The Wyoming Office of the Attorney General has finalized plans regarding how it will employ the $2.6 million the state received from the nation's five largest home loan companies for unethical business practices that ultimately led to many well-meaning people to loose their homes to foreclosure.
Clyde Hutchins, senior assistant attorney general, works primarily in human services and consumer protection statewide. He explained Wyoming's small population wasn't the only reason the state didn't bring in more money from the settlement.
According to Hutchins, Wyoming consumers were cheated out of being able to meaningfully modify their loans, if necessary, because they had to talk to a different representative every time they called regarding their loan. Furthermore, it was shown the companies had people signing affidavits advocating for a home's foreclosure when the they had no first-hand knowledge of the individual situation.
The money given to the state will be used to provide financial counseling to homeowners who were affected by unsavory business practices and help some homeowners get their needed loan modifications. People who have lost their homes may also be eligible for modest monetary compensation. To learn more about the settlement, click here.