Normally once a loan has been modified then even if the loan gets transferred to a new mortgage company, the new mortgage company must honor the loan modification.
This is because your loan is a contract. If it is truly modified, then whoever gets that loan (that contract) must follow it.
My suggestion is to be very aggressive on this so you can get it fixed and so that the new mortgage company can’t argue (it would be wrong but still….) that you somehow have agreed to them not honoring your loan modification.
You can send letters under RESPA (Real Estate Settlement Procedures Act) — notice of errors and request for information.
Basically where you give the mortgage company a chance to fix their error and explain themselves, or they can get sued in Federal Court for money damages.
We cover this in our comprehensive free video series on saving your home from a foreclosure at www.ForeclosureDVD.com. We only encourage you to go to this site if you are willing to work hard to fix the problem.
Usually you can if they take some negative action against you that violates the contract. For example:
Some of these you may can sue immediately. Others may require you to send a RESPA letter or a letter to the credit reporting agencies under the FCRA (Fair Credit Reporting Act). Normally we recommend even if you do other letters, you should send RESPA letters.
These letters will allow you to sue your mortgage company if it refuses to follow the law for up to $2,000 per violation. And normally when we sue we are suing for multiple violations. And you can get actual damages and your attorney fees paid.
If you have questions, give us a call at 205-879-2447, especially after you watch the video series on preventing a foreclosure at www.ForeclosureDVD.com.
Best wishes!
Most financial problems result from some unexpected change in life — divorce, health issue, loss of job, or loss of a loved one. Missy lives in Alabama and she came to us as her father was really struggling with financial issues related to credit card companies after his wife passed away. Here’s what Missy had to say: I would highly recommend this attorney. He helped my father after the unexpected loss of my mother with some very difficult financial problems… (Read more)
- Missy in AlabamaThis site is intended for Alabama residents only. No representation is made that the quality of legal services to be performed is greater than the quality of legal services performed by other lawyers.This web site is designed for general information only. The information presented at this site should not be construed to be formal legal advice nor the formation of a lawyer/client relationship. The information you obtain at this site is not, nor is it intended to be, legal advice. You should consult an attorney for advice regarding your individual situation. We invite you to contact us and welcome your calls, letters and electronic mail. Contacting us does not create an attorney-client relationship. Please do not send any confidential information to us until such time as an attorney-client relationship has been established. We are a debt relief agency. We help people file for bankruptcy relief under the U.S. Bankruptcy Code.
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Watts & Herring, LLC
Alabama Consumer Protection Lawyers
301 19th Street North
Birmingham, Alabama 35203
Phone: (205) 879-2447
