Tag Archives: US Bank

U.S. Bank CEO Warns Employees: Make Fun Of Wells Fargo And You’re Fired

The Consumerist:

U.S. Bank employees were warned Thursday that under no circumstances are they to attempt to capitalize on Wells Fargo’s situation — at least publicly, The Star Tribune reports.

CEO Richard Davis told investors that the company won’t tolerate employees who publicly and overtly go after Wells Fargo customers, because that’s just not how the bank does business.

“So help me God, if I find a branch in one market with an orange flier that says ‘if you bank at Wells come to U.S. Bank,’ they’re going to be let go,” Davis said.

Barclays triumphs in toxic mortgage bond row with U.S. Bank, FHFA

Barclays Bank and a defunct subprime lending unit of the company are off the hook for allegedly misrepresenting the quality of the mortgages that made up a $619 million mortgage bond after the Supreme Court of the state of New York ruled that U.S. Bankand the Federal Housing Finance Agency waited too long to file a lawsuit against Barclays.

Law360 first reported the news of the dismissal.

According to court documents, Judge Marcy Friedman ruled recently that U.S. Bank, acting as the trustee for Structured Asset Securities Corporation Mortgage Loan Trust, and the FHFA, acting as the conservator for Freddie Mac, filed suit against Barclays and the now-shuttered EquiFirst beyond the statute of limitations, and is therefore dismissing the lawsuit.

Read on.

UBS Judge Strives For Best Way Forward As $2B Trial Wraps

Law360, New York (May 13, 2016, 8:00 PM ET) — A New York federal judge said Friday he is wrestling to come up with the best method for ruling on trustee U.S. Bank’s contract claims against UBS AG over $2 billion in bundled home loans as a three-week bench trial featuring 39,000 separate allegations of breach flowing from 8,000 allegedly defective mortgages wrapped.

U.S. Bank’s attorney pressed the judge to order UBS to pay for a swath of allegedly defective loans. (Credit: AP) U.S. District Judge P. Kevin Castel stressed again during a daylong closing session…

Source: Law360

OCC lifts mortgage servicing restrictions on U.S. Bank, Santander

The Office of the Comptroller of the Currency announced Tuesday that it is terminating mortgage servicing-related consent orders against U.S. Bank National Association and Santander Bank, lifting the mortgage servicing restrictions placed on both banks last year due to failure to comply with requirements of the Independent Foreclosure Review.

The banks were also fined a total of $13.4 million for failing to correct “deficiencies” related to each bank’s compliance with 2011’s Independent Foreclosure Review in a “timely fashion.”

The OCC said Tuesday that it is assessing a $10 million civil money penalty against U.S. Bank for violations of the Independent Foreclosure Review that took place from Oct. 1, 2014 through Aug. 30, 2015.

Santander was also assessed a $3.4 million civil money penalty for violated the 2011 consent order from Oct. 1, 2014 through Dec. 31, 2015.

The banks will pay the assessed penalties to the U.S. Treasury.

Read on.

US Bank, Others Seek Approval Of $1B RMBS Citigroup Deal

Law360, New York (November 6, 2015, 5:11 PM ET) — U.S. Bank NA, along with units of Deutsche Bank AG and HSBC Holdings PLC, on Friday asked a New York judge to sign off on a $1.1 billion residential mortgage-backed securities settlement with Citigroup Inc., saying an exhaustive review has shown it to be a reasonable deal.

Attorneys for the moving lenders gathered in New York Supreme Court in Manhattan to petition Judge Marcy Friedman for approval of the settlement, under which Citigroup will make a binding offer to the trustees of 68 Citigroup-sponsored trusts that…

Source: Law360

Bartnam v. U.S. Bank: High profile mortgage foreclosure case moves to Florida Supreme Court

When does the clock start ticking on a mortgage foreclosure case?

That’s the question being argued Wednesday before the Florida Supreme Court in the case of Bartram v. U.S. Bank. Back in 2006, the Law Offices of David J. Stern filed a mortgage foreclosure suit against Lewis Bartram of Ponte Vedra Beach. Years later, after Stern’s “foreclosure mill” collapsed leaving tens of thousands of foreclosure cases in limbo, lender, U.S. Bank missed a case management conference and its foreclosure case was dismissed.

However, the case was revived and Bartram received another favorable judgment in 2011 based on the fact that the five-year statute of limitations on mortgage foreclosures had expired. But U.S. Bank appealed that ruling, and in 2014 Florida’s Fifth District Court ruled in the bank’s favor, throwing out Florida’s five-year statute of limitations on mortgage foreclosures.

The ruling was a victory for banks in Florida who continue to foreclose on loans that defaulted years ago. Many of those loans are so called “zombie mortgages,” or a foreclosure that has been started but not completed.

Over the past few years it has taken an average of 62 months to clear such foreclosures and many have been dismissed because they fell under the state’s five-year statute of limitations rule. At the heart of the case being argued on Wednesday is the issue of mortgage acceleration. Most mortgage contracts carry an acceleration clause, which allows the lender to sue for the entire loan amount immediately, starting a five-year clock on the foreclosure process.

But the Fifth District ruled that the court’s dismissal of U.S. Bank’s lawsuit in 2011 negated the loan’s original acceleration date that had been set in 2006, effectively resetting the acceleration date to 2011.

– See more at: http://therealdeal.com/miami/blog/2015/11/03/high-profile-mortgage-foreclosure-case-moves-to-florida-supreme-court/#sthash.qSPdebSB.dpuf

Local labor groups launch campaign against U.S. Bank, Wells Fargo

A group of local unions and their allies have launched a new campaign against U.S. Bank and Wells Fargo, demanding that they pay a $15 minimum wage to tellers and the janitors who clean their offices, and work harder to move more minorities into management.

The group, backed by SEIU Local 26, the St. Paul Federation of Teachers, Minnesotans for a Fair Economy and Neighborhoods Organizing for Change, among others, issued the first of what they promise will be a series of reports under the title, “Inside the Vault: Exposing how US Bank and Wells Fargo Harm Minnesota Communities.”

The first report, citing GlassDoor.com, says that Wells Fargo tellers earn only an average of $11.81 per hour and that U.S. Bank tellers earn only an average of $11.60 per hour. Both wages, the group contends, are below average for tellers nationally and force a significant percentage of bank tellers to rely on some form of public assistance to make ends meet.

Read on.

FDIC Sues Citi, US Bank Over $695M Mortgage Security Loss

Law360, New York (August 20, 2015, 12:11 PM ET) — The Federal Deposit Insurance Corp. on Wednesday sued Citibank NA and U.S. Bank NA alleging they failed in their roles as trustees for residential mortgage-backed securities held by a failed bank that contributed to a $695 million loss to the regulator’s insurance fund.

The FDIC was hit with RMBS losses totaling $695 million after taking over Guaranty Bank in 2009, according to three suits filed against the securities’ trustees. (Credit: FDIC) The complaints, filed in federal district court in Manhattan, came soon after a late filing…

Source: Law360

US Bank Hits Bank of America With $178M Mortgage Loan Suit

Law360, Los Angeles (June 26, 2015, 9:57 PM ET) — U.S. Bank NA., acting as a trustee for a pool of home loans, slapped Bank of America Corp. and others with a suit in New York state court seeking to recover $178 million in losses over alleged misrepresentations made in the sale of residential mortgage loans.

Suing as the trustee of Lehman XS Trust, Series 2007-7N, U.S. Bank seeks redress from Bank of America and Countrywide Financial as successors-in-interest to Countrywide Home Loans Inc., for alleged breaches of representations and warranties under a 2007 warranties and…

Source: Law360

US Bank, Bank of America win dismissal of mortgage claims

U.S. Bancorp (>> U.S. Bancorp) and Bank of America Corp (>> Bank of America Corp) won a dismissal of claims in lawsuits accusing them of breaching their duties as trustees for residential mortgage-backed securities that suffered losses tied to the global financial crisis.

The dismissals came in three decisions late Monday by U.S. District Judge Katherine Forrest in Manhattan.

In the first, Forrest rejected an attempt by funds from BlackRock Inc (>> BlackRock, Inc.), Allianz SE’s (>> Allianz SE) Pacific Investment Management Co and TIAA-CREF to hold US Bancorp liable for alleged defects in 843 RMBS trusts collateralized by $778.6 billion of loans, causing tens of billions of dollars of losses.

Read on.