Roseville, California (PRWEB) September 08, 2011
The most common story I hear at UFAN from possible consumers is that theyve tried diligently for a loan modification, usually for a years time or much more. They are necessary to send in the same paperwork numerous times. Despite the fact that they contact and confirm that the paperwork was received, a couple of weeks (and sometimes months) later, a bank representative calls back and says it never came. Trying to function with bank loss mitigation is maddening. There is no truer instance, in my opinion, of how a single hand doesnt know what the other is doing.

A current LA Instances report information how Bank of America and other key banks have been censured by the Obama administration for failing to comply with procedures under the Property Cost-effective Modification Program (HAMP).

An inquiry, performed by the Treasury Division, identified that the 3 banks needed substantial improvement in properly evaluating borrowers’ incomes a key component of figuring out eligibility for HAMP. Below HAMP, a bank receives monetary incentives from the Federal government in exchange for modification of borrowers mortgages. Bank of America, JPMorgan Chase and Wells Fargo have received millions from the system. According to the above referenced report, funds will no longer be distributed to these banks until the necessary improvements have been implemented in their modification programs.

The report further states that Bank of America, the nations biggest mortgage servicer, was singled out in the investigation as getting the worst offender. The administration concluded that Bank of America needs to make substantial improvement in identifying and contacting borrowers for the plan, clearly demonstrating how the bank reaches its loan-modification choices and making sure the bank was getting the correct incentive payments by means of the system. These findings coincide with allegations of Bank of Americas other current mortgage related abuses reported in the media.

UFAN lately filed a multi-party suit against Bank of America in California Superior Court (case number 34-2011-0019314), alleging, among other issues, that the bank engaged in misconduct in its mortgage modification procedures. Court documents allege that the lead Plaintiff in the case was told to stop generating mortgage payments in order to be considered for a loan modification. She did so, according to the filing, but kept cash on hand required to bring the mortgage existing if negotiations proved fruitless. The complaint details how regardless of informing the bank of her willingness to spend, and promises by the bank that it would postpone foreclosure, the bank foreclosed and sold her residence, thereby denying her the proper to remedy the deficiency.

The Washington Post reported in 2008 on a settlement, spearheaded by then California Lawyer Common Jerry Brown, in between Bank of America and 12 State Attorneys Common Bank whereby the bank promised that it would modify mortgages of its distressed borrowers that had been placed in negative loans. But, Bank of America is now below investigation, as reported by media sources, by all 50 state attorneys basic for allegations of reneging on these past promises, as nicely a host of other deficiencies in its mortgage practices.

Even though HAMP was designed to market modification of 3-four million mortgages, as of Might 2011, only 731,451 borrowers had received permanent loan modifications via the program, the Huffington Post reports.

Complementary consultations offered.

By: Kristin Crone, Esq., UFAN Legal Group, Computer dba United Foreclosure Lawyer Network (UFAN)

ABOUT THE UNITED FORECLOSURE Lawyer NETWORK

United Foreclosure Attorney Network (UFAN) is a Roseville, California-based law firm delivering mortgage related legal solutions. The devoted attorneys and staff at UFAN operate tirelessly to seek and fight for the rights of American property owners. For much more information call toll totally free 1-866-400-4242.

This release could constitute attorney advertisement. The data in this release and on the United Foreclosure Lawyer Network (TheUFAN.com) site is for basic details purposes only. Absolutely nothing in this release or on the United Foreclosure Attorney Network (TheUFAN.com) site should be taken as legal advice. Prior successes are no guarantee of future performance. Litigation is inherently uncertain and results in litigation are never ever assured.

###