Gov't foreclosure relief being done by--the foreclosers
Possible conflict of interest and lack of transparency concerns consumer advocates.
Approximately 4.5 million American consumers will be happy to see that the federal government has started its foreclosure review process. The reviews are intended to bring an end to one of the most painful chapters of recent American history.
The foreclosure review process has been started by the Office of the Comptroller of the Currency, but the reviewers have been selected by the foreclosers themselves.
The investigations were ordered after federal banking regulators found substantial problems with mortgage servicing and foreclosure processes across the country.
Consumers will have until April 30 to request individual reviews. The reviews themselves could take months to complete. There will only apply to foreclosure actions against primary homes.
Not every homeowner will see relief, but some will. That measure of relief will depend on the severity of the harm.
For those homeowners whose homes are in foreclosure and the sale is scheduled, though sales will need to be postponed.
Consumers have long complained that the foreclosure process has been tainted with unscrupulous behavior and unethical activity at the hands of companies which service mortgages. Many people complain that they were illegally forced out of their homes.
The reviews will be conducted by eight different independent consulting firms. The firms will conduct the reviews, and render their decisions. They will assign restitution in cases where they feel it's warranted.
The OCC insists that the reviews will be both thorough and fair. However, consumer advocates say the process does not appear to be very transparent. They complain that the reviewers are being hired by the regulators themselves. This is true. The OCC is defending the process and telling consumers that all of the reviewers have been approved by their office.
Anyone who entered the foreclosure process between 2009 and 2010 will be entitled to review of their foreclosure under the current measure.
© 2011, Catholic Online. Distributed by NEWS CONSORTIUM.
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Pope Benedict XVI's Prayer Intentions for January 2013
General Intention: The Faith of Christians. That in this Year of Faith Christians may deepen their knowledge of the mystery of Christ and witness joyfully to the gift of faith in him.
Missionary Intention: Middle Eastern Christians. That the Christian communities of the Middle East, often discriminated against, may receive from the Holy Spirit the strength of fidelity and perseverance.
Keywords: foreclosure, transparency, OCC, review
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