Final details were filed in federal court Monday in the $26 billion settlement to help struggling homeowners and settle charges against big banks of abusive and negligent foreclosure practices.
The Department of Justice filed five separate consent agreements, each more than 300 pages, between 49 states, federal agencies and the largest bank servicers:Bank of America (BAC, Fortune 500), Wells Fargo (WFC, Fortune 500), JPMorgan Chase (JPM, Fortune 500), Citigroup (C, Fortune 500) and Ally Financial (GJM).
The deal finalizes the big Obama administration announcement, made more than a month ago, that banks would provide relief to homeowners who owe more than their homes are worth or are victims of improper foreclosures. The relief would come in the form of principal reductions, mortgage refinancings and small payouts.