Is anyone not ready to consider these mendacious snakes entirely-discredited?
WASHINGTON, D.C. — A months-long internal investigation into abusive mortgage practices by the Federal Reserve found no wrongful foreclosures, members of the Fed’s Consumer Advisory Council said Thursday.
Kirsten Keefe, a member of the Fed consumer panel and an attorney at the Empire Justice Center in Albany, New York, said the Fed’s report defined “wrongful foreclosures” as repossessions of borrowers’ homes who were not significantly behind on their payments.
So let’s see if I get this right – none of the following are “wrongful foreclosures“:
The institution that forecloses doesn’t actually own the paper. They submit a robosigned or otherwise fraudulent set of documents to cover for the fact that they are not actually holders of the debt they claim to have. That is, they foreclosed but legally you don’t owe them the money.
The institution that forecloses caused the foreclosure through its own wrongful acts. They force-placed insurance on a house that had insurance (or an available policy which they failed to pay from escrow, thereby causing the cancellation) and that began the spiral. They placed a payment off by a couple of cents into a suspense account, refused further payments and foreclosed. They told homeowners to stop paying to qualify for a modification but never intended to actually provide one, or the owner didn’t qualify. They were offering a modification but “lost” documents repeatedly and then foreclosed. Or anyone of a number of other wrongful acts – all of their hand, not the homeowners.
The problem with this alleged “study” is obvious – it has nothing to do with reality. 150,000 withdrawn affidavits that were (admittedly) filed as acts of perjury would not have been withdrawn unless they had to be. Well, they had to be. We have myriad reports of homeowners who are told to intentionally default by servicers, a clear act of bad faith. We have documented instances of banks breaking into homes that are occupied, an apparent serious state felony. We have documented instances of banks playing games with forced-placed insurance, escrow accounts and similar acts leading to foreclosure.
Oh, and The Fed looked at just 500 loan files. Where did they get the files and how were they chosen? Let me guess – did the banks provide them to The Fed at their election? It wouldn’t surprise me a bit, and given that somewhere close to 3 million homes got a foreclosured-related filing last year, 500 files is hardly a representative sample.
The Fed’s credibility on this point, as with inflation and other similar claims, has long-since expired.