Bagels at a Bar Mitzvah

just_me

LoanSafe Member
Sep 14, 2015
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I am about to write my letter (I don't even bother with telephone calls anymore) to my bottom of the barrel loan servicer FCI on my FHA loan and getting forbearance. Having read the actual act and the FAQ from HUD, your servicer has no choice but to offer the forbearance as long as you state that the emergency has impacted your ability to pay it back. You aren't actually asking for it, you are demanding it.

My fight right now with FCI is that they want documentation "that proves you have been financially impacted by the Pandemic, including evidence of business closure, employment termination, lay off, or furlough, and any other documentary evidence of income loss resulting from the Pandemic. " which you do NOT have to provide. According to HUD's guidance April 17th: Q. I am having trouble making my mortgage payment due to the impacts of the COVID-19 National Emergency. Do I need to provide my servicer with documentation to prove I need forbearance? A. FHA servicers will ask you to confirm that you are having a financial hardship, either directly or indirectly, due to the COVID-19 National Emergency in order to qualify for a COVID-19 Forbearance, but will not require that you supply any documents.
If you are having trouble with documentary proofs, sometimes documentation can be a signed statement. Always good to ultize the power of a legal request too. An example:

(date)

Attn: (HUD cc Servicer)
Re: HUD Forbearance & Modification Programs
Covid19 Impact Statement (documentation of hardship for application)

Loan #s ________________ _______________
Property Address ______________________


NOTICE This is a Legal request to defer payments and protect my credit during this National Crisis and to
comply with all government directives, programs, initiatives and moratoriums related to the pandemic and COVID19, including but not limited to suspending payments and the waiver of any negative credit reporting (for x mos - name them if you need to) months and to defer any alleged technical or legal foreclosures in favor of program and modification.


COVID19 Impact Statement:

I, Jane Doe, affirms that,

I am having trouble making my mortgage payment due to the impacts of the COVID-19 National Emergency.

Signature/Date
______________

ALSO---HUD/FHA is likely to produce standardized forms in the future related to pandemic crisis programs which avert servicer-manipulated collection of extraneous docs in order to delay or deny. They let you check the box and affirm the hardship as a part of the application for the program.

Concerning the statement/letter, I had to do this once during HAMP modification as servicer kept asking for a non-existent tax-related schedule as "proof." X mo later, they said send us a statement that there is none. It is going to be likely true that certain documentation may be hard to obtain or non-existent in the pandemic COVID19. UI claims are backlogged is one such example. There is an overall inability to process or use any form of customer service now due to staffing shortages and lack of functional online/offline alternatives related to the pandemic.
 
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OneHugeMess

LoanSafe Member
May 30, 2016
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Once again or should I say for the umpteenth time, I'm staring down a foreclosure sale at the end of the month.

Filing a complaint with the CFPB emphasizing those wrongs - of the multitude of wrongs - that are most applicable to the FDCPA, along of course with the contract claims given the thrust of my argument is the failure to perform on the bank's side which by its nature negates my alleged default and renders foreclosure impossible.
My main question, is how? I would have thought you would be protected in CA, like the residents of NJ & New York are protected right now.

Currently, in NJ -- all new Writs of Possessions, and Foreclosure Sales are on Pause, and nothing new is being added to the Sale Calendar. In New York -- new sales can't be scheduled, and existing sales have mostly been adjourned. Evictions can't be scheduled at the moment, in either states.

Is there anyway possible, you could get that loan adjustment, or a new loan modification? Has negotiation stalled?
 

kraftykrab

LoanSafe Member
Jan 27, 2014
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My main question, is how? I would have thought you would be protected in CA, like the residents of NJ & New York are protected right now.

Currently, in NJ -- all new Writs of Possessions, and Foreclosure Sales are on Pause, and nothing new is being added to the Sale Calendar. In New York -- new sales can't be scheduled, and existing sales have mostly been adjourned. Evictions can't be scheduled at the moment, in either states.

Is there anyway possible, you could get that loan adjustment, or a new loan modification? Has negotiation stalled?
So far, CA has only suspended judicial foreclosures....which is pretty pointless because as I understand it, nearly all foreclosures there are non-judicial.

There are two bills in the works, but not signed into law just yet, that would change this.

 

isisis

LoanSafe Member
Jun 22, 2010
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North bay
It would be nice is you could use 15 USC 1692d. "A debt collector may not engage in any conduct the natural consequence of which is to harass, oppress, or abuse any person in connection with the collection of a debt." Especially if they are in contempt of court by willfully pursuing a wrongful sale.
Is it really contempt of court? It's contempt of something, they're certainly showing a disregard for the law itself with respect to thier own legal obligations but I need to look up the definition of contempt of court.

A new (to me) applicable term is reckless indifference, generally used in criminal law but sometimes in tort that seems to encapusilize their mind set. Guess that's what happens when you have too much power and imagine you're above the law.

But I have a better word and a crime: extortion. That pretty much nails what they're doing. They're threatening me with the loss of my home of thirty years unless I give them money far in excess of the debt. Considering talking to the DA.
 

just_me

LoanSafe Member
Sep 14, 2015
643
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Is it really contempt of court? It's contempt of something, they're certainly showing a disregard for the law itself with respect to thier own legal obligations but I need to look up the definition of contempt of court.

A new (to me) applicable term is reckless indifference, generally used in criminal law but sometimes in tort that seems to encapusilize their mind set. Guess that's what happens when you have too much power and imagine you're above the law.

But I have a better word and a crime: extortion. That pretty much nails what they're doing. They're threatening me with the loss of my home of thirty years unless I give them money far in excess of the debt. Considering talking to the DA.
Yes it is. Ignoring a court order WILL give rise to this claim. I've surfed for some related cases, usually requesting sanctions. (no real refs as far as published opinion in appeals) Yes, you can move for this if that's what they do. Will know if they stalking you online by if they withdraw or not. lol. But, in same vein, once is an error while twice is a pattern. Works in your favor. ;)
 

just_me

LoanSafe Member
Sep 14, 2015
643
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Oh! Complaints are best given to State's Attorney General over District Attorney. You might prepare your Contempt of Court order on this and cover letter/ copy to AG. Request injunction, sanctions on plaintiff. (you may have a few days on filing, just be aware and be ready for the if/when for motion hour hearing) Plus, bar complaint. They really are abusing the legal process. Could tie in to FDCA as well, but most of those are moot due to no teeth and limitations. Non-judicial FDCA motion/complaint would count only if they actually succeed, unlikely if they withdraw and you "have no damages" from it.

Nothing better than getting sanctions on a foreclosure mill for bad acts. :)
 

just_me

LoanSafe Member
Sep 14, 2015
643
63
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"Motion to Show Cause" for why Plaintiff should not be held in contempt for ignoring court order. Make statement, attach proofs. Voila.
 

just_me

LoanSafe Member
Sep 14, 2015
643
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Okay. One more time. :D :p

ALSO

Send a legal request letter (certified/requested) demanding sales office take the sale listing off the auction calendar until further notice and attach your motion for contempt/sanctions and/or the judicial order statement.

Let them legally know they (Sales agent) may be liable for damages (this is a legal notice) if they proceed ... as they now have information that it (the sale) may be in violation of a court order if they proceed.

Based covered.
 

isisis

LoanSafe Member
Jun 22, 2010
1,815
254
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North bay
There's a difference between a court order and a ruling. A ruling is a determination based on the facts presented and it may lead to an order but it doesn't in itself compel or prohibit an action.

In California court procedure we use the demurrer as a preliminary process which generally assumes the truth of all material facts alleged in the complaint, and the defendant can't present evidence to the contrary. The demurrer tests whether a cause of action or affirmative defense as pleaded is legally insufficient. The ruling in my case was at the demurrer stage. In other words my pleadings showed that the servicers were in the wrong legally. In the next stage,trial that's when evidence is presented. So what I got was only a preliminary ruling.

But I got a Smidgen of good news. The sale was postponed.
 
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wanda robo

LoanSafe Member
Sep 29, 2012
3,950
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NJ
There's a difference between a court order and a ruling. A ruling is a determination based on the facts presented and it may lead to an order but it doesn't in itself compel or prohibit an action.

In California court procedure we use the demurrer as a preliminary process which generally assumes the truth of all material facts alleged in the complaint, and the defendant can't present evidence to the contrary. The demurrer tests whether a cause of action or affirmative defense as pleaded is legally insufficient. The ruling in my case was at the demurrer stage. In other words my pleadings showed that the servicers were in the wrong legally. In the next stage,trial that's when evidence is presented. So what I got was only a preliminary ruling.

But I got a Smidgen of good news. The sale was postponed.

CONGRATS! A little bird told me it was postponed until July:)
 

just_me

LoanSafe Member
Sep 14, 2015
643
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YAAAYYY !!!

One would think proceeding to sale before litigation is settled AND in particular DURING A PANDMEIC where government services INCLUDING courts being delayed, would show an intentional harm.
 

isisis

LoanSafe Member
Jun 22, 2010
1,815
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North bay
For years now I've been a major fan of law professor Andrew Kull. He's drop dead brilliant and the reporter for the most recent Restatement of Restitution and Unjust Enrichment. He kind of broke new ground in it -something rarely down in a restatement - by suggesting restitution and disgordgement for opportunistic breach of contract. Section 38.

There seemed to be a correlation between that remedy and the fate of homeowners in the mortgage crisis.Today found a scholarly article from someone who saw the same connection. The article is called Unjust Impoverishment. Using Restitution Reasoning in Today’s Mortgage Crisis.

[/URL]

Sure would like it if we heard from Annie Mac. I'm a little worried.
 

wanda robo

LoanSafe Member
Sep 29, 2012
3,950
639
113
NJ
For years now I've been a major fan of law professor Andrew Kull. He's drop dead brilliant and the reporter for the most recent Restatement of Restitution and Unjust Enrichment. He kind of broke new ground in it -something rarely down in a restatement - by suggesting restitution and disgordgement for opportunistic breach of contract. Section 38.

There seemed to be a correlation between that remedy and the fate of homeowners in the mortgage crisis.Today found a scholarly article from someone who saw the same connection. The article is called Unjust Impoverishment. Using Restitution Reasoning in Today’s Mortgage Crisis.

[/URL]

Sure would like it if we heard from Annie Mac. I'm a little worried.

You know that saying"When life gives you lemons"? I'm tired of the lemons, but getting used to them. SH!T, I can can make lemonade....let's just do it. YOU know we can.Make something out of something you thought you never could. Something you've been fighting ( with all your heart& soul))and turn it into something good. I need someone to help me do something good.

I long for it, it's what I do. I need to help & put my heart & soul to good use. Without doing something good, I feel like nothing.
 
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isisis

LoanSafe Member
Jun 22, 2010
1,815
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83
North bay
Sorry, ellaroot. Thank you Wanda for turning my link into something good. You are the most useful woman I've ever met and you're right, you do need to plug into something like that. Working towards something good that will benefit people is the best feeling in the world.

Today I got the best news I've gotten in a long time.

Last year after lengthy litigation I went into mediation asking for $50,000 damages and that they modify my principal balance at the time foreclosure was initiated to 2.5%. That was based on legal theory and a statute that provides that tender refused stops the running of interest, Cal. Civil. Code § 1504.

It makes sense of course that if a creditor refuses your payment that they can't just keep charging you interest. UCC says the same. But everything fell apart when the mediators' interpretation was that interest only stops running if the obligation was extinguished, i.e. if you tendered the whole debt but the creditor refused to accept it. Interest kept accruing if the rejected tender was only a for payments due was their interpretation.

As a result, I ended up in an awful settlement and now I'm still fighting but today I found something that may change everything. The mediators -well-respected, seasoned attorneys - were wrong and I was right according to a recent case involving none other than my nemesis Bofa refusing mortgage payments.


Yippee!
 
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just_me

LoanSafe Member
Sep 14, 2015
643
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Yes. Isisis, I've had the "misinterpretation" too. It's a theme when banks deal with homeowners in these "meetings." Still floored that the MC stated my HAMP was not valid in foreclosure because of BK! Why, using this theory means ANY pre-existing loan is invalid. Wouldn't that be a win for me? :p

Any of you ladies wanna get together on Zoom? It's a thing these days. I'm interested in comparing notes from all the different parts of the Country on political-economic-legal climate since we basically have all four corners covered. (With exception of Florida, they got their dedicated legal sites. lol) It's weird here. Tag me on gmail and maybe we can set up something one evening this week. [email protected] Also, Wanda has my main if anyone needs verification.