Attorney General Rob McKenna joined a group of other attorneys general and state banking regulators in sending a letter urging federal officials to encourage national banks and federal thrift-servicing operations to modify mortgage loans that are becoming unaffordable for consumers.
The letter to U.S. Comptroller of the Currency John C. Dugan and John M. Reich, director of the Office of Thrift Supervision (OTS), was signed by members of the State Foreclosure Prevention Working Group who are working to reduce the number of unnecessary foreclosures by encouraging loan modifications and other sustainable, long-term solutions.
It concerns the availability of reliable data on loss mitigation efforts. The working group contends the Office of the Comptroller of the Currency (OCC) has discouraged national banks from cooperating with the states’ effort to collect such data and instead initiated its own data collection process.
“Every day, our office hears from families struggling to make their mortgage payments and those who have lost their homes,” McKenna said. “They are our neighbors and we have as much of an investment in helping them as do officials in the other Washington. The states want to work with federal regulators – not against them – to help reduce foreclosures.”
Read today’s news release for more information.