Philosophy
This is not an act of altruism but one of legality...make it all legal and then we will seize property. We will still make zillions.
Bank of America on Friday is delaying foreclosures in 23 states because of possible problems with paperwork, the third major servicer to take such action as investigations mount into tens of thousands of potentially faulty foreclosures.
After reviewing its own process for preparing affidavits used in the foreclosure process, Bank of America (BAC) decided to suspend foreclosures in those states that require judicial approval. The bank notified courts on Friday to pull affidavits in foreclosure cases that have been submitted for judgment but not yet decided, says Bank of America spokesman Dan Frahm.
Frahm says he doesn't know how many foreclosures will be affected. Customers will not be notified because, while the review may cause some delays in the judgment of the affidavits and foreclosure sale dates, homeowners should not otherwise be affected, he says.
"We have been assessing our existing processes," Frahm says. "To be certain affidavits have followed the correct procedures, Bank of America will delay the process in order to amend all affidavits in foreclosure cases that have not yet gone to judgment in the 23 states where courts have jurisdiction over foreclosures."
Two other major servicers —J.P. Morgan and Ally Financial's GMAC Mortgage unit — have either delayed or halted foreclosures in 23 states. Those actions were taken after depositions taken in lawsuits by homeowners turned up officials who said they signed documents without reviewing them or having a notary present.
Those forms are supposed to be individually reviewed for accuracy and signed in the presence of a notary. Chase halted about 56,000 foreclosures due to potential concerns.
Hundreds of thousands of foreclosures could potentially be affected because they may have been done with faulty documents or affidavits that were not reviewed, says Christopher Immel, a lawyer at Ice Legal who has taken depositions from officials who sign off on foreclosure affidavits at Chase and Ally Financial.
He says the action by Bank of America shows how widespread problems are in servicers' foreclosure processes.
"What I've been saying all along is this is a business model that servicers have put in place. They all have the same practices in order to be competitive with each other," Immel says.
The concern about flawed paperwork also prompted Freddie Mac and Fannie Mae on Friday to issue letters to all their servicers requesting that they review their foreclosure proceedings to be sure affidavits were signed properly and with a notary present. The letter from Freddie gave servicers until Oct. 18 to finish their review and notify Freddie if any problems are found.
The states where lenders Bank of America, J.P. Morgan and GMAC Mortgage unit have taken action to suspend or review foreclosure paperwork include: Connecticut, Delaware, Florida, Illinois, Indiana, Iowa, Kansas, Kentucky, Louisiana, Maine, Maryland, Massachusetts, New Jersey, New Mexico, New York, North Dakota, Ohio, Oklahoma, Pennsylvania, South Carolina, South Dakota, Vermont and Wisconsin.
- Is It Rational To Believe That Global Capitalism Isn't Completely Corrupt?
I know a lot of folks think that free markets are the key to social, political, and economic structural stability, growth, and fairness. But in light of so many recent revelations about how things really work at the institutions in the marketplace,...
- John Oliver - The Forecloser
I heard about this story a few weeks ago, and it's really one of those feel-good stories that just have to be shared: after having recently bought a house, this Florida couple got a foreclosure notice from Bank of America, even though they had paid...
- Lana Ashford...caught In The Jaws Of Bank Of America's Rigid Mortgage Rules
I am sure this situation will be resolved but it exemplifies one of many issues that people face everyday when confronted with laws and financial regulations. "Simple BofA refi turns into foreclosure nightmare" Homeowner says Bank of America refinanced...
- Forget It--foreclosure Threats
Know and play the legal of foreclosure and enjoy life without mental stress. Some interesting ethics here. "Owners Stop Paying Mortgages, and Stop Fretting" by David Streitfeld May 31st, 2010 The New York Times For Alex Pemberton and Susan Reboyras,...
- Cultural Heritage--closer To Home
This was brought to my attention by POSP stringer Tim. This will never cease. "Crackdown on artifact crimes gets results" by Dennis Wagner September 18th, 2009 USA TODAY A federal government crackdown on black-market Indian artifacts and the looting...
Philosophy
A bureaucratic blunder by BOA...still no relief for homeowner
This is not an act of altruism but one of legality...make it all legal and then we will seize property. We will still make zillions.
"Bank of America delays foreclosures in 23 states"
by
Stephanie Armour
October 1st, 2010
USA TODAY
by
Stephanie Armour
October 1st, 2010
USA TODAY
Bank of America on Friday is delaying foreclosures in 23 states because of possible problems with paperwork, the third major servicer to take such action as investigations mount into tens of thousands of potentially faulty foreclosures.
After reviewing its own process for preparing affidavits used in the foreclosure process, Bank of America (BAC) decided to suspend foreclosures in those states that require judicial approval. The bank notified courts on Friday to pull affidavits in foreclosure cases that have been submitted for judgment but not yet decided, says Bank of America spokesman Dan Frahm.
Frahm says he doesn't know how many foreclosures will be affected. Customers will not be notified because, while the review may cause some delays in the judgment of the affidavits and foreclosure sale dates, homeowners should not otherwise be affected, he says.
"We have been assessing our existing processes," Frahm says. "To be certain affidavits have followed the correct procedures, Bank of America will delay the process in order to amend all affidavits in foreclosure cases that have not yet gone to judgment in the 23 states where courts have jurisdiction over foreclosures."
Two other major servicers —J.P. Morgan and Ally Financial's GMAC Mortgage unit — have either delayed or halted foreclosures in 23 states. Those actions were taken after depositions taken in lawsuits by homeowners turned up officials who said they signed documents without reviewing them or having a notary present.
Those forms are supposed to be individually reviewed for accuracy and signed in the presence of a notary. Chase halted about 56,000 foreclosures due to potential concerns.
Hundreds of thousands of foreclosures could potentially be affected because they may have been done with faulty documents or affidavits that were not reviewed, says Christopher Immel, a lawyer at Ice Legal who has taken depositions from officials who sign off on foreclosure affidavits at Chase and Ally Financial.
He says the action by Bank of America shows how widespread problems are in servicers' foreclosure processes.
"What I've been saying all along is this is a business model that servicers have put in place. They all have the same practices in order to be competitive with each other," Immel says.
The concern about flawed paperwork also prompted Freddie Mac and Fannie Mae on Friday to issue letters to all their servicers requesting that they review their foreclosure proceedings to be sure affidavits were signed properly and with a notary present. The letter from Freddie gave servicers until Oct. 18 to finish their review and notify Freddie if any problems are found.
The states where lenders Bank of America, J.P. Morgan and GMAC Mortgage unit have taken action to suspend or review foreclosure paperwork include: Connecticut, Delaware, Florida, Illinois, Indiana, Iowa, Kansas, Kentucky, Louisiana, Maine, Maryland, Massachusetts, New Jersey, New Mexico, New York, North Dakota, Ohio, Oklahoma, Pennsylvania, South Carolina, South Dakota, Vermont and Wisconsin.
- Is It Rational To Believe That Global Capitalism Isn't Completely Corrupt?
I know a lot of folks think that free markets are the key to social, political, and economic structural stability, growth, and fairness. But in light of so many recent revelations about how things really work at the institutions in the marketplace,...
- John Oliver - The Forecloser
I heard about this story a few weeks ago, and it's really one of those feel-good stories that just have to be shared: after having recently bought a house, this Florida couple got a foreclosure notice from Bank of America, even though they had paid...
- Lana Ashford...caught In The Jaws Of Bank Of America's Rigid Mortgage Rules
I am sure this situation will be resolved but it exemplifies one of many issues that people face everyday when confronted with laws and financial regulations. "Simple BofA refi turns into foreclosure nightmare" Homeowner says Bank of America refinanced...
- Forget It--foreclosure Threats
Know and play the legal of foreclosure and enjoy life without mental stress. Some interesting ethics here. "Owners Stop Paying Mortgages, and Stop Fretting" by David Streitfeld May 31st, 2010 The New York Times For Alex Pemberton and Susan Reboyras,...
- Cultural Heritage--closer To Home
This was brought to my attention by POSP stringer Tim. This will never cease. "Crackdown on artifact crimes gets results" by Dennis Wagner September 18th, 2009 USA TODAY A federal government crackdown on black-market Indian artifacts and the looting...