Done with trial payments class action lawsuit?

[shuladore]

Hi:

I have now made 3 official (may, June, July) HAMP trial payments. I also made the 4th payment in August and a payment in April for what was the start of a trial plan that was than cancelled this makes 5 total. I am wondering with everyone else I am reading about in the same boat as myself if we have any grounds for a class action lawsuit. I read an article online about a lawyer in Minn. who has filed to stop a foreclosure because the owners were denied for HAMP with no notice of why which the attorney says is a violation of Fair Credit Reporting. Looking for an attorney who might know if we have a case, if they don't modify after all of the trial payments have been made, property is still owner occupied, and income has not changed since trial started??

[Evan Bedard]

Hi shuladore welcome and thank you for joining the community.

What state is your property located in?

[shuladore]

Property is in Colorado.

[shuladore]

This is the article I previously mentioned:

Lawsuit Seeks to Block Home Foreclosures in Minn.

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By THE ASSOCIATED PRESS
Published: July 28, 2009
Filed at 2:48 p.m. ET
MINNEAPOLIS (AP) -- A group seeking to stop home foreclosures in Minnesota sued the federal government Tuesday, saying a program meant to help struggling homeowners refinance their mortgages fails to give them proper notice or the right to appeal when they're rejected.
The Home Affordable Modification Program, set up earlier this year, reduces monthly mortgage payments for at-risk borrowers. The Obama administration has set aside $75 billion for the program to try to prevent 3 million to 4 million foreclosures.
But Mark Ireland, an attorney with the Foreclosure Law Relief Project, said the government has failed to establish clear procedures.
''The government does not require its loan servicers to tell a homeowner the specific reason why they have been denied a loan modification,'' Ireland said. ''Decisions are made under a cloak of secrecy and there is no formal way to challenge these decisions.''
The lawsuit, which seeks class-action status, was filed in federal court in Minneapolis. It asks for an injunction against all foreclosures until the federal government puts safeguards in place.
Ireland said the group hopes housing advocates in other states file similar lawsuits.
Its suit names the U.S. Treasury Department, the Federal Housing Finance Agency and struggling mortgage lenders Fannie Mae and Freddie Mac, which have been under federal control since September and are playing a key role in the government's effort to modify and refinance home loans.
Treasury Department spokeswoman Meg Reilly said she was checking on whether the agency wanted to comment on the lawsuit.
The two named plaintiffs are a Brooklyn Park woman and a Woodbury man who both depleted their savings after they were laid off. They now have new jobs and steady incomes, the lawsuit says, but they've been rejected without explanation for loan modifications through HAMP that would have let them get and stay current on their mortgage payments.
The federal government and major lenders have moved to address some of the concerns the lawsuit raises because similar problems are common across the country.
Officials summoned mortgage executives from 25 companies to meetings in Washington on Tuesday with top staffers from the departments of Treasury and Housing and Urban Development. On Monday, the Mortgage Insurance Companies of America announced a ''second look'' program to help homeowners who have been turned down for loan modifications.
And last week, the Government Accountability Office issued a report saying the Treasury Department needs to take actions to make HAMP more transparent and accountable.
Ireland welcomed those moves but said hundreds of homeowners who could have gotten into the federal program have been foreclosed on in since it was announced.
''The smart move is to stop the foreclosures, get everything in order, and once you have the procedures and policies and the ability to appeal adverse decisions, then start the program up again,'' he said.
Ireland said the group's lawsuit applies to about 85 percent of all mortgages in Minnesota. It follows another involving HAMP that led South Carolina's Supreme Court in May to temporarily halt thousands of pending foreclosure sales to give the homeowners more time to take advantage of the new federal program.
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On the Net:
Federal Making Home Affordable initiative: http://makinghomeaffordable.gov
GAO report on HAMP: http://www.gao.gov/highlights/d09837high.pdf

[gordilox86]

Freddie Mac "Trial Period Plan FAQ's" and “Bulletin 2009-19” state that Servicer shall send permanent modification agreement to borrowers in order for borrower to have enough time to receive and process and pay the 4rth payment by the 1st of the month following the 3^rd Trial Period month, which in my case is (September 1, 2009). I've been told by 3 individuals at Chase, the Servicer has no intention of following this guidance. Instead underwriting will not look at any Trial Period Plan file until after the 3rd Trial Period month, regardless of whether the 3rd Trial Period Payment was made timely. According to Chase Executive Resolution Group, the underwriting department will start processing the Trial Period Plans for permanent modification during the 4rth month. Chase plans to back date the permanent Loan Modification agreements to the 1^st day of the 4rth month, for those borrowers who made their 3^rd Trial Period Plan payment timely.