By Martin Berg
I checked in with Citibank the other day to see how they were doing on their promise to reduce principal on loans for qualified underwater borrowers.
The bank had made that promise as part of a highly touted national settlement of foreclosure fraud charges with state attorneys general back in February. One thing the bank did not agree to, apparently, was any sense of urgency.
A bank representative told me they had taken a couple of months to get set up and were now in the process of reviewing their borrowers’ files. He said he thought they would be done by mid-August.
One thing we know for certain: without a tough independent monitor to track what the banks are doing, and not doing, they’ll take their time to produce little help for troubled borrowers.