Current Events – Page 16

Banks Close in Florida and Arizona

February 8, 2011 by Elliot S. Schlissel

Posted by Elliot S. Schlissel, Esq.

Regulatory agencies in Florida and Arizona have recently closed two banks. These two banks are the first banks that have been closed in the year 2011. The Federal Deposit Insurance Company was forced to take over the First Commercial Bank of Florida. This bank was located in Orlando. The Federal Deposit Insurance Company (FDIC) also took over the Legacy Bank located in Scottsdale Arizona. These two banks had approximately 275 million dollars in deposits belonging to consumers in their institutions. It is estimated that these banks will cost the FDIC approximately 110 million dollars. It should be noted that the FDIC insures each consumer’s account up to $250,000.00. Therefore, the depositors at the aforementioned banks will not lose any money, provided they didn’t have more than $50,000.00 at these banks.

Florida Has the Biggest Banking Crisis in the United States

In 2010, twenty-nine banks in Florida failed. Florida has had more bank failures than any other state. California and Illinois came in second and third in the list of states with bank failures. During the course of 2010, 157 banks failed nationwide. This is the highest amount of banks that has failed in the United States in recent history. In 2009, 140 banks failed in the United States. This had been the previous record year for bank failures.

In 2009, the FDIC paid our 36 billion dollars due to bank failures. In 2010, the FDIC paid out 21 Billion dollars due to bank failures. The numerous bank failures have been draining the FDIC of the funds it maintains to secure accounts deposited in the banks of the United States. It is estimated that there are almost 900 financial institutions with financial difficulties in the United States. Thank God for the FDIC! Without this Federally backed institution, hundreds of thousands of consumers would lose their life savings.

New York Foreclosure Defense Lawyers

The Law Offices of Schlissel DeCorpo represents homeowners in New York with foreclosure problems and issues involving mortgage modifications. Our office is adept at keeping our clients in their homes and preventing the banks from putting them on the street. We attend foreclosure conferences for our clients. We deal with defective foreclosure lawsuits, predatory lending issues, mortgage modification programs that don’t work as well as bad faith issues. If you have a problem involving a foreclosure or mortgage modification, we are the solution! Feel free to cal us at 1-800-344-6431, 516-561-6645 or 718-350-2802.

Filed Under: Current Events, Foreclosure Defense Tagged With: FDIC, Federal Deposit Insurance Company, First Commercial Bank of Florida, Legacy Bank, mortgage modifications, New York foreclosure defense lawyers, predatory lending, Scottsdale Arizona

Blame the Banks, Not the Homeowners, for the Mortgage Crisis (PART 2)

February 2, 2011 by Elliot S. Schlissel

Fraudulent Mortgage Applications

Banks were aware that the applications that had been submitted to them by individuals seeking mortgages were fraudulent. Instead of operating an appropriate underwriting process that provided due diligence to see to it that the consumer’s requesting mortgage loans could actually make payments on these loans, the banks simply stopped underwriting the loans in any reasonable manner. The failure of the banks to properly underwrite the loans is one of the principal reasons for the mortgage bubble in America.

Income-to-debt Ratio

The banks have been aware for decades that there is an income-to-debt ratio a perspective homeowner must meet to be able to afford to make mortgage payments. Loan officers, mortgage brokers, real estate agents and appraisers were involved in the submission of fraudulent documents where the loan-to-debt ratio was of such a nature that the perspective homeowner could never successfully make the mortgage payments.

Servicing Companies Who Would Rather Foreclose than Modify Mortgages

The servicing companies hired by financial institutions to service mortgages were supposed to provide the consumer with a simple, reasonable mortgage modification process. Instead, incompetent under-financed mortgage modification programs were set up. The financial institutions continuously ask the consumers to send and resend the same documents. The communication level between the mortgage servicing companies and the consumer is almost non-existent. Consumers became more and more frustrated in trying to communicate with individuals at the serving companies who knew nothing about their pending mortgage applications. Instead of appropriately processing mortgage modifications for creditworthy individuals, these individuals have been turned down for their mortgage modifications.

Twenty Years of Representing New Yorkers in Foreclosure Defense Lawsuits

Our law firm is currently handling dozens of foreclosure defense cases throughout the Metropolitan New York area. We help our clients obtain mortgage modifications. We prevent banks from forcing our clients out of their homes. We attend court foreclosure conferences, litigate defective foreclosure lawsuits, predatory lending, bad faith and other improper practices by financial institutions.

Should you need help, we are the law in the Metropolitan New York area with an extremely high success rate in our foreclosure defense cases. Call us at 1-800-344-6431, 516-561-6645 or 718-350-2802.

Filed Under: Current Events, Foreclosure Defense Tagged With: Brooklyn, foreclosure defense lawsuits, fraudulent mortgage applications, loan officers, mortgage brokers, mortgage loans, mortgage modifications, Nassau County, New York, predatory lending, Queens

Blame the Banks, Not the Homeowners, for the Mortgage Crisis (PART 1)

January 31, 2011 by Elliot S. Schlissel

There is a foreclosure crisis in America. There has been a lot of discussion as to where the blame lies for this crisis. From my point of view, the blame sits squarely with the financial institutions.

There are those who say that homeowners are responsible for the foreclosure crisis because they haven’t been paying their mortgages. Every foreclosure starts with a bank making a mortgage loan. Banks make money by giving mortgage loans to consumers. They make more money when they sell the loans to other banks. The banks that buy the loans make money when they contract with servicing companies to service these loans. When the underlying loans should not have been given to the consumer because the banks knew the consumer had no potential of making the loan payments, the banks bear the responsibility when the loans go bad.

Banks Knowingly Made Millions of Bad Loans

Banks made millions of loans in the United States to potential homeowners who had no potential of making the payments on these loans. They carelessly handled the paperwork and processing of these loans. Then when confronted with the mortgage crisis by President Obama, they said they would set up mortgage modification programs to help the beleaguered homeowners. Instead of setting up reasonable mortgage modification programs, the banks intentionally and incompetently set up under-financed, poorly managed programs that were doomed to fail. These programs, if they were properly and intelligently designed, operated and maintained, could have saved hundreds of thousands of salvageable mortgage loans.

Foreclosure Help

Should you need help with a foreclosure, we are the law firm for you. We provide foreclosure defense for our clients. We handle mortgage modifications. Should you be served with a Summons and Complaint (legal documents in a foreclosure), we can represent you in these proceedings and keep you in your home. We also countersue banks for defective foreclosure lawsuits, predatory lending and bad faith. We attend foreclosure conferences and we litigate foreclosure proceedings on behalf of our clients. Feel free to contact us at 1-800-344-6431, 516-561-6645 or 718-350-2802.

Filed Under: Current Events, Foreclosure Defense Tagged With: bad faith, foreclosure crisis, foreclosure defense attorneys NY, mortgage loans, mortgage modifications, mortgage payments, predatory lending, summons and complaint

Defense of Incompetency in Foreclosure Lawsuits

December 29, 2010 by Elliot S. Schlissel

JP Morgan Chase sued Mr. & Mrs. Haedrich in a foreclosure proceeding in Nassau County, New York. Judge Phelan was the Supreme Court judge assigned to the case.

A guardian was appointed for the Haedrichs. The guardian moved to vacate judgments of foreclosure, as well as the mortgage and notes. The guardian alleged that Mr. & Mrs. Haedrich executed the mortgages and notes accompanying said mortgages in 1999, when they were incompetent. He claimed they suffered from a mentally debilitating condition, including dementia, which deprived them of their ability to make a reasoned intelligent decision concerning the execution of the note and mortgage.

Homeowners Competent to Enter Into Mortgage

The court held that the evidence presented did not sufficiently show that Mr. and Mrs. Haedrich were incompetent at the time of the execution of the mortgage and note. The court also held that the lender was not on notice and did not have any knowledge as to any aspect of their incapacity. The court held that the record did not present appropriate medical evidence showing the Haedrichs were rendered legally incompetent due to mental illness or for other reasons when they executed the necessary documents related to the note and mortgage at the real estate closing. The application by the guardian on behalf of the Haendrichs was dismissed.

About Our Firm

For more than 45 years, our law office has represented individuals in lawsuits involving creditors. We handle foreclosure defense proceedings throughout the New York Metropolitan area. We have a high degree of success in fighting off foreclosure lawsuits.

Should you or a loved one have questions or problems concerning a foreclosure lawsuit, please contact us at 1-800-344-6431 or 718-350-2802.

Filed Under: Current Events, Foreclosure Defense Tagged With: creditors, foreclosure defense, foreclosure proceedings, JP Morgan Chase, mortgage, Nassau County, Nassau County foreclosure attorney, New York City

Justice Department and Attorney General Investigations

December 22, 2010 by Elliot S. Schlissel

The Justice Department and the Attorney Generals in all 50 states are investigating fraud and improprieties of banks, mortgage companies and financial institutions related to foreclosure proceedings.There are approximately 33 million mortgages in the United States that could possibly be subject to litigation as to who is the appropriate owner of the mortgages, who made the transfers from one institution to another of these mortgages and who has personal knowledge of the information and facts maintained in these mortgages.

There are concerns that borrowers don’t know who they should be making their mortgage payments to. The financial institutions are nervous that judges will stop foreclosures proceedings even where the borrowers aren’t making payments. There are already cases where more than one bank has tried to foreclose on the same property.

Disruptions in the Housing Market

The foreclosure and mortgage crisis in the United States are causing significant disruptions in the housing market. For the economy in the United States to turn around, for employers to start generating jobs for the unemployed and for the banking industry to stabilize, the foreclosure and mortgage crisis must be dealt with expeditiously.

Foreclosure Defense Attorneys

The foreclosure defense attorneys at the Law Offices of Schlissel DeCorpo have been representing homeowners in foreclosure proceedings for more than 45 years. Our office takes an aggressive stand in these proceedings. We often counter-sue the financial institutions because of their failure to fulfill all of their responsibilities to comply with various statutes and regulations. Our office attends foreclosure conferences in court on behalf of our clients. We assist our clients in mortgage modifications. We discuss with our clients the problems concerning mortgage modification programs. We actively pursue foreclosure defenses for our clients. We also discuss with our clients defective foreclosure lawsuits and issues concerning predatory lending.

If your house is being foreclosed, we are the foreclosure defense attorneys for you. Call us at 1-800-344-6431, 516-561-6645 or 718-350-2802.

Filed Under: Current Events, Foreclosure Defense Tagged With: foreclosure defense, foreclosure defense attorneys, housing market, mortgage, mortgage modifications, mortgage payments, New York lawyers, predatory lending

Home Ownership Hits Lowest Level in a Decade

December 13, 2010 by Elliot S. Schlissel

There is weak demand for purchasing homes in the United States. At the same time, banks have taken a very conservative approach with regard to giving new mortgages to perspective home owners. There are also record amounts of homes going into foreclosure in the United States.Currently, 66.9% of the households in the United States own their own home. This is the lowest percentage of home ownerships in the United States in the last 10 years.

There are currently approximately 19 million homes, or 14.4% of all homes and apartments in the United States, that are unoccupied. During the past five years, there has been a significant increase in the amount of homes that have remained unoccupied.

Foreclosure Crisis

The foreclosure crisis in the United States has significantly added to the number of homes that are either unoccupied, in foreclosure or have been taken over by the bank. The real estate market in the United States is based on supply and demand. There is currently a large supply of homes that people seek to sell or that have been taken over by banks in foreclosure situations. The demand by individuals to purchase these homes is not in sync with the supply. This causes a reduction in the prices of houses being sold.

About Our Law Firm

The Law Offices of Schlissel DeCorpo is a general practice law firm that has extensive experience in handling foreclosure defense. In addition to foreclosure defense, our office handles litigation concerning defective foreclosure lawsuits. We also assist our clients in Chapter 7 and Chapter 13 bankruptcies, as well as preparing and submitting mortgage modifications on their behalf. Should you have a problem, feel free to contact us. Our phones are answered 24 hours per day, 7 days per week. Our phone numbers are 1-800-344-6431, 516-561-6645 or 718-350-2802, or contact us by email.

Filed Under: Current Events, Foreclosure Defense Tagged With: attorneys, bankruptcy, Chapter 13, Chapter 7, defective foreclosure lawsuits, foreclosure crisis, foreclosure defense, home ownership, lawyers, New York bankruptcy law firm, real estate market

Foreclosure Papers Need To Be Verified By Attorneys

December 9, 2010 by Elliot Schlissel

The Chief Judge of The State of New York , Judge Litman, has recently commented about a new court rule. The court rule requires attorneys for financial institutions to file an affirmation that they have taken all reasonable steps to verify the accuracy of courts papers that they file in support of residential foreclosure proceedings.

This new court rule is an outgrowth of the problems concerning the accuracy of court documents in foreclosure proceedings in New York State. Chief Judge Jonathan Litman said “we have an obligation to make sure the attorneys do their do diligence and come to us with credible papers because the consequences of wrongful foreclosures are so great”.

Verification Under Penalties Of Perjury

All future court papers in foreclosure proceedings have to be verified by attorneys
under penalties of perjury. The attorneys must make a diligent inquiry as to the accuracy and truthfulness of said documents. Attorneys must attest “to the best of my knowledge upon information and belief, the summons and complaint and all the documents filed in support of this action for foreclosure are complete and accurate in all relevant respects”.

The intent of this new statue is to deal with problems with regard to financial institution filing inaccurate or bogus notarized affidavits signed by “robo signers”. The courts seek to avoid the wrongful filing and prosecution of foreclosure proceedings.

Investigations are continuing in all 50 states and the District of Colombia with regard to whether the mortgage companies have violated state laws concerning the foreclosure proceedings.

Its hopeful that these new procedures set forth by the administrative judge will deal with some of the inaccuracies and false documents that have been that have been filed in the past in foreclosure proceedings in New York State.

About Our Firm

For more than 45 years our law firm has assisted individuals with mortgage modifications, foreclosure defense and lawsuits involving creditors. We have expertise in defending homeowners in foreclosure lawsuits. We have litigated cases involving predatory lending practices. We are also familiar with the issues involving failed mortgage modification programs. Should you, a friend or family member be involved in a foreclosure. You need a foreclosure defense attorney to represent you. Our experience in representing individuals in all aspects of foreclosure defense including but not limited to foreclosure defenses and litigating foreclosure issues makes us one of the foremost foreclosure defense law firms in the metropolitan New York area. Feel free to call us for a free consultation at 516-561-6645, 718-350-2802 or 1-800-344-6431. We are available 7 days a week.

Filed Under: Current Events, Foreclosure Defense Tagged With: Chief Judge of the State of New York, foreclosure defense, foreclosure proceedings, Judge Litman, mortgage modifications, perjury, predatory lending

New York Law Grants Homeowners Attorneys’ Fees in Foreclosures

December 7, 2010 by Elliot Schlissel

If you get sued by your bank in a foreclosure proceeding they always ask for attorneys fees. If the bank is successful in the foreclosure proceeding their attorneys get awarded attorneys fees. Theses attorneys fees can be substantial involving many thousands of dollars.

Up until now if a homeowner is successful in defending a foreclosure proceeding he or she get stuck paying his/her attorneys fees. However, David Patterson, the Governor of the State of New York has come to homeowners rescue.

Banks Pay Homeowners Attorneys Fees

Under a new law passed by the state legislature and signed by Governor David Patterson homeowners in foreclosure proceedings can claim attorneys fees from lenders. The law titled the Access to Justice in Lending Act will allow homeowners to be on the some footing as financial institutions in foreclosure proceedings. Homeowners will be entitled to recoup all of their attorneys fees in the event they are successful against their mortgage lenders. It is hoped that the potential of homeowners collecting attorneys fees from their financial institutions will motivate the financial institutions to be more cooperative with regard to working out loan modification agreements with their mortgage holders.

The law was originally opposed by the State Bankers Association. Organizations representing homeowners were extremely enthusiastic about the new bill. The homeowners associations argued that the proposal would allow more homeowners to obtain legal representation and motivate lenders to amicably resolve foreclosure proceedings.

The statute is modeled on New York Real Property Actions Proceedings Law section 234. This give tenants the right to obtain attorneys fees from landlords when landlords had a provision in their lease agreements giving them attorneys fees in eviction proceedings against tenants.

About Our Firm

For more than 45 years our law firm has assisted individuals with mortgage modifications, foreclosure defense and lawsuits involving creditors. We have expertise in defending homeowners in foreclosure lawsuits. We have litigated cases involving predatory lending practices. We are also familiar with the issues involving failed mortgage modification programs. Should you, a friend or family member be involved in a foreclosure. You need a foreclosure defense attorney to represent you. Our experience in representing individuals in all aspects of foreclosure defense including but not limited to foreclosure defenses and litigating foreclosure issues makes us one of the foremost foreclosure defense law firms in the metropolitan New York area. Feel free to call us for a free consultation at 516-561-6645, 718-350-2802 or 1-800-344-6431. We are available 7 days a week.

Filed Under: Current Events, Foreclosure Defense Tagged With: Access to Justice in Lending Act, attorneys fees, David Patterson, foreclosure defense, loan modification, New York Real Property Actions Proceedings Law, State Bankers Association

Fargo To Amend Foreclosure Proceedings

December 6, 2010 by Elliot Schlissel

For the past month and a half Wells Fargo Bank has in public statements regarding foreclosure proceedings insisted that all of their procedures were correct and appropriate. On Wednesday October 27, they did an about face.

Wells Fargo now claims that it plans to correct, redo and resubmit the proper documents in approximately 55,000 foreclosure proceedings. To this writer that seems to be more than a minor mistake.

Wells Fargo claims that after reviewing the situation they found that some bank employees had “failed to strictly adhere to its required procedures during a final step in its documentation process”. Wells Fargo further stated “some aspects of the notarization process had not always been properly followed creating the potential for paperwork errors.”

No Foreclosure Freeze

Wells Fargo is not freezing its foreclosures. They are amending all 55,000 improper
foreclosures to correct the paperwork mistakes previously made.

In addition to Wells Fargo four other large financial institutions are taking similar actions. JP Morgan Chase said it was looking into about 115,000 foreclosure proceedings in 41 states. Bank of America is also looking into approximately 100,000 foreclosure proceedings in 23 states. GMAC and PNC financial are also resubmitting improper foreclosure paperwork. Unfortunately when the banks get through with correcting their mistakes the homeowners will eventually have to face the music. Foreclosure are brought when homeowners do not pay their mortgage payments. In the end the homeowners are thrown out of their homes and their homes are sold. Hopefully there are more inventive, more practical, more humane solutions such as mortgage modifications to this problem.

About Our Firm

Filed Under: Current Events, Foreclosure Defense Tagged With: Bank of America, foreclosure freeze, foreclosure proceedings, JP Morgan Chase, mortgage modifications, The Law Offices of Elliot Schlissel, Wells Fargo

Banks Close in Florida and Arizona

Blame the Banks, Not the Homeowners, for the Mortgage Crisis (PART 2)

Blame the Banks, Not the Homeowners, for the Mortgage Crisis (PART 1)

Defense of Incompetency in Foreclosure Lawsuits

Justice Department and Attorney General Investigations

Home Ownership Hits Lowest Level in a Decade

Foreclosure Papers Need To Be Verified By Attorneys

New York Law Grants Homeowners Attorneys’ Fees in Foreclosures

Fargo To Amend Foreclosure Proceedings

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