Bank of America has suspended foreclosure sales nationwide pending a review of foreclosure documents in all 50 states, an action that may be triggering foreclosure holds with other institutions.
Spokesman Richard G. Simon with the Charlotte-based bank on Friday told North Carolina Lawyers Weekly the bank would “stop foreclosure sales until our assessment has been satisfactorily completed.”
Spokesman Dan Frahm added that the “ongoing assessment shows the basis for our past foreclosure decisions is accurate.”
The action may be in response to North Carolina Attorney General Roy Cooper’s demand that Bank of America suspend mortgage operations in that state until the bank can prove that its foreclosure practices are consistent with state law.
The BoA announcement comes on the heels of revelations about mortgage and foreclosure document problems that have shaken the mortgage industry.
-Posted by Peter Vieth