JPMORGAN CHASE TO PAY $50 MILLION TO
HOMEOWNERS IN BANKRUPTCY
On Tuesday, March 3, 2015, the United States Trustee Program released a statement that it had entered into a national settlement agreement with JPMorgan Chase (Chase) to compensate homeowners in bankruptcy for the use of robo-signing and other improper practices. As a result of this settlement, Chase has agreed to pay over $50 million dollars through various payments, credits and contributions to thousands of homeowners who were or who are presently in bankruptcy cases. Homeowners who filed bankruptcy in Augusta, Georgia are likely to benefit from this settlement.
Chase has admitted it filed documents in bankruptcy courts around the country that were improperly signed, under penalty of perjury, by persons who had not even reviewed the documents prior to filing. More than 25,000 such notices were filed by Chase in bankruptcy courts across the country. Chase filed numerous claims and documents in the United States Bankruptcy Court for the Southern District of Georgia, Augusta Division. The Augusta Division serves the counties of Richmond, Columbia, McDuffie, Burke, Wilkes, Warren, Jefferson, Taliaferro and Glascock.
This action taken by the United States Trustee Program sends a strong message to banks and other creditors that the bankruptcy system is to be respected and all filings must be accurate and all legal requirements must be followed. Acting Associate Attorney General Stuart F. Delery stated, “Such unlawful and abusive banking practices can deprive American homeowners of a fair chance in the bankruptcy system, and we will not tolerate them.”
Homeowners wishing to learn more about the settlement may contact Chase at 866-451-2327.