Banks Lose Foreclosure Case in Massachusetts
Bloomberg news has reported that U.S. Bankcorp and Wells Fargo have lost a major foreclosure case in the Supreme Court of Massachusetts (click here to see the full article). This ruling upholds a decision from a lower court that declared that two foreclosures in Massachusetts were not valid because the banks did not prove they owned the mortgage.
In the conclusion of the decision, the Court states, “….we agree with the judge that the plaintiffs did not demonstrate that they were holders of the Ibanez and LaRace mortgages at the time that they foreclosed these properties, and therefore failed to demonstrate that they foreclosed these properties, and therefore failed to demonstrate that they acquired fee simple title to these properties by purchasing them at foreclosure sale.”
The next step for these banks will be to get their paperwork in order and start the foreclosing process again. The debtors in these cases are not going the get a free house.
As a Georgia bankruptcy attorney, I fear that some Georgia consumers are going to read about these types of court rulings in some newspaper and fail to take proper action to prevent the foreclosure of their home because of misconceptions. While its true that banks across the nation are being investigated for their sloppy paperwork in relation to the sale of mortgages, this does not change the fact a legal foreclosure can quickly take place in Georgia.
In a conducting a nonjudicial foreclosure, all the banks have to do in Georgia is advertise the property in question for four consecutive weeks before the foreclosure in the legal organ of the Georgia county in which the property is located. On the first Tuesday of the following month, the foreclosure sale takes place.
However, Chapter 13 is a great option for Georgia consumers to save their home. The foreclosure stops when the bankruptcy case is filed. In a Chapter 13 bankruptcy, a debtor can pay back the arrears on the mortgage over a period of up to 60 months. In addition, unsecured debt like credit card bills and medical debt can be eliminated.
Any consumer in Northwest Georgia that is facing foreclosure should take advantage of a free consultation and call me at 706-295-0030 to schedule an appointment so that I can review the entire situation with you. Ignoring the problem won’t make it go away. Procrastination may cost you dearly. Take action and call me today.