twitter linkedin
facebook google+
Search:

Mortgage News

News by Subject
Complete list of specialty news sections.

Purchase Subscription
Subscribe to MortgageDaily.com and get immediate access to all news, statistics and archives.

Mortgage Advertising
Reach mortgage executives, loan originators and other people tied to mortgage industry.

Consumer Mortgage News
Free mortgage news for prospective borrowers.

Mortgage Newsletter
Free e-mail newsletter with the latest headlines from MortgageDaily.com.

Mortgage News Reprints
Put entire MortgageDaily.com stories in your online or printed newsletter or publication.

Mortgage Feedget RSS code
Condensed MortgageDaily.com stories free on your Web site or for your RSS reader.

News Archives
Archive of MortgageDaily.com stories by month going back to 1999.

Press Releases
Reports and announcements from MortgageDaily.com.

Mortgage Statistics
Data and statistics for real estate finance.

Mortgage Directories
Directories of lenders, branch operators and mortgage service providers.

Mortgage Graphs
Directories of lenders, branch operators and mortgage service providers.

home subscribe advertise reprints e-mail help RSS about us LOG IN

Mortgage News

 

Mortgage News

HOT Topics

production

servicing

compliance

legal

fraud

secondary

jobs

appraisal

site map

www.loan-academy.com/
Servicing News | Servicer Ranking | Delinquency Statistics
Stories about mortgage servicers, delinquency and f o r e c l o s u r e s. Coverage of servicing lawsuits and loan servicing technology.


Foreclosure Help On The Way

Foreclosure assistance programs announced

May 23, 2007

By COCO SALAZAR


photo of Coco Salazar

In addition to proposed legislation, a series of programs have recently emerged to combat a projected wave of foreclosures.

While the latest foreclosure listing data compiled by Bargain Network showed that the 140,711 properties that entered a phase of the foreclosure process last month numbered 10 percent less than in March, April still represented the second highest foreclosure listing activity month year to date, according to a recent announcement.

On average, the total number of households entering foreclosure in April was nearly 32 percent higher than the previous six months dating back to November 2006, Bargain said. Additionally, five states accounted for 55 percent of April's foreclosure activity -- with California leading the way, at 25,198 foreclosure filings, followed by Florida, Texas, Colorado and Illinois.

Among services designed to mitigate the foreclosure problem was one offered by a mortgage lead generation company.

LoanPage.com recently touted how its mortgage loan calculators, mortgage glossary and lender directory can assist delinquent borrowers. The company said 22 percent of homeowners are at least mildly concerned about foreclosures.

"If your mortgage lender sends you a foreclosure notice, start communicating," read a LoanPage article about how to deal with increasing payments on adjustable-rate mortgages.

As part of an approach to address the increase in foreclosures in the Golden State, the California Business, Transportation and Housing Agency and the State and Consumer Services Agency will educate the public about mortgage issues through a new Web site and a series of town hall meetings statewide, in partnership with local legislators. In addition to borrower education efforts, the state said it is combating foreclosures through enforcement against unscrupulous licensees and new regulations to ensure consumers better understand available loan products, according to a press release.

The Consumer Home Mortgage Information site, which is also available in Spanish, provides links to various mortgage resources to help consumers make informed decisions when buying a home or deal with existing mortgages, and lists dates of town hall events. By visiting the site or attending one of the town hall meetings, "borrowers can obtain helpful information about the foreclosure process, tips on working with lenders to hopefully avoid foreclosure, and how to file a complaint with the appropriate regulatory agency, if a borrower believes a violation of the law occurred," according to the California housing agency's statement.

In Albany, N.Y., the New Yorkers for Responsible Lending coalition planned a news conference today to call on state lawmakers to end predatory lending practices and in which it will unveil model legislation that will create new affordability standards on loans, according to a press release.

Borrowers facing foreclosure as a result of abusive lending will attend the conference by the coalition, which consists of 131 civic, community, consumer and senior organizations. In addition to borrower testimonials, the event will display maps and charts showing foreclosure patterns and subprime lending statistics, and provide examples of predatory loan solicitations, the release indicated.

Meanwhile, Pinnacle Financial Corp. announced it is engaging in a community service program by providing free tools and resources to aid subprime borrowers in avoiding foreclosure. The program, "SOS: Solutions Out of Subprime," includes a toll-free help line, free seminars and a booklet in both English and Spanish that helps borrowers determine when their rates will reset and by how much, and provides options for mortgages in delinquency or default.

Pinnacle, which does not originate subprime loans, said such loans account for 20 percent of the U.S. home loan market -- up from 9 percent from 1996 through 2004 -- and that an estimated $265 billion in loans are scheduled to reset upward to as much as 12 percent in 2007.

"The escalation of subprime mortgage defaults and foreclosures that began late last year shows no signs of ending," Pinnacle said in the announcement.

"It is important for all borrowers, but especially those in subprime mortgages, to seek help at the first sign of trouble paying their loans," Pinnacle Chief Executive Doug Long said in the written statement.

In an effort to combat scams that target troubled borrowers, Tom Donovan, a Democrat from New Hampshire, sponsored House Bill 365 to form a study commission to analyze foreclosures and foreclosure rescue scams. The House passed the bill and adopted an amendment and was scheduled to be debated in the Senate on Tuesday, according to the State of New Hampshire General Court. The amended version contains strong rules prohibiting unfair transactions and requiring disclosures to borrowers, according to the Concord Monitor.

U.S. Democratic senators Barack Obama and Dick Durbin, of Illinois, recently reintroduced the STOP Fraud Act to ultimately lessen foreclosure risk. The bill reportedly provided the "first federal definition of mortgage fraud," authorized stiff criminal penalties against fraudsters, provides $25 million for housing counseling and technical assistance, and protects the borrowers' rights to challenge lending practices in foreclosure proceedings, if they are in subprime loans with any of several high-risk characteristics targeted by the act.

But a mortgage fraud prevention executive said the bill's supporters are confused.

Obama's intentions are well-founded, but "the language of the bill clearly marks it as a predatory lending bill," Ann Fulmer, a vice president for Interthinx, told MortgageDaily.com in an e-mail statement.

Among the bill's shortcomings noted by Fulmer -- who has become an icon in the fight against mortgage fraud -- are that "Only licensed mortgage professionals can commit 'mortgage fraud,' it applies only to fees, money or property obtained through fraud from a natural person and both the criminal and civil penalties apply only to licensed mortgage professionals."

"There are some good ideas, but as written, it's very problematic because it will reach the facilitators (the professionals), but not the real perpetrators," Fulmer concluded.

The Coalition of Consumer Advocates was created by Dr. Lisa Rosenberger, president and CEO of American Mortgage Educators Inc., to demand stronger government regulation to combat predatory lending, mortgage fraud and ultimately foreclosures, according to a press release. Touted as the "most powerful" coalition of female consumer advocates ever assembled, the group has set an agenda to provide financial education to homeowners and borrowers and ethics courses and advanced technical training to mortgage brokers, loan officers and real estate agents.

"Greed is the root cause of the current lending crisis," said Tawney Warren, a consumer advocate in the announcement. "We need to take a three pronged approach to solving this travesty by educating the public, industry professionals, and government officials. We need strict government regulations in all states for industry professionals and lenders."

One mortgage banker's delinquent borrowers with American Express cards can now stave off foreclosure proceedings an additional month or two.

The credit card company announced today that American Home Mortgage Corp. has become the first mortgage company to accept its card for mortgage payments. Qualifying borrowers pay a $395 upfront fee and earn rewards for payments made through the card.


Coco Salazar is an associate editor and staff writer for MortgageDaily.com.

e-mail: [email protected]


Political Mortgage News | Mortgage Laws
Mortgage people in politics. Political contributions by mortgage companies. Coverage of political support by lenders and executives. GSE lobbying and issues.



Mortgage Fraud News | Fraud Statistics | Fraud Index | Fraud Blog
Mortgage broker, originator and banker criminal cases. Real estate flipping and appraisal fraud. Mortgage fraud prevention, studies and analysis.



Predatory Lending News
FTC and HUD settlements. Class action lawsuits. Predatory lending prevention. Archives back to 2001.




Mortgage Leads | Lead Directory
Loan leads for originators, brokers and loan officers. News about lead companies that provide exclusive refinance leads. Stories about mortgage lead generation techniques.


Logout forgot
password?

Mortgage Fraud Statistics
Government and private data on volume of mortgage fraud activity.



Mortgage Fraud Index
Dollar and index amount by quarter and state.



Mortgage Fraud Litigation
Lawsuits and settlements invoving mortgage fraud by a lender insider. From 2007 through first-quarter 2013



Mortgage Fraud News
News stories about fraud committed against home lenders.



Mortgage Fraud Blog
Actions in mortgage fraud criminal and civil cases.



local mortgage fraud


mortgage fraud links



SUBSCRIBERS: Edit Subscription | Subscription Help | or call 214.521.1300

Subscribe Contact Us Site Map

Copyright © 2017 Mortgage Daily, D a l l a s
Subsribers Only:

AMC directory

ARM indexes

mortgage company directory

mortgage regulations

net branch directory

p r i c i n g engine directory

wholesale lender directory

More Mortgage News Resources (full site map):

advertising news

appraisal news

bank news

biggest lenders

commercial mortgage news

corporate mortgage news

credit news

FHA news

financial regulation news

foreclosure news

GSE news

jumbo mortgage news

interest rates

loan modification news

loan originator survey

LOS Newsletter

MBS

mortgage associations

mortgage-backed securities

mortgage books

mortgage brokers

mortgage compliance

mortgage conferences

mortgage directories

mortgage education

mortgage employment

mortgage employment index

mortgage executives

mortgage fraud

mortgage fraud blog

mortgage fraud local news

Mortgage Fraud Index

Mortgage Graveyard

mortgage insurance news

mortgage lawsuits

mortgage leads

mortgage lender ranking

mortgage licenses

mortgage litigation

Mortgage Litigation Index

Mortgage Market Index

mortgage mergers

mortgage news

mortgage politics

mortgage press releases

mortgage production

mortgage public relations

mortgage rates

mortgage servicing

mortgage statistics

mortgage technology

mortgage video

mortgage Webinars

net branch

net branch directory

nonprime news

origination news

originator tools

real estate news

refinance news

reverse mortgage news

secondary marketing

social media

servicing news

subprime news

wholesale lenders