Atty. Gene Choe

Homeowners with Countrywide loans eligible for Loan Modificationis

Saturday, 30 May 2009 00:06 Atty. Gene W. Choe

ON June 25, 2008, California Attorney General Edmund G. Brown Jr. sued Countrywide Financial, its Chief Executive Officer Angelo Mozilo, and President David Sambol, for engaging in deceptive advertising and unfair competition by pushing homeowners into mass-produced risky loans for the sole purpose of reselling the mortgages on the secondary market. The lawsuit was filed in order to "seek relief for Californians who were ripped off by Countrywide’s deceptive scheme," according to the Attorney General.Countrywide was found to have used deceptive tactics to push homeowners into complicated, risky and expensive loans so that the company could later in time sell as many loans as possible to third-party investors. The company loans were promised very low initial or "teaser" interest rates or payments. However, average homeowners later find out that these loans are very complex and difficult to understand. Countrywide employees, ranging from loan officers and underwriters to branch managers were pressured to sign up as many lenders as they could, and in the process misrepresented or obfuscated the fact that certain types of loans for the borrowers would naturally lead to dramatic increases in monthly payments. Employees who did not meet quotas were terminated.

Obama’s Making Home Affordable Program

Friday, 22 May 2009 22:11 Atty. Gene W. Choe

Declining real estate prices and negative equity continue to drive foreclosure. Many are unable to meet their monthly mortgage payments. Often one spouse has lost his/her job. They have depleted their savings and retirement fund hoping that the economy will turn around. The current problem in the housing market has affected 6 out of 10

The Obama Administration is offering the Making Home Affordable (MHA) Program to as many as 7 to 9 million homeowners who are making good-faith effort to meet their mortgage payments. Currently, homeowners who are upside down or owe more than 80% of the present value of their house find it very difficult to secure refinancing. This program will allow 4 to 5 million responsible homeowners whose loans are owned or guaranteed by Freddie Mac and Fannie Mae (GSEs) to refinance over time.

Homeowners with Countrywide loans eligible for Loan Modification

Friday, 15 May 2009 23:56 Atty. Gene W. Choe

(1 vote, average: 5.00 out of 5)

ON June 25, 2008, Califor-nia Attorney General Ed-mund G. Brown Jr. sued Countrywide Financial, its Chief Executive Officer Angelo Mozilo, and President David Sambol, for engaging in deceptive advertis-ing and unfair competition by pushing homeowners into mass-produced risky loans for the sole purpose of reselling the mort-gages on the secondary market. The lawsuit was filed in order to "seek relief for Californians who were ripped off by Countrywide’s deceptive scheme," according to the Attorney General.

Countrywide was found to have used deceptive tactics to push homeowners into compli-cated, risky and expensive loans so that the company could later in time sell as many loans as pos-sible to third-party investors. The company loans were promised very low initial or "teaser" inter-est rates or payments. However, average homeowners later find out that these loans are very complex and difficult to under-stand. Countrywide employees, ranging from loan officers and underwriters to branch manag-ers were pressured to sign up as many lenders as they could, and in the process misrepresented or obfuscated the fact that certain types of loans for the borrowers would naturally lead to dramatic increases in monthly payments. Employees who did not meet quotas were terminated.

The New Anti-Foreclosure Law, Civil Code Section 2924

Saturday, 07 March 2009 00:00 Atty. Gene Choe

(2 votes, average: 4.00 out of 5)

Question: I lost my job for 5 months ago, due to companywide restructuring. I have desperately tried to look for employment, but to no avail. Naturally, I am behind my mortgage payments for 3 months. I called my bank numerously but no one there seems interested in helping me out. Meanwhile, just yesterday, in the mail box, was the dreaded Notice of Default, with a “Certified Mail” tag on it. Can I save my house? I have two young kids and my wife does not work. Incidentally, I bought the house in April, 2006 for $550,000 and have two mortgages, 1st with Countrywide for $400,000 approximately and $80,000 as a second. The Countrywide mortgage is an adjustable interest rate loan with negative amortization feature. Now, my neighbor, whom I ran into yesterday, tells me that another house, foreclosed by a bank, was sold for little less than $200,000.