Forty-eight states and New York agreed to the National Mortgage Settlement last year. This settlement prohibits lenders, which are usually banks, from foreclosing on a homeowner who is in the process of refinancing his or her home mortgage. This settlement is an important agreement that will help keep individuals and families in their homes.
Some banks, however, have not fully complied with this mortgage settlement. New York attorney general Eric Schneiderman is suing Wells Fargo for their alleged failure to fully comply with the agreement. Additionally, the New York Attorney General says that he will sue Bank of America for a similar reason. One main point of these lawsuits is to encourage bankâ€™s compliance with this agreement.
The settlement is a key agreement as it has helped thousands of New Yorkers avoid foreclosure, according to an October 2, 2013 Yahoo! News article. Both banks have stated that they have helped prevent homeowners from losing their home. In fact, Wells Fargo says that it has approved at least 880,000 mortgage modifications across the country. And, Bank of America has offered â€œsignificant assistanceâ€ to homeowners under the mortgage settlement. Furthermore, both banks are looking for ways to improve their procedures and practices to better serve homeowners.
If you are in debt or if you are having trouble paying your mortgage, then you should evaluate your financial situation. You should consider speaking with an attorney to discuss if bankruptcy is a good option. Mr. Lutzky, of Jayson Lutzky, P.C., is a dedicated attorney with 30 years of experience helping individual clients. His office is located in the Bronx, New York and he offers free, in person consultations. Call 718-329-9500 to learn more, or visit his website, www.MyNewYorkCityLawyer, to learn more.