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Raygun, Other/Just Looking in Hollywood, Los Angeles...

Can a principle reduction only be accomplished by an attorney??

Asked by Raygun, Hollywood, Los Angeles, CA Sun Feb 22, 2009

A friend of mine was called by a law office here in Los Angeles recently offering loan modifcation services. What did NOT sound right was that she was told that the only way to get a principle reduction was by using an attorney. Also, they asked for a fee of $3,000 without seeing any docs/financials or talking to her lender. As if that was not enough, she was honest about her sitaution about her possibly losing her job soon, and was told " that's ok, you can still qualify". She then asked to speak to one of the attorneys in the office, but was told" you can't speak to them, you can only speak to me." Sounds extremely dishonest to me. Are there laws against this behavior or can these companies just lie at will to collect a fee?

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No, my wife has an NMLS license and helps all of my real estate clients attempt a loan modification with a principal reduction before we ever list a short sale and she has gotten several principal reductions granted. (One recent client had over $562,000 reduced from an $862,000 loan, leaving only a $300,000 mortgage for the client...saving the home and reducing the mortgage from nearly $6,000 a month to $1,600 a month)

Attorneys are TOTALLY WORTHLESS and will steal your money and leave you high and dry! Don't trust ANY Attorney as it relates to loan modifications, short sales, principal reductions, etc...they don't understand how loans even work in most cases.

We had a client go to an attorney and they charged him thousands of dollars and did nothing, we sold his house via short sale in 45 days, completely eliminating his debt, tax burden, etc.

When we asked the attorney to refund the client, he threatened to sue!
0 votes Thank Flag Link Tue Feb 12, 2013
TRUST A KNOWN ENTITY AND YOU LL BE FINE. FINE...FINE

W-H-A-T-!

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NEED A NAME YOU CAN TRUST .....THE RATING AGENCIES AND UNDERWRITING FULFILLMENT CENTERS APPROVED BY WALL STREET INSITITUTIONAL NAME SAKES AND THOSE WHO COLLAPSED THE SYSTEM WITH TOXIC LOANS SUCH AS LEHMAN BROTHERS BANK FSB (EXTENT)

NEED SOUND INFORMATION ABOUT OTHER GREAT FIRMS - -- TALK TO ENRON EXECS AND THE MORTGAGE BIG 3 ACCOUNTING FIRMS THAT KEPT THE CON ALIVE.

THERE IS NOTHING, NO ONE AND ANYTHING REALLY ONE CAN TRUST NOR BELIEVE WITH ANY SEMBLENCE OF INTEGRITY!

LISTEN, READ, CHALLENGE AND REVIEW THE INFORMATION

WE PROVIDE CASE DEVELOPMENT FOR ATTORNEYS AND SOME BORROWERS FIGHTING A FORECLSURE IN COURT - NO MOIFICATIONS AND SHORT SALES ASSISTANCE AS THEY DO NOT EXIST. LAW FIRMS AND COUNSEL . . .BE FOREWARNED WHAT IT IS YOU OFFER YOUR CLIENTS AND ALLOW US TO ASSIT YOU IN THIS ENDEAVOR

ADMIN@BORROWERHOTLINE.COM OR,
TALK TO MADOFF FOR ADVICE....
0 votes Thank Flag Link Fri Mar 6, 2009
Raygun,

Your "red flags" are probably justified.

Our best advice is to deal with known quantities and trust those individuals and companies that you can guarantee their best interests are your best interests.
0 votes Thank Flag Link Mon Feb 23, 2009
I don't think that any of us would disagree with the loan modification process, or any legitimate process that you choose to use for your situation. I think the real question here is...

Can you trust someone who calls you and solicits over the phone to you?

Like I said, do your research.
0 votes Thank Flag Link Mon Feb 23, 2009
1) your lender is NOT a lender - grow up
2) The Federal Savings bank behind it will not stand tall yet the government is bailing them out
3) A servicing agent gets 20 times the reward for a foreclosure than a modification
4) Will a lender really discount a loan they pay cash to buy back and remain liable to replace

Lenders want out of their interest in these loans and that means foreclose. I dont want to do this or say this or have to resort to this...

But you are a Fool! (60 Minutes finally broke the story and makes a class suit that much harder for those inside the world of "payback"....and still they no believe
0 votes Thank Flag Link Sun Feb 22, 2009
Hi Raygun,

As was said before, I would be suspecting when someone reaches out to you in this manner. Why not talk to a lender you trust or get advice or a referral from people you trust on the best way to move forward? A lot of people are attempting to do loan modifications these days and I've had several people I've met say they've had money taken from them by people claiming they could lower monthly payments with no results. BEWARE. Some of these "loan modification practictioners" do not have your best interest in mind.
0 votes Thank Flag Link Sun Feb 22, 2009
I hear an awful lot about predatory lending, and why not to trust a broker to do a loan mod. What concerns me is that there are law offices who have loan mod boiler rooms who are every bit as bad, if not worse than their predecessors. I understand a broker is able to get a principle reduction, albeit through an attorney working with said broker. Right? If this is true, then what are these clowns at the "law offices" telling people that only a law firm is able to get a principle reduction?
0 votes Thank Flag Link Sun Feb 22, 2009
Fraudulant companies - like the ones who sold Mr Joe Lunch Bucket three homes with no income in over 18 months....like the one that sold Ms Francis Foreclosure a rental home that the Realtor can turn for guaranteed profit a year later...fraudulant companies like ABC Realty and the agents we interviewed who tell us things that would make your teeth itch....carefull here

go to the HUD information site...sell your jewelery, sell your furniture get a second job.....what? Can anyone licensed by the bar or working with a law firm and discredit an investigator hired by that counsel AND NOT THE BORROWER - be forced to tolerate the inferences they are all crooks?
0 votes Thank Flag Link Sun Feb 22, 2009
It is very unwise to agree to anything when someone has called YOU. If you need assistance on your mortgage, the first call you need to make is to your lender. There are fraudulent companies out there preying on unsuspecting home owners. Do not give them any information. Do your research!

Never assume that someone calling you is legitimate.

Here is the HUD web site. She may find helpful information there. There is no reason to pay anyone.
Please update!!!
Web Reference: http://www.hud.gov/
0 votes Thank Flag Link Sun Feb 22, 2009
Yes only by a lawyer , You must have a lawyer who knows or negotiator who can turn it over to a lawyer. Just do it and then watch.....ahhhhh. There you go!
0 votes Thank Flag Link Sun Feb 22, 2009
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