this is no time to be naive
Posted by admin on October 30th, 2009
For those of you who “still” don’t get what is going on in America, and have turned your backs on your neighbors in need, and who have decided that all 8-10 million people who have lost their homes “made mistakes and brought this on themselves,” think again.
I worry about such people as they clearly are NOT facing reality. Just how many steps away from losing everything are you? A job? Both jobs? Health? A car accident? Your stocks take a nose dive?
Do you know for sure who owns your home?
I thought mine was owned by the bank that gave me the loan. My checks go to them, all correspondence. Everything. I just learned that they sold the loan right after I purchased my home and it has been sold at least twice since then. By law, I gather, the homeowner is supposed to be notified. Not only was I not notified, the bank doesn’t even know who has the note at this point, but they are still collecting money from me.
Protect yourself: At least find out who owns your home, who holds the note. I’m quite sure this will be an eye-opener for you. This is NO time to be naive.
THIS COULD BE YOU: A gentlemen of my acquaintance was Knighted some years ago, living in a 3500+ square foot house, travelling, had his retirement all in place. Basically his family was on top of the world. The children seemed to be “Trust Fund Babies,” who would never really have to think about working every day of their lives.” Nope. The senior member of the family lived to an extremely ripe old age, ate up much of the investment money, the investment market tanked (twice, actually). The family now rents an apartment. Point is, even with careful planning, middle-income working people are facing serious financial hardships.
PLEASE keep in mind: “There But For God Go I” and “You.” This IS an unprecedented time in our country; if we don’t stand by each other, if we do not work to halt illegal activities, what is the point of this country?
From The New York Times, May 26 2009
Those sliding into foreclosure today are more likely to be modest borrowers whose loans fit their income than the consumers of exotically lenient mortgages that formerly typified the crisis. Economy.com expects that 60 percent of the mortgage defaults this year will be set off primarily by unemployment, up from 29 percent last year.
From The New York Times, July 29, 2009
But industry insiders and legal experts say the limited capacity of mortgage companies is not the primary factor impeding the government’s $75 billion program to prevent foreclosures. Instead, it is that many mortgage companies are reluctant to give strapped homeowners a break because the companies collect lucrative fees on delinquent loans.
Even when borrowers stop paying, mortgage companies that service the loans collect fees out of the proceeds when homes are ultimately sold in foreclosure. So the longer borrowers remain delinquent, the greater the opportunities for these mortgage companies to extract revenue — fees for insurance, appraisals, title searches and legal services.
Under the Obama administration’s foreclosure program, a servicer that modifies a loan for a homeowner collects $1,000 from the government, followed by $1,000 a year for each of the next three years. A senior Treasury adviser, Seth Wheeler, said these payments amounted to “meaningful incentives to servicers to help overcome the challenges and competing demands they face in considering and completing loan modifications.” He added that mortgage companies “are contractually obligated to the terms of this program, which require them to offer modifications to qualified borrowers.”
But experts say the administration’s incentives are often outweighed by the benefits of collecting fees from delinquency, and then more fees through the sale of homes in foreclosure.
God Bless Us All!
Tags: no time to be naive, who hold your note, who owns your home
