GMAC stops some evictions, foreclosed home sales

NEW YORK (AP) - September 21, 2010

The action highlights what is becoming a larger problem for lenders and servicers that may have illegally driven homeowners out of their houses. The issue is threatening to clog up an already overloaded foreclosure process.

Lenders took back more homes last month since the start of the mortgage crisis as they try clear out a backlog of bad loans.

GMAC, which is owned by Ally Financial Inc., is not identifying the specific internal issue that prompted the moratorium in its statement, but it has been linked to lawsuits this year surrounding the alleged falsification of a key foreclosure document.

Copyright © 2021 WPVI-TV. All Rights Reserved.