Federal investigators filed new reports saying the nation's biggest banks played fast and loose when it came to foreclosure.
The reports claim Bank of America employees whipped through 20,000 foreclosure documents per day, often without reading them, and that a vice president admitted her staff checked for formatting and spelling errors, but nothing else.
Investigatorssaid Wells Fargo relied on "robosigners" with little or no experience, including people who worked in a factory, daycare, and department store. Apparently, a bank teller who also worked in a pizza restaurant even landed the title of Vice President of Loan Documentation.
The reports also claim an Ally Bank employee handled about 400 affidavits per day, saying he had personal knowledge of the facts when he did not.
Koy Chiu almost lost her home in 2007. She was able to rework her loan, and now she helps others do the same. When asked whether it hurts to hear what federal investigators reported, she said, "Absolutely. It does. I deal with [the homeowners]. I keep boxes of tissues on my desk for homeowners. So it's a sad thing."
Eyewitness News asked Wells Fargo and Bank of America, at the same time, to respond to these allegations. Wells Fargo emailed, "The matters raised in the report cover observations that are two-four years old and they have been addressed."