NEW YORK (CNNMoney.com) -- Federal Reserve Chairman Ben Bernanke said Monday that a federal agency review of foreclosure procedures at the nation's largest mortgage servicers should be completed next month.
"We take violations of proper procedures seriously," Bernanke said in remarks prepared for delivery at a joint conference in Arlington, Va., with the Federal Deposit Insurance Corp. on Wall Street's foreclosure procedures.
"I would like to note that we have been concerned about reported irregularities in foreclosure practices at a number of large financial institutions," Bernanke said. "The federal banking agencies are working together to complete an in-depth review of practices at the largest mortgaging servicing operations."
"We are looking intensively at the firms' policies, procedures and internal controls related to foreclosures and seeking to determine whether systematic weaknesses are leading to improper foreclosures," he said.
Bernanke also highlighted the precarious state of the housing market.
"Now, more than 20% of borrowers owe more than their home is worth and an additional 33% have equity cushions of 10% or less, putting them at risk should house prices decline much further," he said. "With housing markets still weak, high levels of mortgage distress may well persist for some time to come."
Bernanke said the conference will also focus on results from the ongoing program by the Federal Reserve Bank called the Mortgage Outreach and Research Effort, or MORE.
The Federal Reserve chairman detailed various efforts by the MORE program to help beleaguered homeowners. These include an online tool allowing homeowners to file unemployment insurance benefits as income to quality for federal mortgage modification programs.
More than 5% of DACA recipients have started their own businesses since enrolling the program, according to a recent survey. More
Amazon has announced its list of 20 cities that are finalists to host its second headquarters. But who will -- and who should -- win? More
In 1998, Ntsiki Biyela won a scholarship to study wine making. Now she's about to launch her own brand. More
Amazon has announced a list of 20 cities as potential locations for its second headquarters. The winner is likely to see a significant boost to its real estate market. More