Title 6 of RESPA (The Real Estate and Settlement Practices Act) details some rules for Loan Servicers and a Qualified Written Request (sample letter at the HUD LINK) is one of those rules, or tools, of Consumer Protection. I believe it is worth bringing this rule to the attention of as many people as possible, who are in the process of foreclosure, and are looking for methods to defend themselves. After all, how does someone who is unemployed go get an attorney to help him? The attorney working for free will just drive the attorney broke and then two homes are at risk instead of one. But never the less, the best way to go at a problem with a lender is with an attorney who understands each one of the laws that govern real estate in the jurisdiction were you live.
Also after the Qualified Written Request is taken you may have another step, this is called a” private right of action” if you can prove you have been damaged. This is also detailed in Title 6 of RESPA.
One of my clients recently filed one of these QWR’s with their lender and at the same time routed it to regulators pointing to what they believed to be violations of rules, codes and Laws that govern mortgage servicing.
More and more frequently I hear from my clients that they are frustrated that Regulators have not done anything, to the Banks who seem to be ignoring the rules of loan servicing and the HAMP / HAFA short sale protocols. They believe that the Banks by denying them equal application to these government programs, are discriminating against or harassing them.
My advise it to keep calling City Hall. I like to compare mortage loan servicing to a dangerous intersection that does not have a stop sign and there is accident upon accident, on a weekly basis. We have all seen this before, the squeaky wheel get the attention so squeak if this is important to you. Tell your Congressman and your Senator to keep the pressure up. If someone needs to go to jail so be it.
The California Association of Realtors STRONGLY Advises everyone consult a Certified Tax Professional and an Attorney before committing to any short Sale. Every situation is different and should be reviewed by professionals with the proper credentials.
George Kenner Broker, Associate Keller Williams Realty, Lic. #10229951
Good Night Mrs. Kalabash where ever you are.