Jesse Hamilton, Bloomberg

Lender Processing Services Inc. (LPS) is in talks with regulators that could lead to a settlement of more than $200 million over improper and fraudulent foreclosure paperwork after the 2008 credit crisis, according to people briefed on the discussions.

The deal would resolve claims that LPS falsified documents related to home seizures, including through “robo-signing.” The Federal Reserve, Federal Deposit Insurance Corp. and Office of the Comptroller of the Currency have discussed directing at least some of the money to homeowners, said two people who spoke on condition of anonymity because the matter is private.

LPS, a mortgage-processing firm whose biggest customers have been Wells Fargo & Co. (WFC) and JPMorgan Chase & Co. (JPM), previously settled similar matters with the Justice Department and almost every U.S. state. The Jacksonville, Florida-based company is one of the few in a group accused of foreclosure misdeeds that hasn’t made a final deal with bank regulators.

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