Dieppa Law BlogFebruary, 2011
Are Banks Forgiving Debt?
Most clients seeking loan modification ask whether or not the bank may forgive any of the debt. For the past two years, it has been very rare that I have seen debt forgiveness on the table. My first experience with debt forgiveness has been with Ocwen, which was the first servicer to offer a share [...]
Debt Forgiveness on The Way?
Miami Herald reported on a potential settlement between federal agencies and the major banks that could lead to debt forgiveness. Here’s the link on the story: http://www.miamiherald.com/2011/02/25/2085171/government-settlement-with-financial.html
Lien Stripping Under Ch. 13 Bankruptcy
The latest news shows that prices in the real estate market have fallen about 55% since the peak of the market. Many homeowners bought in that period with no money down, interest only loans, and with double mortgages. Typically, a home equity line of credit (HELOC) was used to cover the 20% “downpayment” and a [...]
More Trouble for Foreclosure Firms
The Palm Beach Post and the Miami Herald has reported on the trouble for foreclosure firms. New firms have been added to the state’s investigation. Additionally, the owner of the Ben-Ezra and Katz firm has been targeted in two suits by the judges handling those cases. The judges are deeply troubled by sham documents. Here [...]
Impact of The Obama Plan on Bankruptcy
For those of you contemplating bankruptcy and modification of your loan through the “Obama Plan”, the bankruptcy court has specific rules regarding the combination of these two efforts. If you stay in your home during bankruptcy, the trustee will fight any effort to get Florida’s “wild card” exemption on your schedules. This exemption protects $4,000 [...]