Hey, it's true that some of the foreclosures out there are not necessarily caused by the banks...in other words, the homeowner may be at fault for trying to buy too much house...but the vast majority of homeowners have legitimate reasons for being upset about the process...
1. Big Banks get lots of cash (TARP funds), put into its coffers and earn big interest among many other perks.....
2. Big Banks are supposed to do a good faith review of a borrowers need for a modification...bank doesn't do that but rather it's servicers lose paperwork not once, not twice, not even three times...but in many cases up to four or five times...all the while telling the borrower they need to start over again...or they need more information...
3. The reality check: the servicers are overwhelmed, have concocted ways to tell desperate people that they can't find their paperwork...it's in process...it's in suspense or fulfillment or in the vault...all the while knowing that they are stalling until the borrower is out of money (often unemployment) and then no modification because you are not eligible, or happens to get a better job and things start looking up then not eligible because you make too much money to qualify...credit damaged significantly, heartache, emotional pain and suffering...embarassment...you name it, the borrowers are experiencing it.
4. Truth is on its way...we hope. Banks are being held accountable and in time, homeowners will be vindicated...class actions...attorney general investigations and individual lawsuits to seek a remedy for bad faith, unfair trade practices, misrepresentation...
For more information on Foreclosure litigation contact AllieDonham.com
Friday, November 12, 2010
Friday, November 5, 2010
When are they going to tell the whole truth...tip of the iceberg!
JPMorgan Chase & Co., which had put foreclosures on hold in 40 states and the District of Columbia to assess whether it was following proper procedures, plans to resume seizures of homes "in a couple of weeks," the New York bank told a meeting of analysts.
Chase, the third-largest U.S. mortgage lender, imposed the freeze on about 127,000 delinquent loans last month in 23 states that require court orders for foreclosures as well as in states with more complicated non-judicial processes. California, which has a streamlined process, was not among the states where Chase stopped foreclosing.
The bank told analysts Thursday that it found problems: Court affidavits supporting foreclosures had been completed without signers' knowing the facts, and documents had been notarized without being properly witnessed. Getting the documents properly completed and refiled will take three or four months at "up to a couple million dollars a month or so just in additional work," said Charlie Scharf, the bank's chief of retail services.
But in a meeting Thursday with analysts in Boston, Scharf insisted that the errors were procedural. He said that foreclosures were justified and had been preceded by extensive reviews, repeated attempts to contact borrowers and attempts to modify loans.
The average borrower losing a home has made "not one payment in 14 months," Scharf said. "You know, in Florida it's 22 months, and in New York it's 26 months."
Problems with so-called robo-signed foreclosure documents have caused several other big loan servicers, including Bank of America Corp., Wells Fargo & Co. and Ally Financial's GMAC Mortgage unit, to impose freezes or amend huge amounts of paperwork. The companies each say that underlying circumstances justify the home seizures and that they intend to proceed with foreclosures as they sort out procedural problems.
Chase described its foreclosure issues in a lengthy presentation to a meeting of bank analysts in Boston, which also included an update on demands by investors and loan buyers that it repurchase large numbers of loans it had sold or had bundled up to back mortgage securities.
Bank of America, also addressed the demands to buy back mortgages in its presentation at the Boston conference. It said holders of mortgage securities, including Newport Beach bond investing giant Pimco and the Federal Reserve Bank of New York, were pressuring it to foreclose on borrowers faster.
Chase, the third-largest U.S. mortgage lender, imposed the freeze on about 127,000 delinquent loans last month in 23 states that require court orders for foreclosures as well as in states with more complicated non-judicial processes. California, which has a streamlined process, was not among the states where Chase stopped foreclosing.
The bank told analysts Thursday that it found problems: Court affidavits supporting foreclosures had been completed without signers' knowing the facts, and documents had been notarized without being properly witnessed. Getting the documents properly completed and refiled will take three or four months at "up to a couple million dollars a month or so just in additional work," said Charlie Scharf, the bank's chief of retail services.
But in a meeting Thursday with analysts in Boston, Scharf insisted that the errors were procedural. He said that foreclosures were justified and had been preceded by extensive reviews, repeated attempts to contact borrowers and attempts to modify loans.
The average borrower losing a home has made "not one payment in 14 months," Scharf said. "You know, in Florida it's 22 months, and in New York it's 26 months."
Problems with so-called robo-signed foreclosure documents have caused several other big loan servicers, including Bank of America Corp., Wells Fargo & Co. and Ally Financial's GMAC Mortgage unit, to impose freezes or amend huge amounts of paperwork. The companies each say that underlying circumstances justify the home seizures and that they intend to proceed with foreclosures as they sort out procedural problems.
Chase described its foreclosure issues in a lengthy presentation to a meeting of bank analysts in Boston, which also included an update on demands by investors and loan buyers that it repurchase large numbers of loans it had sold or had bundled up to back mortgage securities.
Bank of America, also addressed the demands to buy back mortgages in its presentation at the Boston conference. It said holders of mortgage securities, including Newport Beach bond investing giant Pimco and the Federal Reserve Bank of New York, were pressuring it to foreclose on borrowers faster.
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