CNN is reporting that banks in the U.S. are scrambling to comply with a federal law requiring loan servicers to make certain payments to borrowers.
In a statement, banks including Wells Fargo and Bank of America said they are “reviewing all of our processes and processes in our industry and will work with federal, state, local and tribal law enforcement to expedite any actions that may be needed.”
In the meantime, some borrowers may be able to get refunds if they can prove that their loans are underfunded, according to CNN Money.
If the loan is underfunded but the borrower has a history of defaulting, the bank could file a claim with the U,S.
Department of Housing and Urban Development (HUD).