Bankruptcy process reveals abuses and incompetence of mortgage companies

If you think you’re unhappy with your mortgage company, you should hear some of the things that bankruptcy judges and the U.S. Department of Justice are saying about mortgage companies and mortgage servicers.

Increasingly, legal rulings by bankruptcy judges and U.S. Justice Department officials about mortgage companies are using terms like “systemic abuse,” “reckless” and even “extraordinary incompetence,” according to an article by Karen Weise of Pro Publica titled “Bankruptcy Judges, Justice Dept. Rip Mortgage Companies.”

According to the article “major mortgages servicers regularly mess up basic accounting, improperly credit payments and charge unwarranted fees.”  As a result, complaints to government agencies have shot up significantly.

An interesting point in the article is that the bankruptcy process has flushed out a lot of these abuses.  Partly because the bankruptcy process requires creditors to provide evidence for their claims.  But also because when homeowners file for bankruptcy, they hire a bankruptcy lawyer.  And if the bankruptcy lawyer is experienced and intelligent, they know what questions to ask and when something smells funny.

If you’re worried about foreclosure, don’t mess around.  Make sure you work with good bankruptcy attorneys in Las Vegas.  Dealing with a mortgage company means facing off against a combination of insidious greed and plain old incompetence.

So if you want to help stop foreclosure Las Vegas, or if you’re considering filing bankruptcy in Las Vegas, get in touch with us for a free initial foreclosure consultation so that you can enter the process with all your ducks in a row.  We’ll help you negotiate a loan modification and/or use the protections of the bankruptcy law to your full advantage.