LONDON, England - October 11, 2010 - Bank of America last week halted foreclosures across the country amid allegations that homes are being seized based on data that has not been properly checked and moved too quickly through the process. JPMorgan Chase and Ally Financial have suspended foreclosures in 23 states to address similar allegations.

The suspensions have prompted calls from politicians for a national suspension until the foreclosure process has been fully investigated. That demand has prompted anger from those in the housing market, where sales of foreclosed homes currently account for about a quarter of all sales, according to RealtyTrac. The company, which tracks the housing market, said that banks seized 95,364 homes in August and issued foreclosure filings to 338,863 homeowners.

"It would be catatastrophic to impose a system-wide moratorium on all foreclosures and such actions could do damage to the housing market and the economy," Tim Ryan, president of the Securities Industry and Financial Markets Association said on Monday. Experts say that worries over the ownership of the property titles on foreclosed homes are unlikely to surface until the lender has found a new buyer for the property.

JPMorgan has begun to "systematically re-examine" thousands of filings for foreclosures, though said that the documents had been prepared by appropriate personnel. The Senate Banking Committee has said it will hold a hearing on the foreclosures after the mid-term elections.