California Pulls Out of Foreclosure Talks with Nation’s Biggest Banks
Claiming that a proposed settlement with some of the nation’s largest banks over foreclosure abuses was wholly inadequate, California Attorney General Kamela D. Harris has decided to walk away.
According to Ruth Simon and Nick Timiraos of The Wall Street Journal in “California Pulls Out of Foreclosure Talks,” all 50 states were participating in settlement negotiations with a number of banks including Bank of America Corp., JPMorgan Chase & Co., and Wells Fargo & Co. pursuant to allegations of widespread fraud and inadequate foreclosure practices that saw them foreclosing on homes for which the banks could not prove they held the mortgages.
California has the largest number of homes that are underwater, or worth less than the loans on them, with over 560,000 homes facing or in foreclosure since last October when the settlement talks began.
New York and other states have also expressed displeasure over the terms of the settlement. Attorney General Harris stated that the settlement would only benefit about 20,000 homeowners and would immunize the banks against further lawsuits.
In addition, there has not been an agreement on how much the banks would have to pay in penalties with the states’ attorneys general and federal officials wanting more than $20 billion and the banks not willing to pay more than $5 billion.
Still, the negotiations have continued and other officials are hopeful that a settlement will be reached and presented to all 50 states.
Regardless, Arizona and Nevada have filed suits against Bank of America alleging that it misled homeowners regarding modifications of their home loans.
Information in this post gathered in association with Chicago Injury lawyers.
Real Estate and the Law
Real estate law is one of the most specialized areas of the legal profession. Because real estate can be complex and involve large sums of money, you may need the expertise of a real estate lawyer.
Real estate matters may come up in any of the following categories:
- Commercial real estate
- Residential real estate
- Real estate contracts
- Real estate closings
During the current economic conditions, commercial real estate requires careful handling and consideration due to high unemployment and a high inventory of empty office space. Mistakes can be costly. The assistance of a real estate attorney in drafting lease and sublease documents, for example, can be vital.
If you are buying a home or selling one in Tampa, legal counsel can be essential. You can reach out to a Tampa real estate lawyer for the following services:
- Devising contract
- Closing a contract
- Dealing with lenders, investors, and brokers
- Reviewing paperwork, survey, title report, and loan documents
- Coordinating use and occupancy arrangements
A Tampa attorney is also likely to have good advice about specific Tampa real estate legal issues, issues, and opportunities. A real estate attorney may also be able to help you with your loan modification needs. Finally, before you sign any contract involving real estate, you should review all terms of the contract with the assistance of your lawyer.
Military Home Foreclosure Lawsuit Settlement Reached With JPMorgan-Chase
A military home foreclosure class-action lawsuit, filed by a Marine Corps captain, has been settled by JPMorgan Chase & Co. after the company admitted to violating the Servicemembers Civil Relief Act (SCRA).
The SCRA sets mortgage interest rates at 6 percent while service members are on active duty and bans any foreclosure proceedings for nine months after the service member returns from active duty. The Marine Corps captain alleged that the giant mortgage bank had failed to reduce the interest rates on his home while he served.
An investigation, reported by Simon Zhen of MyBankTracker in JPMorgan Chase Military Mortgage Lawsuit Reaches Settlement,’’ found that about 6,000 active military homeowners were adversely affected by the lender’s practices, with 18 homes foreclosed upon in violation of federal law.
Information in this post gathered in association with a Clarksville military divorce attorney
If approved, JPMorgan Chase will pay $12 million to the 6,000 service members with an additional $15 million to be distributed for individual damages. The company had already paid out $6 million to military personnel. The additional $6.4 million will be set aside for victims of wrongful foreclosures. About $8 million will be paid in attorney’s fees.
Following its public apology in February, JPMorgan Chase announced a number of goodwill programs designed for military homeowners, service members and veterans. The program includes:
- Home ownership assistance.
- Changing the SCRA pricing to reduce mortgage interest rate.
- An enhanced mortgage modification program.
- An alliance with corporations to offer training, education and jobs to military members and veterans.
Dealing with Real Estate Foreclosure in Arizona
Foreclosure is a complex and intimidating process. It is the legal process by which a lien holder obtains a court-ordered termination of a mortgagor's right of redemption. A bank may initiate a foreclosure proceeding if a mortgagee does not make required mortgage payments.
Arizona Foreclosure Laws
Arizona law does not allow a mortgagee to reclaim his or her property after it has been foreclosed upon, even by paying the unpaid loan plus costs. The law also limits the amount of time you have before your home will actually be repossessed. It is very important to contact a bankruptcy attorney immediately, who will provide you with various options to avoid foreclosure. One of the options to avoid foreclosure proceedings is to file for bankruptcy protection. Foreclosure law may differ from state to state. Hence, it is advisable to contact an experienced bankruptcy attorney in your area.
Contact a Bankruptcy Attorney in Phoenix
As the Arizona foreclosure process is very complicated, seeking legal guidance from bankruptcy law firms in Phoenix can help you find options -- including bankruptcy, refinancing, loan modification, or a payment plan. Contact a bankruptcy attorney immediately if you are having difficulty making your mortgage payments.
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