MetLife fined $3.2 million for mortgage servicing problems

{mosads}The Fed noted in its statement that MetLife was not part of that settlement, but if it did reach an agreement with state attorneys general and the Justice Department over its mortgage servicing problems by June 30, it could subtract the amount it spent on assisting borrowers under the settlement from their Fed fine. MetLife would be required to pay the Fed whatever amount was not spent in those efforts by Aug. 6, 2014, which would then be spent on foreclosure counseling or conducting independent foreclosure reviews.

The Fed also noted that it was levying the fines as MetLife is looking to spin off and sell its banking arm. Noting that such a sale would be approved by regulators other than the Fed, and the sale would remove MetLife from Fed oversight as a banking regulator, the central bank said it was “appropriate” to levy the fine at this time.