Servicers Only Respond to Stick Not Carrot

When you are thinking about the upcoming elections, let’s take a little walk down memory lane, full article on Bloomberg here: Campaign Promise The week before the 2008 election, soon-to-be Vice President Joseph Biden Jr. told a campaign crowd in Ocala, Florida, that he sympathized with the hundreds of thousands of Floridians who were upside […]

Quarles and Brady To Pay $26.5 Million For Claims Regarding the Law Firm’s Role in Mortgages, Ltd. Ponzi Scheme

Full article here.  This is child’s play compared to what some of the biglaw firms are doing to help banks foreclose the entire state on worthless paper: A federal judge in Arizona has given preliminary approval to an agreement where the Milwaukee law firm of Quarles & Bradywould pay $26.5 million to settle class-action claims that […]

I Spy Bank Propaganda

I am very weary of the meme that more foreclosures are good for the economy, or the gem that lawyers and advocates who help homeowners fight banks are somehow the ones responsible for the destruction of the economy.  Remember that piece-of-caca article in the Wall Street Journal in 2010 that said the robo-signing fraud epidemic […]

Foreclosure Speeding Up Again

I’ve definitely seen an increase in foreclosure activity in Phoenix lately.  I’ve also seen a false sense of bravado on the part of loan servicers and trustees, based in part on the idea that BT Capital says that to stop a foreclosure sale, a cash-strapped homeowner must depend on not just trying to obtain, but […]

Eaton v Fannie Mae–Massachusetts Supreme Judicial Court

Reality Check, Abigail C. Field, full article here, excerpt below: The seminal Eaton v. Fannie Mae decision by the Massachusetts Supreme Judicial Court is not a huge banking industry win going forward. In fact, if the Legislature lets it stand, it’s a huge homeowner win. Forget the part about the decision applying in the future […]

Sheila Bair and Brooksley Born Lament Inaction by Financial Stability Oversight Council

Full article here: The Systemic Risk Council, which is also sponsored by the CFA Institute, will focus on six areas requiring quicker action by FSOC and its individual members. They include rules to require stronger capital at the nation’s largest firms; the designation of systemically important nonbank financial institutions and rules to “avoid a repeat” […]

More on ResCap Ally GMAC Bankruptcy

There has been an inordinate amount of interest in this bankruptcy.  Here are two articles by Julia Kim and Robert Siegel on Mortgage Crisis Watch: Residential Capital Files Bankruptcy Part 1 of 2 ResCap and Ally Will Not Challenge Repurchase Claims Part 2 of 2 And here’s another from Financial Times: US Judge Orders ResCap […]