Foreclosure Fraud – Traps and More Traps for Homeowners
This is a warning to all Homeowners who are facing foreclosure. In the past I have written about the Traps Homeowners face when seeking a solution to the delimma of foreclosure, loss of jobs, and finding a resolution. As I tell all my clients all of you must remember that what the lender will lie to you continually. Always keep track of the calls you make, who you talked to , and what they said. Being proactive is the best defense a Homeowner can have. To review these Traps go to the “Contact” button above.
Today, there are even more Traps.
Homeowners must realize that the Banks do no own these loans. Homeowners must also realize talking to the Lender’s representatives on the telephone does not resolve the Summons that was just served on you. This is a Trap. Don’t fall for it. Get an attorney for the law suit.
Homeowners tend to call the Lender’s representatives after being served a Summons for foreclosure. These Representatives will tell you anything; including not to hire an attorney, to keep the Homeowner from hiring an attorney. It is very common for these representatives to continually inform the Homeowner that by talking to the Bank/Servicer the law suit will be put on hold; or that the Homeowner is doing the right thing by talking to the Bank/Service and not to worry about the foreclosure law suit.
Meanwhile the Bank’s Attorney is proceeding to get a default and final summary judgment default along with a sale date for your house. That is the goal of the Lender’s representatives. To keep the Homeowner distracted long enough for their attorneys to get a final summary judgment and a sale date for the house. Talking to the Lender actually hastens the sale of the Homeowner’s home.
Judges assist in this process. When the Homeowner’s finally do get an attorney to represent them, Judges make it next to impossible to reverse these defaults and final summary judgments even though the Homeowner was relying, in good faith, on the Lender’s representatives instructions.
There is case law that stands for the proposition that talking to the Lender’s representatives constitutes the requirements of responding to the complaint. This is not answering the complaint but it is enough to require the trial court to reverse the default or default final summary judgment. But there is one problem with this scenario. Most Homeowners do not keep notes of conversations with the Lenders representatives. Therefore, it becomes difficult to prove that the Homeowner was actually talking to the Lender’s representatives and not just ignoring the law suit.
Ignorance of the Law is not an excuse for not answering the law suit. So here are some Warnings:
WARNING: #1 :TALKING TO THE LENDER’S REPRESENTATIVES IS NOT AN ANSWER TO THE FORECLOSURE LAW SUIT. EVEN IF THE HOMEOWNER IS WORKING TO GET A MODIFICATION, THE HOMEOWNER MUST HIRE AN ATTORNEY TO ANSWER OR RESPOND TO THE FORECLOSURE LAW SUIT. FAILURE TO DO SO WILL RESULT IN THE PREMATURE LOSS OF THE HOME.
WARNING #2: LENDER REPRESENTATIVES AND THE PLAINTIFF’S ATTORNEY ARE NOT YOUR FRIENDS. THEY ARE INTENT ON TAKING YOUR HOME FROM YOU. DO NOT BELIEVE ANY THING THAT THE LENDER’S REPRESENTATIVES OR THE PLAINTIFF’S ATTORNEY SAYS. AND WHAT IS SAID MUST BE RECORDED OR A LETTER SENT TO CONFIRM THE CONVERSATIONS. KEEP RECORDS.
WARNING #3: TAKE NOTES AND KEEP RECORDS OF EVERYTHING THAT IS SAID AND WHO SAID IT TO YOU. SEND EMAILS AND KEEP THE EMAILS REFERENCING THESE CONVERSATIONS. PLACE THESE EMAILS INTO THE COURT FILE SO THAT YOU ARE PROTECTED. MAKE SURE THE COURT FILE HAS SOME DOCUMENTATION IN IT THAT SAYS YOU ARE TALKING TO THE LENDER ABOUT MODIFICATION AND THE LENDER TOLD YOU THAT THE LAW SUIT WOULD STOP DURING THIS PROCESS.
WARNING #4: GET AN ATTORNEY. NO MATTER HOW SMART YOU ARE THE COURT WILL RUN RIGHT OVER YOU. ATTORNEY’S KNOW HOW TO PREPARE A CASE FOR APPEAL. IF YOU WANT TO KEEP YOUR HOUSE THEN HIRING AN ATTORNEY IS A MUST.
WARNING #5: IF IS NEVER TOO LATE TO GET AN ATTORNEY.