Life After Foreclosure: Private Mortgage Insurance (PMI) Companies Suing Borrowers on Foreclosure Deficiencies

If you are facing a post-foreclosure deficiency action by your former private mortgage insurance (PMI) company, contact the Gantenbein Law Firm for help. 303-618-2122.

A couple living in New England are facing another battle after losing their home to foreclosure. Their mortgage insurance company is suing them for $136,000.

The Galindo’s came to the U.S. to build a better life for themselves and their toddler daughter. They worked hard and bought a two-family house in 2005 for $410,000. They didn’t have the money saved to make a large down payment so their lender required they buy an insurance policy in order to qualify for the mortgage.  The Galindo’s didn’t think much about the policy until they eventually lost their home to foreclosure due to a forced reduction in working hours and their one tenant stopped paying his rent. They thought the insurance policy would protect them but the policy only protected the lender.

Private mortgage insurance (PMI) was set up to help people who were considered a risk to mortgage lenders if the borrowers defaulted. Typically, the borrower was required to buy the insurance if they didn’t make a down payment of 20% or more. The insurance policy normally costs the borrower between $30 and $70 per $100,000. The policy pays the lender for losses if the borrower defaults on the loan.

In the Galindo’s case, they owed $389,500 on the home that sold at auction for just $101,500. The insurance helped recover the mortgage deficiency and was paid to the lender. The deficiency (shortage) was $136,000. Legally, the insurers can go after the borrowers to recover their payouts to the lender. The lenders begin with letters and threatening phone calls, followed by lawsuits, wage garnishment and even arrest warrants. The $136,000 the Galindo’s owed has ballooned to $169,000 with attorney and court fees.

These insurance companies are going after borrowers throughout our nation, from Florida to California. Borrowers who are in post-foreclosure and trying to rebuild their lives are being forced into bankruptcy, having their wages garnished and their cars seized.

The insurance companies maintain they have a legal right to seek restitution from the borrowers. Consumer and housing advocates say it’s unjust to pursue victims of the epic housing market crash, especially on homes that lost 30% or more of their value (underwater).

In 2013 alone, there were 977,000 borrowers who had to buy this insurance to qualify for a mortgage. Nationwide, there are hundreds of thousands of borrowers who are at risk at being sued for post-foreclosure deficiencies. Analysts are calling this the “Foreclosure Echo” – damaging effects of the housing crash and the people who are trying to recover from the financial fallout of foreclosure. In the Galindo’s state, attorneys for the insurance companies filed 150 lawsuits for deficiencies and obtained court orders for debts adding up to $9 million.

For more information on Gantenbein Law Firm or Foreclosure Defense, please visit our website.

Colorado Attorney General Files Two More Foreclosure Law Suits

Colorado AG John Suthers has now filed lawsuits against 8 different foreclosure law firms. If you need a foreclosure defense attorney in Colorado, contact Gantenbein Law Firm at 303-619-2122. http://www.gantenbeinlaw.com

On Monday, December 22^nd, two more foreclosure law firms have had lawsuits brought against them by Colorado Attorney General John Suthers. The Attorney General has had an ongoing investigation into foreclosure firms operating in our state for the past two years.

In 2014, Attorney General Suthers filed eight civil law enforcement actions against Colorado foreclosure law firms, in which five have resulted in settlements totaling almost $12 million.

These two latest law firms are Robert J. Hopp & Associates and The Hopp Law Firm, and The Vaden Law Firm including its principals Robert Hopp, Wayne Vaden and affiliated title companies.

The Vaden Law Firm allegedly inflated foreclosure costs for court filings, titles and postings. Vaden is also accused of overcharging on title work for approximately 3,000 foreclosures. According to the lawsuit, Vaden charged between $400 and $800 in unlawful costs per foreclosure by making false, misleading and deceptive statements of costs. Both firms are accused of overcharging district court costs for filings known as Rule 120 hearings.

The Hopp Law Firm allegedly collected an average of $1,200 and $1,400 in insurance premiums for non-existent title insurance policies by ordering title products through their affiliated title company. The fraudulent costs were paid by homeowners, mortgage servicers, successful bidders, investors and insurers including those that are taxpayer-backed. Last year, Hopp filed for bankruptcy protection after closing his law office. He was later accused of additional wrongdoings while working for a new law firm.

Suthers issued a statement, “For abusing the foreclosure process for their own profit, eight Colorado foreclosure law firms have now been targets of investigation by my office. It is my hope that these actions will result in greater transparency and fairness in the legal processing of foreclosures.”

The state’s accusations against these eight law firms are similar to each other with inflated costs of court-ordered postings that are placed on the properties informing homeowners of foreclosure. The law firms, in most cases, created other companies, typically run by a close family member to do the posting work. Charges such as $150 for a service that should have cost $25 quickly added up to millions.

Earlier this year, Colorado’s two largest foreclosure firms, The Castle Law Group (Larry Castle) and Aronowitz & Mecklenburg (Robert Aronowitz, daughter Stacy and her husband Joe Mecklenburg) were the first firms to have lawsuits filed against them by Suthers. In a detailed 40-page lawsuit, Suthers alleges the two law firms raked in $100 million in fraudulent charges. Aronowitz and Mecklenburg quickly settled while the lawsuit against Castle is ongoing. Castle performed the vast majority of roughly 275,000 residential foreclosures in Colorado since 2006. In the lawsuit, Larry Castle also anonymously lobbied legislature to pass a second posting requirement after realizing the windfall in inflated prices for a first posting.

Suthers filed similar lawsuits against The Law Firm of Michael Medved, (Michael Medved and Tracie Castanon), Janeway Law Firm (Lynn Janeway) and Medved Dale Decker & Deere (Michael Medved, Toni Dale, Holly Decker and Heather Deere).

Attorney General John Suthers’ investigation into the practices of foreclosure law firms in Colorado is currently ongoing as well.

If your foreclosure was handled by one of the eight foreclosure law firms in Colorado that have been named in the lawsuits, you may need to contact a foreclosure defense attorney. Foreclosure defense attorney Keith Gantenbein is a premier foreclosure attorney, located in Denver and serving all of Colorado. Keith Gantenbein,  of The Gantenbein Law Firm, Colorado foreclosure defense practice includes: Rule 120 Foreclosure Hearings, debt collection and FDCPA violations, mortgage negotiations, foreclosure settlements, post-foreclosure deficiencies, mortgage lawsuits, loan mods, post-foreclosure litigation, foreclosure prevention,  foreclosure help in Denver, cash for keys, judicial foreclosure, HOA foreclosures, evictions, foreclosure settlement, foreclosure settlement, foreclosure assistance, Colorado foreclosure help,  short sale assistance, foreclosure assistance,  foreclosure set-aside, and all other foreclosure defense legal help.

The Gantenbein Law Firm can help secure a loan modification of your home. Gantenbein Law Firm is the only Colorado foreclosure defense law firm to have an in-house loan modification specialist. Our loan mod specialist- whose work experience includes SPS loan mod servicing- works with the attorney on your case to maximize your home retention options. Contact Gantenbein Law Firm for a one-hour consultation to discuss your foreclosure or post-foreclosure issues: 303-618-2122.

 His real estate practice includes real estate litigation, landlord/tenant, affordable housing issues, contract and contract disputes, title issues, real estate contracts, quiet title actions, lien issues, evictions, real estate closings, land ender liability. Keith Gantenbein also practices HOA defense– including helping homeowners with defense against wrongful covenant enforcement, HOA lawsuits, foreclosures, and HOA liens.

Gantenbein Law Firm practice includes Colorado and Federal Tax Law, Colorado Foreclosure Defense, Colorado Real Estate Law, Colorado Business Law, Credit Dispute and Credit Repair, and Colorado Wills & Trusts. For more information, visit our website: www.gantenbeinlaw.com

 

 

Court Order Bank of America to Pay $1.051 Million to Couple over Collection Calls

BOA made continuous, harassing phone calls to a couple who missed their mortgage payments. If you have received debt harassment phone calls, or need a Colorado foreclosure defense attorney, call Gantenbein Law Firm at 303-618-2122. http://www.gantenbeinlaw.com

A Florida federal court just awarded Nelson and Joyce Coniglio $1.051 million to be paid by Bank of America (BOA). In a complaint filed in July, the couple had been receiving hundreds of phone calls from the bank in a “pattern of outrageous, abusive and harassing conduct”. The complaint alleges BOA engaged in conduct in violation of the Telephone Consumer Protection Act (TCPA), Fair Debt Collection Practices Act* (FDCPA) and Florida Consumer Collection Practices Act (FCCPA) and constituted intentional harassment and abuse of the Coniglios.

Like many Americans, the Coniglio’s had gotten a mortgage from Countrywide during the peak of the housing bubble. The Tampa couple had trouble making their loan payments that had doubled after Bank of America acquired the Countrywide loan.

In the spring of 2009, BOA began robocalling collection calls to the couple’s home phone and cell phones. During that summer, the Coniglio’s hired a third-party mitigation service to obtain a loan modification for the couple. The third-party sent BOA a letter requesting the bank cease all contact with the homeowners and deal instead with them. BOA replied they had received the letter, but continued the calls.

The couple finally hired an attorney who sent cease-and-desist letters to BOA asking the bank to stop calling the Coniglio’s and deal directly with the attorney. The bank responded they had received the request. The calls, sometimes up to five a day continued and the calls were far from being polite. In all, over a period of four years, the couple received 700 collection calls to their cell phones and another 350 calls to their home phone. They also received “threatening collection letters asserting false and misleading information”.

BOA asked the court to set aside the default judgment citing the statute of limitations had passed. The bank argued they only made calls between August 2007 and September 2009 making the 4-year statute of limitations expiration date. The judge pointed out the couple continued to receive multiple calls per month through the summer of 2014.

BOA argued the husband had given his consent for calls to his cell phone by using it on mortgage documents. The judge ruled the consent was taken away by the multiple cease-and-desist letters sent to BOA.

BOA claimed its automated phone dialing system as described in the TCPA didn’t fall within the definition of “automated telephone dialing system” because the calls weren’t random but used a specific list of numbers for calling. The judge maintained a machine isn’t exempted from TCPA regulations just because the numbers are programmed into it.

The judge also ruled that BOA failed to provide any support why the continued robocalls should be excused for being a bona fide error. The judge ruled that defense was without merit and the couple was awarded $1.051 million.

BOA has filed a stay execution of judgment pending appeal, so it may be awhile before the Coniglio’s see their money. This isn’t the first time BOA has been accused of harassment. In 2010, BOA hired a collection agency in Texas that used profane, racist and pressure tactics. One couple in California claim they received over 2,000 calls from BOA, another couple in Indiana received over 600 calls.

*In an amended complaint, the FDCPA was deleted because the FDCPA only applies to third-party debt collectors and not to businesses attempting to collect a debt that is owed directly to them.

If you are been receiving harassing debt collection phone calls, or are facing foreclosure, contact consumer rights and foreclosure defense attorney Keith Gantenbein.

Denver, Colorado foreclosure defense attorney Keith Gantenbein is a premier foreclosure attorney, serving all of Colorado. The Gantenbein Law Firm is the only Colorado foreclosure defense law firm to have an in-house loan modification specialist. Our loan mod specialist- whose work experience includes SPS loan mod servicing- works with the attorney on your case to maximize your home retention options. Contact Gantenbein Law Firm for a one-hour consultation to discuss your foreclosure or post-foreclosure issues: 303-618-2122.

Keith Gantenbein,  of The Gantenbein Law Firm, Colorado foreclosure defense practice includes: debt collection and FDCPA violations, mortgage negotiations, foreclosure settlements, post-foreclosure deficiencies, mortgage lawsuits, loan mods, Rule 120 Foreclosure Hearings, post-foreclosure litigation, foreclosure prevention, Colorado foreclosure help, foreclosure help in Denver, cash for keys, judicial foreclosure, HOA foreclosures, evictions, foreclosure settlement, foreclosure settlement, foreclosure assistance,  short sale assistance, foreclosure assistance,  loan modifications,  foreclosure set-aside, and all other foreclosure defense legal help.

 His real estate practice includes real estate litigation, contract and contract disputes, title issues, real estate contracts, quiet title actions, lien issues, evictions, real estate closings, lender liability, and landlord/tenant. Keith Gantenbein also practices HOA defense– including helping homeowners with defense against wrongful covenant enforcement, HOA lawsuits, foreclosures, and HOA liens.

Gantenbein Law Firm practice includes Colorado and Federal Tax Law, Colorado Foreclosure Defense, Colorado Real Estate Law, Colorado Business Law, Credit Dispute and Credit Repair, and Colorado Wills & Trusts. For more information, visit our website: www.gantenbeinlaw.com

 

 

Fannie Mae Slapping Deficiency Judgments on Decades-Old Debt

Fannie Mae is chasing old debt. If you need help with your post-foreclosure deficiency, contact foreclosure defense attorney Keith Gantenbein. From our offices in Denver, we serve all of Colorado. 303-618-2122.

Fannie Mae, whose Net Income is $3.9 billion and its Comprehensive Income is $4.0 billion for the third quarter (Q3) of 2014 is going after old mortgage debts that are 5 years-to-decades old.

When the housing market bubble burst, hundreds of thousands of Americans lost their homes through foreclosure. Many walked away from homes whose worth dropped so drastically (underwater) they knew it would take 20-30 years to recoup the equity they lost. Others had lost their jobs, depleted their savings and retirement funds only to find themselves unable to make mortgage payments. They hung on as long as they could until foreclosed on, having to pack up and leave their homes.

Fannie Mae is a government-controlled housing finance company that lend residential mortgage money to low-moderate and middle-income Americans. Like other lenders, Fannie Mae was left with millions of dollars worth of defaulted mortgage loans when the housing market collapsed. All told – more than $1 trillion in foreclosed loans were lost to the banks during the crisis.

The banks sold the majority of the homes, but the proceeds of those sales more often than naught it was not enough to cover the entire loan, penalties, fees, legal motions and bills. Lenders want their money back.

The borrowers who walked away from their homes have gotten new jobs and have begun to rebuild their lives – and their finances. The banks, and in particular Fannie Mae figure now, when the borrowers are getting back on their feet, is the time to go after those borrowers.

Lenders are using a legal maneuver called “deficiency judgment” that ensure the lender can go after borrowers for decades. A deficiency judgment is secured against the borrower for the difference still owed after the sale on the foreclosed home. If the lender sold your home for $100,000 but you owed $280,000, the judgment against you is the difference owed – or $180,000 plus fees and miscellaneous expenses. With a deficiency judgment, the lender can freeze your bank accounts and garnish your wages. You may also owe money to the IRS.

In Colorado, most foreclosures are non-judicial, which does not result in a judgment. The lender must file a separate lawsuit if the foreclosure sale results in a deficiency. There is a potential for these lawsuits to be barred by statute of limitations. There are ways to avoid or handle the deficiency through a qualified attorney.

Bank advocates say homeowners should pay what they owe – no matter how much time has gone by. Consumer advocates argue that deficiency judgments knock the borrowers off their feet – again – after they’ve just begun to recover from financial collapse. Further, they say the banks bear some responsibility making unsustainable loans to them in the first place.

If you are facing a deficiency judgment, or facing foreclosure, call Gantenbein Law Firm for a consultation. Gantenbein Law Firm has many options and alternatives to consider and are available to you.

If you are facing a post-foreclosure deficiency, contact foreclosure defense attorney Keith Gantenbein.

Denver foreclosure defense attorney Keith Gantenbein is a premier foreclosure attorney, serving all of Colorado. The Gantenbein Law Firm is the only Colorado foreclosure defense law firm to have an in-house loan modification specialist. Our loan mod specialist- whose work experience includes SPS loan mod servicing- works with the attorney on your case to maximize your home retention options. Contact Gantenbein Law Firm for a one-hour consultation to discuss your foreclosure or post-foreclosure issues: 303-618-2122.

Keith Gantenbein,  of The Gantenbein Law Firm, Colorado foreclosure defense practice includes: post-foreclosure deficiencies, loan mods, Rule 120 Foreclosure Hearings, post-foreclosure litigation, foreclosure prevention, Colorado foreclosure help, foreclosure help in Denver,  judicial foreclosure, HOA foreclosures, evictions, foreclosure settlement, foreclosure settlement, foreclosure assistance,  short sale assistance, foreclosure assistance, cash for keys, loan  modifications,  foreclosure set-aside, and all other foreclosure defense legal help.

 His real estate practice includes real estate litigation, title issues, real estate contracts, quiet title actions, lien issues, real estate closings,  mortgage negotiations, contract and contract disputes, lender liability, evictions,  and landlord/tenant. Keith Gantenbein also practices HOA defense– including helping homeowners with defense against wrongful covenant enforcement, HOA lawsuits, foreclosures, and HOA liens.

Gantenbein Law Firm practice includes Colorado and Federal Tax Law, Colorado Foreclosure Defense, Colorado Real Estate Law, Colorado Business Law, Credit Dispute and Credit Repair, and Colorado Wills & Trusts. For more information, visit our website: www.gantenbeinlaw.com

 

 

 

AG Sues 3 More Colorado Foreclosure Law Firms

CO foreclosure firms are under fire for alleged fraud and fee-padding. If you need a foreclosure defense attorney, contact the Gantenbein Law Firm at 303-618-2122.

Colorado State Attorney General John Suthers has filed additional lawsuits against three more foreclosure law firms after a 2-year long investigation for alleged foreclosure fraud.

Earlier this year, AG Suthers filed lawsuits against Colorado’s two largest foreclosure law firms: The Castle Law Group (Larry Castle) and Aronowitz & Mecklenburg (Robert Aronowitz, Stacey and Joe Mecklenburg) for alleged foreclosure fraud. Aronowitz and Mecklenburg immediately paid a $10 million settlement and later sold their law firm to a Texas-based firm, Barrett Frappier & Weisserman. Castle did not settle and is fighting the lawsuit.

The three new lawsuits filed by Suthers are against: The Law Firm of Michael Medved, (Michael MedVed and Tracie Castanon), Janeway Law Firm (Lynn Janeway) and Medved Dale Decker & Deere (Michael Medved, Toni Dale, Holly Decker and Heather Deere).

The three law firms in this new lawsuit have agreed to pay a hefty combined settlement of $1.7 million for allegations they intentionally inflated foreclosure costs to hundreds of homeowners in Colorado. None of the law firms admitted to any wrongdoing.

A company called Wise Posts, owned by Michael Medved’s sister, Beth Maloney and her husband, Patrick Maloney doubled the costs of placing legal notices on foreclosed properties. They also allegedly overcharged title search reports through another company they had a financial interest in – Foothills Title and Escrow. Foothills Title and Escrow was later sold to another law firm, Medved Dale Decker & Deere, a law firm that Michael Medved had joined.

Medved Dale Decker & Deere paid $150,000 to settle allegations they increased costs of title search reports by 175%.

 Janeway is accused of overcharging foreclosure-related fees – one as much as five times the real amount for a trustee sale guarantee and cancellation of a title commitment. Lynn Janeway used to work for Larry Castle of The Castle Law Group. Janeway performs foreclosure work for the Colorado Housing and Finance Authority. Janeway settled for $650,000 with an added $350,000 to be set aside in lieu of compliance.

Suther’s office carefully presented a detailed scheme in a 40-page lawsuit filed earlier this year against The Castle Law Group and Aronowitz & Mecklenburg alleging collusion on price fixing to process service fees associated with foreclosure cases. Suthers alleges these three law firms followed The Castle Law Group and Aronowitz & Mecklenburg’s lead, overcharging fees too. The Attorney General alleged Castle and Aronowitz & Mecklenburg raked in $100 million off the backs of distressed Colorado homeowners.

If you are in foreclosure, and need a defense lawyer or attorney to help you keep your home, contact our Real Estate and Foreclosure Defense attorney- located in Denver, and serving all of Colorado.

Keith Gantenbein, of the Gantenbein Law Firm, worked for the largest foreclosure firm in Colorado, before opening his own Foreclosure Defense law firm in Denver, Colorado. He has been involved in more than 70,000 foreclosure cases – and works passionately to help Colorado homeowners. His foreclosure defense practices includes all forms of Colorado foreclosure help, including:  bank litigation, loan modifications, post-foreclosure deficiencies, evictions, foreclosure help in Denver, foreclosure prevention, short sale assistance, Rule 120 Foreclosure Hearings,  judicial foreclosure, post-foreclosure litigation, HOA foreclosures, foreclosure assistance, foreclosure assistance, cash for keys, foreclosure settlement,  foreclosure set-aside- and all other foreclosure defense legal assistance. His Real Estate practice includes: quiet title actions, real estate litigation, real estate contracts, real estate closings,  title issues,  mortgage negotiations, lien issues, bankruptcies, lender liability, contracts, landlord/tenant.  and HOA defense– including helping homeowners with their HOA foreclosures, HOA lawsuits , HOA liens, and defense against wrongful covenant enforcement.

Gantenbein Law Firm also specializes in Federal and Colorado Tax Law. If you are facing tax litigation, need tax debt relief, facing an IRS tax audit or IRS tax appeal, in need of tax planning or filing tax returns,  have received a Notice of Tax Deficiency or Notice of Wage Garnishment, or need help with an IRS installment plan or IRS offer in compromise, contact our Denver tax attorney immediately at 303-618-2122. Or, visit our Denver tax attorney website.

Gantenbein Law Firm practice includes Colorado Foreclosure Defense, Colorado Real Estate Law, Colorado and Federal Tax Law, Colorado Business Law, Credit Dispute and Credit Repair, and Colorado Wills & Trusts.

Visit our website: www.gantenbeinlaw.com

 

 

 

 

 

FlagStar Bank Ordered to Pay Homeowner Victims

Denver-based foreclosure defense attorney Keith Gantenbein can assist with your foreclosure issues. Call 303-618-2122 or visit http://www.gantenbeinlaw.com

Michigan-based Flagstar Bank was ordered to pay $27.5 million to homeowner victims and pay an additional $10 million in fines for obstructing homeowners’ attempts to save their homes from foreclosure. The Consumer Financial Protection Bureau (CFPB) was the agency who brought the legal action forward September 29, 2014.

The CFPB is responsible for consumer protection in our country’s financial areas. They oversee banks, credit unions, foreclosure relief services, securities firms, payday lenders, mortgage servicers, debt collectors and other finance-oriented companies in the U.S.

Flagstar Bank, a holding company of Flagstar Bancorp, Inc., is a federally chartered stock savings bank. They are headquartered in Michigan and have more than 100 branches throughout that state. Three years ago, they sold off their branches in Indiana (to First Financial Bank) and Georgia (to PNC Financial Services) to concentrate on their Michigan branches. Today, they’re considered a national leader in home lending with loan centers across the country and have thousands of wholesale mortgage brokers and agents as customers. Flagstar has neither admitted nor denied the allegations.

CFPB Director Richard Cordray said “Because of Flagstar’s illegal actions and unacceptable delays, struggling homeowners lost the opportunity to save their homes. The Bureau has been clear that mortgage servicers must follow our new servicing rules and treat homeowners fairly. Today’s action signals a new era of enforcement to protect consumers against the cost of servicer runarounds.”

The CFPB said the bank allegedly took excessive time to process borrowers’ applications for foreclosure relief, denied loan modifications to borrowers who were qualified, illegally delayed finalizing permanent loan modifications and failed to tell homeowners their applications were incomplete.

As part of the CFPB’s investigation, they found in 2011 alone, Flagstar had 13,000 active loss mitigation applications and had only 25 full-time employees and a third-party vendor located in India to review the applications. In many instances, Flagstar took as long as 9 months to review one application. The average wait time for an applicant calling was 25 minutes, and half those calls were dropped or disconnected before the homeowner could talk to an agent.

When the CFPB’s new mortgage servicing rules went into effect in January 2014, Flagstar committed even more violations under the new rules. Flagstar did not inform homeowners of their choices to save their homes that ultimately led them to drop out of the loss mitigation process and into foreclosure.

The Deputy Director of CFPB added, “What we are requiring of servicers are the kind of basic practices of customer service that should have been implemented long ago. We have said that in the early months we will look to see that those subject to the rules have made a good faith effort to comply. A good faith effort, however, does not mean servicers have the freedom to harm consumers. It has felt like ‘Groundhog Day’ with mortgage servicing for far too long.”

If you need foreclosure help or foreclosure assistance in Colorado, please visit our Colorado foreclosure defense attorney WEBSITE.

Denver foreclosure defense attorney Keith Gantenbein is a premier foreclosure attorney, serving all of Colorado. The Gantenbein Law Firm is the only Colorado foreclosure defense law firm to have an in-house loan modification specialist. Our loan mod specialist works with the attorney on your case to maximize your home retention options. Contact Gantenbein Law Firm for a one-hour consultation to discuss your foreclosure or post-foreclosure issues: 303-618-2122.

Keith Gantenbein,  of The Gantenbein Law Firm, Colorado foreclosure defense practice includes: Rule 120 Foreclosure Hearings, post-foreclosure deficiencies, foreclosure prevention, loan mods, Colorado foreclosure help, foreclosure help in Denver,  judicial foreclosure, post-foreclosure litigation, HOA foreclosures, foreclosure settlement, foreclosure settlement, foreclosure assistance, evictions, foreclosure assistance, cash for keys, loan  modifications, short sale assistance,  foreclosure set-aside, and all other foreclosure defense legal help.

 His real estate practice includes real estate litigation, quiet title actions, lien issues, real estate closings, , title issues, real estate contracts, mortgage negotiations, bankruptcies, contracts, lender liability, evictions,  and landlord/tenant. Keith Gantenbein also practices HOA defense– including helping homeowners with defense against wrongful covenant enforcement, their HOA foreclosures, HOA lawsuits, and HOA liens.

Gantenbein Law Firm practice includes Colorado and Federal Tax Law, Colorado Foreclosure Defense, Colorado Real Estate Law, Colorado Business Law, Credit Dispute and Credit Repair, and Colorado Wills & Trusts. For more information, visit our website: www.gantenbeinlaw.com

 

 

 

Aronowitz & Mecklenburg Sold to Large Texas-Based Foreclosure Firm?

Aronowitz is suspected to have been sold to large foreclosure law firm based in Texas. If you have foreclosure needs, contact Keith Gantenbein at 303-618-2122.

For the past few weeks, we have been hearing rumors that foreclosure law firm Aronowitz & Mecklenburg was being sold to a Texas-based law firm.

We now heavily suspect Aronowitz & Mecklenburg has been sold to Barrett Frappier & Weisserman, LLP – a Dallas-based law firm.

Barrett Frappier & Weisserman, LLP are operating from the same address and phone number in Denver that Aronowitz & Mecklenburg used to have.

Barrett Frappier & Weisserman, LLP are part of a larger group, called BDF Law Group, that provide back-office transactions such as legal services, technology platforms and title services- much like the business model Castle Law Group and other foreclosure firms used as alleged by the Colorado Attorney General and the Denver Post. This model is under scrutiny from the Attorney General’s Office for allegedly fee-padding. The specifics of the BDF Law Group business model are not known, but we wholeheartedly hope the back-office transactions do not include fee-padding or marked-up costs that are detrimental to the homeowner.

Earlier this year, Aronowitz & Mecklenburg had a lawsuit brought against them by Colorado’s Attorney General, John Suthers alleging violations of Colorado’s Consumer Protection Act, Anti-trust Act and the Fair Debt Collection Practices Act. Colorado Attorney General investigations said in the lawsuit the two largest foreclosure mills; Aronowitz & Mecklenburg and The Castle Law Group had defrauded tens of thousands of homeowners, banks, investors and taxpayers. According to the lawsuit, the overcharging put upwards close to $100 million in the pockets of Aronowitz & Mecklenburg and The Castle Law Group.

Aronowitz& Mecklenburg immediately agreed to pay $10 million to settle the case without admitting any guilt.

Although Aronowitz & Mecklenburg and The Castle Law Group made millions of dollars allegedly fee-padding costs to homeowners, the homeowners will each receive a measly $20 (yes that’s twenty-dollars) to waive all their rights to sue the banks and lenders.

There is no record of what the Dallas-based firm paid to Aronowitz & Mecklenburg in the sale, but you can be sure it’s a lot more than the paltry $20 homeowners will get.

Follow our blog for updates!

If you are facing foreclosure or need foreclosure help in Colorado, please visit our Colorado foreclosure defense attorney WEBSITE.

Colorado foreclosure defense attorney Keith Gantenbein is a premier foreclosure attorney, located in Denver and serving all of Colorado. Contact Gantenbein Law Firm for a one-hour consultation to discuss your foreclosure or post-foreclosure issues: 303-618-2122.

Keith Gantenbein,  of The Gantenbein Law Firm, Colorado foreclosure defense practice includes Colorado foreclosure help, such as: post-foreclosure deficiencies, loan mods,  foreclosure help in Denver, foreclosure prevention, Rule 120 Foreclosure Hearings,  judicial foreclosure, post-foreclosure litigation, HOA foreclosures, foreclosure assistance, evictions, foreclosure assistance, cash for keys, foreclosure settlement, loan  modifications, short sale assistance,  foreclosure set-aside, and all other foreclosure defense legal assistance.

 His real estate practice includes quiet title actions, real estate closings, real estate litigation, title issues, real estate contracts, mortgage negotiations, lien issues, bankruptcies, lender liability, , evictions, contracts and landlord/tenant. Keith Gantenbein also practices HOA defense– including helping homeowners with their HOA foreclosures, HOA lawsuits , HOA liens, and defense against wrongful covenant enforcement.

Gantenbein Law Firm practice includes Colorado Foreclosure Defense, Colorado Real Estate Law, Colorado and Federal Tax Law, Colorado Business Law, Credit Dispute and Credit Repair, and Colorado Wills & Trusts. For more information, visit our website: www.gantenbeinlaw.com

Gantenbein Law Firm also specializes in Federal and Colorado Tax Law. If you are facing tax litigation, an IRS tax audit or IRS tax appeal, in need of tax planning or filing tax returns, need tax debt relief, have received a Notice of Tax Deficiency or Notice of Wage Garnishment, or need help with an IRS installment plan or IRS offer in compromise, contact our Denver tax attorney immediately at 303-618-2122. Or, visit our Denver tax attorney website

 

New HUD Rulings Issued for FHA Mortgage Loans

Premier Colorado foreclosure defense attorney Keith Gantenbein, of Gantenebein Law Firm, can assist you with your mortgage and foreclosure issues, including questions on the new HUD rules. 303-618-2122.

Last month, the U.S. Department of Housing and Urban Development (HUD) issued two final rulings involving adjustable mortgage rates (ARMS). The final rulings will 1) revise ARM notification requirements and, 2) eliminate post-payment interest charges on Federal Housing Administration (FHA) loans.

ARMs can be both a reward and a risk. An ARM is a loan with an interest rate that changes. Generally, an ARM will begin with a lower monthly payment that is very appealing to borrowers. The risk is the ARM can increase significantly even though interest rates remain the same. There can also be penalties for paying off an ARM early. Borrowers need to consider what they could later end up paying monthly and decide whether the risk will be worth it. An ARM can remain the same for limited periods, ranging from 1 month to 5 years or more.

One of HUD’s final rulings is in reference to disclosures. The final rule will align HUD rules governing FHA-insured ARMs with the new Consumer Financial Protection Bureau (CFPB) rules of Truth in Lending (Regulation Z).

This final rule will amend 24 C.F.R.§203.49(d)(2) requiring FHA-insured mortgages to use the most recent index figure available 45 days before the interest rate change becomes effective. The final rule also amends 24 C.F.R.§203.49(h) that will align directly with ARM Rules under Regulation Z. This will help ensure HUDs codified regulations remain current if the CFPB amends Regulation Z.

When the interest rate adjusts, based on the index movements, the lender will be required to notify the borrower of the upcoming payment change. This notification must be given between 60 and 120 days before the new payment is due. In cases where the rate adjustment is every 2 months or less, or originated before January 10, 2015, and have look-back periods for the index value of less than 45 days, the notice may be given between 25 and 120 days before the payment change.

The second final rule is in regard to prepayment penalties. The final rule will allow FHA-approved lenders to only charge FHA loan borrowers interest through the date the loan is prepaid – the lender will be prohibited from charging any interest beyond that date.

If an FHA loan is prepaid on a date that’s not the regular payment date, the borrower had to pay interest through the end of the month – even though the loan had been paid off. With this final ruling, on FHA insured mortgages closed on or after January 21, 2015, the lender has to accept a prepayment at any time and in any amount. The borrower does not have to give the lender 30 days advance notice – even if the mortgage contract requires a 30-day notice.

The monthly interest on the loan will have to be calculated on the actual unpaid principal balance of the loan as of the date the prepayment is received and not as the next payment due date.

 

Visit WWW.GANTENBEINLAW.COM

It is best to get foreclosure help as soon as possible.  Gantenbein Law Firm offers foreclosure help in Colorado.  Contact a premier foreclosure defense attorney in Colorado for the best foreclosure help. Beware of loan mod ‘companies’: it is in violation of Colorado law to ask for money up front, unless you are an attorney seeking a retainer.

Keith Gantenbein is a vigorous advocate for Colorado homeowners and recently help draft and pass two very important Bills for Colorado homeowners, HB14-1130 and HB14-1295. These Bills are the first of their kind in Colorado. You can read more about Denver foreclosure defense attorney Keith Gantenbein HERE.

Keith Gantenbein is a Colorado foreclosure defense attorney with the Gantenbein Law Firm. His Colorado foreclosure defense practice includes Colorado foreclosure help, such as foreclosure prevention, Rule 120 Hearings evictions, judicial foreclosure, , loan  modifications, cash for keys, foreclosure settlement, short sale assistance,  foreclosure assistance, foreclosure deficiencies, HOA foreclosures, foreclosure help in Denver, post-foreclosure litigation, foreclosure set-aside,  Colorado foreclosure help, and all other foreclosure defense legal assistance. His real estate practice includes quiet title actions, real estate litigation, real estate closings, lien issues, title issues, real estate contracts, bankruptcies, mortgage negotiations, lender liability, evictions, contracts and landlord/tenant. If you think you will be facing foreclosure, or are in the foreclosure process, or have had a wrongful foreclosure, contact Denver foreclosure defense attorney Keith Gantenbein at 303-618-2122 for a one-hour consultation, where he will discuss your situation and go over all your options with you.

Keith Gantenbein also practices homeowner defense against HOAS– including HOA foreclosures, HOA lawsuits, HOA liens,  and wrongful covenant enforcement.

Gantenbein Law Firm practice includes Colorado Foreclosure Defense, Colorado Real Estate Law, Colorado Business Law, Colorado Wills & Trusts, Credit Dispute and Credit Repair, and Colorado and Federal Tax Law. For more information, visit our WEBSITE.

 To visit our Denver Tax attorney website, click HERE.

 

 

 

 

Colorado Foreclosures on the Rise: Highest Since 2007 Crisis

Keith Gantenbein, of Gantenbein Law Firm, is a foreclosure defense attorney in Denver that provides Colorado foreclosure help. Call 303-618-2122 to schedule a consultation of your case.

Last month, Colorado’s foreclosure filings had the highest increase in seven years. The increase in foreclosures filings rose a whopping 57% from the previous August (2013). Colorado hasn’t seen that type of increase since the beginning of the mortgage crisis in 2007. Statewide, foreclosure filings rose 23%.

The Denver – Aurora area saw the greatest increase with an astounding 116% jump in foreclosure filings from August a year ago. Aurora alone currently has over 7,000 homes in foreclosure. Arapahoe, Adams, Jefferson, Weld and El Paso counties all had high numbers of foreclosure filings as well.

Colorado saw one other increase this year in foreclosure filings back in April when the filings rose 21.2% from the previous year and a 31.5% jump from the previous month (March). This 57% increase last month was somewhat surprising and took many analysts off-guard.

Foreclosure activity throughout the United States jumped 7% in August for the second consecutive month with the banks starting the foreclosure process on approximately 55,000 properties. The banks additionally scheduled another 52,000 housing auctions last month and lenders reclaimed another 26,343 properties in August.

There have been suggestions the increase in Colorado may be due, in part, to Colorado Attorney General’s extensive, two-year civil law enforcement investigation and subsequent lawsuits against the state’s two largest foreclosure law firms: Castle Law Group and Aronowitz and Mecklenburg in July of this year.

The lawsuits allege violations of Colorado’s Consumer Protection Act, Anti-trust Act and Fair Debt Collection Practices Act wherein Colorado homeowners were overcharged nearly $100 million by the two law firms. The lawsuit stated the law firms unlawfully exploited the foreclosure process by misrepresenting and inflating the costs they incur for foreclosure-related services to fraudulently obtain tens of millions of dollars in unlawful proceeds. Aronowitz and Mecklenburg immediately agreed to pay $10 million to settle the case and will either sell or close its office based in Denver within the next six months.

Those lawsuits steered lenders to transfer many of their foreclosure cases to new law firms. The new law firms, in numerous cases, began the foreclosure process all over again, as if they were new cases.

Vice-president of RealtyTrac, Daren Blomquist added the latest figures “is reason to wake up and realize the housing recovery we’ve seen over the past two years is not as strong as it might have seemed.” Blomquist also stated “Foreclosure activity has been artificially low in Colorado since the spring of 2013, when the state attorney general first started issuing subpoenas” referring to the lawsuits against Castle Law Group and Aronowitz and Mecklenburg.

Foreclosure can be a serious issue, and it is best to get foreclosure help as soon as possible. Beware of loan mod “companies’- they are almost always a scam. Contact a licensed, skilled foreclosure defense attorney if you need foreclosure help. Keith Gantenbein is the premier foreclosure defense attorney, located in Denver and serving all of Colorado. Colorado foreclosure defense attorney Keith Gantenbein has been featured on both national and local news multiple times, known for his tireless and effective work for homeowners. He recently worked with Colorado Rep. Beth McCann and Senator Jesse Ulibarri in drafting and passing 2 Colorado House Bills to protect homeowners: the first in the State of Colorado. You can read more about Denver foreclosure defense attorney Keith Gantenbein HERE.

Keith Gantenbein,  of The Gantenbein Law Firm, Colorado foreclosure defense practice includes Colorado foreclosure help, such as foreclosure prevention, evictions, judicial foreclosure, HOA foreclosures, loan  modifications, cash for keys, foreclosure settlement, short sale assistance,  foreclosure assistance, foreclosure help in Denver, Rule 120 Foreclosure Hearings, post-foreclosure litigation, foreclosure set-aside,  Colorado foreclosure help, and all other foreclosure defense legal assistance. His real estate practice includes real estate closings, title issues, quiet title, real estate contracts, lien issues, bankruptcies, mortgage negotiations, lender liability, real estate litigation, evictions, contracts and landlord/tenant. If you think you will be facing foreclosure, or are in the foreclosure process, or have had a wrongful foreclosure, contact Colorado foreclosure defense attorney Keith Gantenbein at 303-618-2122 for a one-hour consultation, where he will discuss your situation and go over all your options with you.

Keith Gantenbein also practices homeowner defense against HOAS– including HOA foreclosures, HOA liens, HOA lawsuits and defense against wrongful covenant enforcement.

Gantenbein Law Firm practice includes Colorado Foreclosure Defense, Colorado Real Estate Law, Colorado and Federal Tax Law, Colorado Business Law, Colorado Wills & Trusts, and Credit Dispute and Credit Repair. For more information, visit our WEBSITE.

To visit our Denver Tax attorney website, click HERE.

 

Post-Foreclosure Deficiency Judgments

Foreclosure deficiency actions are on the rise. For help, contact foreclosure defense attorney Keith Gantenbein, located in Denver and serving all of Colorado: 303-618-2122.

In Florida, homeowners are facing collections from foreclosures that happened years ago.

A deadline change in Florida’s state law has triggered a mass filing of “deficiency judgment” claims against borrowers who had defaulted on their home loans. Other states throughout the U.S. may follow Florida’s lead going after homeowners who defaulted on their home loans. Colorado currently allows six years to file for a deficiency judgment.

The change in the Florida law reduced the timeline that banks and mortgage companies have to file for a deficiency judgment from five years to one year after the foreclosure is final (when the home is sold at auction). The deficiency is the difference between the amount owed on a loan, and the amount received or collected. For example, if a home is worth $150,000, sold for $100,000, the deficiency is $50,000.

Up until this state law change, homeowners who lost their homes through foreclosure were fairly safe from having collection agencies come after them. They thought the worst was over when they lost their homes.

When the housing market crashed, many homeowners walked away from their homes, most of which were underwater (owe more on the house, than the house was worth). They felt the investment (home) was just not worth paying on month after month. Others had to default on their loans when they lost their jobs or when ARMs became due and mortgage payments tripled.

A Texas-based company began collection schemes on behalf of federal mortgage backer Fannie Mae to try to recoup some of their losses. They filed hundreds of deficiency judgments against post-foreclosure homeowners who had moved out of state. Those homeowners had 20 days to respond. By the time the post office forwarded the mail (IF there was a forwarding address), the 20 days was up and the deficiency judgment was given by default of not responding. The deficiency judgment can then be sent to a collection attorney wherever and whatever state the borrower is living.

Florida foreclosure defense attorneys are claiming these collections violate the Fair Debt Collection Practices Act. A class action lawsuit is being sought in the Middle District of Florida on behalf of a Massachusetts resident who lost his house in 2009 to foreclosure.

So far, there have been almost 10,000 deficiency judgment claims filed in Florida and there may be another 5,000 that have yet to be filed.

Real estate attorneys are questioning whether deficiency judgments are being filed by the appropriate party, and if required notice is being given. The general thought is the deficiency judgment should be sought through reopening the old foreclosure case, something Dyck O’Neal wouldn’t want to do, fearing the original foreclosure could be challenged.

Colorado foreclosure defense attorney Keith Gantenbein is a premier foreclosure attorney, located in Denver and serving all of Colorado. If you have a post-foreclosure deficiency issue, facing foreclosure, or need foreclosure assistance in Colorado, contact The Gantenbein Law Firm immediately for a one-hour consultation: 303-618-2122.

Keith Gantenbein,  of The Gantenbein Law Firm, Colorado foreclosure defense practice includes Colorado foreclosure help, foreclosure help in Denver, foreclosure prevention, Rule 120 Foreclosure Hearings, evictions, judicial foreclosure, post-foreclosure litigation, HOA foreclosures, foreclosure assistance, cash for keys, foreclosure settlement, loan  modifications, short sale assistance, , foreclosure assistance, foreclosure set-aside, and all other foreclosure defense legal assistance. His real estate practice includes real estate closings, title issues, quiet title, real estate contracts, lien issues, bankruptcies, mortgage negotiations, lender liability, real estate litigation, evictions, contracts and landlord/tenant. Keith Gantenbein also practices HOA defense– including helping homeowners with their HOA foreclosures, HOA lawsuits , HOA liens, and defense against wrongful covenant enforcement.

Gantenbein Law Firm practice includes Colorado Foreclosure Defense, Colorado Real Estate Law, Colorado and Federal Tax Law, Colorado Business Law, Credit Dispute and Credit Repair, and Colorado Wills & Trusts. For more information, visit our website: www.gantenbeinlaw.com

Gantenbein Law Firm also specializes in Federal and Colorado Tax Law. If you are facing an IRS tax audit or IRS tax appeal,  facing tax litigation, need tax debt relief, in need of tax planning or filing tax returns, have received a Notice of Tax Deficiency or Notice of Wage Garnishment, or need help with an IRS installment plan or IRS offer in compromise, contact our Denver tax attorney immediately at 303-618-2122. Or, visit our Denver tax attorney website