Posts Tagged Loan Modification
Attorneys at Duke Seth, PLLC (foreclosure defense law firm) forced Citi Mortgage to rescind the foreclosure and offer homeowner a loan modification.
A homeowner in Dallas County approached foreclosure defense attorney Meenu Seth at Duke Seth, PLLC, after Citi Mortgage foreclosed on her property. While reviewing her case some interesting facts surfaced. Few days before the scheduled foreclosure sale, the homeowner was advised by the loss mitigation department of Citi Mortgage via phone as well via email that they have received her loan modification packet and are reviewing her for the same. She was assured that Citi Mortgage will not proceed with the scheduled foreclosure. Homeowner also received correspondence from Citi Mortgage, after the foreclosure sale took place that she is under review for loan modification. Homeowner was beyond shock when she was served with the notice to vacate. It was a clear case of negligent misrepresentation by Citi Mortgage, due to which the homeowner could not seek legal counsel to stop the foreclosure.
Attorney Meenu Seth sued Citi Mortgage for promissory estoppel and negligent misrepresentation. She obtained a Temporary Restraining Order (“TRO”) and stopped the eviction. Attorney Seth demanded Citi Mortgage to rescind the foreclosure and offer loan modification to the homeowner. After two months of rigorous negotiations, Citi Mortgage finally agreed to rescind the foreclosure and offered a loan modification to the homeowner.
Attorneys at Duke Seth, PLLC strive for such happy endings for their client
One of the benefits of working in foreclosure defense is that I get to have enough dealings with banks to spot patterns and trends. It also gives me enough dealings to be able to identify with most people’s anecdotes about their problems with their lender or servicer. While frustrating, I’ve gotten used to delays and the fumbling of paperwork on the banks’ end, and my firm and I work through it. But every once in a while, something happens that causes even my jaw to drop.
On this particular instance, the offender was Chase. We are working on behalf of our client to obtain a loan modification and have send application materials to Chase–3 times. We are always very careful to document the submission of materials, and we had fax confirmations for each of the three submissions. When we called to follow up on the status of the modification, we were informed that Chase did not have the application materials. Which we had sent (and confirmed) several weeks ago. So, Chase informed us, the file was going to be closed because of a lack of documentation.
Um, no. That’s not going to happen.
After “politely informing” Chase of the error of their ways, they magically found our client’s modification application in their system. Now, we know better than to take them at their word when it comes to dealing with mortgages (and this isn’t unique to Chase–we take this approach with all lenders). In this particular instance, our client was on the verge of an adverse decision because Chase couldn’t even recognize the materials that were in their own system. It made my heart go out to every homeowner who is trying to do this on their own. It also reminded me of the famous speak by Winston Churchill given during World War II, which is quite applicable in dealing with the big banks:
“Never give in. Never give in. Never, never, never, never—in nothing, great or small, large or petty—never give in, except to convictions of honor and good sense. Never yield to force. Never yield to the apparently overwhelming might of the enemy.”