(AP) -- WASHINGTON (AP) - A new report from a congressional watchdog says the disarray stemming from flawed foreclosure documents could threaten major banks with billions of dollars in losses, deepen the disruption in the housing market and hurt the government's effort to keep people in their homes.
Revelations that several big mortgage companies sped through thousands of home foreclosures without properly checking paperwork already has raised alarm in Washington.
If the irregularities turn out to be more widespread, the consequences could be severe, the Congressional Oversight Panel said in a report issued Tuesday. The full impact is still unclear, the report cautions.
Firms that service a total $6.4 trillion in mortgages are involved, according to the new report.
(Copyright 2010 by The Associated Press. All Rights Reserved.)
(Copyright ©2010 by The Associated Press. All Rights Reserved.)
