How Banks Put Homeowners in More Jeopardy
We’ve started a petition for Susan Leonard because she is an excellent example of how banks put homeowners in more jeopardy.We hear different variations of Susan’s story every day.
Susan had surgery, missed time at work which reduced her income. Following her illness she was laid off from her job. She was able to find another job, but the pay is lower which reduced her income significantly. Susan applied for a Homes Affordable Modification with Bank of America and was approved for a trial modification. She was told if she made the three trial payments on time she would be considered for a permanent loan modification.
After completing the trial plan Susan inquired with Bank of America and was told that she was approved for the permanent modification, but because the program was so popular they were having a difficult time getting the permanent loan modification packages out to homeowners. Susan was told to continue to make the trial payment amount each month. Bank of America deceived and mislead Susan into believing she had been approved for a permanent modification for 25 months! She made her 26th payment, but Bank of America sent it back to her and told Susan her home was in foreclosure. On December 21, 2011 her home was sold at auction.
Susan has a very modest home with a $88,000 mortgage. She is a hard working American who wants to pay her mortgage. But Susan’s mortgage had PMI – that’s mortgage insurance. Bank of America would much rather collect on the mortgage insurance policy than work with Susan to keep her in her home. Bank of America put Susan in more jeopardy by leading her to believe that the 26 month trial modification would lead to a permanent modification and then later demanding the arrears. With a reduced income and the belief that she would be paying the new modified payment for the life of the loan, she could not possibly pay the past due amount that Bank of America claimed she owed. Bank of America set her up to fail!
Unfortunately, Susan’s story is not unique.This is happening to homeowners across the country. It’s by far the most common story HSITrust hears from homeowners.
Join us in demanding that Bank of America rescind this wrongful foreclosure and discontinue unfair and deceptive practices against homeowners. Please sign our petition for Susan Leonard.
Help us create change!