Four million foreclosed borrowers eligible for review

If you were in the process of foreclosure during calendar years 2009 and 2010 in the US, you may be entitled to a review of your foreclosure for potential wrongdoing.  The Office of the Comptroller of the Currency (OCC) put together this agreement with mortgage servicers and the Federal Reserve.  The mailings to potentially affected borrowers began this past week and will continue through the end of the year.

The borrowers have until the end of April, 2012, to request a review under the guidelines of the agreement.  The parties involved acknowledge that it will be a huge amount of work to process the potentially 4 million requests, but have pledged to do so thoroughly and fairly.

Much of the rest of the process and its consequences are unclear now but the sheer volume of reviews could aid the recognition of patterns in foreclosure processing based on just about any measure — income, racial background, mortgage servicer, credit history, etc.  It will be interesting to see.

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