WASHINGTON (February 9, 2012)--The five largest mortgage lenders have reached a $25 billion settlement with 49 states over foreclosure abuses that took place after the housing bubble burst and will have three years to fulfill the terms of the landmark deal announced Thursday, officials said.

The deal also ends a separate investigation into Bank of America and Countrywide for inflating appraisals of loans from 2003 through most of 2009. Bank of America will pay $1 billion to settle that federal probe.

Oklahoma was the lone holdout and will receive no money.

Texas homeowners will receive almost $287 million from the settlement for restructuring existing mortgages and for payments to some borrowers who lost homes because of servicing abuses, Texas Attorney General Greg Abbott said Thursday.

Texas will receive $141 million for bank violations of state law.

“Today’s sweeping measure halts past misconduct by large mortgage lenders such as ‘robo-signing,’ inadequate documentation and improper record-keeping,” Abbott said.

“Because of the banks’ misconduct, homeowners have faced unnecessary hardship. Today’s agreement imposes a variety of reforms that are intended to benefit homeowners, help the nation move past the housing crisis and provide certainty to aid our long-overdue national economic recovery,” he said.