Mortgage servicer Flagstar Bank is facing action from the Consumer Financial Protection Bureau (CFPB) for illegally obstructing borrowers’ efforts to save their homes, according to CFPB’s press release. According to the release, Flagstar “took excessive time to process borrowers’ applications for foreclosure relief, failed to tell borrowers when their applications were incomplete, denied loan modifications to qualified borrowers, and illegally delayed finalizing permanent loan modifications.” The CFPB has ordered Flagstar to pay a $10 million fine, pay an additional $27.5 million in redress to victims, and to halt the illegal actions. CFPB Director Richard Cordray stated, “Because of Flagstar’s illegal actions and unacceptable delays, struggling homeowners lost the opportunity to save their homes. …Today’s action signals a new era of enforcement to protect consumers against the cost of servicer runarounds.” For more, read the full release.