Did you know that Federal law prevents mortgage companies from pursuing a foreclosure at the same time they are communicating with a borrower about a potential loan modification, unless very specific procedures are followed? This tactic, called "dual-tracking" was rampant in the mortgage servicing industry from 2008-2013 during the worst of the financial crisis, and was prohibited by legislation that went into effect on January 1, 2014. See 12 C.F.R. 1024.41. If you or someone you know has had their home foreclosed upon since the start of 2014, while in the process of discussing or applying for a loan modification, there are ways to recover some of those losses--without coming out of pocket for attorney's fees.
Read more at http://www.consumerfinance.gov/newsroom/consumer-financial-protection-bureau-rules-establish-strong-protections-for-homeowners-facing-foreclosure/
Contact us if this situation sounds familiar to you or someone you know.
Joseph Mulvey, Owner and Attorney.