Reps. Raúl M. Grijalva (D-Ariz.) and Keith Ellison (D-Minn.), Co-Chairs of the Congressional Progressive Caucus (CPC), today released the following statement on news about the $26 billion mortgage settlement:
“This settlement is a step towards restoring trust and transparency to an economic system that has catered to the big banks and taken away from the American people for far too long. We are encouraged by new bank requirements that will work to slow the pace of foreclosures and efforts to limit the scope of immunity offered to the banks. For some homeowners, thousands of dollars in compensation, a change in the principle amount owed, or an improved chance to refinance can make a world of difference.
“This settlement alone is not enough and should be seen as a down payment on justice for homeowners harmed by illegal bank practices. When Wall Street bankers got bailed out, homeowners got kicked out. Now these banks are back to business as usual, coming up with new ways to cheat working Americans and paying out $144 billion in bonuses and compensation this year alone. Americans are fed up with Wall Street banks getting bailed out and then trying to squeeze homeowners for more profits.
“A $26 billion settlement to fix a $700 billion problem fails to meet the needs of America’s homeowners. We are eager to see Attorney General Schneiderman and the Department of Justice take this lead and we urge them not to back down until the banks that took advantage of vulnerable families come to the table to fix the damage they have done.”
