Here on LoanWorkout.org, I have been writing about the American Nightmare and the resistance homeowners recieve from their mortgage servicers when reaching out for help. And until this “serious issue” in our mortgage and housing crisis is addressed and these mortgage servicers are held accountable, Main Street and plumber Joe will continue to drown in foreclosures.
Our country’s consumers were victimized coming into their homes via predatory lending and toxic mortgages. Now, they are being screwed as they leave and or get foreclosed on via predatory servicing.
Welcome to the American Nightmare!
Chicago Times:
Bottom line: The government and the political candidates can announce all the grandiose mortgage restructuring plans they can dream up. But in real life, it’s almost impossible for people caught in this trap to get out. Those mortgages aren’t sitting in the bank’s vault. They’ve been packaged, and sold, and some have even been sliced into pieces. (See story, next page.) Getting all those owners of the mortgage to agree to restructure the loan is more difficult than it was getting Congress to agree on a bailout plan. Only this delay will be even more costly to our finances, and our society. And that’s The Savage Truth.
It was a classic “Catch 22″ — if she wasn’t about to lose her home to foreclosure, they couldn’t help. And if she did get behind on her payments, the servicer would start the process of restructuring her loan but couldn’t guarantee that the house wouldn’t be foreclosed before they got around to her case!
Nancy is a classic example of the millions of Americans who are desperately trying to keep current on payments, and keep their homes — but can’t get any attention from the mortgage lenders and servicers. They’d be good risks for refinancing or adjustments — but they can’t get through the system.
I listened in on a series of calls Nancy made, spending a lot of time listening to music played while they kept us on hold, and as we were transferred from department to department. Finally, my patience wore thin. I demanded a supervisor, and then that person’s supervisor — explaining I was writing a story for the Chicago Sun-Times. At last we found someone to listen.
Read more from the Chicago Sun Times
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