US House panel sets hearing on foreclosure problems

WASHINGTON: A US House of Representatives subcommittee on housing issues will hold a hearing on home foreclosures when lawmakers return from recess after the November elections, the panel announced on Monday, Oct 18.

The hearing is scheduled for Thursday, Nov 18 at 10am with testimony from industry representatives, government regulators and watchdog groups, the House Subcommittee on Housing and Communality Opportunity said in a statement.

The hearing will examine problems that have emerged in the mortgage servicing industry, including improper and illegal foreclosures, the statement said.

Allegations of wrongful evictions involving lenders such as Ally Financial's GMAC, JPMorgan Chase & Co and Bank of America Corp have halted at least some of their foreclosures in process.

The head of the House panel, Representative Maxine Waters, has introduced legislation that would make foreclosure a last resort, only after loan modification options have been exhausted. — Reuters