Posted on: 02nd Jun, 2011 10:32 am
In april of 2009 I lost my job after cashing out all of my retirement and savings I was able to stay afloat until around june of 2010 and I kept fighting with BOFA to do a loan modification but they kept losing paperwork and reassigning people so finally I was forced to simply stop paying. I have been working through a 3rd party to get my loan resolved and get my back payments to be moved to the end of the loan as I have a job now that pays decent and I can afford my mortgage. BOFA has continued to lose paperwork and reassign my case numerous times without seeing any light at the end of the tunnel. Finally my 3rd party advisor threatened to write our senate and congress rep and they stated we would have an answer by the end of the week however that was 3able weeks ago and we still have no answer mean while BOFA is dinging my credit each and every month for non payment but I have been trying for over a year to get it straightened out but they keep playing games. What legal recourses do I have against BOFA for dinging my credit when the fault is on their end?
If you stop making your payments, there is no fault from the bank. It is in the note that if you don't make your payments, you will be in default and face foreclosure. There is no law making a lender modify anyone's loan. When the Gov. got involved, they should have made it mandatory for the lenders to work with the homeowners, instead of foreclosing and then reselling. That being said, the bank probably already has plans to take your home. If the bank will make more money with a loan mod, you might get lucky. If they make more on the foreclosure, then that is their goal. Remember, the bank is only in business for a proffit. Which ever option makes the bank the most money is their goal. Yes you can file complaints, tell your congressman, but that wont do much. There are millions of people in default, they lose your paper work because there is no real industry to modify your loan. Think of the tens of thousands of people with loans from BofA, all sending in the same forms over and over. You are talking millions of documents. Your safest bet, is I hope there was some money saved by not making payments, and get caught up. In a non judicial state, you have 90 days of missed payments, then they issue the notice of default for 90 days, then they can post the trustee sale for 21 days and the auction can be anytime after that. You have 5 days before sale to get current. Record every call you make to the bank. Call them everyday, speak to the highest management you can. FYI, I had a client with BofA where top manager told client they were approved on 1st and 2nd for loan mod, and the foreclosure would not take place. They sold his home the next day. Now he is trying to sue them...
Chris. Thanks for the reply we are not in foreclosure they send us a notice every month stating we are behind but no foreclosure proceedings have started. I know I started not paying but I could have started making payments months ago if they would have simply worked w me yet they continued to drag there feet every month for yes we have saved money and I was able to pay off a couple large debts that give us some breathing room.
Yeah, I know the challenges you are facing. It make so much more sense for the banks to work with the original homeowner, to keep the family in their home, instead of selling via foreclosure to another party. But thats what they do. One trick many people have used is the "show me the note" every lender is to hold your promissory note. If your loan was sold or transferred to bofa, there is a possibility that they cannot produce the note. People have taken the lender to court, court orders them to produce the note, bank cant, then the court orders the home free and clear, and the owners get a clean title. Google show me the note, or promissory note, and you can get more info. Feel free to follow up.
Bank of America is under fire nationally for their inattentive and inadequate work with homeowners seeking modifications. How that will play out is anyone's guess, I suppose, but Attorneys General throughout the nation are taking action on behalf of consumers.
I haven't ever met a banker who desired to "make money" on a foreclosure. I don't believe it's a plausible thought anyway, unless there is tons of equity in a home subject to a non-performing mortgage.
They drag their feet because they're incompetent, inefficient, insufficiently staffed, and inept. They bounce people from one associate to another because they've not had sense enough to realize the inefficiency it causes. Clearly, they (and many others - they're not alone) need to figure out how to properly handle the modification requests that come in on a timely basis. However, once things get garbled the first few times, it's virtually an act of God to get them straightened out anytime soon.
Let's hope fervently that the AG's actions throughout the nation will stir up the pot and force Bank of America to get with the program.
I somewhat agree with your assertion, Chris, that the Government ought to have required lenders to work with their clients. However, not every loan is workable, and that's true for a wide variety of reasons - borrower issues, lender issues, value issues and on...take your choice.
I haven't ever met a banker who desired to "make money" on a foreclosure. I don't believe it's a plausible thought anyway, unless there is tons of equity in a home subject to a non-performing mortgage.
They drag their feet because they're incompetent, inefficient, insufficiently staffed, and inept. They bounce people from one associate to another because they've not had sense enough to realize the inefficiency it causes. Clearly, they (and many others - they're not alone) need to figure out how to properly handle the modification requests that come in on a timely basis. However, once things get garbled the first few times, it's virtually an act of God to get them straightened out anytime soon.
Let's hope fervently that the AG's actions throughout the nation will stir up the pot and force Bank of America to get with the program.
I somewhat agree with your assertion, Chris, that the Government ought to have required lenders to work with their clients. However, not every loan is workable, and that's true for a wide variety of reasons - borrower issues, lender issues, value issues and on...take your choice.
