Mortgage Giants Didn't Even Read Paperwork, Foreclosures Now On Hold In 23 States

Washington Post:

Some of the nation's largest mortgage companies used a single document processor who said he signed off on foreclosures without having read the paperwork - an admission that may open the door for homeowners across the country to challenge foreclosure proceedings.

Read the whole story: Washington Post

Comments

[lostinva]

07:10 PM on 09/26/2010

4 million foreclosure filing in 2010, Freddie and Fannie did close to a million short sales in first six months of this year then in all off 2007 and 2008 combined. This means at the very least we have 10 million Americans loosing their homes

Where is the outrage of the American people?

Anyone with half a brain can see something is terribly wrong with these loans!

This is not about deadbeat homeowners.

Read the comments over and over the homeowners saying their short sales turned down or stalled. The foreclosure is selling for less then the offer they had in hand.

WHO'S INTEREST IS THE FORECLOSING ENTITY WORKING FOR I DO NOT KNOW ONE INVESTOR WHO WOULD TAKE LESS IN A FORECLOSURE IF HE COULD GET MORE IN A SHORT SALE...THINK PEOPLE...!!!

The loans have been paid off already over and over again

The biggest ponzi scheme is starting to unravel and Wall Street and the banks are counting on Americans to be too ashamed to speak up after all the home is the American Dream and to loose is unthinkable!

If you are facing short sale or foreclosure go to livinglies.wordpress.org, or 4foreclosurefraud.org or mattweidnerlaw.com educate yourself and hire an attorney.

STAND UP AND FIGHT BACK PUT YOUR MONEY IN YOUR LOCAL CREDIT UNION AND MAKE THEM PROVE THEY ARE THE TRUE PARTY OF INTEREST IN MOST CASES THEY CAN'T!!!!!

[MissingAmerica]

04:58 PM on 09/24/2010

I get so sick of hearing people dissing the "Obama" economy! He didn't start it! Why in the Hell do you think they called the last decade the "lost" decade? Because Bush did nothing to improve this country and took from us to feed his war. We are now feeling the effects of that as well as the greed caused by decades of turning a blind eye to Wall Street and financial and mortgage industries. Why anyone would want to ignore that and trust the fix to be with the party that is keeping us from being fixed just escapes me! The GOP are stonewalling every piece of legislation that could help, including extending unemployment and regulating Wall Streeet. They are for privatizing Social Security which means that our retirement would be in the hands of Wall Street and could leave us crawling in gutters at the age of 67. They are for war, they are for cutting education and ending Medicare, yet for extending the tax breaks for the wealthiest 2% in the country. Color me dumbstruck! I just don't get it!

[msjimmied]

02:08 PM on 09/24/2010

Ooooo...this is a good one! Grayson rides again!

http://www.zerohedge.com/article/grayson-sends-letter-fannie-ceo-demanding-explanation-actions-vis-vis-pervasive-mortgage-fra

[BocaMom]

01:54 PM on 09/24/2010

Welcome to the Obama economy. 25 million Americans are out of work and losing their homes, farms, stores, small businesses and entire life savings. Worst of all, the White House and the Congress doesn't have a clue or care how to fix it. I can't wait to vote the bums out of Congress this November!

[picaman]

10:51 AM on 09/23/2010

Sounds like the Republican response to the Healthcare Reform plan...There's too many words!

[joecoolconservative]

09:34 AM on 09/23/2010

I see this pocessor used the same process that law makers used during the health care debate - forget reading, just sign and we'll find out later what's in the paperwork later :)

[studmoose]

08:31 AM on 09/23/2010

If there were 22 working days in a month, and the guy worked an extra hour a day (8 hours)

That would mean he processed about 56 of these an hour!

This didn't raise a red flag anywhere?

One a minute, it's probably the time it took to open the folder, pick up the stamp, ink it and press down!

[slowhand0728]

07:57 AM on 09/23/2010

Signed over 10,000 without reading them, my first thought was must be considering running for Congress.

[Lordcron]

05:37 AM on 09/23/2010

challenge is one thing, winning is another. The banks have many lawyers working in there corner.

[KAL-EL]

04:26 AM on 09/23/2010

What do you call lending money to people who cannot repay the loan?

Predatory lending of course.

[Yoda]

03:03 AM on 09/23/2010

The banks, part of Wall Street, had a plan to rob American consumers and they've succeeded. Thanks to people like Tim Geithner, whose job has been to serve and protect Wall Street's interests. Obama administration is full of Wall Street agents, working hard to screw the American people over, and over again! It's not really Obama's fault. He's too disconnected from the American people now. The guy gets his job because he had great marketing agents. But now the cover has worn out and truth will expose slogans like "Yes! We Can".

[Clayton139]

01:49 AM on 09/23/2010

We as progressives need to get out the vote this year !
Meet the Republican Extremist !
http://www.dscc.org/meetthegop

[Newsjunqee]

11:23 PM on 09/22/2010

The feeding frenzy that followed the dismantling of FDR's Glass-Steagall Act by Rubin/Clinton and the ensuing acquisition insanity, lead to the creation of massive banks unprepared and incapable of assessing what they have, the proper evaluation of their enormous assets.

The workload is beyond their capability to handle it. They won't hire more bodies to handle it, because it will cut into the enormous profits: the salaries and bonuses the management has become accustomed to. The result is a monumental mess that is only going to get even worse.

The banks are out of control. The only way to arrest an even greater and looming tragedy is to immediately put a stop to all foreclosures and address the backlog. The banks cannot be allowed to mindlessly throw families out of their homes. The criminal irresponsibility of allowing hundreds thousands of homes to stand empty as entire families are thrown out onto the streets, especially with the winter around the corner cannot be tolerated.

If the banks are OK with properties to rot unattended, then obviously money is not the problem. Why not let the families take care of the property until a professionally responsible decision is made?

This is an issue that I would expect the Head of the CPFB to address asap.

The banks are obviously out of control and need an adult with a clue to tell them what to do.

One good way to start would be to immediately bring back The Glass-Steagall Act.

[jcprof]

11:00 PM on 09/22/2010

Last week I received papers in the mail informing me that Wells Fargo has issued a judgment of foreclosure against me in the Court of Common Pleas. Yesterday, Wells Fargo Home Mortgage informed me that, after five months of reviewing, returning, and resubmitting paper work, that the sale price has to be $3,500 more than what is listed on the original sales agreement and all paperwork has to be updated and resubmitted or the sale can’t move forward. This morning, I lost my second buyer (who lost his chance at the first time home buyer’s tax credit even though he had $104,500 cash in hand to purchase my home). It is quite obvious that banks like Wells Fargo prefer the foreclosure over a viable sale. The system is set up so that the foreclosure benefits them – the corporation, instead of a valid sale benefitting me, an honest American citizen and my buyer - a first-time home buyer. I am nothing more than a low-level individual. I am a hard-working, college-educated, advance degree-holding, professional woman and, today, I have lost hope in this system and I have lost hope in America at this point!

[Gary James]

11:15 PM on 09/22/2010

Did you see the foreclosure coming and for how long?

[hrpmap]

11:31 PM on 09/22/2010

You may have to cut and paste this into your adress bar, but watch and then you will know why.
http://www.youtube.com/watch?v=ssl5yb7FewA

[jcprof]

10:59 PM on 09/22/2010

Two years ago, I made the decision to sell my house because I knew I could no longer afford the house. I was drowning in debt. My first mortgage is with Wells Fargo and a home equity with BOA. After listing my house in Sept, I got a buyer in Dec. By May, I had not received a short sale approval from BOA. My buyer withdrew his offer on May 10 – the approval came on May 22. I relisted, dropping the price to a point where I would need short sales for both 1st and 2nd mortgages. A CASH buyer signed a sales agreement on April 24, 2010. Wells has done everything in their power to prevent the sale – opting instead for foreclosure. The proposals have gone through several negotiators & processors, my buyer and I have provided proof of funds, buyer has signed three extensions - the list goes on...(see next post as continued):

[tselby]

12:46 AM on 09/23/2010

Boohoo for you. We supposed to feel bad because you got yourself into more debt than you knew you could ever pay?

[jcprof]

09:21 AM on 09/23/2010

No dumb#$* - you must be a bit slow! The debt is not the point - the point is that I have had TWO viable buyers in the course of two years that the house was on the market - but the short sale process is SO grueling that they don't stick around for very long. And, by the way - I'm still responsible for the balance of the home equity loan which is refinanced into an unsecured loan once the home is sold which I will continue to pay! Got it?

[ashleyladd]

05:55 PM on 09/23/2010

tselby - Please show some respect for the poster and for all of us.

People lose jobs. They suffer health problems. Banks raise mortgages. Lots of things can happen out of people's control that have nothing to do with making poor choices.

[MGLLC]

05:34 PM on 09/24/2010

It is happening like this to thousands of homeowners. Maybe, it is time for all homeowners underwater to get together and ask the banks to explain.