An independent monitor verified in his fourth report on JPMorgan Chase's progress under its November 2013 settlement with the government over the packaging and selling of faulty residential mortgage-backed securities that the bank has paid more than half of the $4 billion amount it agreed to pay toward consumer relief, according to an announcement from independent monitor Joseph A. Smith, Jr. on Thursday.
Smith verified Chase's claim made in December that the bank had provided $2.24 billion in consumer relief credit to nearly 112,000 borrowers as of the end of the third quarter. In Smith's report, Chase said it has provided $5.1 billion in principal forgiveness and forbearance, rate reduction, and low-to-moderate or disaster area lending to more than 39,000 borrowers as of December 31, 2014. Those numbers are awaiting verification from the monitor.
A New York court has dismissed a lawsuit filed by the state's attorney general against HSBC Mortgage Corporation nearly two years ago which alleged that HSBC failed to follow the state law related to foreclosure actions. New York Attorney General Eric Schneiderman originally sued HSBC in June 2013, accusing the mortgage company of violating state law by delaying the filing of paperwork and allowing approximately 25 thousand foreclosure cases to languish in the courts. The court ruled that HSBC's delay in filing paperwork did not constitute a violation of the state law.