I would like to clarify your tip posted below. You stated that: "When sending your payments...write “For Principal Only” or “Regular Payment Only” on both the front and back of your check. This doesn’t guarantee that ...will abide by it but it makes
it very difficult for them to explain when they are sued as so many ... victims are forced to do whether individually or via the class action route."
While following this tip certainly will not cause you any great distress, it doesn't matter what you write on your check. While I wish it were as simple as writing some information on your check to get the servicer to comply or some judge to take notice, the reality is far different. The bottom line is that your note and/or deed of trust will describe quite clearly the proper application of payments by the servicer. This document, whether it is followed or not, will be how you litigate whether or not your servicer (whoever they may be) applied your payments properly.
If they didn't follow the proper application of payments however it is worded in this document, you will point to their failure of following the note/deed. If they did, then it doesn't matter what you wrote on your check, the judge will ask you to move along...
I just want to make sure people are clear on what counts and what doesn't.