MSNBC’s Chris Hayes, “We Were Told to Lie” Say the Bank of America Employees

We have sued BoA over this same type of modification fraud.  I can’t tell you how many people have walked into my office with stories of Kafka-esque behavior by BoA relating to their Trial Payment Plan, or their modification review.  I’ve had schoolteachers clutching binders full of meticulously documented efforts to simply be reviewed for a modification.  I’ve had retirees who’ve had 26 different “single points of contact” from BoA.  I’ve talked to ex-BoA employees who can detail how BoA fudged its mod numbers, or tricked people into force-placed insurance by the BoA owned Balboa (now QBE).  So I’m not surprised by these allegations.  Not at all.  I’m just glad to see awareness raised.  Maybe one of the Arizona district court judges or state court judges will catch the news.  Maybe we’ll even get a response from AZ AG Horne that doesn’t sound like he is an apologist for the banks, rather than the state’s top lawyer charged with enforcing AZ law.

Chris Hayes did a show on the Bank of America revelations, with a panel including Eric Schneiderman, NY Attorney General.  Tom Horne might take a few notes from Schneiderman on at least appearing to care, and not just excuse all servicer misbehavior as “shortcuts” or paperwork problems.  No, this is called active fraud.

In an absolute bombshell filing in federal court, sworn affidavits describe an intentional strategy on the part of Bank of America to systematically lie to struggling homeowners right up to the point of foreclosure. Chris Hayes details the revelations with the All In panel

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4 thoughts on “MSNBC’s Chris Hayes, “We Were Told to Lie” Say the Bank of America Employees

  1. I have been going through a remodification for over 1 year..and last January my husband lost his job after 40 yrs..I contacted BOA and they after submitting all the paper work..they said I wasn’t eligible…for one mod..but they had other options…we had to pay $1,086.00 for 4 months which we did and they did send me todaymod and that the mortgage was approved …I am not happy with this and I am trying to contact the manager..which so far during this process has been 4 people…I would like for someone to contact me as I am very perplexed, and don’t want to loose our home…

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  2. I don’t disagree at all with your position vis a vis BOA’s commission of fraud upon it’s mortgage customers facing foreclosure.
    However, I would like to alert you and your readers to the OPPOSITE situation whereby they FAIL to protect the integrity of neighborhoods by REFUSING TO TAKE OTHERWISE LEGITIMATE FORECLOSURE ACTION THEREBY PROTECTING NEIGHBORING PROPERTY OWNERS AND THEIR OWN SHAREHOLDERS!
    “The reason for this email is to express the consummate frustration that we have been experiencing for one year now as a result of your bank’s consistent refusal to proceed with an entirely warranted and justified foreclosure of a home. We just completed a call to the law firm representing your bank after noticing that this property suddenly disappeared from their list of properties to be auctioned.

    Noticing that these debtors had returned to this property in July 2012, after leaving it a year earlier, we called both the local police, searched county records, and obtained whatever information available regarding this property’s status.

    It is clear that the buyers of this home fell delinquent in their mortgage payments sometime in 2010 and, in 2011, left the home completely. Having owned our home for 12 years as a part-time resident who visits often, we noted the increasingly poor condition of this home and its unkempt yard. Clearly, these are residents who cannot, or will not, respect either their legal/financial obligations or the integrity of the neighboring properties.

    These residents returned in the heat of the summer of 2012 without ensuring that the premises had running water or air conditioning. If not for our efforts with local and state officials where we advocated that they cite this home as uninhabitable, the returning residents would not have paid an outstanding water bill and provided running water to the home. They were using pool water, which had not been filtered/treated for at least a year, to flush their toilets. Because of a serious mosquito problem in the area, the Town had to treat the community with pesticides. We were concerned that the untreated pool was a potential health hazard for West Nile virus and alerted the county accordingly.

    We became aware that BOA secured the winterization of this home in 2011 after the default of these property owners on their mortgage. This action must have been taken to protect what the BOA viewed as their legal ownership of these premises. Why then, after the property was vacated by the property owners of record, does BOA continue to treat the occupants as the legal owners?
    We are also aware of BOA’s forgiveness of the second, or subordinate, loan that it made to this property owner in the amount of approximately $100,000. As the total amount loaned to these delinquent debtors totaled roughly the sales price, we estimate that at least $500,000.00 remains due BOA. Considering the interest that has accumulated in the ensuing three years, we imagine that a good deal more is left owing.

    Due to the significant fall in home values, and especially in light of the deplorable condition in which this home now finds itself, its market value would approximate one half of the outstanding loan amount.

    It is clear to us, now more familiar with the “main breadwinners” work record that he appears to have great difficulty finding work and lost his job with the BOA shortly after purchasing this home. His attempts to support a family of five on whatever limited employment is available to him in this remote, seasonal area seem inadequate.

    BOA’s hopes of ever securing any responsible payment of the amounts owed it are slim, if they exist at all; and this latest report we received of an attempt to “work out” the loan is ludicrous, if not exceptionally and personally damaging to us as neighbors in this unfortunate situation.

    Additionally, the eldest daughter in this family is in frequent trouble with local law enforcement and is, in fact, in court today answering two drug-related charges.

    It is clearly false economy for the BOA to believe that the correct remedy for this problem is to wait for an epiphany that will turn these debtors into responsible borrowers or good neighbors. A better approach would be to conduct the auction of this property as scheduled and allow a competent borrower to purchase and rehabilitate the same. We certainly feel that BOA stockholders would appreciate this latter approach as well.
    It is perplexing, too, why some hard-working individuals trying to care for and support their homes in this and other communities and who truly suffered hardships for which they were not responsible, were displaced from their homes by BOA in short periods of time and without the same opportunities granted these homeowners. We’re sure these BOA customers would appreciate an explanation for the disparate treatment evidenced here.”

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  3. You must add me to the law suit. I have a very strong and well documented year long file that is spot on to these fraudulent activities. And it still continues. I have actually succeeded in beating them to their own game by bringing my mortgage current the end of April, however, their process keeps throwing be back into foreclosure. In fact at least four times including just yesterday. Even though I didn’t accept their loan mods, which I wasn’t even qualified for… they did it anyway. I have them scrambling at this moment as I told them I am going to sue. You will definitely love and appreciate the correspondence that I have written to CEO Brian Moynihan explaining the fraudulent and illegal tactics and processes that I have been a victim to. My file will open a big can of worms. I’m all in! Please contact me.

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    1. I would like to be added to the law suit as well. I have a giant binder full of very well documented paperwork to prove they are fraudulent in their practices, including things like the bank telling me I can ONLY pay them using Western Union (which charges a fee), but I did so anyway, and the very next day the bank rejected the payment…and I lost the fee WU charged me to send it in the first place. I have had 5 single points of contact in the last 4 months and have never been able to speak with a single one of them. I am not even sure these people really exist. I sent them all of the requested paperwork FOUR times and have Fed Ex delivery confirmations and facsimile transmission receipts; however, the bank said they could not help me becuase they “did not receive all the paperwork requested” even though I sent it 4 times and called 15 times to make sure they had it. Each time I was told the Bank had everything they needed. Additionally, each time I call I am informed that the bank is recording the conversations, so technically they have their own proof of what they’ve told me (i.e. lies) I have also requested on numerous occassions copies of the transcripts of the calls, but they refuse to provide them. When this all started, I had one payment that wasn’t considered the total amount due because I didn’t realize that the bank had changed my escrows (I never received notification about the payment being increased.) This also goes against the terms of my Note, so that is illegal. I have been living through 4 months of hell at the hands of Bank of America all because my payment was short by $79.16. In the interim, the Bank has tacked on an additional $3000 in made up fees, held 2 payments in an account called “unspecified funds” without providing me notice that the funds were not applied to my account, and told me on more than 5 occassions to NOT send money unless it included all of their fees in one lump sum payment. They have returned $7000 in payments to me stating they can’t accept “partial payments.” The payments were not partial. I just refuse to pay them their extortion fees along with it.

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