Foreclosure Victims Get New Round of Botched Checks
Last month 's checks bounced, so maybe this is progress
By Matt Cantor, Newser User
Posted May 9, 2013 6:59 AM CDT
In this March 15, 2012 photo, a trader works in the Goldman Sachs booth on the floor of the New York Stock Exchange.   (AP Photo/Richard Drew, File)

(Newser) – The very same institutions that apparently couldn't foreclose on homes properly are having a run of it: Following regulators' $3.6 million settlement with 13 banks, the Federal Reserve told Goldman Sachs and Morgan Stanley to send affected borrowers $247 million, doled out in amounts between $300 and $125,000, the Wall Street Journal reports. But some 100,000 borrowers received checks for too little money, the Fed says. The company in charge of the payments is Rust Consulting—yep, the same firm that last month sent mortgage-abuse victims rubber checks. As for the latest mistake, Rust says it "has corrected the error and plans to mail supplemental checks to affected borrowers."

More From Newser
My Take on This Story
To report an error on this story,
notify our editors.
Foreclosure Victims Get New Round of Botched Checks is...
6%
0%
2%
2%
4%
86%
Show results without voting
You Might Like
Comments
Showing 3 of 29 comments
markevans
Oct 25, 2013 11:46 PM CDT
Our economy is an awful story. JPMorgan Chase is being sued for a foreclosure , but not in the way many would expect. A wrongful death suit has been submitted against the bank after a male had a heart attack after foreclosure. The lawsuit suggests Chase caused the death of Harry Engel by heart attack in 2010.
greenlantern1
May 9, 2013 12:38 PM CDT
Isn't Neil Bush, a brother of George Bush, a banker? Remember Silverado? What do0 we expect?
Toon
May 9, 2013 10:42 AM CDT
I think it's time to hold them in contempt of court. Fine them 10% of the original settlement and send the additional money on to the people these banks have screwed with three times now.