How to Prevent Wrongful Foreclosure

April 2, 2010 - Recent studies show that foreclosures in Massachusetts are still incredibly high, even though the pace is slowing from 2008 and 2009. Wrongful foreclosure is a serious situation in which a banking institution takes advantage of a homeowner and initiates the foreclosure process or sells the home at a foreclosure auction, even though it may not be legal to do so.

The homeowner may have paid their mortgage payments and they were not credited by the bank, or maybe the homeowner thinks they are in a loan modification process while the lender is quietly pursuing the foreclosure process anyway.

Here are some of the best ways you can prevent becoming a victim of wrongful foreclosure: 

• Keep detailed records of every transaction with your lender. Make photocopies of every payment you send to the bank and keep copies of letters exchanged with your lender. When you speak with someone at the bank, note the name of the person you spoke to and the date. If you do become a victim of wrongful foreclosure, these records will be incredibly helpful.
• Keep a close eye on your credit report. If the bank has not properly credited your mortgage payments, those late payments may show up on your credit report. That may be the first piece of evidence that something is amiss.
• Contact an experienced foreclosure attorney. As soon as you suspect a wrongful foreclosure action, it is essential to contact a consumer protection lawyer who can stand up for your rights.

Despite your best efforts you still may find yourself facing a wrongful foreclosure. If you find yourself in this situation you need to contact a Massachusetts wrongful foreclosure attorney at Phillips & Garcia as soon as possible to learn about your legal options.