WASHINGTON — Senate Democrats are urging the Office of the Comptroller of the Currency to work with state attorneys general and other federal agencies to address mortgage servicing and foreclosure problems.
In a letter to Acting Comptroller of the Currency John Walsh on Tuesday, a dozen senators urged the OCC to "use the full scope of its authority" to help fix servicers' mistakes.
"We urge you to take every opportunity to ensure that servicers not only account for past harms, but also take steps to prevent future servicing deficiencies so that homeowners going forward are treated fairly," the letter said.
Regulators announced consent orders with 14 of the country's top mortgage servicers in April, but the state AGs are continuing to negotiate a separate settlement with five servicers.
The senators asked Walsh to consider servicing standards proposed by the attorneys general, as well as provisions from proposed legislation, when it reviews the action plans that banks must submit under the consent orders.
"Taken together, these policies would be a better basis for a more fair and equitable system going forward," it said.