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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Still Fighting
The servicer I am with pulled the trick of not applying two payments to my account and pushed me into forclosure. The only way to stop them was to file bankruptcy. I make enough money to where I was able to pay all of their demands and keep my house. Since the bankruptcy they have not been reporting to the credit agencies and their tactics have prevented me from refinacing with someone else at a lower rate. I called them and wanted them to start reporting because the account has been current for over two years. I was told they could not do that because a reafirmation agreement was never signed and that I would need to pay a reafirmation fee of 1000.00 to get my payments reported. If they never had a reafirmation signed are they allowed to charge late fees? Now that my credit score is at 675 again,what could stop me from walking away from this house and buying another since there is no credit history of me owning a house?
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anon2

No posting at all is better than a negative post. I am sure you have a record of your payments and your lender has some kind of record for your payments. If asked just produce that, its not like a credit report is anything like an accurate snapshot of anything.

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Sounds like a conversation with a good consumer protection attorney is in order. Specifically in the areas of FDCPA and FCRA and how they mesh with a Chapter 13. If there is nothing in either your original note OR in your bankruptcy agreement about a "reaffirmation" agreement then your BK atty may need to haul them back in before a judge. If the "reaffirmation agreement" wasn't part of of your BK deal then my non-legal opinion would be that your servicer is SOL. Depending on how consumer protection and bankruptcy play together legally, you may have cause under breach of contract or any number of other claims now as well. Only a good attorney will be able to say for sure. Now, as far as walking away from the house, I don't think that that is an option because sooner or later the servicer WILL start reporting to your credit and it won't be pretty.

Something to look into is whether your loan has been securitized into a trust. If it HAS then you need to get a copy of the Pooling & Servicing Agreement from the trust prospectus. I'd be willing to bet that, if you HAVE been bundled into a trust, any "forbearance/reaffirmation/modification" fees etc. would be considered "additional servicing compensation" in which case those fees are going directly into the servicer's pocket.
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Still Fightin--
 
As far as I know a reaffirmation of debt comes into play when one has filed a chp 7 bankruptcy. Bankruptcy and mortgages are a tricky thing. For one to file a chp 7 you must be current on your current monthly payments. When you filed chp7 you technically wiped out your debt on home. So unless you reaffirmed with them your debt to them as initially due is what's do on your mortgage note.
 
So you could up and find a new home and move out tomorrow and walk away and a foreclosure won't be on your record cause their debt was already dismissed in banko court.
 
But since you were a chp 7 and were current and have continued to live there paying them they won't kick you out they can't. If you leave somehow since it's a banko they can take control of your property when you quit paying without no reaffirmation of debt.
 
However, I know I've seen alot of cases where even though people filed banko and left the mortgage companies didn't always take possession back right away and this caused issues for people.
 
Cause property is still in your name. They could let property taxes go, you may need to mow the lawn. Depending on how far things go could be taken for back taxes. I've seen it happened even in cases it shouldn't of. You wouldn't believe the horror stories I could tell.
 
I'm by no means an attorney. But you may want to ask yours. Or ask the FCRA-Fair credit reporting act. But with the score you have you shouldn't have any issues even without them reporting. Keep your bank statements, mny ordrs or however you pay as records.
 
Best of Luck,
 
Kathy
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Moose
Still Fighting wrote:
The servicer I am with pulled the trick of not applying two payments to my account and pushed me into forclosure. The only way to stop them was to file bankruptcy. I make enough money to where I was able to pay all of their demands and keep my house. Since the bankruptcy they have not been reporting to the credit agencies and their tactics have prevented me from refinacing with someone else at a lower rate. I called them and wanted them to start reporting because the account has been current for over two years. I was told they could not do that because a reafirmation agreement was never signed and that I would need to pay a reafirmation fee of 1000.00 to get my payments reported.


I think they are lying to you. Ask in a RESPA-styled letter for that in writing and I suspect you'll get a different answer.

Still Fighting wrote:
If they never had a reafirmation signed are they allowed to charge late fees?


Ask them in a SEPARATE RESPA-styled letter to provide you with an exact accounting and point to the specific part of your loan agreement that justifies the late fees.

Still Fighting wrote:
Now that my credit score is at 675 again,what could stop me from walking away from this house and buying another since there is no credit history of me owning a house?


I wouldn't rely on the credit score to protect you. The credit history would magically appear as a default and the score would suffer significantly, plus there are other sources of information underwriters use outside of the credit score.

Depending on who the servicer is, they may be under a settlement agreement in which they are required to report credit data accurately.

Who is the servicer?



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