1512 Artaius Parkway, Suite 300,
Libertyville, IL 60048

Call for a FREE Phone Consultation

847-549-0000

Subscribe to this list via RSS Blog posts tagged in Attorney lawyer foreclosure loan modification bankruptcy

Wells Fargo Reaches $13.8 Million Settlement After Loan Modification Errors

After a software error that occurred in Wells Fargo's system sometime between April 2010 and October 2015, a settlement has finally been reached between the company and some 6,000 mortgage holders who were impacted by the error. The software error caused customers to be incorrectly denied modifications on their loans and repayment plans when they actually should have qualified. In several cases, foreclosure proceedings began after the denials.

The Beginning Issue

...

Wells Fargo Software Denied Loan Modification to Qualified Borrowers

Wells Fargo used to be a shining example of how a big bank should be run, but now they can not seem to stay out of the news for all the things they have done wrong. They recently revealed an error in their mortgage underwriting software that resulted in hundreds of denied mortgage modifications for borrowers who were facing foreclosure. The error affected some mortgages that were foreclosed on between April 2010 and October 2015. The error created a miscalculation of attorney fees that were used to determine if a borrower qualified for loan modification.

The error resulted in some 625 customers being denied modification and out of those customers, some 400 of them were foreclosed on after being denied. Wells Fargo has set aside $8 million to use as remediation for the customers who were affected by the error. While this may seem like a lot, it only equals out to $12,800 per customer, hardly adequate compensation for losing a home.

...

Posted on in Bankruptcy

Be Honest With Your Bankruptcy Lawyer

If you are facing an insurmountable level of personal debt, filing for Chapter 7 or Chapter 13 bankruptcy might be the most effective way for you to eliminate that debt and get yourself on a path toward financial freedom. It is in your best interest to work with a bankruptcy lawyer to complete the process because a lawyer can advise you about the choices you face and advocate for you during interactions with the court and your creditors.

Working with a lawyer is a professional partnership. In order to help you, your lawyer needs to know every detail of your case, even the ones that you feel are unsavory or embarrassing. If you are not willing to address your problems accurately, you are not ready to file for bankruptcy.

...
Should I Wait Until My Divorce is Final to File for Bankruptcy?

Bankruptcy is a complicated process. As with many other things in life, like parenting your children and putting money away for your retirement, getting divorced complicates the bankruptcy process. If you are not sure about the future of your marriage or if you know that you will file for divorce in the near future, you might opt to put your bankruptcy plan on hold until the divorce is finalized. But sometimes, this is not feasible. In other cases, it actually makes more sense for a couple to file for bankruptcy together before they begin the divorce process. Whether you should wait until your divorce is finalized or not to file for bankruptcy depends entirely on your individual circumstances.

Is Qualifying for Chapter 7 Bankruptcy a Goal?

If so, you might want to wait until after your divorce is finalized because after the divorce, your household income will likely be lower. If you earn less each month than the median monthly income for other Illinois households your size, you automatically qualify for Chapter 7 bankruptcy.

...

With Bankruptcy Pending, ITT Tech Employee Lawsuits are Pushed to the Background

In 2016, ITT Technical Institute filed for Chapter 7 bankruptcy. This came after years of growing debt amid scrutiny of it and other for-profit colleges. The institution closed 136 of its campuses throughout the United States, leaving approximately 350,000 students unable to finish their degree programs. Following the filing, the media turned its attention to these students, many of whom have accrued significant debt while attending ITT Technical Institute.

But the students were not the only individuals impacted by the bankruptcy. In preparation for its liquidation, ITT Tech laid off employees without proper notice, leaving many of them “stranded” as well. The employees are seeking compensation for their lost wages and benefits, such as paid vacation days and 401(k) contributions for the 60-day period prior to laying them off that the institution was required to provide. But because of the bankruptcy proceeding, it is expected that the employees will remain in this position for the foreseeable future.

...
AFDA BBB IRELA Illinois State Bar Association Illinois Trial Lawyers Asscociation Manta Member NACBA North western suburban bar association Top One
Back to Top