The mortgage-loan servicer Nationstar Mortgage LLC agreed to pay more than $74 million to settle complaints of deceptive practices brought by the U.S. government and a coalition of all 50 state attorneys general, Bloomberg News reported. In lawsuits filed in federal court in Washington, D.C., yesterday, the Consumer Financial Protection Bureau and the states said that Nationstar, owned by Mr. Cooper Group Inc., failed to properly oversee third-party vendors or respond to borrowers’ complaints, among other offenses. The CFPB said in a press release that Nationstar had agreed to pay about $73 million to more than 40,000 harmed borrowers and a $1.5 million penalty. The combined CFPB and state settlements will yield almost $85 million in recoveries for consumers and more than $6 million in fees and penalties, according to the statement. In a separate statement Monday, the U.S. Justice Department said that Nationstar and two other mortgage servicers, U.S. Bank National Association and PNC Bank, had agreed to pay more than $74 million to redress “servicing errors” that hurt borrowers in bankruptcy.
