Foreclosure Listings Articles » Government Foreclosures

Six Companies Faces State Legal Wrath

Julie Parker — Mon, 13 Aug 2007 14:12:13 +0000

The office of the Ohio Attorney General, Marc Dunn is suing six Ohio companies for being involved in foreclosure scams. They are being taken to task on five different acts that took place in Franklin, Delaware, Cuyahoga, Hamilton, Lucas and Mahoning counties. Accused for a total of 44 different counts among the five acts the companies are now facing a penalty of $25,000 for each violation.

The five companies are United Foreclosure Managers LLC based in Youngston, Foreclosure Solutions LLC based in Cincinnati, Pinnix Business Services based in Shaker Heights, Home Restoration Services based in Cleveland, Foreclosure Assistance Solutions based in Clearwater, American Housing Authority Inc based in California and American Housing Financial Inc based in Phoenix. The last two are being jointly charged.

One of the main charges is that these companies approached the borrowers and said that they would stop the foreclosure proceedings for fees ranging from $425 to $1,200. Even after taking the money they did not stop the process. Each company has been charged with one count of transgressing the Debt Adjusters Act by claiming to be able to discharge a note.

The companies each face charges of two counts for violating the Consumer Sales Practices Act of Ohio according to which the companies register with the state and get the necessary sanctions. Four of the companies violated laws related to registration of telephone and also for making false statements.

Michelle Gatchell , a spokeswoman of the Attorney General’s Office is of the opinion that Ohio is one of the states ranking high in the foreclosure malaise. Complaints have been pouring in. So far the number is more than seventy. The office apprehends that during the forthcoming weeks the number will rise. This has been one of the main driving forces for the state to initiate drastic legal action against the offenders. Ohio till now has been so far a happy hunting ground for scamsters.

The state is trying to get full compensation for those who have lodged complaints. The figure has not yet been because more complaints are likely to be registered. The companies would be barred from further business until they paid up the penalty.
Some of the companies failed to comment and decided to stay tight-lipped. The others just could not be located. Perhaps they thought that it was more judicious to lie low and bide time.

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Outdated Mortgage Forms

Julie Parker — Tue, 07 Aug 2007 12:31:09 +0000

Mortgage disclosures keep many clauses carefully confused. This is the opinion of Federal Trade commission’s Bureau of Economics. With changes here and there borrowers could get a much better deal.
A serious study was made of 800 mortgages covering 12 areas across the country. Half were given current mortgage disclosure forms and half given other forms, which were easier to understand. Participants were queried on two hypothetical fixed rate mortgage loans regarding costs, terms and comparison. Approximately a 5^th of those who took the first set of forms could not pinpoint the annual percentage rate of the loan. This being the cornerstone of the issue how was it possible for them to compare? Another 5^th could not calculate the exact amount of cash due at the time of closing or even the monthly instalments. Questions about escrowing for taxes and insurances remained unanswered. About a quarter couldn’t be definite about the settlement amount charges and a third was confused about interest rates. A third of the participants remained ignorant that the loan was inclusive of a huge inflated payment or that the loaned amount also carried with it settlement charges. As many as half failed to spot the loan amount itself in the current forms. In the other set of forms mortgage costs were clearly outlined while less important or confusing trivialities were left out. The language was easy and borrowers were able to distinguish clearly the various segments in costing.
The results were electrifying and hopeful of a fresh start. It was an eye-opener into the endemic confusion reigning in both the prime and sub-prime borrowers. Only 61% could give a correct answer to those questions related to the current form. But 80% were successful in those connected with the prototype forms. In every way the second lot looked pointed to a hopeful future in the world of loans.

This survey apart, 36 interviews were taken of customers who had recently undertaken mortgages. Most of them were not clear about costs and terms. The scenario is not surprising considering the fact that forms in circulation had been introduced as far back as 30 ago! No wonder even simple loans are not understandable! These forms do not take into account the modern complexities of mortgages. Better forms might not totally solve the problem of frauds but it will go a long way to forewarn the borrowers about the pitfalls.

The Benefits of Finding a Government Foreclosure

Isabel Rodrigues — Sun, 01 Apr 2007 09:16:14 +0000

Lots and lots of people search for the information about foreclosures online. There are many reasons of people taking so much interest in the foreclosures. Not only that people are interested in buying a new piece of property for themselves, they may also be interested in buying a property for the purpose of investments. Those who understand how the real estate market works can make lots of money out of the foreclosure investments. These people are keenly interested in knowing about the upcoming foreclosure s in the city they reside in. The websites which offer information in this regard are specialists. They have lot of information about government and judicial foreclosures. The foreclosure websites are updated regularly thus these websites can act as a guide for those people who want to buy some foreclosed property. The foreclosed property is available at a price which is less than the market price of that same piece of land. People thus take keen interest in government foreclosures. As already mentioned, there are many benefits of finding a government foreclosure.

Foreclosures can be of many types. The types depend on the nature of deal which was made between the borrower and the lender at the time when the loan was actually issued to the borrower. The judicial foreclosures are e very popular. The government foreclosures are preferred by many people due to certain benefits these foreclosures offer to people who are interested in foreclosures. The benefits of finding a government foreclosure are not limited to those mentioned above in the text of this article. There are many other benefits as well. The benefits of finding a government foreclosure lead people to look for the available government foreclosure options.

One of the benefits of finding government foreclosures is that these foreclosures are considered to be safe. There are many frauds going on in the real estate world in all parts of the world at all times. People fear losing their money if the deals are not legally made or if there is some doubt of fraudulent transactions. In such situations, safety of the deal is one of the benefits of finding a government foreclosure. If you want to know about the options of government foreclosures available in your city at the moment, you can look for the same on the internet. Many websites will be able to help you in this regard. They have a whole lot of information regarding the benefits of finding a government foreclosure.