Mortgage litigation involves a claim, lawsuit, or other dispute over a mortgaged property. The claim can be brought forth by either the lender or the borrower. In these disputes, one party is bringing a lawsuit against the other party to comply with the loan terms. The attorneys at Grossbart, Portney & Rosenberg, P.A. are here to help you if you feel that action should be taken against your mortgage servicer.
How Do I Know if I Need to Seek Mortgage Lititgation?
If you are a debtor who has filed for Chapter 13 Bankruptcy making payments under a plan and feel as if your mortgage servicer has used abusive servicing techniques, mortgage litigation may be the right path for you.
Abusive servicing occurs when a servicer, either through action or inaction, obtains or attempts to obtain unwarranted fees or other costs from borrowers, engages in unfair collection practices, or through its own improper behavior or inaction causes borrowers to be more likely to go into default or have their homes foreclosed. Servicing can be abusive either intentionally, when there is intent to obtain unwarranted fees, or negligently, when, for example, a servicer’s records are so disorganized that borrowers are regularly charged late fees even when mortgage payments were made on time.
Mortgage servicers may have attempted an improper foreclosure against the borrower, charged ludicrous fees, forced-placed insurance or mismanaged escrow accounts, ultimately leading the borrower into greater financial hardship.
For example, Nationstar Mortgage LLC was involved in a class-action lawsuit in 2018 when the servicer charged customers making their mortgage payments online or over the phone convenience fees that were not authorized by their loan agreements. This was a violation of the Fair Debt Collection Practices Act and Washington law, and class members were estimated to be paid $8.57-$15.57 for each time that they were charged a convenience fee.
Grossbart, Portney & Rosenberg, P.A. and Your Mortgage Litigation
If you believe that your mortgage servicer has engaged in abusive behavior, documentation and taking action against these individuals can be done through the help of mortgage litigation professionals, such as those at Grossbart, Portney & Rosenberg, P.A. Contact us today for a free consultation to see if we can help represent you.