Bank Of America Halts Foreclosures Amid Document Review

10.08.10 | FL News Team

Bank of America is stopping its foreclosures.  The bank says its foreclosure sales won't restart until it finishes a complete review of foreclosure documents in all 50 states.  It adds that the bank's primary focus is finding solutions for distressed homeowners.

The housing industry is in turmoil due to revelations that some of the biggest mortgage processors in the U.S. have filed false affidavits in thousands of foreclosure cases.  A bill recently passed by the Senate would have shielded bank and mortgage processors from liability due to improperly prepared foreclosure documents.  President Obama killed the bill yesterday, sending it back to the House for further debate.