Posted on 10/01/2010 3:46:15 PM PDT by Kartographer
Bank of America is delaying foreclosures in 23 states as it examines whether it rushed the foreclosure process for thousands of homeowners without reading the documents.
Bank of America isn't able to estimate how many homeowners' cases will be affected, Dan Frahm, a spokesman for the Charlotte, N.C.-based bank, said Friday.
The move adds the nation's largest bank to a growing list of mortgage companies whose employees signed documents in foreclosure cases without verifying the information in them.
Two other companies, Ally Financial Inc.'s GMAC Mortgage unit and JPMorgan Chase, have halted tens of thousands of foreclosure cases after similar problems became public.
A Bank of America official acknowledged in a legal proceeding in February that she signed up to 8,000 foreclosure documents a month and typically didn't read them. The Associated Press obtained the document Friday.
The official, Renee Hertzler, said in a deposition in a Massachusetts homeowner's bankruptcy case that she signed 7,000 to 8,000 foreclosure documents a month.
(Excerpt) Read more at google.com ...
PING!!!!
It sure beats paying rent.
At some point, they are going to figure out that these folks can’t make the payments...
Even if you can make payments why would you? Especially after you have lost 10’s of thousands of dollars? That’s what a lot of people are going to be thinking!
Would you send in a mortgage payment after you’ve been laid off, knowing that B of A is trying to help Democrats, their bosses, be re-elected by not foreclosing on delinquent loans?
Well, the Zer0 admin thought these folks could suddenly make the payments on a new car too...
“(This version CORRECTS Corrects lawyer’s last name. This story is part of AP’s general news and financial services.)”
Say anything you like about me, but make sure you spell my name right.
Must be an election in the near future.
I used to have a BofA mortgage, until I refinanced. In the last year or so they changed the name of the company receiving mortgage payments and changed all the account numbers.
I know they have a back log of homes to sell that have already been foreclosed on and would rather have some one in the house than it it sitting empty is part of the reason for this.
I look for a wave of people to stop paying their mortgages and start spending it up living like it’s 1999! Even if 25% do it the financial tsnami will wipe out the banks. Plus there is already a back log of foreclosures what will happen now that they stop? How will they ever get them pushed through the system?
Maybe BofA and others doesn’t want actual foreclosures, if they believe the properties will drag their asset valuation sheet down, down, down. Just let it ride, and try to make PR hay, by acting like they’re trying to help.
If they thought they were going to make money, they would foreclose these properties in an instant.
It’s a vote of “no confidence” on the economy. And bad news for property valuations.
It's not that they are trying to be lenient or kind. The problem is that after they have securitized these mortgages and sold them off as bonds, they are having trouble establishing title to the property when they have to foreclose. They (a bunch of different banks, BofA, Wells Fargo, etc.) have apparently just been faking the documents for the court and expecting to get away with it. It is now catching up with them as people being foreclosed on are challenging the documentation.
The Market Ticker site has been following this for awhile now:
Take This Unmarketable Deed Or Else!
The above is the latest post. The question remains, if you eventually pay off your mortgage, will the bank be able to deliver a clear title to you?
I smell political pressure before the midterms.
Faking documents for a Court? Heaven forfend Mrs. McGillicuty! Where I come from its called Perjury and you can go to prison for it.
These Banks could be held civilly liable ,too. Some enterprising bottom feeder in the legal industry will get some of these people undergoing foreclosures certified as a Class and they will no longer have any problems paying a mortgage because they’re going to get billions in damages.
BofA made the damn bad loans. Now, it should live with them. Looks like its time for me to bail out of BofA once and for all.
as it examines whether it rushed the foreclosure process for thousands of homeowners without reading the documents"Finish the foreclosures, then read the documents." [Pelosi and Reid]
I’m struggling REAL hard, but I still make my payments as long as I can. I’m sure even if it’s delayed and you haven’t been paying your credit will be wrecked. These companies are probably sick of all the foreclosed houses to deal with, might be better for them to just let people stay awhile than trying to dump them on a market for next to nothing.
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