Business/Economics, U.S.

JP Morgan Chase Foreclosing Homes Making Big Profits

Today JP Morgan Chase reported a 23% profit for the 3rd quarter of 2010.  That’s $4.4 billion profit.

JP Morgan Chase is one of the companies involved in questionable home foreclosures. They are also one of the big banks that got a big taxpayer bailout.

NEW YORK - MARCH 24: (FILE PHOTO) A man walks on the sidewalk in front of the JP Morgan Chase building March 24, 2008 in New York City. The bank has reported large third-quarter earnings but has also allocated $2 billion to cover loan losses. (Photo by Chris Hondros/Getty Images)

According to Mother Jones, JP Morgan Chase paid back only $68.3 billion of the $229.7 billion they got from taxpayers.  Our government acted like it was fully paid.

JP Morgan Chase halted 56,000 foreclosures, in states that require court approval, after “mistakes” were found.  The Attorney General of California, a state that does not require court approval, has demanded that JP Morgan prove its foreclosure practices are lawful in that state (www.adi-news.com).  Only 23 states require court approval of foreclosures.

CHICAGO - JULY 15: Crystal Richard demonstrates with her children outside the offices of JPMorgan Chase on July 15, 2010 in Chicago, Illinois. Richard's family is being evicted from the apartment building where they live because the building has been deemed uninhabitable by the city. Residents claim the building was not maintained after the bank after took over the building following a 2008 foreclosure. Residents are required to be out of the building by Saturday. (Photo by Scott Olson/Getty Images)

In a recent Bloomberg article, attorneys claim they have found “errors” in 75% of foreclosure paperwork.  Again, this is only in the states that require court approval.  JP Morgan, along with other big banks, have admitted that their employees may have filled out foreclosure paperwork without checking the facts.  In other words, they filed foreclosure claims arbitrarily.  Attorney Richard Kessler said it will take decades to straighten out the foreclosure fiasco.

Written by: Hutchins AAron on October 13, 2010.