Frank calls for restructuring of the mortgage servicing industry if servicers fail to

[Mike]

Finally! It looks like one of the peoples representatives, Barney Frank, has got hip to the fact that servicers have been giving a lot of lip service lately to everyone. From the homeowners reaching for help and to our government who has been asking them nicely to cooperate. Thus far, servicers have been playing by their own rules and their own game of what I like to call “predatory servicing (http:///tag/predatory-servicing/).” They (The Countrywide’s, ASC’s and AHMSI’S) are the big sharks on main street that troll for scraps left over from the predatory lending (http://www.predatorylendinglaw.org/) spree by their close cousins (lenders) and cause struggling homeowners to bleed a slow and painful foreclosure death. *Frank’s message to servicers: (http://www.house.gov/apps/list/press...072508.shtml)* Chairman Frank will hold a hearing in September to monitor the progress of loan modification (http://www./) by mortgage servicers.Chairman Frank cautioned industry representatives: “I would hope that no one would be foreclosed upon between now and October 1st who would have qualified for this program had the effective date been immediate. And that is within your power to do. You can show some forbearance. October 1st is coming, begin the planning, begin the talking with people, but I think it would be a shame, an embarrassment to all of us if people were to lose their homes and the neighborhood deterioration were to be advanced and the economy would suffer because to satisfy CBO and other rules, we delayed this a couple of months. I earnestly hope that we can have that kind of cooperation.” Chairwoman Maxine Waters added, “As one who has focused on mortgage servicing from the outset of this crisis, I strongly support the Chairman’s call for forbearance until October 1st. It would be shameful for a single homeowner in California, or anywhere else hit hard by the foreclosure crisis, to lose their home if they could have been helped by this program but for this deadline.”In addition, Chairman Frank also called for restructuring the mortgage servicing industry if servicers fail to cooperate in aggressively forbearing and preventing foreclosures, or if there are institutional roadblocks that prevent mortgage workouts or other restructuring that is needed in order to help borrowers, and thereby help the housing market and the economy overall . “One of the things we have been told is ‘look there is this problem because the people who service the loans are not the people who own the loans.’ And there is this split between the people who have we are told the authority to make the decision to reduce and the beneficial owners on whose behalf they are acting, well you can’t expect the beneficial owners to do this, people who own pieces of pools.” *Moe’s message:* I am asking all homeowners who have been abused by their servicers or are not getting the help they deserve, to write Barney Frank and Maxine Waters to tell them how you are being treated and who your servicers are. Please include evidence and call logs in your emails and letters to them. *BARNEY FRANK CONTACT INFORMATION:* Congressman Barney Frank 2252 Rayburn Building Washington, DC 20515-2104 (202) 225-5931Congressman Barney Frank 29 Crafts Street Newton, MA 02458 (617) 332-3920Congressman Barney Frank 558 Pleasant Street Room 309 New Bedford, MA 02740 (508) 999-6462Congressman Barney Frank The Jones Building 29 Broadway Suite 310 Taunton, MA 02780 (508) 822-4796House Financial Services Committee Democratic Staff 2129 Rayburn House Office Building *Phone: *(202) 225–4247 *The Honorable Maxine Waters Conatct Information:* United States House of Representatives 2344 Rayburn House Office Building Washington, DC 20515-0535 Phone: (202) 225-2201 Fax: (202) 225-7854 *Los Angeles Office* 10124 South Broadway, Suite 1 Los Angeles, CA 90003 Phone: (323) 757-8900 Fax: (323) 757-9506 *Westchester Office* 6033 West Century Boulevard Suite 807 Los Angeles, CA 90045 Phone: (310) 642-4610 Fax: (310) 642-9160 Read more from the House (http://www.house.gov/apps/list/press...ss072508.shtml) Read Testimony From the Experts on Servicing (http://www.house.gov/apps/list/heari...hr072508.shtml) Read Barney Frank’s Testimony (http://www.house.gov/apps/list/heari...rank072508.pdf) Read Maxine Waters Testimony (http://www.house.gov/apps/list/heari...ters072508.pdf) Frank calls for restructuring of the mortgage servicing industry if servicers fail to cooperate | Loan Modification & Home Loan News (http:///2008/07/frank...-to-cooperate/)