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Sunday, October 23, 2016

Mortgage Servicers: Getting Away With The Perfect Crime?

Without prosecutions, there’s nothing keeping fraud from becoming a standard business practice.

In 2004, the FBI warned Congress of an “epidemic of mortgage fraud,” of unscrupulous operators taking advantage of a booming real estate market. Less than two years later, an accounting scandal at Fannie Mae tipped us off that something was very wrong at the highest levels of corporate America.

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Copyright 2011 The National Memo

    One year we were late 2 times on our house payment. Then we paid on time ,but every payament we made for 3 years went to interest. Not one cent went to the balance of the loan. That was the first thing that led us to loose our home.

  • DaleCuthbrtson

    i have said for years there are 2 sets of laws in this country
    #1 For the RICH and powerful!
    #2 for the rest of us poor fools!

    as we see with the Enron fiasco and Wall street the rich that brought this country down have never been prosecuted never spent a minute in jail.

    If this had been one of us we would still be screaming in the night our innoscence.

    I still say the T.A.R.P. will eventually be seen as the biggest give away to the RICH in the history of the world -all on the baxcks of the Tax payer!

    WAKE UP AMERICA……………………………….!

  • VinceReno

    My beef with this is the money that has been taken will never be returned and worse the people that thought up and executed this crime will not spend any time in jail.

  • 1olderbutwiser1

    We simply have had a loss of consciousness in our country. Some people are hell bent on stealing all they can by any source imaginative. True, they will pay eternally in hell, but they are probably mostly atheist tpes of people, which is a primary reason for having no conscience in the first place.
    I still believe most people who lost their homes were simply over their heads to start with, it’s the keeping up with the jones’s type of problem, also the allure of easy money from false property appreciation rates. Most people can look in the mirror and see the greatest faults of all. But these are also the types of people who are always wanting to be classified as “victims” so they can continue to defy the reality that they simply are the “lesser” people on this financial food chain.
    Enough crying from those who have lost. At the root of the problem is the philosophy that all the people involved should be bailed out by big brother using their grandchildren’s money. They’re just looking for some way they can feel good about themselves, the typical spoiled american.
    We need a depression with no food stamps, this empty belly will teach these people who thought thay could get something for nothing on the backs of their grandchildren. They are really no different in kind than those who exploited them, only degree. They want everyone to cry for them.
    Let’s all have a pity party…..but send them the bill for the catering.

  • Madison_Native

    Bought a newer home late 2006 but didn’t sell older home. In fact, we’d had successful rental history on a different single family home. Since we had significant equity and excellent credit, M&I granted us a Bridge Loan. We took the equity out of the older home to apply towards newer home. Decided we would make improvements to older home and rent out as someday we’d like to return at retirement. Our loan was interest only for first year, and in order to change it to interest and principle, we drained and closed our savings and borrowed another 22K from family to pay $47K in interest only for one year. This is outrageous. Just to allow some of monthly payment to go to principle cost us an additional $47K. Then the market collapsed. There was no hope to sell after the collapse, so we rented it out cash negative. That’s been the story ever since. We’ve never been late or delinquent for either payment but the bank will not discuss locking us into a fixed rate mortgage. They’re holding us hostage with two adjustable rate mortgages. Makes us sick.

  • mrkelly.burch

    A court ordered forfeiture of Legal Standing to enforce their contracts in any court on the basis of habitual fraud would be the equivalent of a ‘death sentence’ for mortgage foreclosures. Once a single Court takes such an action, other states would follow.

  • Bike Jedi

    Lost in this piece is the facts that it was Dem Policies from Jimmy Carter ( Community redevelopment ACT) And Bill Clinton’s repeal of the Glass Steigle Act. that produced the avenue for the Sub Prime debacle . Then Janet Reno literally told thew Banks they had to write these bad loans when she threatened the banks with Fed discrimination lawsuits if they didn’t write loans to people that were unqualified to pay them back . Do you libs out there really think banks which are in business to make a profit wanted to write bad loans ? Really ? You do realize this was all a plot to put people in homes to buy their hearts minds and support for the Dems , Right ? Well the bill has come due and they bought thier support on the Backs of the Tax Payer . It’s not the greedy banks fault it is the Dem party’s fault . It was a failed attempt at wealth distribution .Wake up you useless gamers and class warfare advocates it was your party that did this

  • e.ranney

    Jedi is obviously part of the 1% and most likely a banker. When Congress got rid of the Glass-Steigle act, DEREGULATION was the band wagon to get up on. You blame a president for what Congress enacts? I detect a Republican who is ashamed of all the junk his party has foistd on the 99%. The wealth distribution all went to the wealthy!

  • slugslayer2011

    I have had problems with the mortgage company since 1988. There has been money sent and the mortgage company cannot account for it. The state cannot do anything, it is not a state company, the federal government does not even respond. The mortgage company does not have to even give a record of payments or any information of where the money was applied. The mortgage company’s can do whatever they want with your payments. The most horrifying thing is that no one, (for the mortgage company) that you talk to can give you a true answer! They will lead you to foreclosure!