Adam Constantine on MLK Jr.’s impact on housing equality

During the interview, Constantine explains why the industry needs to focus on evoking intentional change rather than launching lackluster initiatives.

Managing Credit Risk in 2021 and Beyond

Join a panel of industry experts as they provide an economic outlook for 2021 and a discussion with regional bankers on how they are managing credit risk over the next several years.

Amid record-high origination volumes, mortgage fraud risk is down

CoreLogic's recently released Mortgage Fraud Report is the industry standard for nationwide fraud monitoring and analysis. Read the findings here.

Empowering women to be financially great with Dava Davin

Women of Influence winner Dava Davin joins Girlfunds to discuss everything from her best financial tip to her advice on starting the home-buying process.

Mortgage

HSBC reportedly in settlement talks with DOJ over toxic mortgage bonds

Talks still in early stages

London-based HSBC Holdings Plc is rumored to be in talks to finally resolve a U.S. probe into its sale of toxic mortgage bonds that date back to the financial crisis, according to an article in Bloomberg by Tom Schoenberg.

Besides settling a problem from a decade ago, the article added the settlement could give an early look at how the Trump adminstration's Justice Department will deal with global banks.

The talks are still in the early stages, however, with a resolution, if one can be reached, weeks or even months away, people close to the matter were cited saying.

From Bloomberg:

Attorney General Jeff Sessions last month issued a department-wide memo requiring settlement funds to be paid to the U.S. Treasury or to victims. The prior cases allowed billions of dollars in penalties to be paid through consumer relief measures — mortgage modifications, repayment plans and short sales, among other remedies. The Justice Department hasn’t said whether those so-called soft-dollar portions of the penalties will be allowed under the new policy.

The talks show that Justice Department lawyers — primarily operating from U.S. attorney offices — continue to push forward with outstanding mortgage bond cases left over from the Obama administration. However, it’s unclear how involved the new Justice Department leadership is in those efforts.

HSBC only recently shut the door on a separate government settlement that also dealt with mortgages originated during the crisis. Back in February 2016, HSBC agreed to a $601 million settlement with a series of federal agencies and nearly every state over charges that the bank engaged in mortgage origination, servicing and foreclosure abuses.

Joseph Smith, monitor of the National Mortgage Settlement, announced at the beginning on June that HSBC officially completed its obligations under the National Mortgage Settlement. Under the settlement, Smith said HSBC provided more than $371 million in consumer relief. 

Most Popular Articles

Prepare for the rise in mortgage rates

Economists offer their takes on how high mortgage rates will climb, how lenders will respond and what impact this will have on the housing market. HW+ Premium Content

Jan 18, 2021 By

Latest Articles

CFPB clarifies role of supervisory guidance

The Consumer Financial Protection Bureau issued a final rule Tuesday clarifying that supervisory guidance is not backed by the same force as law or regulation.

Jan 19, 2021 By
3d rendering of a row of luxury townhouses along a street

Log In

Forgot Password?

Don't have an account? Please