Welcome to The Home Equity Theft Reporter, a blog dedicated to informing the consumer public and the legal profession about Home Equity Theft issues. This blog will consist of information describing the various forms of Home Equity Theft and links to news reports & other informational sources from throughout the country about the victims of Home Equity Theft and what government authorities and others are doing about it.
Monday, August 20, 2012
Arizona AG Targets Three Outfits With Civil Lawsuits In Probe Into Loan Modification Scams
In Phoenix, Arizona, The Arizona Republic reports:
The Arizona Attorney General's Office is accusing three loan-modification companies of targeting Spanish-speaking residents with bogus services and guarantees of averting foreclosure.
In lawsuits filed Wednesday against Making All Homes Affordable in Phoenix and La Paz Source in Tucson, authorities allege the companies illegally charged up-front fees, charged for services available for free and misrepresented contracts written in English to customers who could read only Spanish.
The owner of Making All Homes Affordable, Albert Figueroa, is accused of charging customers $1,900 to lower interest rates and reduce principal loans. But authorities say homeowners got only standardized forms that are available for free on government websites. They also were charged fake sales tax of 9.3 percent, according to the suit.
The owners of La Paz, Maria Beltran and Francisco Ramos, are accused of operating without a license. Authorities say they promised modifications that were never delivered, which caused some customers to lose their homes.
In November, Beltran and Ramos shut down La Paz Source and on the same day launched another modification company called La Placita Multi Services, according to the suit.
Both La Paz and La Placita "deceptively and willfully target the Spanish-speaking community," the attorney general's office said in a statement.
"The Defendants verbally explain terms of the agreement to consumers, in Spanish, that are in direct contradiction to the written provisions of the contract provided in English," the statement said.
CBC News: Betrayal of Trust (A CBC investigation reveals how lawyers across Canada have misappropriated and mishandled clients money, to the tune of tens of millions of dollars, or sometimes even charging vulnerable people top dollar for shoddy services)
Land Contract/Contract For Deed/Rent-To-Own Rackets
The New York Times: The Housing Trap (In the wake of the housing crisis, low-income families have turned to seller financing to buy homes but these deals can be a money trap)
Beware The Fine Print: Consumers Forced To Sign Away Their Rights To Use Court System
The NY Times: Arbitration Everywhere, Stacking the Deck of Justice(Part 1 in series examining how clauses buried in tens of millions of contracts have deprived Americans of one of their most fundamental constitutional rights: their day in court)
Foreclosure Mills' Abysmal Record In Complying With New NYS Foreclosure Requirements
Justice Deceived: How Large Foreclosure Firms Subvert State Regulations Protecting Homeowners
MFY Legal Services Report On Questionable Practices By Process Servers In Debt Collection Cases
Justice Disserved: A Preliminary Analysis of the Exceptionally
Low Appearance Rate by Defendants in Lawsuits Filed in the Civil Court of the City of New York
Mortgage Mess Redux: Robo-Signers Return (A Reuters investigation finds that many banks are still employing the controversial foreclosure practices that sparked a major outcry last year)
CNN Video: As Foreclosures Mount, Florida Court Turns To 'Rocket Docket'
The Wall Street Journal: A Florida Court's 'Rocket Docket' Blasts Through Foreclosure Cases (2 Questions, 15 Seconds, 45 Days to Get Out; 'What's to Talk About?' Says a Judge)
"Produce The Note" Strategy When Dealing With Missing Promissory Notes In Foreclosure Actions
ABC Video: Fighting Against Foreclosure (Some homeowners have found a new tactic to keep the banks at bay)
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