Freddie Mac Faulted With FHFA on Loan Servicers Oversight
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Freddie Mac and its regulator, the Federal Housing Finance Agency, need to do a better job supervising financial institutions servicing the company’s loans, according to the FHFA Office of Inspector General.
FHFA hasn’t implemented regulations governing servicer oversight or paid enough attention to abuses uncovered by other federal regulators, Deputy Inspector General Russell A. Rau wrote today in a report. Five servicers, including Wells Fargo & Co. and JPMorgan Chase & Co., last month settled a lawsuit with state and federal authorities after investigations revealed the banks didn’t have the proper documents to seize homes.