Mortgage Servicing Fraud
occurs post loan origination when mortgage servicers use false statements and book-keeping entries, fabricated assignments, forged signatures and utter counterfeit intangible Notes to take a homeowner's property and equity.
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I have been dealing with this HomEq nightmare for 6 months. 

My story is a little different, but not much.  Due to circumstance we asked HomEq to pay the second half of our property taxes last year.  At no point could we ever get a straight answer or help from them.  We asked them how much our payments would increase - nobody had this answer.  Once we finally received our first statement with our taxes escrowed our payment had doubled.  We asked for assitance with our Escrow. 

First we were told that they could do nothing because they were only the servicer of the loan that we needed to contact Wells Fargo - did that - those people thought we were crazy. Next time we talked to them we were told Morgan Stanley owned our loan - they said they didn't either.  So we called back with no help. 

Finally on May 30th my husband called again to make our May payment and to again ask for help on the back escrow.  This time he was told they only thing they could do was put us in a payment plan.  Now mind you at this point we were not ever 30 days past due on our account.  He was told this would not be reported to the credit bureau because the plan had nothing to do with our payment just the escrow _LIARS. 

There is so much more, but when I found out in August what they were doing we paid to get out to the plan so they could no longer report us as late.  They did anyway and followed up with a collections letter threatening additional collections action.  We were current

That was it for me. I researched the Web until I found the Ceo and Cheif Financial officer of HomEq.  I emailed them both and within a few hours they called me.  Of course they stood by HomEq and called us all liars, so I told them I would post their information on the Web.  They hung up on me, but within a few minutes they called me back telling me they would modify my loan when my arm comes due.  I told him no.  I wanted them to fix the credit reporting so I could refiance my loan.  So the next thing I know I have their attorney calling me because he understood I was upset and wanted to offer me the modification for HomEq.  I told him no. 

I have continued to send them emails and have posted their information.  I guess they did not like that so yesterday I received a letter from the attorney stating HomEq stood by their credit reporting and was willing to help me save my home by offering a modification.  First off, my mortgage is current.  So I dont need them to save my home.  Here is what he wrote in his last paragraph.

Quote:
Finally, while Homeq may be able to assist with a loan modification, such discussion will not proceed if your posture and actions do not change.  To, date your approach has only served to create obstacles to Homeq's ability to find a reasoned solution to your mortgage issues.  We hope that you will reconsider the manner is which you are attempting to resolve your current situation.  Please feel free to contact me if you would like to discuss this matter further.  Also, please be advised that I will remain your sole contact with Homeq management, as your account is now considered to be in litigation status as a result of prior communications.


Anyone have any comments on what this is all about?  I think they are trying to scare me.
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"Your account is in litigation status." - I'd be willing to bet that that statement allows them to start charging legal fees.

Yes, the statement is designed to intimidate you. I'd start looking for good legal counsel immediately. You're going to need it on this one. Start looking for a good CPA/CFE as well but don't hire them before you have an attorney in place. Try http://www.martindale.com if you don't have any consumer protection attorneys listed locally.
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Ed
They see escrow amounts as part of the loan so if there is any shortage you don't immediatly make up it puts the loan in default. That's how they get to report negtive on your credit and lock you into subprime status.

They will always try to scare you. Like Moose says get off the damn phone. Do everything with RESPA QWR letters. Emails won't work as evidence. They're too easy to manufacture. RESPA letters legally have to respond to and can't outright lie to you in them without exposing them to litigation.

Find an attorney. When they don't respond or they lie in the response you'll have to sue them to get it fixed and it will cost them $1,000 for each one as well as your attorney fees.
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How can they charge me attorney fees - my account is current.  They have no grounds to take any legal action against me.  My house is not in forclosure status not even close.  I have tried to contact a few attornies but have not had any luck yet.  But I am waiting on a response from a Firm I just emailed.  Why would they consider my account in litigation except they want to offer me a modification on my loan to stop me from posting?  I guess I don't understand why this attorney considers this litigation as we have nothing to litgate unless I find an attorney to sue them.  Hmmm.... Anyway left him a voicemail and told him I was not interested in the mod as my home does not need to be saved (unless I stay with them).  I also followed it up with an email to Bob Diamond CEO of Barclays Capital telling him that I don't appreciate the threats from their attorney and to please fix my credit report.  You suggested a CPA - can you explain why?

Mike Dillon wrote:
"Your account is in litigation status." - I'd be willing to bet that that statement allows them to start charging legal fees.

Yes, the statement is designed to intimidate you. I'd start looking for good legal counsel immediately. You're going to need it on this one. Start looking for a good CPA/CFE as well but don't hire them before you have an attorney in place. Try http://www.martindale.com if you don't have any consumer protection attorneys listed locally.

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Ed
Linda wrote:
How can they charge me attorney fees - my account is current.  They have no grounds to take any legal action against me.  My house is not in forclosure status not even close. 


Linda they can and will do anything they want until you stop them. People lose their homes for bogus escrow issues all the time so you may already be on the path to foreclosure.

Talking to them won't stop them. They are playing the game according to their own rules.
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srsd

Linda,  I agree with everything everyone has posted above.  Something else you want to do is don`t talk to them.  Get everything in writing unless you can tape your conversations and make sure they know you are recording or that could be illegal.  Now is the time to start getting all of your documents together and get ready for a battle.  They will do everything they can to take your house from you regardless if it is legal or not.  Read everything you can on this message board not only about the company you are dealing with but what everyone is dealing with. Write the RESPA immediately and send it certified. You can contact the credit bureaus but I don`t think that will do any good.  Contact your Attorney General and let him know what is happening.  Be sure to keep all of your documents you get....even the envelopes with the dates on them.

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I have all my documents.  I think that is what is scaring them.  I also understand what you are saying about losing my home.  But we are paying the full amount that we owe them every month including the back escrow.  We are not late on anything and I watch my account very carefully because I know what they have done to others.  From what I get from this letter is that Homeq wants to "settle" with me my modifing my loan hoping that I will stop posting and giving out their contact information.  It really says nothing about taking my home because as I have said we were tricked into their repayment plan so we could not refinace when our arm comes due in Decemeber.  It is all a scam.  I am looking for an attorney to sue them for all that they have done.  The stress is eating me up that I sit at my desk and cry.  But I can't let them win.  I don't feel like I have to even talk to this attorney because I don't owe HomeQ anything other than my payment which they receive every month.  Homeq's belief is that we are all low life people because we had some past credit problems.  That does not hold true - I have a good job and I am a very intelligent person who knows right from wrong. And what they are doing is wrong.

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Joe B
Linda-

     I agree with almost everything that was said by everyone. Here's a few things to think about. I would at a minimum do the following things right away. After you do these things, write back and we can help guide you once we know where the problems are...

1. Review your loan documents in their entirety. Get VERY familiar with all the terms and conditions.

2. See when the due date, and applicable grace period are. Make note of any payments that were received and/or credited after the grace period.

3. Someone mentioned a CPA/accountant. You can do this, and may indeed need one at some point to provide credibility. Whether or not you eventually need one, you will need to provide them this, and you should do this for yourself first! Gather all of your bank statements from the beginning of the loan, and create a payment history. Be sure to write down the dates on all the checks, and when they cleared your bank account. i.e. 1st payment due July 1954, date on check was 02 July, cleared my bank on 10 July. All the way through the life of the loan. Write down whether or not a late fee was charged...

4. Get a copy of all communication you have had with them concerning your property taxes. If you have nothing in writing, this will become a tad more challenging. However, see if you can recreate a timeline of calls with who you spoke with, the nature of the call, etc. Try to back this up with your phone records. Your phone bill will have a copy of all the phone numbers you called, so this should help you get started.

5. Get all of your monthly statements from them together, and lay them out. Make sure they agree with your bank records. Make  note of any area where they conflict.

6. Get a current copy of your credit reports, and see what each of them states about your mortgage. If you are married, and your spouses name is on the mortgage, do the same for your spouse. See if the monthly statements agree with the credit reports. Make note of any area where they conflict.

7. Get information from your county as to whether of not your taxes are current. Make a note of how much was paid and when. You can probably do this online, and you can print out all of the pertinent information. You should probably write the county to see if you can get a copy of the actual check from when the last time it was paid. Many counties keep this, and it will help if it disagrees with what they eventually tell you.

Here's what I suspect happened. They paid your property taxes in full with one or more of your monthly payments. Because they did this, your monthly payment was not credited to principal and interest, and therefore, they are showing you as delinquent.

Check your loan documents concerning the paying of property taxes and see what it says. Also check to see what order your payments get applied. i.e. to principal and interest first, then to blah blah blah.

If you did not have a provision for them paying your property taxes (escrow), and you have nothing in writing that asks for them to pay your taxes, and they did not notify you that they paid your taxes, this might get interesting.

Here's the deal... you may be considered delinquent for failure to pay property taxes. You may not like it, but it may be true... check your paperwork! You are responsible (unless you have an escrow account), and the failure to do so, may put you in a delinquent status...whether or not they paid them!

However, you need to start getting the paperwork in order. You also need to STAY OFF THE PHONE!!!!

Do everything, no matter how mundane and innocent you think it may be, in writing. You also need to be smart in your communication. You will want to keep it specific, detailed, and to the right person. If you send dozens of calls, e-mails, and letters to dozens of people, your credibility will diminish, because you will be labeled as a crack pot..... sorry, but that's how you will be viewed.

Since you have some information from their attorney, please ask him or her why you are in litigation, and to spell out exactly what the status of your account is, the entire account history, and to outline exactly why your account is in litigation; have him or her provide a copy of all files related to that litigation, including any court filings. I would write this in the form of a qualified written request, and be specific about the information you are requesting.

I think this might become very interesting and very challenging very quickly. Please do these things quickly, and let us know how we can help. You may be needing an attorney very soon. Good luck!!

JB
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srsd
Something else to do ..... as if there isn`t enough....write them and ask them for a payment history. You can check what they have against what you have.
Do not tell them of the information that you have.  Just ask questions and keep as much info to yourself as possible.
Make sure you keep dates, times, people that you have any contact with.  This might be very important later on that is the reason you want everything in writing.
Joe B has given you some great advice so read it, print it, get everyone in your family working on it.
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Linda,
Everything they are saying here is exactly what I was talking about in the e-mails I have sent you. The "Qualified Written Request" letter I suggested as well as staying off the phone with them. I wrote them a QWR and am awaiting reply. I have the return receipt stating that they signed for it on the 24 of September. I have not received anything as of yet.

I thought that they had 20 days to respond that they received the QWR. Can anyone verify this? I have received nothing as of yet. My BK attorney is waiting to see the response. I know that they have 60 days to answer my QWR but aren't they supposed to acknowledge the receipt of the letter within 20 days?

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4 justice now
Linda:

I'm sure you may have already reached the following conclusion, but in case you haven't... NEVER assume that you'll be able to count on our court system and/or law enforcement to protect you and/or your rights in this circumstance. When it comes to MS Fraud and its many aiders and abettors, it simply doesn't matter how much evidence may you have, if no body will even look at it. I know that sounds insane, but many honest and hard working people have made that mistake and have lost.

R,

4J
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Moose

tired and tattered wrote:
I thought that they had 20 days to respond that they received the QWR. Can anyone verify this? I have received nothing as of yet. My BK attorney is waiting to see the response. I know that they have 60 days to answer my QWR but aren't they supposed to acknowledge the receipt of the letter within 20 days?

They are required to acknowledge it by law but it's up to the victim of their abuse to file suit to enforce the law in civil court. Given the miniscule pentalty ($1,000) it's just not a big deal for most of them.

Yet, that is.  It could be.

I have to agree with the promoters of what I see as RESPA assaults. If everyone stopped letting this happen by burying these scammers in RESPA letters for every little thing, the servicers would have to make a choice between changing the business model or facing thousands of suits.

But then again, when they get slammed with thousands of genuine QWR letters, you can be they'll have their lobbyists in DC marching through the halls of the capitol to gut RESPA.

In the mean time though, they'd have to gear up to respond or gear up to face the lawsuits.

I've looked at the math. The time required to acknowledge, research and then respond to a QWR is not cheap. We could shut down some of the ones who are on the edge of insolvency with a few thousand QWR letters if we were ready to follow up with the filing of suits when they ignored them.

The lawfirms may not be interested in one at a time cases, even though they can get their attorny's fees after a long, drawn-out process.  But when ten thousand RESPA failures from a servicer like Ocwen or Litton are sitting there, they won't be able to resist.

Learn to write RESPA QWR letters. Or get someone to do them for you.

Moose 
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srsd

I forgot to mention...anything you send.....send it certified so someone has to sign for it.  That way you have proof of what you have sent.

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O -

I would agree with all of the above, QWR ASAP!
 
I started a contact log with names and dates, it seems to be helpful, you might be in contact with a hundred people or more during all this, it could be YEARS!. Don't call them. Get it in WRITING.
 
It will help you to remember later if you get their name and job title phone number fax and email if you can get it, Write what the call or letter was about and what they are going to do to resolve or?
 
Start a file on your computer desktop and lable it the name of the servier, Like Ameriquest or Litton files, keep all you info from the computer their and make papper copies.
 
Go to your courthouse and get a copy of everything regarding your mortgage DEED and title. Read everything in the mortgage contract.
 
You might want to contact the complaince officer for the company, if you can get an email address that might be a good thing.
 
 
Good Luck!
 
Remember They dont care if they break the laws or not, AND They don't fight FAIR!
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They signed for my QWR on Sept. 24. I have not received any response that they received it. Is there anything I can do? It's been 28 business days. Does anyone know what I can do? Should I contact my BK attorney? They have a loss mitigation dept. I don't care if it is only $1,000. Better they pay than one of us. Anyone that has HomEq Servicing should send their QWR immediately. Bombard them with the QWRs. Make them pay thousands for failure to respond. SEND, SEND, SEND.
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Joe B
T and T--

     I think you should start searching for an attorney; better to have one and not need one, than to search in desperation when you have little time, and fewer choices!

     I would continue to send written requests until you get a response. In each one, make sure you reference the previous. i.e. I am following up on my previous letter dated xyz, signed by you on pdq, and as of the date on this letter, I still have not received a response.

     I would reference EACH letter you send and they have ignored in each subsequent letter, even if the entire first paragraph is nothing but describing all the letters you sent! Keep excellent records, and track it all very closely. At some point you will get a response, and then perhaps you can make appropriate plans.

     Good luck, and let us know how we can help!!

JB
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