Regional Banks Now Facing The Heat For Dishonest Mortgage Practices

A probe of improper foreclosure practices by mortgage services, which began in October 2010, and engulfed the largest U.S. banks, is now drawing within its fold four smaller banks. According to a report, state attorney generals are trying to get regional banks U.S. Bancorp (NYSE:USB), PNC Financial Services (NYSE:PNC), SunTrust Banks, Inc. (NYSE:STI), and HSBC Holdings plc (LON:HSBA) (NYSE:HBC), to come to a legal settlement regarding the improper foreclosure practices. An HSBC spokesman confirmed that preliminary discussions had been held with regulators, but said “the timing of any settlement is not presently known.” The three other banks did not comment. In…