Phoenix Business Journal
Former homeowners are seeking class-action status in an ongoing suit against Bank of America Corp., which stands accused of using gift cards, cash bonuses and other means to encourage employees to meet foreclosure quotas.
According to Bloomberg News, the plaintiffs, whose class-action appeal is working its way through a federal court in Boston, submitted potentially damaging statements from former Bank of America employees who suggest that the program resulted in delays and other processing hiccups that helped maximize the Charlotte-based bank’s fees from foreclosure related accounts while failing to properly assist homeowners eligible for various assistance programs.
According to statements from one former BofA employee, workers who managed to push at least 10 clients into foreclosure received $500 bonuses as well as gift cards to Target and Bed Bath and Beyond.
