Posted By Cliff Tuttle | October 5, 2010
Aha! Now it is starting to make sense. It seemed a little strange that J P Morgan Chase and GMAC had halted foreclosures in judicial foreclosure states pending an investigation of practices that they must have known have been going on for years. Well, now we are starting to see why.
Reading the advance sheets around the country, Title Insurance company Old Republic has announced that it will not insure properties that have been foreclosed by JPM-C and GMAC because the foreclosures may be called into question after the fact.
It is not too hard to recognize that Old Republic must have been in conference with the lenders prior to the announcement of the internal investigation. And so, Morgan and GMAC announced their investigation before the news about Old Republic broke — damage control.
In related news, Bank of America, who also has joined the internal investigation trend, announced that it was discontinuing the Countrywide brand. The times, they are a changin’.
And since this news broke, look for the others — Fidelity National, Stewart, First American, the whole gang — to weigh in on the subject.
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