“Here you go. One last posting related to the mortgage underwriting defect issue. A few years ago, the government made similar bogus claims related to mortgage servicing and the Big Banks caved and settled for billions, without any facts being determined. However, my former bank, fought these bogus claims in the normal adversarial fact-finding process and it was found that only 5.6% of borrower’s in foreclosure had suffered any damage as a result of their mortgage being serviced improperly…

…And “improperly” did not mean that even one loan was serviced in contravention of the note and deed of trust (the legal documents agreed to by lender and borrower). What it meant is that 5.6% of the mortgages weren’t serviced exactly to the technical terms (often very minor) proscribed in the government’s new rules telling mortgage lenders how they had to service mortgages. A far lower rate of error than the government had alleged or anyone had imagined. The falsity of the government’s bogus claims, “that hundreds of thousands if not millions of borrowers lost their homes due to the improper servicing of their mortgage loan”, was again revealed.”, Mike Perry, former Chairman and CEO, IndyMac Bank

May 1, 2014 – Statement 181: “Only one lender, OneWest, the former IndyMac bank, would not settle, opting instead to continue with the review of loan files. After completing most of the review this year, OneWest, a California-based bank that has a former Goldman Sachs partner as its chairman, doled out a relatively modest $8.5 million and only to homeowners who had actually suffered financial harm…

You can visit the posting directly here:

https://nottoobigtofail.org/2014/05/01/only-one-lender-onewest-the-former-indymac-bank-would-not-settle-opting-instead-to-continue-with-the-review-of-loan-files-after-completing-most-of-the-review-this-year-onewest-a-califo/

 

Posted on June 12, 2016, in Postings. Bookmark the permalink. Leave a comment.

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