During the past few years, many unsuspecting Americans were victimized by predatory lenders and fraudulent mortgage individuals and put into situations that have become unmanageable. Michael Calhoun of the Center for Responsible Lending says “Families all over the country continue to lose homes in record numbers, stripping families of their wealth and destroying entire neighborhoods”
Predatory lending and mortgage fraud typically affects senior citizens, lower income and challenged credit borrowers. It forces borrowers to pay exorbitant loan origination/settlement fees, sub-prime or higher interest rates, and in some cases, unreasonable service fees. In short, these practices often result with the borrower being placed into inappropriate loans which, all too often, lead to defaulting or worse still, foreclosure.
There were 1.7 million foreclosures in the US in the first eight months of 2007, and up to 2 million families are expected to lose their homes over the next two years, according to estimates by the Joint Economic Committee.
“All around the country, aid agencies report a tidal wave of foreclosure cases”, says Sarah Gerecke, director of New York City’s Neighborhood Housing Services. She now employs six people full-time to provide mortgage debt counseling, and could use another 12. Two years ago, she had one employee.
In our research for legal resources to help victims of mortgage fraud and predatory lending, we came across a comprehensive, well put together list of mortgage fraud resources by MortgageNewsDaily.com™ that provides information and direct links available nationwide as well as state-by-state.
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Do you think you have been a victim? Tell us your story and help us fight mortgage fraud.
December 23, 2008 at 4:05 pm |
I have been a victim of predatory lending.
It started when I was given a loan without verifying my income, taking information over the phone. Clearly, I am losing my home.
I called the hard money lender when I was out of work and she said she would rewrite the loan. She led me to believe it and then she gave me a foreclosure notice.
I had no choice but to file bk and went to court. The value of my home came out a little over what I owe so they won. However, I now have nine days to figure out something to save my home because they will foreclose on me. They are not willing to work with me.
Do you have any idea where I can get help fro this predatory lender
February 9, 2009 at 6:45 pm |
My fiance’ and I had 4 properties which were funded/seold to us by the same Mortgage Company in a scam where a network of people in the mortgage/real-estate industry worked together. We currently have a Civil Lawsuit, which has a trial date of April 14, 2009. We are now into year 4 of this suit.
The mortgage broker has already lost his license through a state investigation. Their are a total of 8 defendants including the Mortgage Broker Firm, Realtors, Appraiser, a Seller.
Our case has dragged on and on, and we are at the point where we have no money left, are unemployed due to company lay-offs, one property has already gone into foreclosure, another is on the market as a short-sell, the 3rd property is 2 months behind in mortgage payments, and the 4th property (the roof over our heads) is 2 months behind in mortgage payments.
We have had 3 different attorney’s on our case, which has been grossly mis-handled by 2 attorney’s who have bailed out after creating a serious loss in time, drawing us dangerously close to the statutes of limitation, and AFTER collecting our money.
We are baby-boomers, in our 50’s. We are 2 hardworking people who have worked very hard for 30+ years to build our careers, establishing our good name in creating excellent credit rating, and at the time of our transactions for these properties, made very nice annual incomes.
Today we are broke and unemployed. Our credit is shot, and we are in danger of losing our home. The future is very bleak in that as baby-boomers, we fing very little interest in the job market for our professional skills and experience.
We trusted a family member with our real-estate purchases in relation to all 4 properties. These “investments” were meant to be our retirement. Now we have no retirement.
The fraud committed against us include: Highly inflated appraisals, undisclosed neg-am loans, false interest rates, and introductory interest rates without our knowledge, incredible lies and misrepresentation from all parties involved, including undisclosed unpaid taxes and vendor leins, undisclosed damages to 2 properties, repairs to be completed as part of the sale which was never completed.
We are desperate to receive some kind of justice. Please respond to our case with any suggestions.
June 2, 2009 at 12:10 am |
Yvonne: Contact me as a fellow victim of Art Seaborne. I represent a Dr. in in Bonita Springs as his propert manager and the story I have to tell is horrific. Am meeting with Sarasota County Sherriff’s department and need some information.
February 18, 2009 at 8:57 pm |
Who is going to give a voice to those Florida first time home borrows who have not only been victimized once by the OFR for giving licenses to criminals, victimized twice by the brokers who were out for greed to destroy them and a third time by the US Government who is spending billions to help everyone but those of us who now have to spend thousands that we do not have to try and sue for restitution. My lawyer will only speak to me when I have money to send to him which is not often or very much. WHO IS GOING TO HEAR THE PITIFUL CRY OF THESE VICTIMS? WHO IS GOING TO GIVE US A VOICE? WHO IS GOING TO GIVE US ASSISTANCE?
In February 2005 I was working at the Sarasota Herald Tribune. I found a for sale by owner home I was interested in buying. I had just gone through a divorce and this would be my first home purchase. Cheryl Phillips was our company credit manager and she came to solicit me for her husband Verne Phillips who worked for Southeast Capital Advisors llc owned by Arthur R. Seaborne.
She took me to meet Verne and I hired him as my mortgage broker. I did not know Seaborne at this time. As the deal began I was ignored, lied to and threatened. I was refused an inspection on the house and was told by Seaborne that if I did not close without the inspection I would lose my earnest money and be sued for the price of the house.
This man falsified my loan application and forged my signature to a balloon note for 56K that he gave to the sellers as my down payment. Therefore he lied as well to the lenders at the time World Savings.
I was kept away from the house for a week after closing and was threatened by the Sarasota Police to be sent to jail if I went near the house that I now owned. I never received keys to the house and when I finally did get into the house it was filled with mold, plumbing leaks, foundation leaks, roof leaks and all the sellers trash and dirt. All of which was not on the property disclosure.
Since then I tried to clean up the house to no avail, it is overrun with toxic mold to which I am allergic. I DO NOT LIVE IN THE HOUSE AS IT MAKES ME DEATHLY ILL. And I have now been sick for 3 years having to take 2-3 pills a day just to breath.
I contacted the FBI and the state office of financial regulations about this crime perpetuated upon me. Detective Maslowski called me daily threatening me criminal charges for signing the loan docs I was forced to sign. His constant harassing calls cost me my job. After I found new employment a Agent Brady of the FBI began calling my new work to find me then began his barrage of harassing calls costing me yet another job.
At this point I have hired 2 different lawyers. One, Mr. Andrew Mooney took my retainer of 2k and did nothing. Then came the only lawyer I could find to accept my case of mortgage fraud and non-disclosure with little funds up front as I have no money now. Lawrence P Cartelli is a family law lawyer and is barely working on my case.
After doing some investigating I have found that Art Seaborne lost his RE license after the OFR found he practiced mortgage fraud back in 1989. Why did they ever give him a mortgage brokers license in 2000 knowing he was already found guilty of fraud previously?
I now an broke, I have a house that is falling to the ground from mold, literally and I owe 290K plus on, my credit has gone from 780 to well below 400, I cannot get a job and I an destitute while Art Seaborne hires the best lawyers in the country and the sellers drag out my case for the non disclosure so I will not be able to afford to complete it and my lawyer will not communicate with me now because I cannot pay him.
I have read about the mortgage fraud victim’s fund and I desperately need this help so I can find the justice and restitution I deserve. Had the OFR not been negligent I would not be here dying as I am now. I am a 48-year-old divorced woman with a BA who now has no life. I was intended to get my Masters at USF and now I cannot even afford to eat everyday. I had a beautiful and promising life ahead of me and the State of Florida has robbed me of this life.
I can get no one from the OFR or the FBI or any other state entity to help me or to tell me what is going on. Please help me. Please!
Will you please assist me? I am a law abiding and tax-paying citizen of this state. I even graduated from USF so I gave the state of Florida my hard earned money there.
I refuse to let this go and just give-up all my dreams and aspirations so the fat cats of the State of Florida can save face in their illegal dealings. I will be heard, I will give a voice to other victims like myself or I will die trying!
June 2, 2009 at 12:13 am |
Karyn: Contact me. I am a property manager for a victim of Art Seaborne and need some information. This man is a total con and needs to be put behind bars! The story I have to tell is horrific!
September 20, 2009 at 4:59 pm
Mark, please contact me directly at 9419284319, I would like to help if I can.
Karyn
August 13, 2009 at 11:21 am |
Hi,
I read your story and am very sorry for what you have gone through. I too am a victim of mortgage fraud.
I don’t know what to do and have limited funds. In the beginning, I fell in love with my house and jumped through a lot of hoops to get it. Being that I didn’t have much credit at the time, the mortgage broker did “creative financing” on me. I bought the house from a guy and his sister was the broker. Prior to closing, the broker threatened, harassed, and belittled me into signing the “required” documents.
I now find, that not only was the broker a rude, lier, but she also made me sign things that weren’t required, causing me to suspect mortgage fraud. Especially, since I have been doing a ton of research and majority of her tactics were and are illegal.
Now that I am in foreclosure, these questions have arised and I don’t know where to go for help.
I am willing to fight this all the way, but with lack of funds and knowledge, I get no where.
What really ticks me off, is that all I wanted was a home. I would never do anything illegal in order to obtain a home and I am responsible. I have lived within my means and have been responsible with my debts, yet I get no help.
Please contact me… maybe together we can find which direction to take and how to get there.
Please contact me.
April 29, 2009 at 7:41 pm |
I am very exasperated. I am now facing foreclosure after not understanding all terms of initial loan seven to eight years ago. I purchased a home and the mortgage broker supposedly found a lender who charged exorbitantly, being I am credit challenged. I raise four kids alone, with a deadbeat spouse that does not contribute, and had a decent income at that time. The loan is a 30 year variable interest rate, which started at 9.75%. It apparently is interest only until the date of maturity which is 2030, then which any outstanding interest or principal would balloon (this is when I am 71 years old.
I was able to make the payments for a number of years with a hiccup only here and there and still support kids. The interest rate has gone as high as 14.2 %. It is now at 12% and I have fallen five months behind. Now in the recent economic crisis, I have faced a 26.3% pay cut and am unable to refinance or make the high payments. I was told by the lender that if I could not make payments of $4,080.00 per month, that they would foreclose, as they could not stretch the arrears over 6 months. That has been impossible. Principal has not been touched. Cannot refinance due to poor credit. House is in sore need of repairs. I am stuck and kids and pets will lose our home within 2 weeks as house is currently up for auction. Foreclosure date already set.
I wish to keep my home but I cannot at this rate, when the lender is unreasonable. It seems to me that if they placed the arrears on the end of the loan, and dropped the interest rate significantly, we would all still win, and their pockets will continue to be padded. Lender is receiving federal bail out money. Dear Lord, help us all.
June 20, 2009 at 1:22 am |
Interesting..
July 26, 2009 at 9:50 pm |
4 years ago, I lived in a small two bedroom apartment with my husband and three teenaged children, we were told by the property manager that we had 60 days to vacate the premises because the fire marshall imposed new rules as to how many persons could occupy a unit. I began the process of getting pre approved, I told the lender that I wanted a 30 year fixed mortgage only!! I was approved at 6.75% 30 year, given a good faith estimate and faxed an approval letter and I began shopping for the house. Found a house that was vacant, with an eager seller and ready to do business to make a long story short, at the closing with approx. 2 days left in my apartment the lender faxed over all documents to be signed and everything had changed instantly! All terms were different, the rate was 10.83%, an ARM and I had no choice, we were going to be homeless in 3 days, so I signed and immediatley began the process of filing complaints of how I was tricked at the table, within 2 weeks all the phones were disconnected, the offices were shut down and they were out of business, my loan was sold the HSBC (another nightmare) I was told there’s nothing that I can do about predatory lending for a company that no longer exists, HSBC has no intent on refinancing the mortgage. It would seem to me that the lenders would be better off keeping the buyers in the homes……….I simply can’t understand the unwillingness to cooperate.
October 24, 2009 at 5:19 pm |
You would have to see the papers of how this realoroid “real estate agent” and mortgage company put us in the morgue took three home from us. leaving us still homeless. Mrs Tanya Thompson of “Second Chance Mortgage” located on James Cozen in Detroit Michigan in still operating under a new name driving a “Benz” when she took us the next day she was driving a “Cadillac”.
She went to our church and she took about a dozen of us for a ride we all lost our homes and most of us are still homeless with no money. We are bunking up together, the strong has to allow the weaker one to live with each other until they can get their minds together. The blow she did cause us physical illness. Call a meeting with us all. # 313-491-2102 ask for Pastor George &Tanya Finch and Pastor Tate
November 1, 2009 at 1:45 pm |
My husband wanted to retire soon. He thought that if he could get the mortgage payments lowered it would make things easier for us. We went to a broker (big mistake) who was with the same company that helped us get the house. We got an 80/20 option ARM. We were told that we could make minimum payments if needed, and that our first mortgage would be $1,200 and the second $120.00. No one mentioned that this was just a one month “introductory offer” and that after the first month our total payment ( 1st and 2nd together) would be $2,500! We can’t find anyone to help us including indymac bank (who holds the mortgage). We don’t qualify for a modification because we are not late with our payments. Is there anyone who can help us? Each payment is a struggle. Thank you, Maria
November 4, 2009 at 10:09 pm |
we are victim of predatory lending in Wisconsin.
there was no loan application, no truth in lending,no land appraisal, no credit check, no income verification, the lenders were not lic to lend in our state, one of the lenders is a company that handles people 401k moneys and they may not be lic. to loan out the 401k moneys, our interest rate is 13.5 we can’t find any lawyers that will help us because that don’t really know about predatory lending.
December 14, 2009 at 4:17 pm |
11/12/2009
Timeline of events surrounding my mortgage. Elizabeth McGuirl
12/2006 or 1/2007 Contacted Home Funds Direct via internet.
1/26/2007 Closed and signed mortgage agreement with Accredited home loans
2/2007 Husband’s business folded, and I was out of work
3 or 4/2007 Countrywide purchase the mortgage
4-9/2007 Countrywide refused to work with me on payments to avoid
foreclosure.
9/23/2007 Filed Chapter 13 to avoid foreclosure, Tommy Andrews Jr. Law
Office
9/28/2007 Countrywide supposedly sold my mortgage to Quantum Service
Corporation without written notice. Quantum Service Corporation
supposedly purchased my mortgage without written notice.
10/2007 Had Tommy Andrews’ office track down where to send mortgage
payments after Countrywide informed me they sold my mortgage to
Quantum Service Corporation. Received payment address and
information and began sending payments to Quantum Service Corp.
02/2008 Noticed payment had not cleared in reasonable amount of time.
Contacted Quantum Service Corp and inquired, was told they had
received my payment, after a 3 way call with my bank at the time
Bank of America, they “found” the payment in a folder, it was
cashed soon after.
07/2008 Again noticed payment had not cleared, I called Quantum Service
Corp and was transferred to Mike Bunyan, account mgr. During the
conversation, I made the payment by phone and was told to cancel
check. Mike offered me a modification of my mortgage. Saying
they could lower the 9.9% to 7% fixed 30 years, if I made 3
payments on time at the current amount $2320. I would need to
obtain a stay of relief from the court and then it would be done.
I contacted Tommy Andrews office and they agreed and obtained
the stay of relief needed. I began making the 3 payments.
9-12/2008 I made the 3rd payment on time, and no sooner did they cash the
check that I received notice from the court stating I was 2 months
behind on mortgage payments. I was not and proved this in court
with receipts from Quantum Service Corp. Once payments were
proven and the stay of relief was not lifted for foreclosure or
discharge, I was told by Tommy Andrews office to contact Quantum
Service Corp and find out what the new payment would be. I called
to discover that Mike Bunyan was no longer my Account Mgr, Joe
Taliferia was, and he stated there was no modification in process for
my account. Furious I hung up and called Andrews office, only to
be told they could do nothing about it.
12/2008 I called in my payment for December, Marshanna Moore was the
Customer Service rep, I asked what the amount due would be and
without written notice, my payment was $1342 for December. I asked
her twice if that was the correct amount and she said yes. I hung up
to call Andrews office and left a message, to which I did not receive a
call back. Due to the holidays, I called Quantum Service Corp back
and made the payment $1342. After the holidays I still had not heard
from Andrews office, so on 12/30/2008 I emailed Kisha Hill and
requested information on the lower payment amount. To which I was
never given an answer.
1/16/2009 Received letter from Quantum Service Corp, stating my mortgage was
Being sold or transferred to Dovenmuehle who has been subservicing
my mortgage in the name of and under contractual arrangement for
Quantum Service Corp. Soon after received another letter from them
stating that the mortgage was being sold transferred to Quantum
Service Corp.
05/2009 Hired National Modification Center LLC to attempt modification of
my mortgage. Contacted Andrews office to obtain Stay of Relief for
Modification purposes only. Stay was obtained. Received statement
from Quantum Services Corp stating that I was behind $20,884.24.
06/2009 Received Stay of Relief for Modification Purposes only.
08/2009 Received letter from Bankruptcy court and Andrews office stating
that Quantum Service Corp had filed a motion requesting stay of relief
be lifted, as I had not made a payment since March 2009. I gathered
all documents proving payments were made, forwarded them to
Andrews office.
09/04/2009 Began researching solutions to this constant problem. Contacted Bank
Of America regarding the “sale” of my mortgage by
Citigroup/Countrywide, was told that the status of the mortgage I had
09/04/2009 with Countrywide was paid in full 9/28/2007. Not sold, paid in full.
The customer service rep faxed the document on Bank of America
letterhead to me on 9/4/2009.
09/28/2009 Received letter from Quantum Service Corp, stating that there was
Insufficient funds in my escrow account to pay the hazard insurance,
which is included in my mortgage payment, which I am current. I
faxed this to Andrews office for them to address in court.
10/02/2009 Waterfall Victoria Masterfund LTD also filed a motion requesting
Stay of Relief be lifted for non payment since March 2009. Again
I forwarded proof of payment to Andrews office.
10/27/2009 Hazard insurance still not paid.
10/29/2009 Received a Escrow analysis from Quantum Service Corp dated
10/16/09, which shows not only a surplus of $458.96 in escrow,
but that they paid the insurance on 10/10/09. Which is false.
Contacted Quantum Service Corp, rep said that I am 9 mos behind
on payments. I hung up and called Tetianna at Andrews office and
told her what I had learned, she said to fax it to her and she would
address this with their attorney.
11/02/2009 Contacted Caroline County Records office, spoke to Allison who
informed me that no tranfers of assignment had been filed against my
deed/title. Reviewed my deed of trust, and clearly shows me as the
Trustor, a Robin Goodwin-Jones? As the trustee, and MERS as the
Benefactor. Checked MERs online, Quantum Service Corp is listed
as having my mortgage since 1/26/2007, this is false. They have not
reported to the credit bureaus since 10/2007. The entire listing on the
report is incorrect.
Made contact with Maher Solimon, expert witness in Mortgage
Fraud. He verified that my Deed/Title is defect, and that I am dealing
with predatory lending, mortgage fraud, SCC violations, etc. We did
not even get past Countrywide on the timeline discussed. His email
msolimon@expert.witness.com
Contacted Maryam at Natl Mod Center to obtain deposit refund, as
Quantum Service Corp was not modifying the mortgage. Was told
that Craig Wolfe, my account mgr at Quantum Service Corp, asked her
what did we plan to do with the extra money if Quantum Service Corp
lowered the mortgage payments. My deposit was supposedly mailed
to me on Friday November 6, 2009. Have not received as of 11/11/09.
11/6 or 7/2009 Received notice of Hazard insurance due from Erie Insurance Group
and again I faxed this to Tetianna at Andrews office to add to the
documentation attached to the escrow issue.
11/2009 Have been researching attorneys to assist Tetianna with Adversary
Hearing, as she disclosed she is not experienced enough to handle the
situation as it is.
December 27, 2009 at 7:34 pm |
I lost my home to foreclosure in 2006. My financial woes began when my mother became ill and I had loss of work in 2005. I decided to use my homes equity (10 years) to consolidate some debts and get back on my feet. I used the internet to find resources and finally chose SeaBreaze mainly because they seemed very knowledgeable and their rep-Mike was more than willing to help and advise me. My home was in Tennessee. He ordered an appraisal and I was more than pleased with the homes value. He told me that he contructed the refi to reflect 25% of the equity saved in case I had an emergency and if I remember correctly had to adjust my income to reflect a better status. He was the angel I needed in my time of need. I was planning on selling my home that spring but when the day came to put the house up for sale the real estate agent said my home would probably only bring about 77,000.00. I owed 112,000. How could this be, my home had appraised for 142,000 only a few months earlier. I lost a job and still had obligations and expenses caring for my mother and now I couldn’t even sell my home. The loan was sold to Countrywide and when I started falling behind they moved fast to add more and more money to bring my account current. I paid a company to help with the debt owed and to bring me current. Long story short, I could’nt sell the house and lost the home in 2006. I paid the lender and the appraisal company for their expert advice before agreeing to the loan. How could a home appraise for $70,000.00 more just months before. I spent many hours trying to find someone to help me with this predatory lending and appraisal but felt that during this time, it was a futile effort. I have spent four years trying to get back on my feet. I had nothing when I left my home and still haven’t been able to climb out of this black hole. I recently went through my paperwork and found a 1099a substitute that adviced me to keep for possible tax issues. Line 2 reads 105,000. It states I am responsible for the debt and Line 5 FMV states $117,000. I don’t even know what they sold my home for or what I am liable for taxes. I have been searching the net to try and decide what this all means for me now and I will speak with my tax accountant on Monday. I just feel so lost and depleted. Is there a statute of limitation for me to take legal recourse or am I just strapped with more debt. If they sold the house for more than I owed am I entitled to the excess. someone told me that the FMV is what it was sold for. How can that be if the real estate company couldn’t even get $72,000?
January 3, 2010 at 4:38 pm |
I am in a jumbo subprime option arm that I took out in 2006 with WaMu. I have been told it is a predatory loan. I am trying to find the right lawyer. Or get some help.