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Elizabeth Warren's Contributions to Mortgage Reform

The polls are closed. The verdict's in. And Elizabeth Warren now represents Massachusetts.

So what does that mean for homeowners in Massachusetts? What does Elizabeth Warren have to say about the housing bubble?

Earlier this year, Warren released a statement on the settlement between 49 state attorney generals and five mortgage lenders on the robosigning lawsuits, reports MassLive. "Moving forward, further investigation and prosecution are needed to bring our long national mortgage nightmare to an end," Warren said.

Warren is famous for her efforts in financial reform, after the economic fallout of 2008.

She appeared numerous times in the media, insisting that the big banks and Wall Street take accountability for the mortgage crisis and for the economic crisis of 2008.

The mortgage settlement was one of the largest of its kind— $25 million. Under the terms of the agreement, the five mortgage lenders, Bank of America, JP Morgan Chase, Wells Fargo, Citigroup and Ally Financial Inc., must pay out $2,000 each to approximately 750,000 homeowners who were victims of wrongful foreclosures, writes MassLive.

But this statement on the mortgage settlement wasn’t Warren’s only contribution to mortgage reform.

Mortgage documents and disclosures haven’t always been clear and user-friendly. And while Truth in Lending disclosures have been required by law for years, many borrowers and homeowners still had no idea on what their mortgage terms really were.

Elizabeth Warren wanted to change that. She pushed for more concise mortgage disclosure forms, giving borrowers a clearer picture of what their mortgage documents said. Her agency, the Consumer Financial Protection Bureau, aimed to simplify the mortgage lending and disclosure process, making mortgage lending more transparent for homeowners.

Says Elizabeth Warren: “It’s always good for consumers to know the real cost of a mortgage.”

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