A ridiculous one. Why do I say that? Well, we are representing several clients who have attempted to have their loans modified pursuant to the Home Affordable Modification Program (HAMP). In those cases, the clients have been told on numerous occasions to make three months of trial payments, and at the end of the trial period, they will be approved for a permanent modification. Of course, it is never three months. It is usually 8 or 9 months, and then, they are told that they didn't qualify for the permanent modification so they now owe the total amount they were originally in default AND the excess over the trial payment plan. In addition, Bank of America accelerates the debt and puts them in foreclosure.
This would be fine if they never even represented to the homeowner that they could modify their loan. They have a contract. The homeowner defaulted, and based on the contract, Bank of America is entitled to foreclose. I'm not even addressing the assignments of the mortgages and the securitization of the notes and mortgages which is a whole other issue. I'm writing this article as if the loan is simply between Bank of America and the client (typically not the case).
So, the clients come to our office, and we write Bank of America. Here is where the really ridiculous parts come in to play. I get calls from the representatives of Bank of America, and they will announce themselves as follows: "This is Stephanie from the Office of the CEO." The office of the CEO? So, I ask, "Is the CEO of Bank of America in your office?" What do you think the answer is? Hmmmmm. No, would be correct. So, I ask, "Why do you say you are in the Office of the CEO?" Answer, "that's what we are told to say." So, I ask, "if you were told to say you were in the office of the old Soviet Union, you would say that?" Answer, "Yes."
REALLY? That's what we are dealing with here. Now, Stephanie will say, "I'm calling to discuss your client, Mr. Smith's, loan. Okay, what do you want to discuss. She says, "Well, first, I need to verify some information – your client's address, loan number, and authorization for me to speak with you." NOW, let's get this straight. My client has come to my office and hired me to represent them. I have written a letter to Bank of America on my letterhead telling them that I represent the client and giving them the address and loan number. Bank of America is calling me based upon my letter, and YET, they are requiring me to verify this information. SERIOUSLY BANK OF AMERICA?
Finally, today I received a letter from Bank of America via Federal Express. Why would they spend thousands of dollars on Federal Express to send such a stupid letter which they could fax or e-mail? RIDICULOUS as I said to begin with.