Oct. 15 (Bloomberg) -- Bank of America Corp.âs head of home lending said outside estimates of costs stemming from delays in foreclosures are âgrossly distorted.â
Reviews of foreclosures will delay fewer than 30,000 sales, said Barbara Desoer, president of Bank of Americaâs home lending and insurance unit, without specifying which estimates she believes are imprecise. The Charlotte, North Carolina-based lender will rework 102,000 pending foreclosures in 23 states and stands by the accuracy of its procedures, she said.
Bank of America shares declined about 9 percent this week, reaching their lowest levels in more than a year, amid growing scrutiny of foreclosure practices and speculation that even greater losses may result if mortgage-bond investors challenge underlying loans and force lenders to buy them back. The lender said Oct. 8 it would stop foreclosure sales nationally pending a review of its practices over the next few weeks.
âWe believe that our assessment shows the basis for past foreclosure decisions is accurate,â Desoer said in an interview today. âThe type of borrower in that 30,000 is somebody who hasnât made a payment in an extended period of time.â
http://noir.bloomberg.com/apps/news?pid=20601087&sid=ajJMZPxb_GjQ&pos=6
I can smell several hedge funds behind this press release. Like Paulson and companions. +12.5 % in Sept. - 12.5 % in October ?
Reviews of foreclosures will delay fewer than 30,000 sales, said Barbara Desoer, president of Bank of Americaâs home lending and insurance unit, without specifying which estimates she believes are imprecise. The Charlotte, North Carolina-based lender will rework 102,000 pending foreclosures in 23 states and stands by the accuracy of its procedures, she said.
Bank of America shares declined about 9 percent this week, reaching their lowest levels in more than a year, amid growing scrutiny of foreclosure practices and speculation that even greater losses may result if mortgage-bond investors challenge underlying loans and force lenders to buy them back. The lender said Oct. 8 it would stop foreclosure sales nationally pending a review of its practices over the next few weeks.
âWe believe that our assessment shows the basis for past foreclosure decisions is accurate,â Desoer said in an interview today. âThe type of borrower in that 30,000 is somebody who hasnât made a payment in an extended period of time.â
http://noir.bloomberg.com/apps/news?pid=20601087&sid=ajJMZPxb_GjQ&pos=6
I can smell several hedge funds behind this press release. Like Paulson and companions. +12.5 % in Sept. - 12.5 % in October ?
