By: Jonathan

Jonathan — Mon, 05 Oct 2009 15:49:09 +0000

Gailyn, it seems to me that the world of loan modifications is pretty much unregulated. I also note your post on your firm’s blog that many loan modifications do not result in much savings. Here in Atlanta I have seen a few instances where a loan modification did work to a homeowner’s advantage, but I think that a homeowner considering a modification needs to be very careful about the terms of the contract he/she is entering into. I suspect that in most loan mods, the homeowner is operating without a lawyer while the lender is most certainly represented. There is also the issue of tax debt arising from any forgiveness and the timing of a modification – I frequently see debtors being strung along by a lender until a day or so before the foreclosure, when it may be too late to file bankruptcy. When all is said and done I think that anyone considering a loan modification should probably be considering bankruptcy at the same time.

By: Gailyn Wink

Gailyn Wink — Mon, 05 Oct 2009 15:39:32 +0000

That is a sad case. Even more upsetting that the family paid scammers multiple times. I just wish more people would see the futility of loan mods and short sales and pursue the legal protections and benefits of bankruptcy sooner rather than later.

Comments on: Another Debtor Ripped Off by a Foreclosure Scam (Part 2)

By: Jonathan

By: Gailyn Wink