Help for Homeowners: Independent Foreclosure Review
There may be some help out there for homeowners who were financially harmed during the foreclosure process in recent years. The Board of Governors of the Federal Reserve System and the Office of the Comptroller of the Currency, the federal bank regulators, announced that independent foreclosure reviews will take place for certain borrowers whose primary residence was part of the foreclosure process between January 1, 2009 and December 31, 2010.
The initial criteria to be eligible for an independent review is the following:
- your loan was serviced by one of the participating mortgage servicers (see www.IndependentForeclosureReview.com for a list participating servicers)
- your loan was active in the foreclosure process between January 1, 2009 and December 31, 2010 (it is not a requirement that the foreclosure process was completed during that time)
- the property was your primary residence.
The servicers are already beginning to mail letters out to eligible borrowers. The letters explain how to request a review of their case. However, one of the problems with this method is that the letters will be mailed to the borrower’s last known address. If they have already moved out due to the foreclosure, the letter will not likely reach them. If you meet the initial eligibility criteria and believe you have financially suffered due to errors, misrepresentations, or other deficiencies in the foreclosure process, the best thing you can do is to call 1-888-952-9105, Monday-Saturday. Request an independent review, and provide them with your new address. There is no cost to requesting the review, so be cautious of anyone who tries to charge you money to do this. Applications must be sent via fax or mail; no electronic requests will be accepted. You will want to make a copy of the application and send it certified mail for proof of mailing. Keep in mind that the Request for Review form must be postmarked no later than April 30, 2012.
While The Federal Reserve will monitor the program and the servicers’ outreach efforts, the servicers will be selecting the independent reviewers and paying them. There is no information yet as to who the independent reviewers are or the process for review. There has also been no description of what kind of “harm” must have been suffered to qualify. And not only has there been no definition of what “remedy” qualified homeowners will receive, but there has also been no insight into how much money has been allocated for these potential remedies.
While there is still a lot we don’t know about these Independent Foreclosure Reviews, as is often the case with programs designed to assist those in the foreclosure process, there is no cost to the homeowner to apply. If you feel that you meet these initial qualifications and suffered a financial injury due to your foreclosure case, it might be worth your time to call and request a review packet.
If you would like to have an experienced foreclosure defense attorney review the information for you, please call one of the attorneys at Dellutri Law Group, 239-939-0900. We are focused on making bad situations better and putting lives back together.
This blog was written by Attorney Danielle Zemola of The Dellutri Law Group, P.A. Ms. Zemola defends homeowner in the foreclosure process and in the Bankruptcy Court.
