HSBC, bad faith, unfair, or just incompetent?

[Joel Fraser]

My wife had a loan with HSBC on our primary residence. Both of us had business failures and she couldn't make the payments. She was in foreclosure and I went to a HUD certified housing agency for help. Meantime she had gotten a job as a manager of a clothing chain store and was making money. I am a retired attorney. The HUD certified housing agency needed a housing counselor. I was hired. Now I am making good enough money. I send a hardship to HSBC. They say that they will consider a loan mod when they have two pay check stubs. I get paid once a month. The first of August I submit paycheck stubs. We are now making $5,700.00 a month. I call HSBC after faxing the information. I am told by a representative that they will cancel the sale date if we wire them $5,800 by Western Union no later than Sept 25. I had turned this over to a fellow counselor as I couldn't deal with it myself. He obtained the proper information including reference number, city, etc. On Sept 23 we scraped up all the money we had and wired the money. We had 40 cents left after wiring the money. On September 24, the counselor called and verified that the payment had been accepted and the sale date was canceled. On October 1, 2008, we received a notice from the trustee stating that the property had been sold to HSBC and we had 10 days to vacate. I tried to call HSBC, but kept getting the run around. My wife emailed HUD with a complaint. I faxed HSBC's loss mitigation department with a copy of the complaint. HSBC phoned me within a half hour to tell me that they were aware of the problem and I should call back this afternoon. Stay tuned.