Washington Post reporters Zachary A. Goldfarb and Dina ElBoghdady are working this morning on word that a compromise deal is near that would resolve accusations of fraud and chicanery in banks' handling of failed home mortgages and property repossessions.
Goldfarb and ElBoghdady report that while a number of disparate agencies have banded together in agreement, the Office for the Comptroller of the Currency--which oversees the banks--remains opposed to the direction of the deal. What's more, there's work to do on the final terms of the settlement.
They write, "Even as officials neared consensus over the changes they would require banks to make in foreclosure practices, there was still no decision about how large a penalty banks should face and whether they should pay a fine or devote the sum to helping rework mortgages for distressed borrowers. Officials have told banks they would like the industry to help avert 1.5 million new foreclosures, sources said." It's important this gets settled for the market to work on normalizing supply and demand.