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Banks and Multi State Attorney Generals Close to a Settlement


The attorney generals, and the five major banks are very close to reaching a settlement agreement.  It is being reported that a decision should be decided before Christmas.  The settlement "would release the banks from legal claims on past servicing and foreclosure practices but would not provide any release on claims regarding securitization."

The dollar amount that is being discussed is estimated to be around 25 billion.   Sheila Bair could possibly be nominated to be the monitor of the settlement. She would be in charge of making sure that the banks comply with the settlement arrangements.