Due to the segment that was aired on Nightline July 4. 2012 we are experiencing high call volumes and an overwhelming number of emails from homeowners asking for our assistance.
If you are trying to contact us please be sure to let us know if you have a sale date on your home by including that in your phone message or typing it into the subject line of your email.
Please be patient. We will do our best to get in touch with everyone who has contact us.
Now it turns out some lenders haven’t merely been unhelpful; their actions have pushed some borrowers over the foreclosure cliff. Lenders have been imposing exorbitant insurance policies on homeowners whose regular coverage lapses or is deemed insufficient. The policies, standard homeowner’s insurance or extra coverage for wind damage, say, for Florida residents, typically cost five to 10 times what owners were previously paying, tipping many into foreclosure.
The situation has caught the attention of state regulators and the Consumer Financial Protection Bureau, which is considering rules to help homeowners avoid unwarranted “force- placed insurance.” The U.S. ought to go further and limit commissions, fine any company that knowingly overcharges a homeowner and require banks to seek competitive bids for force- placed insurance policies. Because insurance is not regulated at the federal level, states also need to play a stronger role in bringing down rates.
In a quiet office in downtown Charlotte, N.C., dozens of Wells Fargo’s foreclosure foot soldiers sit in cubicles cranking out documents the bank relies on to seize its share of the thousands of homes lost to foreclosure every week.
They stare at computer screens and prepare sworn affidavits that are used by lenders in courts across the country to seize homes. Paid $30,700 to start, these legal process specialists, the title that goes with the job, swear an oath under penalty of perjury that they’re corporate vice presidents. They’re peppered with e-mails from managers to meet daily quotas of at least 10 or 11 files day.
If they fall short, they face a verbal warning. Then written. Two written warnings could cost them the paycheck that supports a family. As more than one source for this story told msnbc.com, “I can’t afford to lose this job.”
Pressured to meet daily production quotas, they are likely making mistakes that inadvertently could toss a family out of its home and onto the street, according to these workers.
State and federal prosecutors, in a recent settlement with five banks that included Wells Fargo, agreed. The joint state and federal settlement spelled out how the document procedures at the five banks resulted in “loss of homes due to improper, unlawful or undocumented foreclosures,” according to the complaint.
“These are mistakes that could cost someone their home,” a Wells Fargo document preparer told msnbc.com.
Here are some of the most common complaints about mortgage servicers we hear from homeowners:
Eligible homeowners denied for Hamp modifications because of sloppy handling of documents by the servicer.
Servicers pushing homeowners into less than affordable “in house” modifications when they clearly qualify for the more affordable government Hamp program.
Foreclosing while in review for a modification.
Misapplying trial modification payments or processing incorrectly so the homeowner is disqualified for a Hamp modification.
Misapplying mortgage payments so the homeowner is deemed in default.
Processing escrow accounts incorrectly.
Declaring homes vacant (when they are in fact occupied by the homeowner) which disqualifies them for HAMP.
Granting 3 month trial modification, but the bank insists that the homeowner continue to make the trial payments for months or years, leading them to believe they will receive permanent loan modification documents in the mail, but they never arrive.
Servicers abrubtly refuse payments or send payments back to the homeowner when they have been participating in an extended trial modification plan, then informing them they are denied for modification.
Requesting loan modification and financial documents repeatedly and telling the homeowner they were never received.
Improperly calculating the homeowner’s income to disqualify them for a loan modification.
Discriminating against minorities and single women.
The Consumer Financial Protection Bureau is taking mortgage complaints. If you are having issues with your mortgage servicer we encourage you to file a complaint at www.consumerfinance.gov. It is our hope that the CFPB will see the patterns of abuse as more complaints are submitted by homeowners.
We’re tired of watching banks destroy homeowners lives. It’s bad enough to be a homeowner who may have lost a job or is struggling with a health issue. We’ve all seen how banks take advantage of homeowners when they are the most vulnerable. We’ve created a petition and we’re aiming it at the top!
Collectively we can band together, stop the madness and force banks to do what’s right for homeowners. Help spread the word by sharing this petition with friends and family.
Martin Luther King Jr. once said: Our lives begin to end the day we become silent about the things that matter. It’s time for homeowners to stop being silent and stand up for their rights.
Tell us how you’d like to see banks change the way they treat homeowners. Please use the comment section for your responses.