In an eye-opening piece by 60 Minutes this week, Scott Pelley managed to actually interview robo-signers who had forged documents that allowed banks to foreclose on thousands of homes illegally. As we have discussed over the past few years, these document mills re-created the necessary documents that banks were too lazy to keep track of in the heyday of the housing bubble.
Signing 4000 documents a day for $10/hour
Pelley interviews Chris Pindley, a former robo-signer who estimates that he signed over 4,000 documents a day. Pindley signed the documents using a coworker’s name because her name was short and easy to write. This coworker, Linda Green, was given the title of “vice president” of about 20 different banks… at the same time. This “vice president” of multiple banks and her coworkers were paid 10 dollars an hour for their work. Pindley even remarked that as they sat around a table signing papers, he told the others that one day they would be on 60 Minutes: how prophetic.
Homeowner must have all paperwork perfect, while banks cheat and forge
While requiring thousands of everyday folks to have all of their paperwork perfect and wait in line for days just for the chance to beg for some sort of a reprieve, these banks felt that they could forge the documents they needed to throw people out of their homes. These kinds of double standards are endemic in the industry and are an unconscionable assault on the public. Scott Pelley’s work here is an invaluable insight behind the colossal corporate wall into the shenanigans of the banks and the everyday people caught up in the mess.
Banks are finally getting busted, will they ever be trusted? What next?
From the trenches
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