Mr. Cooper to Pay $96 Million in CFPB, State Settlement (1)

Mortgage company Mr. Cooper has agreed to a more than $96 million settlement with the CFPB and all 50 states to resolve claims that it improperly processed modifications on mortgages the company acquired, resulting in improper foreclosures.

Mr. Cooper didn’t properly process “in flight” trial mortgage modifications on thousands of home loans it acquired between 2012 and 2015, according to the Consumer Financial Protection Bureau’s complaint, filed Monday in the U.S. District Court for the District of Columbia. The CFPB filed settlement documents alongside the complaint, seeking the court’s approval of the deal.

A coalition of state attorneys general ...