How Bout These Deadbeats? Amelia Couple Faces Foreclosure from Refinancing Gone Bad

Amelia couple faces a refinancing gone bad

Terry and Donna Hunt have never missed a mortgage payment. But their original lender has tried to foreclose on their house in Amelia County three times.

The Hunts weren’t involved in a loan modification, nor were they trying to take equity out of their house.

Rather, things went awry when they refinanced their $211,000 mortgage in October 2009 to lower their interest rate from 7.8 percent to 5 percent.

Now, no one knows who owns the loan, said Jason Krumbein, the couple’s attorney.

The new loan servicer, a government-approved lender that took over the refinanced loan from the originator, says it owns the loan, Krumbein said.

But CitiMortgage, the original lender, claims it never received the payoff from Lend America, once one of the largest originators of mortgages backed by the Federal Housing Administration but now banned by the FHA from doing business.

Still, as strange as this case is, the Hunts are not alone. Borrowers from across the country, including a person from Powhatan County, claim Lend America failed to pay off their existing mortgages after they received new loans…

“We have never seen a situation exactly like this, but we see errors in the servicing of loans, misapplied payments and foreclosures not based on proper documentation,” said Connie Chamberlin, president and CEO of Housing Opportunities Made Equal of Virginia Inc., a housing advocacy group.

Homeowners in Virginia have little recourse to ensure that they don’t get caught in a similar situation, Chamberlin said.

“A substitute trustee is appointed to take care of a foreclosure, but in many cases, the trustee doesn’t exercise the level of due diligence there ought to be when dealing with something as important as taking someone’s house.”

Check out the article in its entirety here…


3 Responses to “How Bout These Deadbeats? Amelia Couple Faces Foreclosure from Refinancing Gone Bad”
  1. Flex says:

    This is the new epidemic of wrong and illegal foreclosures now in America today. Anything to do with the banks leaves you a sour taste in your mouth. This is another way to create more fear and stress in people’s life. This will create a new way to get lawyers involve, fight the crooks, and then face the judges, who don’t understand or give a darn about the homeowner anyway. Another way for the banks to get away with murder when they are taking advantage of the chaos of the crisis to take people’s homes even if they are paid for, free and clear.
    Almost every week, we hear a new case like this. Most people don’t know who is the real lender. Millions of Americans are paying their mortgage every month to a servicer, or a lender, who does not have the note, the assignment of the note, or the trustee doesn’t have the transfer of the note.
    This issue is going to be a big problem for many decades because if you paid your mortgage in 30 years or less and when you are waiting for the deed of conveyance, you will have a big surprise in your hands.
    Millions of Americans don’t know about property law. They also don’t know their rights. Many of them are afraid to even ask anyone because they think this is a personal matter, when is not. This is a legal matter. Many of them can not afford an attorney, so they rather take their lost and move on with life.
    I talked to a lot of homeowners everyday about their home’s situation and they always tell me the above.
    America need to get educated about their financial future. If the banks and the government continue taking their homes by the millions in foreclosure, we are going to have the government as a landlord.
    We will lose our right to own property in the U.S. The way this whole mess is evolving where the black letter law is being ignored by all the Fraudsters, from the banks, the attorneys representing the banks, the court system, the judges, retired judges, local government, Attorney Generals, legislators, regulators, and even the President of the United States of America.
    When we learn that the FBI is a partner of the MBA, (Mortgage Banking Association) how can we expect any justice when the bankers are wining and dinning our own intelligence agencies. Why do you think is taking so long for the 50 States’ Attorney Generals to report any investigations from the banks?
    All that charade of robo-signers, robo-dockets, and now robo-verifiers is only to cover up more their wrong doing, then call it, a technical error. Since they pulled out a few hundred files and fixed a few themselves, everything is going back to normal. In Other words, business as usual. Foreclosure continues and more millions of homeowners will lose their homes in foreclosure for many years to come.
    Only a few brave judges were able to impose a court order to slow down the madness, but in many States, specially those Non-Judicial States, the party is still on and there is no a sign of ever stopping it.
    We had only heard from Arizona and Nevada Attorney Generals suing the banks. Last week, we heard, Jerry Brown, Attorney General from California accepted a deal of $2 Billion dollars from Wells Fargo.
    Apparently, this money supposed to go for Principal Reduction of Loan Modifications. This will remain to be seen in the few months ahead. How about the rest of the States? What kind of deals are the Attorney Generals making with the banks? Are we ever going to learn anything from those deals? Why the media or anyone is not covering the meetings or the negotiations? Has any Attorney General ask the people what they want from these greedy banksters?
    Americans, you need to write to your Senators and let them know you are not going to put up with this anymore. If they don’t represent you like they should, you simply let them know, you are not going to vote for them next time when election comes. If the Senators continue being bias in this issue and taking millions of dollars for their campaigns from the banksters’ lobbyist, we don’t stand a chance in this country.
    We need to write and call everyday if we have to. We need to demand from our representatives in the Senate to fight for our right to own our homes. We need to fight to get Fannie Mae and Freddie Mac from our backs.
    These agencies are ones of the crooks that caused this mess in first place. Now the government are subsidizing them by billions of dollars from tax payers, and yet they are allowed to write laws and pass legislation to foreclose on people’s homes. They are in the way now not allowing the FHFA to pass a law for Principal Reduction for loan modifications. Many people can not continue paying their mortgages when they lost their jobs, lost a family member, their homes lost their value from 35% to 50% the last three years.
    A principal reduction to the Fair Market Value is the most beneficial for everyone in the equation. The home owner keeps his home, the economy starts moving forward, the banks, servicer, or investor start getting money and everyone starts working again. The loan modification is a new contract with terms and conditions that supersedes the previous loan documents, giving the lender, or servicer an opportunity to fix the problem with the chain of title. Think about this America, ask your title company for a copy of the chain of title or go to the county recorder and get a copy of the chain of title if you don’t have one. If you find out there isn’t one, you will need to get an attorney immediately before is too late.

  2. factfather says:

    That is exactly the point: most of us in foreclosure are hard working people been robed by banksters!

  3. This is EXACTLY what I was talking about in my Pitchfork Report!

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