HSBC reaches $470M deal with US, states over banking abuses
WASHINGTON - Banking giant HSBC has reached a $470 million settlement with the federal government and nearly all states over mortgage lending and foreclosure abuses that officials say contributed to the financial crisis.
The agreement announced Friday requires the bank to pay $100 million and to provide an additional $370 million in consumer relief to borrowers and homeowners. That includes reducing the principal on mortgages for homeowners who are at risk of default.
The deal also requires the bank to improve standards for how it services loans and handles foreclosures.
The settlement involves the departments of Justice and Housing and Urban Development and the Consumer Financial Protection Bureau.
Attorneys general from 49 states plus the District of Columbia signed on.
Desktop NewsClick to open Continuous News in a sidebar that updates in real-time.
Man injured in reported shooting at Centurion Arms Apartments
BRPD: New camera system installed to increase accountability
SU in the spotlight after Beyonce's Coachella performance
Teen shot, live grenade thrown in Baton Rouge neighborhood Friday
Teen shot, grenade detonated in Baton Rouge neighborhood Friday