GMAC news stories on Newser

GMAC, BofA Restarting Foreclosures

Polly Davis Doig — Tue, 19 Oct 2010 09:17:04 CDT

Bank of America and GMAC, two huge players in the mortgage crisis, are moving to resume foreclosures, effectively ending a self-imposed moratorium meant to give them time to look for errors, the Wall Street Journal reports. A BofA spokesman said the bank would resubmit paperwork for 102,000 cases by...

Foreclosure Scandal Messing Up Home Sales

Kevin Spak — Fri, 08 Oct 2010 09:41:12 CDT

Hundreds of thousands of foreclosures have been thrown into limbo in the wake of revelations that major lenders didn’t properly review the foreclosure documents, creating a big mess for people trying to buy those homes, the New York Times reports. JPMorgan and GMAC have suspended foreclosures in the 23 states...

Foreclosure System in Chaos—Which Might Be Good

John Johnson — Fri, 01 Oct 2010 12:11:00 CDT

The nation's foreclosure system is coming to a virtual standstill in the wake of news that two big home lenders may have done shoddy work processing them. The New York Times weighs in on the mess and finds a silver lining: This could actually help the housing market in the...

Lender Admits Blindly Approving Foreclosures

Rob Quinn — Wed, 22 Sep 2010 07:33:12 CDT

Foreclosure eviction proceedings around the country have ground to a halt after a mortgage company employee admitted to signing off on foreclosures without looking at them. The head of foreclosure document processing at Ally Financial, the nation's fourth-largest home lender, was required to verify information and sign documents in the...

US Takes Majority Stake in GMAC

Wed, 30 Dec 2009 18:40:37 CST

The government gave GMAC Financial Services another $3.8 billion in cash and took a majority stake in the auto lender, aiming to stabilize the company as it struggles with big losses in its home mortgage unit. The fresh infusion is on top of $12.5 billion in taxpayer money...

US to Hand Ailing GMAC Another $3.5B

Matt Cantor — Wed, 30 Dec 2009 12:20:38 CST

GMAC is set for another $3.5 billion from the government—this on top of more than $12.5 billion since last December. The latest infusion comes amid an overhaul as the firm grapples with mortgage-linked losses, aiming at a return to profitability in the first quarter of next year,...

Pay Czar OKs Rule-Busting Pay at Bailout Firms

Rob Quinn — Thu, 24 Dec 2009 04:42:24 CST

"Pay czar" Kenneth Feinberg has made more exceptions to the $500,000 salary cap for execs at bailed-out firms. Compensation packages approved this week include a $9.5 million plan for GMAC CEO Michael Carpenter, which includes a $950,000 salary, Reuters reports. The exemptions were agreed to because they...

Pay Czar Slashes Top Salaries at 7 Bailed-Out Firms

Nick McMaster — Wed, 21 Oct 2009 15:53:35 CDT

President Obama’s pay czar will cut compensation for the 25 highest-paid employees at seven companies that took large amounts of government aid. The 175 executives will face salary reductions of 90%, but with other compensation elements added in, the total reductions average 50%. Ken Feinberg also will require the seven...

Investors Ditch Once Lofty Cerberus Fund

Harry Kimball — Sat, 29 Aug 2009 15:48:00 CDT

Hedge-fund investors are leaving once-vaunted investment firm Cerberus Capital Management in droves, the Wall Street Journal reports. The firm, whose acquisitions of Chrysler and GMAC turned disastrous, is seeing $5.5 billion in capital—or 71% of its hedge fund assets—walk out the door. "We have been surprised by...