Stopping Forclosure Sale In California

What is the name of your state?What is the name of your state?What is the name of your state? California

We have received a Notice of Forclosure on our home in California, which my wife and I co-own with my sister in law. Due to credit issues, all three of us are on title, but only my SIL is on the mortgage.

Apparently what has occurred is that the holder of the mortgage has, over the past two years, levied a number of charges against the account (late charges, "purchasing insurance on our behalf", etc.) and has, through the accounting methods they used to apply payments to the account, reached the determination that we are in default, even though monthly payments have been made throughout.

They now allege a balance of over $11,000 to cure the default and, as I say, have sent a forclosure notice.

I have written them indicating we dispute the alleged arrears and would like to reach a payment/settlement agreement (I also enclosed a letter from my sister in law waiving any privacy/confidentiality rights and authorizing me to act in her behalf in this matter).

What additional steps do I need to take to avoid a sale and pursue negotiations? Is there a legal notice of some sort I need to file at the county indicating we are contesting the alleged default in order to protect our rights and block a forclosure sale?

[HomeGuru]

Originally Posted by qwerty04

What is the name of your state?What is the name of your state?What is the name of your state? California

We have received a Notice of Forclosure on our home in California, which my wife and I co-own with my sister in law. Due to credit issues, all three of us are on title, but only my SIL is on the mortgage.

Apparently what has occurred is that the holder of the mortgage has, over the past two years, levied a number of charges against the account (late charges, "purchasing insurance on our behalf", etc.) and has, through the accounting methods they used to apply payments to the account, reached the determination that we are in default, even though monthly payments have been made throughout.

They now allege a balance of over $11,000 to cure the default and, as I say, have sent a forclosure notice.

I have written them indicating we dispute the alleged arrears and would like to reach a payment/settlement agreement (I also enclosed a letter from my sister in law waiving any privacy/confidentiality rights and authorizing me to act in her behalf in this matter).

What additional steps do I need to take to avoid a sale and pursue negotiations? Is there a legal notice of some sort I need to file at the county indicating we are contesting the alleged default in order to protect our rights and block a forclosure sale?

**A: you need to hire a real estate attorney like yesterday.

[Roselady]

Most real Estate Attorneys have no clue about Mortgage servicing Fraud. Most can delay your forclosure- but have little or NO information on the fraud that is happening in the Mortgage Servicing Industry. Force placed insurance is a typical ploy & you would be shocked if you found out how much you are paying for NO DAMAGE COVERAGE- simply insuring the mortgage company- if the house is destroyed- THEY get money.

You need to send a RESPA letter.

Gather your information on payments-
Make a list (on excell) listing them all out & the check numbers. Dates cleared is good information too.
Send a RESPA letter to the servicer (get a sample copy off of the HUD website) State your issues & ask for an account summary, payment history,
Send a copy of your spred sheet & copies of all your checks.

Law states that they have to respond to your RESPA letter within 20 business days. & that they have to resolve your problem within 60 business days.

This way you can see what these charges are actually for. If you can prove that you had your own insurance, & have made your payments on time- This info can be presented to the judge.

There are many mortgage servicers who are practicing fraud. Assigning late fees when not late, force placed insurance, fees for all kinds of bogus things that have no explanation. Fees listed as "other" or "misc".

Often payments are split to pay these fee's- making a fake appearance of being short on principle & Interest payments-resulting in forclosure procedings.

Do a search on Mortgage Servicing fraud.

Can you all say fairbanks???

I'd be interested in knowing which servicer he has.

A forbearance agreement can be made with your mortgage company. Excellerated payments over time. This will put the process in a halt- giving you time to repay. Be very careful when signing these- as you are accepting all fees & charges. Be careful you don't sign any rights away.

Come on all you lawyers--- LEARN about what is going on. Or are you a part of the bigger scheme?