foreclosure fraud - Articles

Jailed Mortgage Fraudster Maintains Grip on Victims' Homes

#fivemin-widget-blogsmith-image-178282{display:none;} .cke_show_borders #fivemin-widget-blogsmith-image-178282, #postcontentcontainer #fivemin-widget-blogsmith-image-178282{width:570px;height:411px;display:block;} Though tales of booming housing markets have pushed foreclosure horror stories out of the headlines,... Continue Reading »

Mabel Bobo, 88, Loses Home When Investor Buys It for $5,000

How does a house worth more than $200,000 get sold for a mere $5,000? Pure deception, says the family of an 88-year-old woman who, they claim, was swindled while she lay sick in a nursing-home bed. Mabel Bobo (pictured above left with her daughter) owned her Charlotte, N.C., home for 56 years and raised three kids there.... Continue Reading »

Do Banks or Homeowners Win in Mortgage Settlement?

Hundreds of thousands of Americans stand to benefit from the latest mortgage-abuse settlement, but consumer advocates say U.S. banks may be getting the best of the deal. Banks have agreed to pay $8.5 billion to settle charges that they wrongfully foreclosed on millions of homeowners in the wake of the 2008 financial... Continue Reading »

Mortgage Settlement's Next Step: Banks to Pay $8.5 Billion in 'Robo-Signing' Mess

U.S. banks have taken another step to clear away the wreckage of the 2008 financial crisis by agreeing to pay $8.5 billion to settle charges that they wrongfully foreclosed on millions of homeowners. The deal announced Monday could compensate hundreds of thousands of Americans whose homes were seized because of abuses... Continue Reading »

Bank of America to Pay $10 Billion Over Risky Mortgages

Bank of America says it will spend more than $10 billion to settle mortgage claims resulting from the housing meltdown. Under the deal announced Monday, the bank will pay $3.6 billion to Fannie Mae and buy back $6.75 billion in loans that the North Carolina-based bank and its Countrywide banking unit sold to the... Continue Reading »

Still No Fair Deal for 'Robo-Signing' Victims?

By Loren Berlin The Office of the Comptroller of the Currency issued a report Tuesday naming the independent auditors who they've assigned to review the files of Americans who may have been mistreated during recent foreclosure proceedings. But the announcement set off a firestorm of criticism from consumer advocates, who... Continue Reading »

Mortgage Broker Sued for Causing Thousands to Lose Homes

NEW YORK -- The federal government sued one of the nation's largest privately held mortgage brokers on Tuesday, saying its decade-long fraudulent lending practices cost the government hundreds of millions of dollars and forced thousands of American homeowners to lose their homes. The lawsuit in U.S. District Court in... Continue Reading »

Watchdog: Fannie, Freddie Knew of Robo-Signing in 2003

WASHINGTON -- Mortgage giant Fannie Mae knew about allegations of improper foreclosure practices by law firms in 2003 but did not act to stop them, a government watchdog says. Similar allegations are the subject of a probe by state attorneys general into how lenders and law firms ignored proper procedures to handle a... Continue Reading »

Banks to Offer Toll-Free Number for 'Robo-Signing' Victims

Banks being sued for illegal foreclosure practices are preparing to launch a toll-free number meant to enable them to contact the practices' victims, The Wall Street Journal reports. The effort by the banks is a response to pressure from regulators who have ordered 14 lenders to revamp their foreclosure practices after... Continue Reading »

Short Sale Fraud Plagues Housing Market

NEW YORK -- Just as the housing market began to collapse near the end of 2007, a real estate agent in Bridgeport, Conn., asked Regions Bank if it would accept a $102,375 bid on a home that was underwater on its mortgage. Under the impression that this was the best offer on the home, Regions agreed to the short sale and... Continue Reading »

Mortgage Settlement Deal a Good Deal for Homeowners?

WASHINGTON -- State and federal prosecutors are pressing to complete a proposed settlement with the nation's five largest home loan companies over alleged mortgage abuses, even though they've only initiated a limited investigation that hasn't examined the full extent of the alleged wrongdoing, according to interviews... Continue Reading »

Foreclosure Fraud May Cost Big Banks $20 Billion

The nation's largest mortgage companies are operating on the assumption that they will have to pay as much as $20 billion to resolve claims of widespread foreclosure abuse, an amount four times what they originally had proposed, the top federal official overseeing the discussions told state officials Monday, according to... Continue Reading »

New Foreclosure Scam Could Cost You Your Home

What happens when scammers stop forging credit cards and start faking property deeds? Welcome to Real World: Florida, foreclosure fraud edition. In the battered housing market of Palm Beach, Fla., scammers have found a way to falsify "quitclaim" deeds on distressed properties and claim them as their own. And with... Continue Reading »

Shady Foreclosure Rescuer Shot Dead

A Florida man who allegedly delved into shady foreclosure rescues met his demise in an array of bullets. Hydra Lacy, a 6-foot 4-inch, 270-pound registered sexual offender who had engaged in some questionable real estate investing, was holed up in his estranged wife's home in a gun battle that left two police officers... Continue Reading »

Foreclosure Freeze: Better for You or Banks?

While defaulters living for free may be helping to stimulate the economy with money they can spend on things other than their mortgage payments, most of the rest of us will feel the pain as the foreclosure freeze delays the healing process for the housing market. Yet some think a delay in foreclosures might not be bad for... Continue Reading »

Foreclosure Attorney Fights Fla. Evictions

Attorney Tom Ice of Ice Legal, is going after anyone he can who is fueling the foreclosure crisis -- the robo-signers, banks, fellow attorneys. Wherever he finds a loophole, and there are plenty, he's working on closing them. It's a tough job, he says, one that keeps him working long hours, but saving however many... Continue Reading »

Foreclosure Freeze Fix? Property Title Warranties

Despite all of the sensational headlines calling for a national foreclosure freeze, the best solution to the fiasco is more centralized than many politicians would have you believe. After all, only one small industry is at the center of the robo-signing foreclosure conundrum that's currently gripping the housing market:... Continue Reading »

Foreclosure-Gate a Reprieve for WWII Vet

In 2003, Tom (not his real name to protect his privacy) was a retired civil service employee and World War II veteran with money in the bank and a retirement income of $2,000. He also had nearly $80,000 in savings. Today at age 84, thanks to the unscrupulous dealings of a person who represented himself as a real estate... Continue Reading »

Florida's AG Targets Alleged 'Robo-Signer'

Call it ground zero of the foreclosure fiasco: The suburban office of Lender Processing Services Inc. in Alpharetta, Ga. is being investigated by Florida attorney general Bill McCollum for allegedly "robo-signing" thousands of documents that put in motion foreclosure proceedings in Florida. Four law firms in Florida also... Continue Reading »

Halt Foreclosures, Say States; White House Says Wait

The ongoing foreclosure mess is wending its way into the heartland. A group of state attorneys general from as many as 40 states are anticipated to roll out an investigation of the mortgage industry as early as tomorrow in response to recent allegations that the mortgage units of major banks had filed fraudulent paperwork... Continue Reading »

Harry Reid Fumes Over Foreclosure Scandal

Senate majority leader Harry Reid (D-Nev.) took a public stand on Thursday, adding his voice to the growing cadre of lawmakers expressing outrage over the widening foreclosure crisis. Reid sent a letter to a group of large banks in defense of his home state, stating, "I write to request that your mortgage-servicing... Continue Reading »

Foreclosure Crisis Alarms Lawmakers

Now Congress is getting into the fray regarding tens of thousands of improperly processed foreclosure cases. "It is time that banks are held accountable for their practices," House speaker Nancy Pelosi (pictured left) and 30 more Democratic representatives from California reported to the Justice Department, the Federal... Continue Reading »

Foreclosure Freeze: GMAC's Ally Financial Halts Cases in 23 States

Ally Financial, a unit of GMAC Mortgage, again faces charges that employees did not verify foreclosure documents and will delay tens of thousands of foreclosures in 23 states. Ally was sanctioned for this in 2006. Ally insists there is no moratorium on foreclosures, but does say it suspended evictions and REO closings... Continue Reading »

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