Bank of America settles discrimination suit for $335M

NEW YORK - Bank of America has agreed to pay $335 million to resolve allegations that its Countrywide unit engaged in a widespread pattern of discrimination against qualified African-American and Hispanic borrowers.

The settlement with the U.S. Justice Department was filed Wednesday with the Central District court of California and is subject to court approval. The DOJ says it's the largest settlement in history over residential fair lending practices.

Charlotte, North Carolina-based Bank of America Corp. bought the nation's largest subprime lender, Countrywide Financial Corp., in 2008.

The settlement amount will be used to compensate victims of Countrywide's discriminatory mortgage loans from 2004 through 2007.

Illinois Attorney General Lisa Madigan welcomed the $335 million.

Madigan's office filed suit against Bank of America subsidiary Countrywide Financial Corp. in 2010. The settlement, announced Wednesday by the U.S. Department of Justice, stemmed from that lawsuit.

Madigan says Countrywide consistently sold African-American and Hispanic borrowers riskier loans at a higher cost than it sold to white borrowers with similar credit.

Madigan says the settlement upholds American principles of justice and fairness. She says people's access to credit, and the terms of their credit, should be determined on an equal basis, not on the basis of the color of their skin.

The settlement is subject to court approval.

[freedom8246]

GOOD NEWS FOR AMERICANS WHO Lost thier home from 2009 due to a foreclosure. You have until April 13th 2012 to get your cases reviewed. Merly take your original documents on the Foreclosure.

in the upper left hand corner if the so called plaintiffs where a Nation Bank or has N/a in its name. To Get your case moving go too

the occs web site. helpwithmybank.gov follow filing instructions

file foreclosure fruad charges against the plaintiffs. In 48 hrs you should recive by email a case number from the occ.Then contact the independant review board to get the forms you will need to have your case review. NO there is no charge for this. So there should not be some Attorney FEES .

Dale Bennington
3195 Montague Ave
Spring Hill Fl. 34608

1 352 340 5852 Viet Nam Vet also a victum and had my home stolen

[credibility2]

Bank of America didn't own Countrywide finance until January 2008 and wasn't behind the wrong-doing. These violations occurred between 2004 and 2007. Unfortunately for BofA exposed itself to liability with the purchase. There was no reason for any of these individuals getting duped like this. It should be required that any potential home buyer be ordered to seek financial counseling, hire a qualified attorney and get a minimum of three competing contracts reviewed before making a decision. I'm sure many of the duped thought they were entitled to get the mortgage. Once again, the lawyers have circumvented consumer accountability and responsibility. No one should be duped given all of the available resources to prevent this sort of thing from happening.

[hollish22]

I think you folks are all missing what really happened here. Madigan just pulled off(for lawyers) what should be outlawed in this country. That would be a class action lawsuit, that is where the lawyers get together with the company they are suing and sell their clients out with an agreement that makes them rich and the people get little or nothing. Good old law firms.....one of the biggest problems in our country.

[GBUJarhead]

This is obscene. $335M is not even 1% of the money stolen. These guys belong in a cell with Bernie Madoff.

[rwsmith29456]

Like everything else home loans are a great big racket.