Class Action Lawsuits Against Mortgage Servicers Super Thread

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davephx

LoanSafe Member
Jul 21, 2009
5,435
47
48
All I see is public meetings and outcrys. Banks obviously don't care about media pressure since anyone not under a rock for the last two years knows the banks are not following HAMP directives or participating in the many other good programs of Treasury such as:

Home Price Decline Protection (HPDP)
Principal Reduction Alternative (PRA)
Home Affordable Unemployment Program (UP)
Home Affordable Foreclosure Alternatives (HAFA)
Second Lien Modification Program (2MP)
Hardest Hit Fund (HHF)
Emergency Homeowners Loan Program
FHA Short Refinance Program

In addition Fannie, Freddie and FHA have their own additional programs.
 

davephx

LoanSafe Member
Jul 21, 2009
5,435
47
48
Successful Cases
The relatively young women lawyer has a great list of MERs cases. In some all the bank has to do is foreclose in its own name instead of MERs and many of the cases don't show ultimately that the home was saved from foreclosure.

Without looking in detail many of these may have also been in judicial states with at least immediate access to the Court unlike in non judicial foreclosures where it is far more complex.

But great for research especially if can get the original complaint of homeowner from the Court - great she has all the case Titles etc
 

BabyBlue

LoanSafe Member
Nov 23, 2010
149
1
0
California
WARNING: READ regarding Robin Boren-Coleman Sexton

WARNING: I just got a call from this lawfirm's representative. He said he was with Genesis Financial....I have not checked to see what that is but it sounds suspect for not logical reason except that many of the swindlers in recent decade(s) had names like that (yes, it is an irrational assumption but, forgive me, I have learned to be suspect). He wanted to start asking me questions. I first asked him if this law firm's primary business has been in criminal defense and guess what he said...."yes". BE CAREFUL.
 

BabyBlue

LoanSafe Member
Nov 23, 2010
149
1
0
California
Here is information on a company called GENESIS FINANCIAL. Perhaps this is not the one doing business with (representing the interests of ) BUT what if it is? I pasted initial description of services the company provides below....Point is be very careful who you respond to. This does not sound like a consumer advocacy organization. BE CAREFUL!!!!!! [FONT=Arial, Helvetica, sans-serif]
-----------------------------------------------------------------------------
If any of these situations sound familiar, Genesis Financial, Inc. has your cash-flow solution.

Genesis Financial, Inc. is a diversified financial services company, specializing in the purchase of seller financed real estate mortgages, deeds of trust, and contracts. Also recognized as one of the Nation’s leaders in the structuring, packaging, and/or originating of non-conforming commercial loans, Genesis Financial, Inc is ready to meet your financial needs.
Through its' subsidiaries, Genesis Holdings, Inc. and Genesis Escrow Services, Inc., Genesis Financial, Inc. also provides investment vehicles and services for accreited investors throughout the United States.


Headquartered in Spokane, Washington, Genesis is staffed by some of the most experienced professionals in the business. With over 75 years experience in originating and purchasing various cash flow instruments, Genesis is recognized as a top provider of competitive pricing, with unmatched knowledge and customer service.

[/FONT]
 

burned

LoanSafe Member
Dec 16, 2010
2
0
0
I do not think class action is the way to go. Example BofA settles a class action for 1 billion dollars. That would mean the class would get around 257 dollars a person in damages. I think a mass joinder would work better.
 

skeptik

LoanSafe Member
Aug 9, 2010
83
1
0
so cal
Moe, maybe I've missed it, but I didn't see that you have a list of consumer advocate attorneys. That would be very helpful to folks who are looking to fight back. I usually furnish them with the NACA (Nat'l Assoc. of Consumer Advocates), livinglies wordpress "lawyers who get it" and Max Gardner's BK Bootcamp Grads (who have taken courses in securitization and servicer accounting practices). Could you get together a list by state. Maybe you could put up some kind of disclaimer to protect yourself of course, in case the attorneys turn out to be duds & that wouldn't be your fault anyway - just kick them off the list. Maybe the loansafe members could chime in and rate their personal experience with the attorneys too. Maybe that might also generate some revenue for you if they advertised with you. Just an idea.
Consumer attorney orgs:

National:
National Association of Consumer Advocates

California:

Consumer Attorneys of California
 

davephx

LoanSafe Member
Jul 21, 2009
5,435
47
48
It on their site shows they do mostly criminal law something like 75% and 25% foreclosure issues. The attorney has a good background and may have more recently finding she believe she can take on MERs cases. The retainer agreement shows no money owed unless win. So the burden is on Robin for the class action.

However, I have no clue why Genesis is involved... That sounds like a bait and switch vs just wanting to participate in a class action suit.
 

TomEason

LoanSafe Guide
Jun 18, 2009
12,390
85
48
SF Bay Area CA
On their site shows they do mostly criminal law something like 75% and 25% foreclosure issues. The attorney has a good background and may have more recently finding she believe she can take on MERs cases. The retainer agreement shows no money owed unless win. So the burden is on Robin for the class action.

However, I have no clue why Genesis is involved... That sounds like a bait and switch vs just wanting to participate in a class action suit.
Genesis is a firm that runs an in depth title search to uncover problems in the chain of title. It's typical for lawyers to require this, although I believe the borrower can use his/her own provider. The typical charge for one of these things is around $3k! Definitely a rip-off, IMHO.
 

pamelabe

LoanSafe Member
Jun 26, 2009
87
0
0
Ok, we are underway with a lawsuit against IMB/OWB and have WAY over 5 people! We have had great response, similar stories-patterns and all qualified to join the lawsuit. If you have a loan with One West Bank/Indymac Bank please contact John McManus of McManus & Associates directly [email protected] 770-492-1000 EST to share your information and see about qualifying for this particular lawsuit. The suit is being filed in the state of Georgia. (This is not a scam firm or upfront fees firm) I have posted this thread also under the loan mod blog. Moe and Evan please encourage people to try to join this lawsuit. This is in the state of Georgia. I have worked so very hard to get this going so we can be heard at the very least and possible get a solution for all. Thanks for your site!

I wish everyone the best of luck to working out a solution to staying in our homes thats reasonable! (IMB hear us?)
 

ahauber

LoanSafe Member
Jan 18, 2011
1
0
0
Anyone has issues with Nationstar?

I'am in Chapter 13 due to this Mortgage Company. Now they are trying to set a relief of stay due to short Payment. I have made my Payments every Month and they upped my payments from $1647 to 2756 without notifying me. Therefor i'am in default of my Payments. They now want 6000$ from me or will seek relief of stay and foreclose. i owe 211000 on the House yet the Appraisal is 570000$. Does anyone know of any classaction suits going on against Nationstar\Centex or anyone know what i can do to stop them?

Thank you
 

BabyBlue

LoanSafe Member
Nov 23, 2010
149
1
0
California
Nationstar?

Dear ahauber,

Terrible...this seems to be part of their pattern of behavior. If they are trying to take your property which is probably their intention then it may follow that before doing that they want to get as much money from you as possible and will use any deceptive methods to do so. Why are you continuing to pay them?

You have a lot of equity. This should give you power. You need an attorney NOW.

Also, can you refinance with another more ethical lender? Have you tried? Try everything. Never assume that something would not work. The rules have all changed or gone to Hell.

It is my impression that class action suits often do not provide much financial relief for homeowners and may take years. Several people here have so stated.

Someone is going to get a big bonus if they can get your property (read: Steal).

I do not know much about Bankrupcy (Filed simple CH7 Aug 2009) but can you not to some degree protect your home in Bankrupcy?

What if you sold the house to a relative for a $1.00, or something else creative to at least delay or make it difficult for them.

What about the MERS angle? Some say the judges accept the "opps I lost the note from my mom saying the dog ate my homework" from banks (When they cannot produce the original) but others say that more recently judges are demanding original notes. You should research this carefully.

There have been many posts on these forums that would offer you advice you will probably find very helpful and supportive. It is a good community.

I do not know if one can use search terms to pull up posts from different forums that may have application to your situation. That would be a very good thing if it were technically possible.

If I come across anything I will copy it over here.

See a consumer protection attorney that does not advertise they are foreclosure specialists. Check with the Bar Assoc. Make sure the attorneys with the firm have bios posted and go with one who has lots of experience, conveys a sense of power and went to a good law school. Check sites that rate law schools. This can make a huge difference. You need the best and if you have to pay $300 an hour it is worth it. Also, if you subscribe to legal insurance sometimes you can get a 25% discount on rates as I do.

BTW who the hell is Nationstar....sounds like a scumbag lender to me (Sorry). Have you checked them out with companies that rate businesses and provide complete data like Hoover's (I think that is the right name)...they will, as I recall, give you a complementary one time profile before you need to join/pay for membership. This would be well worth doing...knowledge is power.

Prepare a form letter and send it to Fed Gov't agencies, Senate/House committee chairs. your Congresspersons, Senators, State Attorney General...rattle cages.

As Mr. Bruce Marks (NACA) says, be your own advocate. Write a letter to the CEO of the bank.

Truly so sorry this is happening to you...it can eat you alive, I know. In Dec. Wells Fargo raised my payment almost $1,000.

Seems like the banks can do whatever they want.

I would not focus on class action...focus on your own situation, but do research class action successes, timelines so you are informed.

This is war, my friend. You are the General in charge of the battlefield for your troops so plan strategy, inventory weapons. With you in spirit...every victory, every battle won, helps us all.
 

fightcapitalone

LoanSafe Member
Jan 7, 2011
12
0
0
Well said BabyBlue, this is a war to protect our most precious possession, our home!!!. Join me in a letter campaign to President Obama, we must not give up. I sent my first letter today, i will continue to send a letter every two weeks till I get a response. Feel free to copy my letter with your info:

Dear Mr. President:

I hope this letter finds you well.

The purpose of this letter is to petition for a legislative mandate to provide a meaningful and fair avenue to change from a 5/1 ARM interest-only mortgage loan to a 30 year fixed mortgage. Many of us obtained these types of loan without fully knowing the negative consequences these loans bring and today, find ourselves struggling to make payments and in fear the interest rate will go up leaving us unable to make mortgage payments. Many lenders withheld key information on these mortgages. In my case for example, (Provide name of bank) failed to provide any the following documents at the time of closing:

· Truth-in-lending
· ARM Loan program disclosure
· ARM Handbook (Booklet explaining the types of ARM loans).

I currently have an open case with OCC (Provide OCC case# if any) where we document that they failed to address the above items at closing. My original loan expired last summer and currently, it resets every 6 month based on LIBOR. Although interest rates are low at this time, the rates are bound to go up.

I only ask that you will find it within your heart to tackle this serious problem facing our nation. Although the HAMP and HARP programs are commendable in their intentions, there are thousands that don’t qualify for HAMP (Income Criteria) or HARP (Payments go up significantly). I have tried to avail myself of both with Bank's name since (provide month/year) unsuccessfully. The only options Bank's name has afforded me are:

· Short Sale
· Refinance – not feasible since my home is worth less than the current mortgage

The problem of “Option ARM resets” is explained in this great article published by CNBC - News Headlines:

Some key findings of the report:

· Some 88 percent of Option ARMs that originated between 2004 and 2007 are going to adjust higher between now and 2012 and those option ARM borrowers could see their housing bills go up as much as 63 percent, according to Fitch ratings.

· If the Fed increases rates in the months ahead to fight inflation, rates tied to option ARM indexes will rise further—causing more payments to adjust up even sooner.

· And while Option ARM borrowers might want to re-finance, they often can't because of falling home values and tighter credit restrictions, which is exactly what has happened to me.

Here is my Bank's mortgage info:
Loan #
Current Interest Rate
Who owns the loan (Freddie Mac or Fannie Mae)

Mr. President, I sincerely hope you can do something to ease the pain and sleepless nights for thousands of Americans like myself.

Sincerely,

Put your name (sign letter)
 

BabyBlue

LoanSafe Member
Nov 23, 2010
149
1
0
California
I'm Thinking We Outnumber them...

Hey FightCapitalOne, That's the spirit! Thanks for the template. Let's all use it and get this show on the road or as a wonderful American hero said not too many years ago, "Let's roll!"
 

davephx

LoanSafe Member
Jul 21, 2009
5,435
47
48
What does it mean to petition for a legislative mandate?

Why not contact Congress folks directly since Obama has no power to introduce legislation.

But we already have scads of Democrats that have jointed submitted excellent bills but they will of course be blocked by the Republicans that is for certain.

Lawsuits based on consumer fraud laws seem the only hope and individual since Class Actions will take many years and not stop the sale of a home. You have to file an action yourself to include trying to get a TRO (Termporary Restraining Order) but this can be very complex and the followup hearings.

The issue of Option Arms of course is a huge mess as it soon will peak. But the banks have contract law on their side. You might have to wait till the payment increases and then apply for HAMP if denied now.
 

fightcapitalone

LoanSafe Member
Jan 7, 2011
12
0
0
davephx,

Proactive initiatives need to come from the top. I'm doing this in hopes Obama commissions a study, talks to the senate about it, engages treas and his economic advicers etc...this issue is being completely ignored, economic meltdown 2.0 is in the horizon and we need to continue the pressure in hopes something is done.

A thing about HAMP, after 3 attempts denied, Banks are using HAMP as a weapon of mass destruction, they will keep deying folks and even if they approved HAMP for the few, they will find ways to still take our homes...Banks are a major contributor to rising poverty levels in our country, what do the care, they have nothing to loose and a lot to gain from short sales and foreclosures...If Bank continue with their "no help policy", pretty soon this great nation of ours will be another HAITI...
 

davephx

LoanSafe Member
Jul 21, 2009
5,435
47
48
fightcapitalone of course I agree with you about the banks.

But Obama is well aware and was very outspoken and involved in 2009 when he brought the bankers into the White House and HAMP was the 2nd item on a 5 part agenda. The smiling banking heads did a press conference about how they were going to do better and assured folks qualified folks would get HAMP mods.

Yet another "study" is not needed. There have been 4 Congressional hearings - no study is needed. It is well known the banks are committing fraud and there is nothing that Treasury, Obama or anyone can do about it without a law to enforce it.

Dems were screaming at one meeting about the bankers terrible performance but the R's are equally upset that private industry has to waste their time on HAMP when they do so much better with inhouse.

The head of Chase was on CNN a couple days ago saying Chase is doing modification for all that are qualified. A lie of course but just like the Republicans lies about many issues such as the silly "government takeover of health care lie) if you repeat it enough times the gullible start believing the lie. Just like the banks are doing with health care.

Another example on HAMP yesterday:
Loan modifications done under existing government programs such as HAMP have generally had a dismal success rate with the majority of borrowers re-defaulting (see Government’s Effort To Stop Soaring Mortgage Defaults a Failure). Many borrowers simply do not have the financial resources to manage a mortgage payment regardless of how much it is lowered, or simply chose to walk away from the burden of home ownership. Is it equitable to lower mortgage balances only for those in default? Many struggling homeowners continue to make their monthly payments at great financial sacrifice but are not eligible for loan modifications.

The reference article as from June 2010 before many HAMPs had aged much.

Latest data if he was honest enough to use show inhouse mods have twice the default rate as HAMP since they do not reduce the payments nearly as much - so the servicers get more fees on higher payments by doing inhouse instead of HAMP.

Its again like the R's healthcare lie that most Americans reject it. Polls show the opposite and that the reason many reject is because it didn't go far enough to reduce costs with the public option which the R's were able to keep out so we have no effective cost controls.

Again with HAMP if you repeat the lie enough times people start to believe it.
 

fightcapitalone

LoanSafe Member
Jan 7, 2011
12
0
0
hello davephx, thanks for sharing your insights and the articles, they speak to a sad truth where banks are getting away with fraud and people continue to loose their homes..however, we need to carry on and do whatever it takes to influence those folks in power, is there a better idea to the letter campaign, please share with us, the worst thing we can do is absolutely NOTHING.
 

davephx

LoanSafe Member
Jul 21, 2009
5,435
47
48
Now that R's in control of the House is worst. R's just introduced bill in House to kill HAMP dead to save $30 Billion of wasteful spending (for HAMP).

The Congress people that need reaching is the Republicans, Dems introduced many good bills but they had no hope with the R block in the Senate and now worse since R's control the House hell bent on slowing the recovery by spending cuts.
 

fightcapitalone

LoanSafe Member
Jan 7, 2011
12
0
0
Hello davephx,

Which members in U.S. Senate Committee on Banking, Housing, and Urban Affairs should we address the letter to? to all of them or just the republicans?
 

davephx

LoanSafe Member
Jul 21, 2009
5,435
47
48
Hello davephx,
Which members in U.S. Senate Committee on Banking, Housing, and Urban Affairs should we address the letter to? to all of them or just the republicans?
Probably all of them as it will be up to the Senate to block it since it will probably pass the house.

Republican Representative Jim Jordan of Ohio has introduced legislation to end the Home Affordable Modification Program (HAMP), saying, "It’s one more example of why government interference in the private sector doesn't work and that’s why it should be repealed.â€

Rep. Darrell (R-Calif), is a co-sponsor of the bill to kill HAMP.

It will probably be fast tracked in the House and will pass with all or virtually all R''s voting for it and all or almost all the Dems against it.

Will probably be defeated in the Senate and would 99.9% be vetoed by Obama. Probably not enough votes to override a veto.

But it is part of the Republican 'Showcase" instead of dealing with jobs and housing.

All they care about is reducing spending which will result in more government workers unemployed and reduce the current economic expansion. But they got their tax cut for the wealthy which was all they really care about. But they have to put on their show and oppose anything Obama regardless of the benefits.

We already face massive state and local layoffs i.e. teachers etc., as the Federal Stimulus that prevented the layoffs winds down and many state have HUGE budget problems.

Fortunately private sector has created over a million jobs vs govt losses in employment. The economy is now officially in expansion not just recovery as GDP is now above the prior pre 2007 peak. But far more growth needed do reduce the unemployment. And all the R's showcase moves if successful will reduce growth and increase unemployment.

With the crisis in Egypt funds are again pouring into "safe haven" Treasuries and the $US as in every crisis. Jobs, reducing avoidable foreclosures, and faster expansion is needed far more than reducing debt at this point with huge demand for our debt still at near record low interest rates.

This whole mess started with the mortgage crisis but Banks and Republicans are doing all they can not to help homeowners.