OTS issues corrective actions against Aurora, EverBank, OneWest, Sovereign Bank
Federal regulators are forcing four additional mortgage servicers to initiate corrective actions against deficiencies in the foreclosure process, the Office of Thrift Supervision said. The regulatory agency issued actions against Aurora Bank, EverBank, OneWest Bank and Sovereign Bank, saying "swift and comprehensive action" is needed to remedy deficiencies in the foreclosure process. Together, the four firms handle about three percent of all first-lien mortgages, according to OTS. Aurora, EverBank, OneWest and Sovereign Bank, along with 10 other servicers and servicing technology firms, received enforcement orders from regulators after federal agencies said they found deficiencies in the handling of foreclosures. OTS said regulators issued the orders after evaluating servicers on the accuracy of foreclosure documentation and conducting a complete review of foreclosure procedures, staffing on the default side and the outsourcing of work to law firms. "The review uncovered unsafe and unsound practices, violations of law and foreclosure processes geared toward speed and quantity, instead of quality and accuracy," the OTS said in its statement. Write to Kerri Panchuk.