Kohl serves as a member of the Senate Banking Committee  

WASHINGTON – Today, U.S. Senator Herb Kohl questioned JPMorgan CEO Jamie Dimon at a Senate Banking Committee hearing about the treatment of homeowners trying to avoid foreclosures and gain loan modifications, as well as JPMorgan's commercial lending practices.  

Senator Kohl spoke about how some homeowners have run into roadblocks as lenders continue to lose or misplace their housing paperwork.  Kohl mentioned hearing from constituents back in Wisconsin that are running into the problem of lost paperwork when modifying their loans or halting an unnecessary foreclosure.  Kohl proceeded to ask Mr. Dimon why JPMorgan undertakes such complicated business, but can't provide its homeowners the same care and attention.   

Mr. Dimon replied that they are working to help individuals and the services dedicated to helping individuals are better and faster now than they have been in the past. He mentioned that they were overloaded when the problems began, but offered to help with individual cases and assured Senator Kohl that this is an area they are improving.    

Senator Kohl spoke about the lending practices at JPMorgan. He mentioned that JPMorgan used the money it gained in deposits by risking more and lending less than their competitors.   

Dimon replied that they are a global company and trade with global countries and corporations. Because of this, they need more cash on hand than other types of similar banks and loan less to individuals.  

Kohl countered that other banks as large as JPMorgan lend at greater rates, encouraging JPMorgan to increase their lending capabilities.