Countrywide’s Foreclosure Fraud: It isn’t the sole Financial Ripping Out of People
Financial of America’s (BAC) proceed to accept federal charges you to definitely its Nationwide unit gouged residents up against property foreclosure is to draw the start, perhaps not the conclusion, out-of a full-blown bodies crackdown towards the mortgage lenders. This is because the new strategies Nationwide is actually implicated of — starting from enhancing the price of assets checks, to help you sleeping so you’re able to consumers about how exactly far it owed, to recharging $three hundred to mow brand new turf — is endemic certainly loan servicers.
Almost forty,000 borrowers reported about financing servicers failing to comply with HAMP, centered on a current report
“The latest Nationwide payment reveals a common and longstanding globe practice,” Diane Thompson, a legal professional toward National Individual Law Cardio, told me within the an email content. “The fresh new payment now offers some actual promise away from reining on the terrible violations when you look at the bankruptcy judge — by requiring Nationwide to ensure the quantity owed and make sure they are billing reasonable prices — and really should let reaffirm what’s, I believe, currently the law: You simply can’t lay people in property foreclosure who are not from inside the standard, and you also ought not to overcharge property owners for the standard to own fake servicers.”
