Wednesday, May 25, 2011

Dear Brian, WYADII

...which is text-speak for What You Are Doing Is Illegal.

Bank of America's CEO

Released earlier today: a letter from Utah's Attorney General to Brian Moynihan, President and CEO of Bank of America, informing him that "all real estate foreclosures conducted by ReconTrust [a unit of Bank of America] in the State of Utah are not in compliance with Utah's statutes, and are hence illegal." Not only that, but "ReconTrust's exercise of fiduciary powers in the State of Utah is a violation not only of State law, but also applicable federal law."

Other than that, Bro (er, Brian, or whatever), you run a squeaky-clean operation. MainePERS will stand by you to the end.

[update, 05-26-11:]

Go ahead, try it. Google "Bank of America settlement" and see what you get. Today there's this:

Bank of America Settles Illegal Overdraft Fees Lawsuit for $410 Million

And this:

Bank of America To Pay $20 Million for Military Foreclosures

In the first one, BofA was accused of recording ATM transactions to maximize overdraft fees. Specifically, the bank debited not in chronological order, but by transaction amount, largest items first. This way a customer skirting a zero balance would incur penalties sooner and more often. GOTCHA! In the second one, a BofA subsidiary illegally foreclosed on 160 military servicemembers in 20 states between January 2006 and May 2009. People joining the military are protected by the Servicemembers Civil Relief Act, which requires a court order for foreclosure on a home mortgage held by a serviceman or woman. In several cases cited by the Justice Department, BofA refused to delay foreclosures even after receiving documentation that the homeowners were on active duty.

If you believe you were improperly foreclosed on by Bank of America before the end of December 2010 (as per SCRA), call 1-800-896-7743, mailbox 6. There may be a check waiting for you.

Maybe Bank of America should be renamed Bank Against America. Something to think about as we remember veterans this weekend.

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