Ally Financial, the bank holding company formerly known as GMAC, has fixed about 90% of its 25,000 robo-signed foreclosure affidavits. GMAC, which at time of writing is 74% owned by the Treasury Dept (after its $17 billion TARP investment), just hired an adviser for its IPO later this year. From Housing Wire:
The bank earned $79 million during the fourth quarter. But it proved to be a period of corrections for the lender. Along with a multi-million settlement with Fannie Mae over representations and warranties, the bank began correcting affidavits signed en masse and without a review of the documentation as required by law in 23 states.
Ally said all but 2,548 affidavits in three states have been remediated or re-executed. The bank did not disclose which states exactly, but added the delay was due to stricter foreclosure processes in those areas.
“As each of the files were addressed and deemed to be appropriate, the foreclosure process for those select cases continued to move forward,” Ally said. “The company has not found any evidence of inappropriate foreclosures in its review process to date related to the affidavit matter.”
Ally still has a ways to go–all of its Maryland foreclosures are stalled because of “paperwork issues.” But judging by the positive PR effort and the IPO preparations, this TARP project’s on track.