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.
Tuesday, April 25, 2017
Court OKs $50 Million Settlement In Lawsuit Accusing Notoriously Sleazy Bankster With Clipping Nearly 300,000 Financially Strapped Homeowners With Inflated Charges For Broker Price Opinions In Connection With Foreclosure Process
In Oakland, California, Bloomberg Law reports:
Wells Fargo & Co. agreed to pay $50 million to settle a class-action lawsuit by almost 300,000 homeowners who claimed they paid inflated fees for a broker service required on delinquent mortgages at risk of foreclosure.
The deal won final approval on April 11 by U.S. District Judge Yvonne Gonzalez Rogers in Oakland, California, the law firm Baron & Budd said Monday [April 17] in a statement. The homeowners will get about $120 each — more than double the fee markup they paid for so-called broker price opinions, the law firm said.
The settlement comes as the bank continues to manage the fallout from a scandal over millions of fake deposit and credit- card accounts, which has put pressure on the lender by discouraging potential customers and fueling costs related to compliance. The lender’s embattled community bank, where the scandal emanated, weighed on overall first-quarter results, leading the bank to miss analysts’ estimates last week.
“While we believe our practices related to broker price opinions were proper and disagree with the claims in the lawsuit, we have agreed to settle the matter to avoid further litigation,” the San Francisco-based bank said in a statement emailed by spokesman Tom Goyda.
The lawsuit, filed in 2010, covered behavior that took place from 2005 to 2010, according to court filings. Banks use price opinions from real estate brokers when they’re assessing actions to take on a delinquent mortgage, including possible foreclosure. The plaintiffs alleged that Wells Fargo fraudulently concealed charges for marked-up opinions.
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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