Home / Tag Archives: Ally (page 5)

Tag Archives: Ally

Regulators Hand Down Enforcement Actions to Servicers, Vendors

The Office of the Comptroller of the Currency, Federal Reserve, and the Office of Thrift Supervision announced formal enforcement actions Wednesday against 14 mortgage servicers and two firms that provide foreclosure-related services to the industry - LPS and MERS. The consent orders are the result of regulators' investigations into robo-signing allegations and represent a settlement with the firms involved, at least in part. Both the OCC and Fed say they believe monetary sanctions in these cases are also warranted, and they plan to pursue such actions separately.

Read More »

FHA Commissioner Says Short Refi Program Necessary for Recovery

As the House prepares to debate on the future of the Federal Housing Administration's Short Refinance option, FHA Commissioner David Stevens implored House subcommittee members to give the program a chance. The program is a voluntary option for lenders to agree to offer principal write downs and restructure loans for underwater borrowers. Stevens said as of February 11, 23 FHA-approved lenders are participating in the program and 245 FHA case numbers have been requested, of which 44 loans have been endorsed.

Read More »

Treasury Appoints Ally Board Member, Plans Sale of Ally Securities

The U.S. Department of the Treasury on Monday exercised its right to appoint a member to the Ally Financial Inc. board of directors, naming John D. Durrett of the investment firm Serent Capital. Treasury also announced Tuesday that it will sell some of the $2.7 billion in trust preferred securities (TruPs) received from Ally as part of the government's bailout of the mortgage and auto lender.

Read More »

Judge Tosses Two Charges Against GMAC in Maine Foreclosure Case

A federal judge has dismissed two charges in a class action lawsuit brought against GMAC Mortgage on behalf of Maine homeowners filed after GMAC's concession that some foreclosure legal documents had been used without following proper procedures. District Judge D. Brock Hornby granted GMAC's motion to dismiss the homeowners' allegations of abuse of process and fraud. One count is still pending in the case, in which the plaintiffs are accusing GMAC of violating the Maine Unfair Trade Practices Act, but an attorney for the homeowners said he expects that to be thrown out also.

Read More »

Ally Financial Reports $1.1B Profit for 2010

Ally Financial, the parent company of GMAC Mortgage, said Tuesday that it brought in net income of $1.1 billion for the full-year 2010, a sharp turnaround from the $10.3 billion net loss recorded for 2009. During the fourth-quarter period of last year, the company posted a profit of $79 million, compared to a net loss of $5 billion for the fourth quarter of 2009. The company's financial sheet turned from red to black largely due to gains in its mortgage operations.

Read More »

Bank of America and Wells Fargo Most Sued Banks in 2010

A recent report by Institutional Risk Analytics (IRA) says Bank of America and Wells Fargo are two of the most sued financial service firms in the United States. IRA says that mortgage exposure is what is causing these two banks and others in similar situations to be embroiled in so many federal legal cases. In addition, the firm points to the added burden many of these companies are also facing in litigation that will not reach federal court, such as cases involving foreclosure practices.

Read More »

Ally Financial to Withdraw and Refile 250 Foreclosure Cases in Maryland

Ally Financial is withdrawing all foreclosures in Maryland signed by an employee who admitted to being a robo-signer. Jeffery Stephan testified under oath that he signed off on thousands of foreclosure documents every month without verifying their accuracy or signing them in the presence of a notary. Ally has agreed to dismiss and re-file 250 active foreclosure cases in the state that he approved.

Read More »

Ally Financial Reaches $462M Settlement with Fannie Mae

Ally Financial announced that its mortgage unit, Residential Capital (ResCap), and some of its subsidiaries have reached an agreement with Fannie Mae to resolve potential repurchase exposure for breaches in selling representations and warranties. The $462 million settlement releases ResCap and its subsidiaries from liability related to about $292 billion in principal unpaid balances. It covers loans serviced by GMAC Mortgage and any mortgage-backed security that Fannie Mae purchased prior to the settlement.

Read More »

GMAC May Resume Foreclosures in Maine, Judge Says

A judge last week declined to issue a temporary restraining order against GMAC Mortgage's foreclosure and eviction procedures in Maine. This decision frees the mortgage servicer to proceed with foreclosure sales and evictions it had temporarily halted as part of an agreement with Maine Attorney General Janet Mills in November.

Read More »

Ally CEO: We ‘Screwed Up’ and We’re ‘Embarrassed’ over Robo-Signers

Ally Financial's GMAC Mortgage subsidiary was the first major servicer to announce a foreclosure freeze after finding problems in its procedures that led to errors in legal affidavits. In the words of Ally's own CEO, ""We had a robo-signer affidavit problem. We're embarrassed about it and we fixed it. We'll be the first to say we screwed up."" The company reported a $269 million profit for the third quarter on Wednesday, and said it's decided not to sell its ResCap mortgage unit.

Read More »

Your Daily Dose of DS News

Get the news you need, when you need it. Subscribe to the Daily Dose of DS News to receive each day’s most important default servicing news and market information, absolutely free of charge.