Foreclosures Halted by JP Morgan Due to Falsification
JP Morgan announced today that they are halting upcoming foreclosure procedures on homeowners who are in default. This is for loans that are owned by the Chase Mortgage unit. Note that if your home is already in foreclosure, it will not stop the sale. The company is moving forward with all completed foreclosures. They are only halting temporarily on those loans in default that are going into foreclosure.
GMAC and JP Morgan are doing this slowdown on the foreclosures because they were so anxious to clear out their books that the mortgage processors lied about reviewing case files before signing thousands of documents to process the foreclosures.
The suspensions of the foreclosures are only active in 23 states. These are the ones where foreclosures have to go through a court system and the same ones that GMAC chose to stop foreclosures in.
There is a difference between the GMAC action and the JP Morgan action. GMAC stopped the foreclosure sales until they finish fixing the records. JP Morgan is not.
Homeowners in other states are out of luck even if their mortgage holders are violating their rights and lying on foreclosure documents for the due diligence required by law.
The scope of the foreclosure situation is so large that lenders are just processing homeowners like numbers. They’re moving them out as fast as they can without regards to working with the borrowers. They’re also doing the work with as few people as possible to keep the cost down.
If homeowners called up the lender on their mortgage statements, they will find that the bank is not the actual mortgage holder. In fact, you will have a very hard time getting your bank to tell you who the actual mortgage holder is.
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Thanks Kim, it’s hard to keep up on everything going on. That’s why these blogs are so important.