All 50 state attorneys general reacted swiftly and aggressively to curb mortgage servicers' practices following the disclosure that some employees "robo-signed" foreclosure-related documents. Despite the regulatory backlash, most challenges to robo-signing do not allege the borrowers are not in default. The procedures used in mortgage servicers' shops may indeed require improvement, and these improvements are underway -- but they are unlikely to lead to significantly fewer foreclosures.
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