Working America Executive Director Karen Nussbaum. “Our working-class members around the country are not debating this – they want a thorough investigation of criminal wrongdoing, accountability and appropriate restitution. They do not want another bank bailout.”
About 7.5 million homes are currently in the foreclosure process. An additional 11 million are at risk – threatening many of Working America’s 3 million members with the loss of their homes.
The campaign has reached hundreds of thousands of working people who are writing the White House and their state attorneys general. One Cleveland member wrote, “If the average citizen did what the banks did, we would be in jail. They need to be held accountable.”
The campaign is part of Working America’s 9 Demands of the 99 Percent to challenge corporate control of government, corporate personhood and more.