Some Litton Loan and Saxon Mortgage Customers Will Receive a Second Independent Foreclosure Review Check

According to a press release from the Federal Reserve dated today, there was a “clerical error” that led to some homeowners not receiving the correct amount of money they were supposed to under the settlement agreement that Goldman Sachs (former owner of Litton Loan) and Morgan Stanley (former owner of Saxon Mortgage) made with federal regulators.  Approximately 96,000 homeowners of the 217,000 (that’s 44%) homeowners who were sent the payments were sent a smaller amount than they were supposed to receive, and as a result, Rust Consulting will be sending out additional checks on May 17th.

If the Federal Reserve or OCC were willing to discuss this program openly, we’d love to know how was this error discovered, since there is no independent appeal process for homeowners and former homeowners who believe that they were put in the wrong category.   In other words, without an appeal mechanism, how did the word make it up to the decision makers at the Federal Reserve, the OCC, or at Rust Consulting?

For more information about former Litton and Saxon customers, visit our earlier blog: Litton and Saxon Mortgage Servicing Customers will Start to Receive Checks from Foreclosure Review Settlement on May 3rd, 2013

Foreclosure Help is a program funded by the city of San Jose through a HUD Community Development Block Grant and the city of Sunnyvale, and we can directly assist homeowners  and tenants in San Jose and Sunnyvale who are facing foreclosure.  However, we are unable to assist homeowners/former homeowners in other cities and states.  If you need housing counseling, we suggest using the interactive map on HUD’s website.

If you are a homeowner living in San Jose or Sunnyvale and are struggling with your mortgage, please contact ForeclosureHelpSCC, a program funded by the City of San Jose through a HUD Community Development Block Grant and the City of Sunnyvale at (408)-293-6000 or visit us: www.foreclosurehelpscc.org

Our housing counselors can help you evaluate your options, learn more about federal and state programs that may help you with your mortgage issues, and will help you create a plan forward.

Please note: All content included in the ForeclosureHelpSCC blog is provided for information only and should NOT be considered legal or tax advice. If you have any questions, please feel free to contact us on our hotline: (408)-293-6000, or visit our website: www.foreclosurehelpscc.org or send us an email: help@foreclosurehelpscc.org.

Si usted es dueño de una casa en San José o en Sunnyvale y están luchando con su hipoteca, por favor póngase en contacto con ForeclosureHelpSCC, un programa financiado por la ciudad de San José y la ciudad de Sunnyvale, al (408) -293- 6000, o visite nuestro sitio: www.foreclosurehelpscc.org.Nuestros consejeros puede ayudarle a evaluar sus opciones, aprender más acerca de los programas federales y estatales que pueden ayudarle con sus problemas de hipoteca, y le ayudará a crear un plan para seguir.

Por favor, tenga en cuenta: Todos los contenidos incluidos en el blog ForeclosureHelpSCC se proporciona únicamente a título informativo y no debe ser considerada como consejo legal o fiscal. Si usted tiene alguna pregunta, por favor no dude en contactarnos a nuestra línea directa: (408) -293-6000, o visite nuestro sitio:www.foreclosurehelpscc.org o envíenos un correo electrónico: help@foreclosurehelpscc.org.

Nếu bạn là một sinh hoạt chủ sở hữu nhà ở San Jose hoặc Sunnyvale và đang đấu tranh với nợ nhà, xin vui lòng liên ForeclosureHelpSCC, một chương trình được tài trợ bởi thành phố San Jose và thành phố của Sunnyvale ở (408) -293-6000 hoặc truy cập trang web của chúng tôi: www.foreclosurehelpscc.org.

Nhân viên tư vấn của chúng tôi đã được HUD chấp thuận có thể giúp bạn đánh giá các lựa chọn của bạn, tìm hiểu thêm về các chương trình của liên bang và tiểu bang có thể giúp bạn với các vấn đề thế chấp của bạn, và sẽ giúp bạn tạo ra một kế hoạch phía trước.Xin lưu ý: Tất cả các nội dung trên Blog ForeclosureHelpSCC được cung cấp thông tin duy nhất và không nên coi là hợp pháp hoặc tư vấn thuế. Nếu bạn có bất cứ câu hỏi , xin vui lòng liên hệ với chúng tôi qua đường dây nóng: (408) -293-6000, hoặc truy cập vào trang của chúng tôi: http://www.foreclosurehelpscc.org hoặc gửi email cho chúng tôi:help@foreclosurehelpscc.org.

fair_housing_logo

FAIR HOUSING AND ANTI-DISCRIMINATION POLICY

It is the policy of ForeclosureHelp not to discriminate against any person because of that person’s race, color, religious creed, sex (gender), sexual orientation, marital status, national origin, ancestry, familial status (households with children under the age of 18), source of income, disability, medical condition or age. Color or “ethnic group identification” means the possession of the racial, cultural or linguistic characteristics common to a racial, cultural or ethnic group, or the country or ethnic group from which a person or his or her forebears originated. As required by law, we agree to take the affirmative steps needed to further fair housing.

ForeclosureHelp will consider any and all requests for reasonable accommodation in the application of its rules, policies, practices, and services, and in the use of its physical structures, in accordance with the requirements of state and federal laws. You can ask ForeclosureHelp to consider any reasonable accommodation you may have. Please consult with the Program Manager to request this accommodation.

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Cash Payments for Independent Foreclosure Review Will Begin Being Mailed April 12, Senate Banking Committee Will Hold Hearing about the Independent Foreclosure Reviews

Editor’s note: Foreclosure Help is a program funded by the city of San Jose through a HUD Community Development Block Grant and the city of Sunnyvale, and we can directly assist homeowners  and tenants in San Jose and Sunnyvale who are facing foreclosure.  However, we are unable to assist homeowners/former homeowners in other cities and states.  If you need housing counseling, we suggest using the interactive map on HUD’s website and if you have questions about the information below, please contact Rust Consulting (1-888-952-9105).

1) Cash Payments Being Sent Out This Week   ForeclosureHelpSCC has closely followed the Independent Foreclosure Review, so we are glad to see the press release from the Federal Reserve stating that cash payments to 4.2 million homeowners covered by the updated Independent Foreclosure Review program will start being mailed out on April 12th.  You can see a chart of the penalties and the award amounts (per penalty), and how many people are receiving compensation for each penalty using this chart on the Federal Reserve’s website: Independent Foreclosure Review Payment Agreement Details.

As a reminder, 13 of the banks and servicers are participating in the revised program.  However, GMAC Mortgage, Financial Freedom (part of IndyMac), Everbank/EverHome Mortgage Company, and OneWest Bank/IndyMac Mortgage Services are continuing with the original review, which had a deadline to apply of December 31, 2012.   For more information about the Independent Foreclosure Review, visit our earlier blog posts:  Independent Foreclosure Review: Update on $3.6 Billion in Cash Payments and $5.7 Billion in Modification Assistance.”   (Spanish version and Vietnamese version)

2) ResCap Tries to Get out of its Independent Foreclosure Review Obligations: In related news, Andrew R. Johnson reports in Fox Business NewsAlly, ResCap Spar Over Federal Foreclosure-Review Program”  that Ally Financial and ResCap (its mortgage subsidiary) are having issues around ResCap’s attempt to exit the Independent Foreclosure Review.   GMAC Mortgage, which is part of ResCap, is one of the banks that did not agree to the updated Independent Foreclosure Review program back in January.  According to the article, ResCap asked a bankruptcy judge to stop the Federal Reserve from enforcing the lender’s obligations that it agreed to under the Independent Foreclosure Review.  Instead, ResCap suggests that these obligations should be treated as other unsecured creditors in the bankruptcy process.   However, the Federal Reserve filed a court filing suggesting that Ally’s liability is limited to the reimbursement to the harmed homeowners.

3) Former SEC Chairwoman Joins Former Independent Foreclosure Review Consultant Company Gregory Mott reported for Bloomberg Promontory Adds SEC’s Schapiro to Roster of Ex-Regulators” (April 2, 2013) that Mary Schapiro, who was chairwoman of the US Securities and Exchange Commission until December 2012, has joined Promontory.   As a refresher, Promontory was one of several high-priced consulting companies that was hired to do the Independent Foreclosure Reviews.   Yves Smith, founder of the Naked Capitalism blog, wrote a scathing account of Pomontory on a February blog post entitled  Bank of America Foreclosure Reviews: Why the OCC Overlooked “Independent” Reviewer Promontory’s Keystone Cops Act (Part VB).” 

She quotes Doug Smith, a former partner at McKinsey, who reviewed accounts from contractors who worked on the reviews.  He said:

“It’s hard to imagine a more unprofessional, atrociously managed effort. In my more than three decades of working with, observing and advising teams and projects, I cannot identify a single worse example.”

Smith continues:

But the surprise was how inept Promontory proved to be in its efforts to hide how much damage was done to borrowers. The scale of the exercise, combined with the pervasive reliance on contractors and temps who were told only the official story that their mission was to find evidence of damage done to borrowers, meant they went down that path, often surprisingly far.

4) GAO Releases Critical Report about Independent Foreclosure Review.  The New York Times has a summary Blame Abounds Over a Flawed Foreclosure Review (April 3, 2013) of the GAO’s recently released report Foreclosure Review: Lessons Learned Could Enhance Continuing Reviews and Activities under Amended Consent Orders  about the Independent Foreclosure Review.   Our favorite quote in the article is from New York’s Banking Regulator, Benjamin M. Lawksy, who was quoted in a recent speech as saying:“It is worth considering the monitors’ lack of independence…The monitors are hired by the banks, paid by the banks, and depend on the banks for future engagements.”   The Senate Banking Committee has a hearing scheduled for April 11 “Outsourcing Accountability? Examining the Role of Independent Consultants” (this Thursday) about the Independent Foreclosure Reviews, and it will be interesting to watch.

5) Cash Floods into Silicon Valley Neighborhoods: Part Two?   Here in Silicon Valley, Pete Carey recently reported in the San Jose Mercury News Bay Area’s average homebuyers shut out by cash offers, (April 3, 2013) about the bidding wars that have taken on what many would consider a bubble like quality.  Carey discusses a recent “fixer upper” in Santa Clara that needed $100,000 in repairs.  It was listed at $419,000 and later sold for $629,500.  Of the 69 offers, 65 of them were “cash offers.”   This trend of Wall Street cash flooding into neighborhoods has happened before, and some advocates are concerned about the effect this has on pushing out first time homebuyers and on having so many homes not owner-occupied.    CNBC reports that large amounts of student debt may be another large obstacle for first-time homebuyers in their recent article: “Student Loan Debt Hurts Housing

If you are a homeowner living in San Jose or Sunnyvale and are struggling with your mortgage, please contact ForeclosureHelpSCC, a program funded by the City of San Jose through a HUD Community Development Block Grant and the City of Sunnyvale at (408)-293-6000 or visit us: www.foreclosurehelpscc.org

Our housing counselors can help you evaluate your options, learn more about federal and state programs that may help you with your mortgage issues, and will help you create a plan forward.

Please note: All content included in the ForeclosureHelpSCC blog is provided for information only and should NOT be considered legal or tax advice. If you have any questions, please feel free to contact us on our hotline: (408)-293-6000, or visit our website: www.foreclosurehelpscc.org or send us an email: help@foreclosurehelpscc.org.

Si usted es dueño de una casa en San José o en Sunnyvale y están luchando con su hipoteca, por favor póngase en contacto con ForeclosureHelpSCC, un programa financiado por la ciudad de San José y la ciudad de Sunnyvale, al (408) -293- 6000, o visite nuestro sitio: www.foreclosurehelpscc.org.Nuestros consejeros puede ayudarle a evaluar sus opciones, aprender más acerca de los programas federales y estatales que pueden ayudarle con sus problemas de hipoteca, y le ayudará a crear un plan para seguir.

Por favor, tenga en cuenta: Todos los contenidos incluidos en el blog ForeclosureHelpSCC se proporciona únicamente a título informativo y no debe ser considerada como consejo legal o fiscal. Si usted tiene alguna pregunta, por favor no dude en contactarnos a nuestra línea directa: (408) -293-6000, o visite nuestro sitio:www.foreclosurehelpscc.org o envíenos un correo electrónico: help@foreclosurehelpscc.org.

Nếu bạn là một sinh hoạt chủ sở hữu nhà ở San Jose hoặc Sunnyvale và đang đấu tranh với nợ nhà, xin vui lòng liên ForeclosureHelpSCC, một chương trình được tài trợ bởi thành phố San Jose và thành phố của Sunnyvale ở (408) -293-6000 hoặc truy cập trang web của chúng tôi: www.foreclosurehelpscc.org.

Nhân viên tư vấn của chúng tôi đã được HUD chấp thuận có thể giúp bạn đánh giá các lựa chọn của bạn, tìm hiểu thêm về các chương trình của liên bang và tiểu bang có thể giúp bạn với các vấn đề thế chấp của bạn, và sẽ giúp bạn tạo ra một kế hoạch phía trước.Xin lưu ý: Tất cả các nội dung trên Blog ForeclosureHelpSCC được cung cấp thông tin duy nhất và không nên coi là hợp pháp hoặc tư vấn thuế. Nếu bạn có bất cứ câu hỏi , xin vui lòng liên hệ với chúng tôi qua đường dây nóng: (408) -293-6000, hoặc truy cập vào trang của chúng tôi: http://www.foreclosurehelpscc.org hoặc gửi email cho chúng tôi:help@foreclosurehelpscc.org.

Revisión Independiente del Embargo de Vivienda: Actualización en los $3.6 Billones de Pago en Efectivo y $5.7 Billones en Asistencia de Modificación.

Revisión Independiente del Embargo de Vivienda

(English Version: Independent Foreclosure Review: Update on $3.6 Billion in Cash Payments and $5.7 Billion in Modification Assistance.  Vietnamese Version: Các chiến lược cho việc tìm kiếm xét Tịch thu nhà độc lập: Cập nhật trên $3.6 tỷ USD trong thanh toán bằng tiền mặt và $5.7 tỷ USD vào việc sửa đổi trợ giúp.)

Nota del editor: Foreclosure Help es un programa fundado por la ciudad de San Jose y la ciudad de Sunnyvale y podemos ayudar directamente a propietarios de casas y personas que alquilan viviendas que estén pasando por un proceso de embargo. Sin embargo no podemos ayudar a personas en otras ciudades y estado. Si usted necesita asesoría de vivienda, le recomendamos utilizar el mapa interactivo del portal de HUD y si tiene preguntas acerca de la información que esta a continuación, por favor contactar Rust Consulting (1-888-952-9105).

Una Nota de Prensa emitida de manera conjunta con la Oficina de Control de la Moneda (OCC por sus siglas en inglés) y la Reserva Federal provee a los propietarios de vivienda con información adicional acerca de los cambios hechos a la Revisión Independiente del Embargo de Vivienda y cómo estos cambios pueden impactar a los propietarios de vivienda.

En Enero de 2013 los reguladores anunciaron que muchos de los banco y agencias de servicios habían aceptado remplazar el programa original debido a problemas con el costo, tiempo y administración de las revisiones (para mayor información acerca de este tema revise nuestra nota anterior: 7 razones para posponer le Revisión Independiente del Embargo de Vivienda).

Los 13 bancos que son parte del programa de remplazo incluyen a:
Aurora, Bank of America, Citibank, Goldman Sachs (Litton Loan Servicing), HSBC, JP Morgan Chase, MetLife Bank, Morgan Stanley (Saxon Mortgage), PNC, Sovereign, SunTrust, U.S. Bank, and Wells Fargo.

Sin embargo tres bancos (GMAC Mortgage, Everbank, and OneWest/IndyMac), no aceptaron cambiar su programa y continuarán utilizando el proceso original de la Revisión Independiente del Embargo de Vivienda que tuvo el 31 de Diciembre de 2012 como fecha límite de aplicación. De acuerdo con la nota de prensa emitida: “Los reguladores esperan que las revisiones de estos bancos se completen durante el transcurso del siguiente año.”

¿Qué sigue?
De acuerdo con los reguladores, Rust Consulting, Inc. ha sido seleccionada como la entidad reguladora de pagos y empezarán a contactar a los propietarios de vivienda a finales de Marzo 2013. Los propietarios pueden contactar a Rust Consulting para actualizar su información de contacto (que es importante hacer ya que la información proporcionada por el banco o agencia de servicio es la dirección de correspondencia y número de teléfono de la propiedad que fue parte del proceso de embargo). El número de teléfono para contactar a Rust Consulting es 1-888-952-9105, y los representantes pueden también verificar la elegibilidad al programa.

¿Soy Elegible?
Al igual que la Revisión Independiente del Embargo de Vivienda original, el programa que lo remplaza es solo para propietarios de vivienda que fueron parte de una acción de embargo (pendiente o completa) entre el 1ro de Enero de 2009 y el 31 de Diciembre de 2010. El propietario NO tiene que haber perdido su propiedad para calificar, pero necesita haber estado en “cualquier etapa del proceso de embargo” durante ese período de tiempo.

¿Cuánto Dinero?
El dinero será dividido en dos categorías: Pagos en Efectivo y Asistencia para Aliviar la Pérdida.

Pago en efectivo: Los 13 bancos y agencias de servicio han acordado pagar un total de $3.6 billones a los propietarios de vivienda. Los montos individuales para cada propietario dependerán de la severidad de los errores cometidos por los bancos/agencias de servicio y pueden ser de unos cientos de dólares hasta $125,000. El Washington Post ha creado una tabla de ayuda que categoriza a los propietarios por categorías: Waterfall of Borrower Categories (incluido en el articulo:“Foreclosure victims to get compensation alerts in $9.3B agreement starting Friday”

Asistencia para Aliviar la Pérdida: Los13 bancos/agencias de servicio proveerán $5.7 billón en asistencia a los propietarios a través de esfuerzo para aliviar la pérdida” dando preferencia a las actividades designadas a mantener a los propietarios en sus viviendas a través de acciones de retención que sean asequibles y sostenibles en el largo plazo.” Los bancos y agencias de servicio tienen hasta el 7 de Enero de 2015 para completar esta asistencia.

Banco/Agencia de Servicio

Pagos en Efectivo

Asistencia para Aliviar la Pérdida

Aurora Loan Servicing

$93 millones

$149 millones

Bank of America

$1.1 billones

$1.7 billones

Citibank

$306 millones

$486 millones

Goldman (Litton Loan Servicing)

$135 millones

$195 millones

HSBC

$96 millones

$153 millones

JP Morgan Chase

$753 millones

$1.2 billones

MetLife Bank

$30 millones

$48 millones

Morgan Stanley (Saxon Mortgage)

$97 millones

$130 millones

PNC

$69 millones

$69 millones

Sovereign

$6 millones

$9 millones

SunTrust

$62 millones

$100 millones

U.S. Bank

$80 millones

$128 millones

Wells Fargo

$765 millones

$1.2 billones

Total

$3.6 billones

$5.7 billones

Nota: Los montos han sido redondeados. Fuente: Amended Consent Orders publicado en las paginas web de la OCC y la Reserva Federal.

¿Cuál debe ser mi siguiente paso?
Es de seguro que Rust Consulting estará saturado de llamadas telefónicas de los propietarios de vivienda durante los días siguientes, pero vale la pena tomarse el tiempo para llamarlos dentro de las próximas semanas y confirmar que tengan su información de contacto correcta y para verificar su elegibilidad al programa.

Para mayor información visite:  Nota de Prensa de la Reserva Federal: “Amendments to Consent Orders Memorialize $9.3 Billion Foreclosure Agreement”

If you are a homeowner living in San Jose or Sunnyvale and are struggling with your mortgage, please contact ForeclosureHelpSCC, a program funded by the City of San Jose and the City of Sunnyvale at (408)-293-6000 or visit us: www.foreclosurehelpscc.org

Our housing counselors can help you evaluate your options, learn more about federal and state programs that may help you with your mortgage issues, and will help you create a plan forward.Please note: All content included in the ForeclosureHelpSCC blog is provided for information only and should NOT be considered legal or tax advice. If you have any questions, please feel free to contact us on our hotline: (408)-293-6000, or visit our website: www.foreclosurehelpscc.org or send us an email: help@foreclosurehelpscc.org.

Si usted es dueño de una casa en San José o en Sunnyvale y están luchando con su hipoteca, por favor póngase en contacto con ForeclosureHelpSCC, un programa financiado por la ciudad de San José y la ciudad de Sunnyvale, al (408) -293- 6000, o visite nuestro sitio: www.foreclosurehelpscc.org.Nuestros consejeros puede ayudarle a evaluar sus opciones, aprender más acerca de los programas federales y estatales que pueden ayudarle con sus problemas de hipoteca, y le ayudará a crear un plan para seguir.

Por favor, tenga en cuenta: Todos los contenidos incluidos en el blog ForeclosureHelpSCC se proporciona únicamente a título informativo y no debe ser considerada como consejo legal o fiscal. Si usted tiene alguna pregunta, por favor no dude en contactarnos a nuestra línea directa: (408) -293-6000, o visite nuestro sitio:www.foreclosurehelpscc.org o envíenos un correo electrónico: help@foreclosurehelpscc.org.

Nếu bạn là một sinh hoạt chủ sở hữu nhà ở San Jose hoặc Sunnyvale và đang đấu tranh với nợ nhà, xin vui lòng liên ForeclosureHelpSCC, một chương trình được tài trợ bởi thành phố San Jose và thành phố của Sunnyvale ở (408) -293-6000 hoặc truy cập trang web của chúng tôi: www.foreclosurehelpscc.org.

Nhân viên tư vấn của chúng tôi đã được HUD chấp thuận có thể giúp bạn đánh giá các lựa chọn của bạn, tìm hiểu thêm về các chương trình của liên bang và tiểu bang có thể giúp bạn với các vấn đề thế chấp của bạn, và sẽ giúp bạn tạo ra một kế hoạch phía trước.Xin lưu ý: Tất cả các nội dung trên Blog ForeclosureHelpSCC được cung cấp thông tin duy nhất và không nên coi là hợp pháp hoặc tư vấn thuế. Nếu bạn có bất cứ câu hỏi , xin vui lòng liên hệ với chúng tôi qua đường dây nóng: (408) -293-6000, hoặc truy cập vào trang của chúng tôi: http://www.foreclosurehelpscc.org hoặc gửi email cho chúng tôi:help@foreclosurehelpscc.org.

Nuevos Detalles de la Revisión Independiente de los Embargos Hipotecarios: Que Bancos están incluidos y que bancos no están.

Revisión Independiente de los Embargos HipotecariosMas detalles salen a la luz acerca del remplazo de la Revisión Independiente de los Embargos Hipotecarios y seguiremos actualizando a manera que la Reserva Federal y la Oficina del Control de la Moneda anuncien mas información. Estimamos que serán varias semanas antes de que se sepan los detalles del programa actual y ha habido sugerencias de que los pagos a los propietarios no empezaran por lo menos hasta Marzo 2013. Los propietarios deben continuar revisando loa pagina web de la Revisión Independiente de los Embargos Hipotecarios Independent Foreclosure Review website y sospechamos que mayor información será publicada para finales de Enero de 2013.

1. ¿A cuanto asciende el nuevo acuerdo?  $3.3 billones serán distribuidos en pagos directos a los prestatarios elegibles, mientras que $5.2. billones adicionales serán otorgados en compensación a través de modificaciones de préstamos y perdón de juicios de deficiencia.

2. ¿Como se determinará la compensación? El Huffington Post (Foreclosure Review In New Settlement Leaves Homeowners In Banks’ Hands January 7, 2013 ha reportado que los bancos y las agencias que prestan servicios hipotecarios revisarán los casos de los 4.4 millones de propietarios cuyas viviendas fueron embargadas entre los años 2009-2010 y

harán una clasificación general de 11 categorías dependiendo del nivel de fraude durante el proceso de embargo. Prestatarios con préstamos embargados que están en la categoría de prioridad mas alta, como embargos ilegales hechos a miembros de las tropas de los Estados Unidos mientras en combate fuera del país, calificarán para pagos de hasta $125,000. Aquellos en el grupo de menor categoría, tales como préstamos con errores administrativos calificarán para al menos $250.

3. ¿Qué bancos están incluidos? De acuerdo al comunicado de prensa de la Reserva Federal e Federal Reserve press release, los participantes en este nuevo acuerdo “cumplirán con los requisitos de las acciones de implementación que manda que las agencias que prestan servicios hipotecarios retengan consultores que conduzcan una revisión independiente del proceso de embargo” ( en otras palabras, esto remplaza la Revisión Independiente del Embargo Hipotecario para estos bancos y agencias de servicio hipotecario)

  • Aurora Loan Servicing
  • Bank of America
  • Citibank
  • HSBC (added on Jan. 18th)
  • JPMorgan Chase
  • MetLife Bank
  • PNC
  • Sovereign
  • SunTrust,
  • U.S. Bank
  • Wells Fargo

4. ¿Qué bancos no están incluidos? De acuerdo al artículo publicado por el Huffington Post citado anteriormente, los siguientes bancos no están incluidos en el nuevo acuerdo y las revisiones continuarán para los propietarios cuyos préstamos fueron manejados por estas compañías:

  • Ally Financial,
  • EverBank,
  • OneWest Bank (formerly IndyMac bank)

El comunicado de prensa emitido por la Reserva Federal menciona “Las agencias continuarán trabajando para alcanzar acuerdos similares en principio con las otras agencias de servicio hipotecario que no son parte de este acuerdo anunciado el día de hoy, pero son también sujetos a acciones de ejecución por prácticas de servicio de hipotecas y proceso de embargos deficientes”

5. ¿Qué sucederá con los clientes de Litton y Saxon?  16 de enero 2013 Update: Litton y sajones han acordado llevar a cabo un proceso similar al de los 10 bancos / administradores mencionados al principio de este post, se puede ver una nota de prensa sobre sus asentamientos aquí: Goldman Sachs and Morgan Stanley have reached agreements in principle with the Federal Reserve Board to pay $557 million in cash payments and other assistance to help mortgage borrowers.

If you are a homeowner living in San Jose or Sunnyvale and are struggling with your mortgage, please contact ForeclosureHelpSCC, a program funded by the City of San Jose and the City of Sunnyvale at (408)-293-6000 or visit our website: www.foreclosurehelpscc.org.   Our HUD-approved counselors can help you evaluate your options, learn more about federal and state programs that may help you with your mortgage issues, and will help you create a plan forward.

Please note: All content included in the ForeclosureHelpSCC blog is provided for information only and should NOT be considered legal or tax advice. If you have any questions, please feel free to contact us on our hotline: (408)-293-6000, or visit our website: www.foreclosurehelpscc.org or send us an email: help@foreclosurehelpscc.org.

Si usted es dueño de una casa en San José o en Sunnyvale y están luchando con su hipoteca, por favor póngase en contacto con ForeclosureHelpSCC, un programa financiado por la ciudad de San José y la ciudad de Sunnyvale, al (408) -293- 6000, o visite nuestro sitio: www.foreclosurehelpscc.org. Nuestros consejeros aprobados por HUD puede ayudarle a evaluar sus opciones, aprender más acerca de los programas federales y estatales que pueden ayudarle con sus problemas de hipoteca, y le ayudará a crear un plan para seguir.

Por favor, tenga en cuenta: Todos los contenidos incluidos en el blog ForeclosureHelpSCC se proporciona únicamente a título informativo y no debe ser considerada como consejo legal o fiscal. Si usted tiene alguna pregunta, por favor no dude en contactarnos a nuestra línea directa: (408) -293-6000, o visite nuestro sitio:www.foreclosurehelpscc.org o envíenos un correo electrónico: help@foreclosurehelpscc.org.

Seven Reasons to Postpone the Independent Foreclosure Review

February 28, 2013 Update: New information about the amounts, administration, and timeline of the replacement for the Independent Foreclosure Review was released today.  Please read our latest post: “Independent Foreclosure Review: Update on $3.6 Billion in Cash Payments and $5.7 Billion in Modification Assistance”


January 7, 2013 Update: 
The regulators in charge of the program released information today, explaining that the Independent Foreclosure Review program is being replaced by a settlement program that will give money directly to homeowners.  A payment agent for the new program will be appointed in March 2013.  For more information, visit our blog: “Independent Foreclosure Review Program is Replaced With New Settlement”

Editor’s Note:  While we strongly encourage anybody reading this article to see if they are potentially eligible for the Independent Foreclosure Review and to apply, we remain deeply concerned with the outreach and administration of the Independent Foreclosure Review. Guides for applying: English: Independent Foreclosure Review (the deadlines is December 31, 2012- you can also call them at: 1-888-952-9105) and Spanish:La Revisión Independiente de la Ejecución Hipotecaria.”  You should also see if you’re eligible for the Foreclosure Refund (offered under the Attorney General Settlement- Deadline in California is January 18, 2013). 

While 4.3 million homeowners were in foreclosure from 2009-2010, recent estimates suggest that under 300,000 people have applied for the review, and none of those who have applied have heard about the results of their reviews.  For this reason, we have started a petition asking that the deadline be extended until two months after at least 215,000 homeowners have heard about the results of their reviews.  If you agree, please sign the petition and share with your networks, friends, family, facebook, etc: Postpone the Deadline for the Independent Foreclosure Review Until 215,000 Cases Have Been Released”

A big thank you to the investigative reporters who have followed the creation of the Independent Foreclosure Review and have asked important questions about the outreach, implementation, and conflicts of interests with the program.

1) After a year of accepting homeowner applications, we still don’t know the results: The results of the reviews, including if compensation is paid to homeowners, will not be released until AFTER the deadline has passed.   If it’s important to reach eligible homeowners and former homeowners, wouldn’t it make sense to release the results of some of the reviews for people who have already applied during the past year so that they can tell their friends, family, neighbors, communities and local newspapers about the reviews?

2) Homeowner gets $1, consultant gets $4.  One media report suggests that for every $1 a homeowner may receive as a result of the review finding that a bank/servicer improperly processed a case, a consultant may have received $4.  From American Banker’s November 1, 2012 article “Foreclosure Reviews: Exorbitant for Banks, Gold Mines for Consultants“:  “Bankruptcy filings by ResCap, the former GMAC mortgage servicer slated to be acquired by Ocwen, state that the company will pay consultant PricewaterhouseCoopers $12,500 to review each of 20,000 loans for a total cost of a quarter-billion dollars. Yet ResCap expects to pay only $35 million to $60 million to harmed homeowners.”

3) There are a lot more potentially eligible homeowners than have applied so far: A November 2012 report found that 800,000 more homeowners should have qualified for the Making Home Affordable program, and would have, if all of the banks/servicers were modifying mortgages at the same rate as the most efficient banks/servicers. (Thank you to Huffington Post for highlighting this report in their October 2012 article: “Mounting Evidence Raises Questions About Independent Foreclosure Review.”)

4) What to do if your loan was serviced by Litton or Saxon?  Both Saxon Mortgage Services and Litton Loan Servicing were also targeted by federal regulators for their sloppy work with homeowners, yet it remains unclear what homeowners should do if they were a customer of these clients.   According to Federal Reserve press releases (Saxon press release; Litton/Goldman Sachs press release), both Saxon and Litton are supposed to engage consultants to conduct reviews.  However, there is no information on the independent foreclosure review website for homeowners who had their loans serviced by these companies.

5) Banks get to appeal, but homeowners don’t: According to Propublica’s October 11 article, “Is BofA’s Foreclosure Review Really Independent? You Be the Judge” it appears that Bank of America will get to appeal decisions made by its independent reviewer, but a homeowner will not get the chance for an appeal: “The Bank of America memo also announced another change: the creation of a de facto appeals procedure for the bank. Designed in part “as a response” to Promontory deciding homeowner compensation, the bank would be adding an “Additional Information” unit, the executives wrote. The unit’s job, an employee said, is to respond when Promontory finds that a homeowner deserves compensation by producing any evidence that the bank didn’t commit the abuse or error. In contrast, homeowners who file a complaint will have no opportunity to appeal the determination of whether they deserve compensation or not.”

6) Consultants may have conflicts of interest: There have been a number of reports about conflicts of interest between the consultants hired to do the reviews and the banks that hired them.   Francine McKenna detailed these conflicts in a March 5, 2012 article in American Banker:“The Little We Know About Foreclosure Reviews Is Troubling.”  She explained: “The Deloitte partner in charge of the JPMorgan engagement, Ann Kenyon, was a partner on Deloitte’s audit of Washington Mutual. So it would not be in her interest for Deloitte’s consultants to turn up any auditing errors the firm made with that mortgage originator, particularly since Deloitte is a defendant in shareholder litigation related to Washington Mutual’s collapse.”

7) Official who led “Hustle” at Countrywide is in charge of Chase’s Foreclosure Review According to Propublica’s November 9, 2012 article “Exec Who Allegedly Enabled Fraud Runs Chase’s Effort to Compensate Foreclosure Victims” the same woman who was the Chief Operating Officer at Countrywide’s lending division which carried out the “Hustle” (Motto was “Loans move forward, never back”), is now in charge of JPMorgan Chase’s Independent Foreclosure Review.  The article explains that the “Hustle” ended up costing Fannie Mae and Freddie Mac over $1 billion in losses when the loans went bad.

If you are a homeowner living in San Jose or Sunnyvale and are struggling with your mortgage, please contact ForeclosureHelpSCC, a program funded by the City of San Joseand the City of Sunnyvale at (408)-293-6000 or visit our website: www.foreclosurehelpscc.org.   Our HUD-approved counselors can help you evaluate your options, learn more about federal and state programs that may help you with your mortgage issues, and will help you create a plan forward.

Please note: All content included in the ForeclosureHelpSCC blog is provided for information only and should NOT be considered legal or tax advice. If you have any questions, please feel free to contact us on our hotline: (408)-293-6000, or visit our website: www.foreclosurehelpscc.org or send us an email: help@foreclosurehelpscc.org.

Si usted es dueño de una casa en San José o en Sunnyvale y están luchando con su hipoteca, por favor póngase en contacto con ForeclosureHelpSCC, un programa financiado por la ciudad de San José y la ciudad de Sunnyvale, al (408) -293- 6000, o visite nuestro sitio: www.foreclosurehelpscc.org. Nuestros consejeros aprobados por HUD puede ayudarle a evaluar sus opciones, aprender más acerca de los programas federales y estatales que pueden ayudarle con sus problemas de hipoteca, y le ayudará a crear un plan para seguir.

Por favor, tenga en cuenta: Todos los contenidos incluidos en el blog ForeclosureHelpSCC se proporciona únicamente a título informativo y no debe ser considerada como consejo legal o fiscal. Si usted tiene alguna pregunta, por favor no dude en contactarnos a nuestra línea directa: (408) -293-6000, o visite nuestro sitio:www.foreclosurehelpscc.org o envíenos un correo electrónico: help@foreclosurehelpscc.org.