Schuette Joins 40 AGs In Foreclosure Settlement To Help Housing Crisis; Banks To Pay About A Half-Billion Dollars To Assist Michigan Citizens

LANSING, MI – February 9, 2012 – (RealEstateRama) — Michigan Attorney General Bill Schuette today announced Michigan will join at least 40 other states in a multi-billion dollar nationwide settlement with five of the nation’s largest banks/mortgage servicers in response to allegations of faulty foreclosure processes and poor servicing of mortgages that harmed Michigan homeowners. Schuette said that Michigan residents will receive approximately a half-billion dollars, including a $101 million fund provided directly to the State of Michigan. The settlement is anticipated to be the second-largest financial recovery ever achieved for affected citizens by attorneys general, with the 1998 Master Tobacco Settlement being the largest.