Government Wants To Pay Banks To Do Short Sales and Deeds In Lieu
The Federal Government wants to pay the mortgage companies to help consumers complete Short Sales and Deeds in Lieu of Foreclosure. Recently, the Obama Administration has set more taxpayer money aside to provide an incentive to banks and mortgage companies to help consumers. Call me silly, but didn't the Federal Government pass legislation which asked the banks and mortgage companies to do this over the past several years. I guess when the Federal Government asks you to do something, you don't really have to do it until they pay you to do it.
So now mortgage lenders like Wells Fargo and Bank of Americawill be paid to help consumers. Is anyone else seeing through the bologna here. This is just another stimulus to help the banks and mortgage companies on the backs of the American Consumer (i.e. you and me). Where are the guidelines on these plans? Did the Federal Government just give a blank check to the mortgage companies and banks?
Does this Administration think we are all stupid? Yes, I am beginning to think that it does. If you recall, President Obama campaigned on transparency and cleaning up Wall Street. Yet, since the election it has been less about change and more about the same old thing. I don't know about you, but I can see more scams coming down the pipeline, and I am hearing the same thing from my clients. It seems that each day we get calls from clients who are surrendering their homes. These clients are now being promised a mortgage modification. Why? because the taxpayer are now on the hook to pay the mortgage companies to contact the clients and make an offer to modify the mortgage.
Call it what you will, there are no meaningful modifications going on in Southwest Florida prior to foreclosure.
I was at a Court Ordered mediation on a Foreclosure case the other day, and the bank basically told the person that it would be better for them if the homeowner filed for bankruptcy. As long as the banks and mortgage companies have this type of cavalier attitude, we are going to be in a recession for quite some time.
When I see change, I will let you know.
This post was submitted by Carmen Dellutri, Esq., founder of The Dellutri Law Group, P.A. Currently, the firm has offices in Port Charlotte, Fort Myers, Naples and Sarasota. Mr. Dellutri also sits on the Board of American Board of Certification. Mr. Dellutri is also one of the founders of the Bankruptcy Law Network, Debt Law Network, Credit Law Network, and Mortgage Law Network. Mr. Dellutri also writes for the firm's personal injury litigation blog. Mr. Dellutri also writes for the firm's bankruptcy blog.
