Federal Housing Administration Concerned About Number and Severity of Enforcement on Miami Lenders

A recent article written by Brian Montgomery, the former Commissioner and Vice Chairman of the Federal Housing Administration, comments on the rising concern of the federal agency regarding the number and severity of sanctions being imposed on lenders.

While courts across the United States are scrutinizing banks for their shoddy paperwork and less-than-honest documents filed in foreclosure cases, the federal government is stepping in and blowing the whistle itself. As Miami Foreclosure Lawyer Blog recently reported, the Office of the Comptroller of the Currency recently issued a memo to banks to require self-assessments.
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It’s about time the government started getting serious about its criticism and watchdog approach of banks and lenders. We don’t know if this “self-assessment” mandate can be categorized as “getting serious” or not, but any enforcement is a welcome change over the vacuum banks have been permitted to operate in with impunity for too long.Miami Foreclosure Lawyers have been fighting banks for years as watchdogs for homeowners who want to save their home from foreclosure in Miami. At times, it has seemed like the banks had 100 percent credibility from judges, but through the work of foreclosure defense lawyers, the truth is being exposed. And this is great news for homeowners who want to fight back to save their home from foreclosure.

In Montgomery’s article, he states that it appears HUD, the U.S. Department of Housing and Urban Development, is using more enforcement tools than in years past. He writes that HUD’s Office of Inspector General for Audit appears to be increasing its activity in this area of enforcement. He believes part of the reason is in response to public outcry over the financial market meltdown and the perception that banks fueled the fire.

While the agency’s standards haven’t changed, the heightened level of enforcement is warranted. There are new lenders under FHA and a rise in the number of loans on the books. In 2005, there were 4 million homes in the agency’s housing portfolio, which is up to 7 million today.

The continued scrutiny of the lending industry is nothing but good news for homeowners who feel overwhelmed by the prospect of going up against a national bank that is trying to foreclose on their house or business. It helps and is absolutely essential to have an experienced Miami Foreclosure Defense Lawyer in your corner to fight for your rights. And our experience has led to our firm being trusted to teach other Florida foreclosure lawyers how to defend these cases.

Poking holes in the banks’ paperwork in a homeowners’ situation, showing that they’ve used “robo-signed” documents or documents that are fraudulent and inaccurate can be advantageous. But even the large amount of negative publicity can help in a foreclosure case. Judges are taking notice and look at banks in a much more leery way than they did in the past. Without banks getting the benefit of the doubt, the homeowner can negotiate from a position of strength.

Don’t try to handle this alone. Banks can be ruthless and you should have an aggressive lawyer on your side, protecting your best interests. The banks can be beaten, but not without diligent representation.

If you’re battling foreclosure in Miami or the surrounding areas, contact Jacobs Keeley for a confidential appointment to discuss your rights. Call (305) 358-7991.

Additional Resources:

HUD Enforcement: The Serious Business of Lender Oversight, by Brian Montgomery: ATT00937.pdf

More Blog Entries:

Feds Continue To Blow the Whistle on Banks in Miami Foreclosure Cases: July 15, 2011