A recent story on MSNBC detailed how foreclosures in Colorado and throughout the country are churned out using less-than-upstanding tactics by some of the country's largest banks.
Colorado foreclosure attorneys read with interest this exclusive piece. It allowed an inside look at so-called "foreclosure factories" which provides a greater understanding of the process and underscores why it's so important to have a skilled Colorado foreclosure attorney on your side in these matters.
A recent settlement by five of the largest banks and attorneys general from 49 states - including Colorado - granted $25 billion to alleviate the hardships caused by the real estate implosion resulting from unsavory tactics by financial institutions. A portion of that money is slated to go to individuals who were improperly foreclosed upon due to robosigning techniques and the banks not having the proper paperwork to ensure they even owned the property in question.
Part of that agreement was that they would alter their methods.
But this piece shows little has changed. At Wells-Fargo, which services nearly 18 percent of the nation's residential mortgages, entry-level staffers are given the title of "vice president" and told they need to keep a quota of how many foreclosures they need to process in a given day. The average number they are expected to produce in an 8-hour shift is 10.
This is concerning because if you are currently in the midst of fighting a Colorado foreclosure, you know that the process involves an inordinate amount of paperwork. These "vice presidents" are made to sign off on statements swearing to have personal knowledge of certain facts of the case - facts that they are unlikely to know given the volume they churn out each day.
What's more, employees of the bank, speaking on the condition of anonymity, have said borrowers who were seeking help in the form of loan modifications had sent reams of personal financial documents to the bank. Problem was, they were sent to fax machines that went weeks without being checked.
In some cases, the foreclosure process was kick-started when borrowers fell behind on miniscule payment amounts - sometimes as little as $2 on the interest.
Having an experienced Colorado foreclosure attorney walk you through the process is critical, given the type of practices that are continuing at these large banks.