Most Common Wrongful Home Seizures and Foreclosures

We have been reporting about wrongful foreclosures and seizures of American homes for a while now.  Some media people even use the term "accidental foreclosure."  Every time we think we have heard it all, a homeowner calls with a story we can hardly believe.  We represent homeowners whose stories and troubles with banks and servicers are the stuff of fiction.  Unfortunately for these homeowners, these stories are true. In all of these cases, the bank or its contractors had no legal right to step foot on the property and proceed against the property in foreclosure.

In our continuing effort to let America know how this foreclosure crisis is affecting hard working Americans, I will highlight some stories we have heard:

-- The bank forecloses on a homeowner's house and throws out his possessions instead of the house ten house lots away that it had a mortgage on.

-- The borrower, who has a current and paid-up loan modification agreement with the bank, arrives back at her house after the Christmas holidays only to learn that the bank's contractors have broke in, changed the locks, winterized her house and ruined her boiler unit.

-- The homeowner bought the foreclosed property from the bank but the bank's contractors came back a couple of weeks after the sale to break into the house and steal possessions in the house.

-- The homeowner (not the same one as above) buys a foreclosed house for cash from the bank and seven months later the bank's contractors break in two times stealing possessions in the house and winterizing the house.

-- The homeowner refinanced and paid off her prior loan.  The bank buys the paid off loan as one loan in a pool of securitized loans and insists that the loan is active and proceeds with foreclosure against the homeowner, with debt collection firms calling to harass the homeowner at all times of the day and night.

-- A homeowner is current on two loans to the bank, the bank processes the payments wrong by putting all payments towards one loan and proceeds to foreclose on the other loan requiring the borrower to pay over $3,500 to get her home out of foreclosure and off the auction block, only to have the bank admit later that the payments were being processed wrong.

Homeowners, now more than ever, need to watch what their banks are doing and cannot sit back and wait for their bank or servicer to take care of any problems that come up. In many of the above stories, the homeowners fought for months with the bank and its servicers and their complaints fell on deaf ears.