Banks Restart Foreclosures

Bank of America and GMAC are restarting foreclosures after problems with paperwork caused the banks to halt the process in 23 states. Bank of America reopened 100,000 home-seizure files after saying it found no major problems in its paperwork procedures. GMAC didn’t say how many foreclosures it would restart work on. Lenders are pushing back against a growing political backlash over allegations that their employees signed hundreds of foreclosure documents a day without bothering to read them. A Bank of America spokesman said the move was a “first step” in efforts to debunk “speculation” that the mortgage market has big problems. The company will begin selling seized homes in November.