Mortgage lenders have an obligation to assist borrowers as a whole, however, they don’t always keep up their end of the deal with the government. For this reason, it is imperative that as you seek alternatives to foreclosure, you also formulate a plan of defense against foreclosure. If you have defaulted on your mortgage payments and are in communication with the bank regarding a possible loan modification or short sale, you should also meet with a Miami foreclosure attorney to keep an eye on any foreclosure filings against you.
SunTrust Mortgage Inc, recently agreed to pay up to $320 million to resolve allegations that it misled customers seeking loan modifications under a government program established to assist homeowners seeking to avoid foreclosure. SunTrust is guilty of delaying HAMP applications, which caused some borrowers to not pursue alternative options to save their home. SunTrust also charged customers with excessive interest and improperly reported that to credit bureaus.
SunTrust Mortgage, Inc. isn’t the first bank to be accused of working in bad faith, and we can expect to see more banks follow in their footsteps. Until the day that banks can be trusted to do what’s best for all borrowers, it is wise to stay a step ahead. If you have not yet done so, speak to a Miami foreclosure attorney for more information on how you can have a defense action plan prepared while seeking alternatives to foreclosure.