Transcript for Fed Announces $25 Billion Foreclosure Deal
Federal officials have announced a settlement between states and a nation's five biggest mortgage lenders. To provide relief to millions of homeowners facing foreclosure. The 25 billion dollar deal would force banks to cut interest rates. Lower mortgage balances or provide a cash payment of up to 2000 dollars. Attorney general Eric Holder says however this settlement and doesn't entirely exonerate banks from claims. Of mortgage fraud. Certain civil claims -- political servicing activities. It doesn't not. -- state and federal authorities. It's -- criminal enforcement actions. And it preserves extensive -- its mortgage securitization activities including Clinton -- focused. Residential mortgage backed securities. Group. Alder says this is the -- as joint federal local civil settlement. In the history of the nation.
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