What does Robo Signing mean? Read on to discover the definition & meaning of the term Robo Signing - to help you better understand the language used in insurance policies.
An action in which a single person supposedly reviewed, analyzed, processed, and ultimately signed by hand as many 10,000 foreclosure documents per month. Such individuals were allegedly verifying the fact that valid and legal grounds for foreclosure actually existed and attested to this by signing the foreclosure documents in the presence of notaries. But, as was later revealed, given the sheer volume and complexity of the required documents, what these robo-signers actually did was simply sign without reading thousands of documents in a brief period of time and then ship them off to be notarized. As a consequence of such actions, in February 2012, the country's five largest banks agreed to a landmark $25 billion settlement with a coalition of state attorneys general and federal agencies. The settlement attempted to redress the losses suffered by home owners and provide financial relief to borrowers harmed by robo-signing. The banks included in the settlement were Bank of America Corporation, JPMorgan Chase & Co., Wells Fargo & Company, Citigroup, Inc., and Ally Financial, Inc. (formerly GMAC).
More Insurance Terms And Definitions
The Merriam-Webster Dictionary defines insurance as:
b: Coverage by contract whereby one party undertakes to indemnify or guarantee another against loss by a specified contingency or peril.
c: The sum for which something is insured.
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