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Borrowers To Receive Robosigning Claim Checks

DAVID GREENE, HOST:

We'll begin NPR's business news with a $3.6 billion payback.

(SOUNDBITE OF MUSIC)

GREENE: Starting this week, the nation's largest banks begin sending out checks to borrowers forced into home foreclosure during the robosigning scandal. Over 4 million people will receive payments ranging from $300 to $125,000, as part of settlements made with the federal government.

The scandal occurred in 2009 and in 2010, when banks foreclosed on loans using improper and falsified paperwork. Some affected borrowers weren't even behind on their payments. Most checks are expected to be sent out by the end of April, with a last round of payments in July. Transcript provided by NPR, Copyright NPR.

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