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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We're involved in a waking nightmare with HomEq, as are many of you.  I'm trying to gain support and litigants to file a class-action suit against them in Indiana.  I currently have a firm in Indy that litigates class suits checking out my bona fides, and am hopeful they'll take the case.  In the meantime, I'm searching for others to join the cause.
Our specifics are rather diverse; trouble started with the escrow account.  They paid taxes on one of our two lots, but not the other.  We didn't find out until it was posted in the paper for tax sale.  After a two month fight, we finally paid the back taxes, interest and penalties.  Not surprisingly, HomEq accepted no responsibility, although I provided them with the original closing documents showing both lots constituted one property.  Rather than fight them in court, I (stupidly) decided to file a complaint with the BBB.  Result?  HomEq still accepted no responsibility, but did amend the mortgage to reflect both lots.  BBB case was closed "unresolved" & I canceled our escrow account.
Several months later, we fell behind due to a failed business venture on my part.  Couldn't refinance, due to credit concerns, so entered into a forbearance agreement.  Paying 150% of mortgage payments for six months drove me into Chapter 7 with the intent of retaining my home in June '06.  Filed the home as exempt and Statement of Intentions to reaffirm the debt.  Homeq refused to reaffirm two weeks prior to discharge date - I have the e-mail from their counsel.  I had continued to pay the forbearance  amount until I found out they wouldn't reaffirm.  HomEq advised me I could continue to make payments; needless to say, I hadn't received a statement since I filed, as stated by law.  Once the 7 was discharged in September '06, the collection letters started.  I made numerous oral and written requests for an account statement to no avail.  Finally, made a triple payment in November, at the risk of foreclosure.  Received another collection letter two weeks later with the same threats.  Another half a dozen calls to HomEq revealed corporate advances, corporate fees, administrative fees and appraisal fees had been taken out of this payment.  Still no hard copy of an accounting - just verbal.  Sent another payment as requested in December to stave off the Jan. 5 "deadline"; payment didn't post until January 9 (and then it was misapplied).  Needless to say, they accelerated the loan and foreclosed.  I've been fighting them in court since February with a lawyer who can most politely be described as a "knucklehead".
Anyway, enough of my bellyaching.  If you are interested in joining me in a class suit against HomEq, please respond to this posting.  If I can gain enough support, I'm hopeful the firm who's reviewing my case may be swayed to initiate the suit. 
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Bill, class actions are a specialty that your lawyer probably has zero experience with. Go to http://www.naca.net and find one in your area.
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Hoosier Bill,

Your wasting your time. We all have a vendetta with them. If you've filed a chp 7 and didn't reaffirm just go on with things. I only say this because they have the money to fight and you probably don't.A class action lawsuit will more than likely get you next to nothing for justifying what they've put you thru.

I don't mean anything against you just my 2 cents. Just work on going forward. The past is the past. Leave it where it belongs and be everything you can be!

God Bless!
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P. S. NACA- National Association Consumer Advocacy will only touch if you have money to pay. As all they have to sell is their time.

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Ed Cage

Dear Hoosier Bill:

Regarding the advice from Smiley face J :

"Just work on going forward. The past is the past. Leave it where it belongs and be everything you can be" is good advice for life's problems in general but it really doesn't apply to seeking a remedy if you are a victim of mortgage fraud. Complacency and the que sara sara attitude is part of the reason we are in the mess we currently face.

 

1) If you are short on funds the class action route may be the way to go. On the negative side it takes much longer and will recover only a fraction of what you are owed. However it also has the distinct advantage of the overall impact a class action can have if successful. (Likely)  An example is the recent hefty judgment against Ameriquest which also destroyed what little was left of their reputation resulting in putting them out of business.  To me that alone is a huge bonus and you don’t have to dip into your pocket to achieve it!

 

2) If you sue individually as I intend to do, you will have to put down a retainer for a legal representative which few can afford even if they are lucky enough to find an honest competent attorney. The good news is that if you prevail (less likely than a class action), you recover reasonable attorney’s fees. Additionally you get all actual damages and often have a shot at punitive damages.  The time factor is much less as well.

 

Bill I’m a numbers man par excellence. But unfortunately being right isn’t enough.  The problem is that unless you make the Court understand what your point is and prove it, you will likely lose.. The Defense knows this and consequently their strategy is to “muddy-the-water” which is an easy strategy to implement when dealing with numbers.. Unfortunately a confused Court rules in favor of the Defendant. The mortgage crooks know this.. But so do the mortgage specialist attorneys bringing the class actions!  Remember they get nothing if they lose and they know how to dumb down the figures<==Absolutely imperative.

 

Based on what I have read between the lines I think the class action route is the way to go for you.  Less work, experts on the case, and no cash outlay.  You’ll likely get a small fraction of what you are really owed and/but you’ll help bring these mortgage criminals to justice.

 

Ed Cage

Plano Texas  /  972-596-4363 

 

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Thanks for all the input - I appreciate all of you taking the time to respond.  I was contacted today by a lawyer from the firm of Cohen and Malad in Indianapolis (cohenandmalad.com) who is interested in taking the case.  Regardless of what the possible outcome of this may be, I'm going to proceed with the suit (taking for granted he accepts it).  I've already garnered a couple of additional plaintiffs, but, as you all know, there's strength in numbers.  One way or another, we're going to make this happen, whether HomEq takes our home or not, which seems likely.  Again, if you're interested in joining the cause, please contact me; whether or not Cohen and Malad accepts the case is irrelevant.  If I can produce a sizable list of litigants to other firms, I'm certain we'll find a firm hungry enough (or greedy enough, I really don't care) to make this a reality.

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~beenawhile
Bill,

A Class action really is not the way to go.
There are a few people here who were involved in a class action settlement.

After they had been fleeced for thousands, & thousands & thousands.
They walked away with only $500.00

The SERVICER, changed their name and still continues to do business today.
They were fined for performing in "bad faith" and "CERTAINLY NOT Best Practices" fined for both of them........ Several months after the court ruling, with fines, penalties, and judgments to the borrowers for ($500.00 per borrower for all their pain) an order to perforrm their business under the FDCPA
"GOOD FAITH"  &   "BEST PRACTICES" ACT: they began doing all of the same dirty, nasty, rotten, lying cheating, and stealing. YEP YEP YEP!........

All over again.

Just ask some of the people on this board.
SPS PORTFOLIO SERVICING is the name of the company.

Class actions do no good, and you will not receive much money for your pain, and suffering. My opinion its a bad way to go.

But I wish you well with it, nonetheless.

Individual suits is where it hurts them the most.
Good luck






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Bill,

Hit http://www.ftc.gov when you have a few minutes and search Fairbanks Capital Corp. USA/Curry v. Fairbanks should come up. Read that top to bottom. That should give you an idea of what a class action might look like.

Then hit http://www.wbaltv.com and search Fairbanks there. FYI, the Fairbanks coverage is once again accessible on the WBAL site. It had disappeared for some time. Much in the same way that many of the PMI Group press releases have "disappeared".
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Mike, thanks for the links - they were very informative and helpful.  I've sent the Curry settlement to my (prospective) attorney this evening.  I'm optimistic they'll take the case, as I've been contacted by three attorneys from the firm since Friday, 12/07.  I'm still looking for additional parties being "serviced" by HomEq, so if you're out there and looking to fight back, please contact me!

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I think you should print out the complaint too.

This is helpful in the language used alongwith appropriate (sections)
of law to cite.

One thing about reading these pleadings is almost anyone involved with
a mortgage servicer will see their experience there.  The settlement does
show that borrowers were fleeced with the awful practices.  It shows borrowers are not lying, not deadbeats but rather caught in a quagmire
that is difficult to escape.

The lawyers out there are not trained in this area, so it is up to the borrower to find one that doesn't mind being trained. 

Dee


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AMC Hater
I have to disagree with class actions being a bad idea.  While some people may have money to spend on a lawyer, most of us don't and we don't risk to losing anymore than we already have by joining a class action. 

I am a class rep for a case against Ameriquest which is set to go to trial soon, even though they are essentially out of business.  I am aware that I may not get a lot of money out of this case, but I'm also aware that the amount of money Ameriquest/Citi or whoever it is will lose as a result of a settlement or verdict against them will be far more than I could have taken from them if I went at this on my own.  




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I want to throw my own wooden nickels in on something here.And remember that this is worth exactly what you paid for it...

From our collective experience as Mortgage Servicing Fraud victims to date, class actions have little effect but to line the attorney coffers. THAT SAID, a class action, from my basic understanding and witnessing of things over the years, is only as strong as its lead plaintiffs. When varying degrees of damage has occurred within the class all class members really should be taken into  consideration before accepting any settlement. But ultimately, and this is something that many people tend to forget - not just MSF victims but anyone hiring legal counsel - by hiring legal counsel to represent you, that counsel works for you. I know that tends to get lost in the mix for both attorneys and clients sometimes.

Attorneys can, or more accurately characterized when speaking in terms of Mortgage Servicing Fraud, should only do what they are instructed/authorized to do by their client(s). Hence, if lead plaintiffs want to settle a CA for $0.75 for ice cream off of a Good Humor truck, then technically, that is what the case should settle out for - someone correct me if I'm wrong. Similarly, if lead plaintiffs will only settle for the spleen of the defendant, then that is what the case should be allowed to settle for. Of course, I'm sure there are measures of which I am not aware to counteract the two extremes but the bottom line is that attorneys really should represent and counsel the client(s) to the best of their ability and carry out the client's wishes. Weak clients (and subsequently weak attorneys) = weak settlements for class actions.

Your mileage may vary, objects in the mirror are really as ugly as they appear in some cases, do not read while operating heavy machinery.
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Ed Cage
AMC Hater wrote:
"I have to disagree with class actions being a bad idea.  While some people

may have money to spend on a lawyer, most of us don't and we don't risk
to losing anymore than we already have by joining a class action.” 
I am a class rep for a case against Ameriquest which is set to go to trial

soon, even though they are essentially out of business.  I am aware that I
may not get a lot of money out of this case, but I'm also aware that the
amount of money Ameriquest/Citi or whoever it is will lose as a result of a 
settlement or verdict against them will be far more than I could have taken
from them if I went at this on my own."

 

Well said AMC Hater..
Although I am personally leaning towards the individual lawsuit remedy I
still must agree with you.  Only you know your own personal situation and
case..  As I have previously outlined in the pros and cons of class action vs.
an individual lawsuit, the average demographics of MSF appear to me to
fit more of the class action profile than the individual action route.
(Less money but a strong desire to *WIN*)

Remember in an individual lawsuit, if the entity you sue is successful in
confusing the Court you lose.  The burden of establishing clear and
convincing evidence is on the Plaintiff. Class Action attorneys are going to
have more horsepower, savvy and the all important back up in the peripheral
areas. You will get less, it will take longer, but you are more likely to *WIN* 
(A big deal btw)

Also remember if you lose an individual lawsuit you lose everything including
all your extra time, legal fees and attorney's fees.. The whole enchilada.

Ed Cage
ecagetx@tx.rr.com
972-596-4363

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