Bank Of America And Other Credit Card Companies Settle Collection Lawsuits
Lawsuits filed against Home Loans California are commonplace. One of the most common is the “Quality Home Loans Litigation”. According to statistics, lawyers filed about twenty-five cases regarding foreclosure. About a quarter of those cases resulted in judgments or settlements. Of those awards, about one third were for judgments that were for a fraction of the value of the home loan.
Caliber Home Loans Lawsuit
Caliber Home Loans LLC was launched in 2021 and according to its website is a “unique lending concept”. It is run by Gary Gerspach, who is also an attorney. He and his partner operate from their home, a small office located on Yountville Boulevard. According to the complaint, the company does not provide any service that is outside of California and when homeowners are facing foreclosure, they usually cannot obtain any help from Gerspach due to their residence.
Gerspach and his partners purchased the property at the bank’s asking price, not knowing that it was in a “red” or default status. The foreclosure laws at that time dictated that borrowers had to move out by July 1st. Gerspach signed the contract with Bank of America, allowing him to commence the selling process. The suit says that the lenders breached their contractual obligations and did nothing to correct the default. Gerspach and his partners later moved the home to foreclosure and filed a lawsuit against the homeowners, asking for compensation for losses incurred.
The Lawsuits says that more than two hundred homeowners in the program have either been severely impacted by the lending policies or have had their credit ruined. Although Gerspach has high level of experience in real estate sales, he and his partners only had minimal training in how to deal with Bank of America, Wells Fargo, Countrywide, and other mortgage companies. The loans lawsuit also points out that even though the policies are written by lawyers, homeowners may have little understanding of them.
The lawsuit points out that most lawyers will not help the borrowers if they are not involved in the lending process.
Even if the lawyer does agree to mentor a client, he or she will charge a high rate of fees. The loans lawsuit suggests that borrowers who are interested in learning how to pursue such cases should obtain a guide that provides them with the knowledge and legal advice needed to file a successful lawsuit. The guide is also said to provide resources to assist in the filing process and advise the clients on defenses to possible claims of fraud and misrepresentation.
The Lawsuit also suggests that homeowners take advantage of the services of loan modification specialists who have a great deal of experience dealing with Bank of America and other financial institutions. These firms are well-known for handling difficult cases involving foreclosures, loans, and other issues. The borrowers may be able to save their homes from foreclosure by hiring an experienced attorney to represent them. This could prevent them from paying hundreds of thousands of dollars in legal fees.