Skip to main content

Smith Releases Initial Report Regarding Chase RMBS Settlement

NationalMortgageProfessional.com
Jul 23, 2014

Joseph A. Smith Jr. has released his Initial Report as Monitor of the JP Morgan Chase residential mortgage-backed securities settlement (Chase RMBS Settlement). On Nov. 19, 2013, the federal government, five states and JPMorgan Chase reached a $13 billion agreement to settle claims regarding the packaging, marketing, sale and issuance of residential mortgage-backed securities (RMBS) by Chase, Bear Stearns and Washington Mutual to investors before the financial crisis. Smith was appointed by the settlement parties to monitor Chase as it distributes $4 billion in credited consumer relief. Under the settlement, Chase is required to provide relief to borrowers within essentially a four-year period ending Dec. 31, 2017. “Chase has begun to provide this relief, and my team and I have confirmed that Chase has provided approximately $6 million in credited consumer relief,” said Smith. “Prior to submission, Chase informed me that it would transfer 100 loans to its internal review group as a trial to ensure its testing procedures were appropriately designed. I consented to this approach. Chase further advised me that it had provided creditable relief to borrowers on additional loans through March 31 that were not included in the group of 100 initially tested. This additional activity will be reported to me in mid-August.” Chase is required to report to the Monitor quarterly on its consumer relief activities. After Chase’s internal review group tests and confirms the eligibility of these activities, it submits a report to the Monitor. Smith and the professionals he works with then thoroughly review this work and determine the amount of credit to which Chase is entitled. “I look forward to sharing additional results in my next public report on Chase’s consumer relief activity before the end of the year. I am honored to have been chosen to monitor this settlement, and my colleagues and I will do our very best to justify the faith the parties put into our work.”
Published
Jul 23, 2014
'A Long Road To Normal'

Nominated again to lead The Fed, Powell tells Senate committee to expect three rate hikes, but 'if we have to raise interest rates more over time, we will.'

Regulation and Compliance
Jan 11, 2022
CFPB: Complaint Response Worsens At Big 3 Credit Bureaus

Report claims Equifax, Experian, and TransUnion routinely failed to fully respond to consumers with errors.

Regulation and Compliance
Jan 10, 2022
The Fed Names Chairs, Deputy Chairs For 12 Reserve Banks

In recent years, the Federal Reserve System has worked to increase the overall diversity of the Reserve Bank and branch boards of directors and continues to build on those efforts.

Regulation and Compliance
Jan 06, 2022
The Fed: Rate Hike Likely Coming in June

Federal Open Market Committee's December minutes reveal discussion of first hike in federal funds rate in 2Q of 2022, as well as of ending asset purchases by March.

Regulation and Compliance
Jan 05, 2022
AARMR No Protection For Savanah Scares

Conference provides opportunity for regulators to interact, discuss common topics

Regulation and Compliance
Jan 04, 2022
McCargo Sworn In As Ginnie Mae President

Former HUD official becomes the first female to lead the Government National Mortgage Association.

Regulation and Compliance
Jan 04, 2022