CHASE BANK RUINED THEIR LIVES !!!

How Chase Ruined Lives of People Who Paid Off Their Mortgages

Matt Taibbi, in giving a well deserved thrashing to the banking industry’s Tokyo Rose, aka New York Fed director Kathryn Wylde, said:

[S]tealing is pretty much the worst thing that a bank can do — and these banks just finished the longest and most orgiastic campaign of stealing in the history of money.

Once you read the allegations in the cases included in this post, I strongly suspect you will agree that the “ruining lives” in the headline is not an exaggeration. And as important, these two cases, with very similar fact sets, also suggest that these abuses are not mere “mistakes”. These are clearly well established practices that Chase can’t be bothered to clean up, since cleaning them up costs money and letting them continue is more profitable.

Both cases took place in Alabama. In both cases, the borrowers had made every mortgage payment on time. One was a couple with three children, the Barnetts. The second is a widow, Besty Barlow, but her husband was still alive when this ugly saga started.

In both cases, the house burned down, The borrowers both had homeowners’ insurance.

Read more at... http://www.nakedcapitalism.com/2011/08/how-chase-ruined-lives-of-people-who-paid-off-their-mortgages.html

In other words, this is the banking version of exploding Pintos. Ford did not fix the defect in its fuel tank design because they figured it would cost less to pay out the damages on claims for death and dismemberment than fix the design flaw. Similarly, Chase evidently figures it can bulldoze people, extract more fees from them by engaging in conduct that is unquestionably against the law (see the cases for details), and maybe once in a while it gets caught and has to write a big check.

Read more at... http://www.nakedcapitalism.com/2011/08/how-chase-ruined-lives-of-people-who-paid-off-their-mortgages.html

UNSATISFIED WITH THE BANKS......

"Many homeowners who are still in home loans that were originated between 2006 and 2008 -- when home values peaked and credit standards were the most lax -- would like to refinance, but can’t because they either don’t have enough equity in their home due to falling home prices or their credit profile doesn’t meet today’s tougher standards," said David Lo, director of financial services at J.D. Power and Associates.

"This has become increasingly frustrating to homeowners and a big contributor to their dissatisfaction," said Lo. "They are unable to take advantage of interest rates that have declined to historic lows. The challenge for legislators and lenders is to find a way to help not only homeowners at risk of default, but also this increasingly frustrated group of homeowners who are caught in loans with unfavorable terms and no ability to change them," Lo said.

"Excellence in mortgage servicing revolves around minimizing problems and addressing them quickly and efficiently when they do occur," said Lo.

This report is from Realty Times online news at......

http://realtytimes.com/rtpages/20110818_mortgage.htm

REFIs are Getting Tougher

Refinancing underwater

While hundreds of thousands of mortgage borrowers have been able
to squat in their homes without making a single mortgage payment
in months or even years, many responsible homeowners who have
good credit and consistently meet their monthly obligations
haven't been able to refinance in order to avoid losing their
homes. Many of today's homeowners purchased their homes during a
time of easy credit, when mortgage products, like interest-only
loans and option adjustable-rate mortgages were issued to the
marginally qualified. And many were told that -- if they made
their payments faithfully -- they could easily refinance out of
these products into affordable fixed-rate loans once the payments
started to balloon. But that day has never come for some
borrowers -- no matter how good their payment record or credit
score. Many lenders are refusing to refinance underwater
mortgages -- loans that are higher than the value of the home --
because it would mean big losses for them if the borrower
defaults, said Mark Zandi, chief economist for Moody's Analytics.
According to data submitted to federal regulators and analyzed
by the Wall Street Journal, nearly 27% of mortgage applicants
were denied mortgages in 2010, up from 23.5% a year earlier.

About the author:
Chris McLaughlin is widely known as America’s top
Real Estate Attorney and Investment Consultant.

Chris is one of my favorite and accurate Authors on Real Estate.

Thank you, Larry