Real Estate

Re: Mortgage Recovery Dept Sell Off

Taxagent — Tue, 13 Mar 2012 07:59:17 GMT

adjuster jack:
They are allowed to lie to you to get you to send money.

No, they aren't allow to lie. I'm suprised that you didn't check the law before giving that answer since you know from your participation here that collection agencies collecting consumer debts are subject to the Fair Debt Collection Practices Act (FDCPA). So I'd have thought you'd check that Act (it's easy to find in a quick Google search) before making such a statement. The first sentence of § 807 of that Act states the rule quite clearly: "A debt collector may not use any false, deceptive, or misleading representation or means in connection with the collection of any debt."

adjuster jack:
I had a girlfriend years ago who worked for a collection agency. She and all the collection agents worked under phony names and changed them periodically.

Unfortunately many collection agencies fail to follow the FDCPA closely. Use of pseudonyms is common in the collection industry, but I take the view that it is a violation of the FDCPA to use them given the broad language of § 807.

Just because a collection agency engages in a practice doesn't mean it must be legal to do it. And just because your employer says it is legal to do doesn't mean it is, in fact legal to do. So assuming that it must be legal because your former girlfriend and her co-workers did it is not good logic.

Re: Mortgage Recovery Dept Sell Off

Saptech — Tue, 13 Mar 2012 05:46:25 GMT

I forgot to mention, the collection agency want me to send any payments payable to CitiBank. It used to be payable to Citimortgage. Now it sounds like the CA are not the owners?

Thnx.

Re: Mortgage Recovery Dept Sell Off

Saptech — Tue, 13 Mar 2012 05:34:36 GMT

I finally was able to get in writing everything that was discussed with the CA earlier except for discounting the total balance. I would pay less each month then the original payment amount, and no interest.

Also I would assume property tax and home insurance is included in the new monthly payment or I need to mention for them to add it in the letter.

Do you think I should ask them about the discount, around 50% of the total balance, is what the person I originally had discussed it with? She brought it to me about cutting it in half over the phone.

Thnx.

Re: Mortgage Recovery Dept Sell Off

adjuster jack — Fri, 09 Mar 2012 21:25:37 GMT

Saptech:
If the collection agency have taken over the account should I just go ahead and ask them for something in writing and then send the payment by money order.

I'd say get it in writing before you send money, whether they own it or not.

I would also suggest tape recording any conversations you have with the collection agents.

MO, TX, and federal law all permit taping conversation to which you are a party, without the consent or knowledge of the other party.

See:

http://www.rcfp.org/can-we-tape

Re: Mortgage Recovery Dept Sell Off

Saptech — Fri, 09 Mar 2012 20:09:39 GMT

Thanks for the advice. I'm still researching on what to do. If the collection agency have taken over the account should I just go ahead and ask them for something in writing and then send the payment by money order.

Thnx.

Re: Mortgage Recovery Dept Sell Off

adjuster jack — Thu, 08 Mar 2012 02:57:10 GMT

Saptech:

I wonder if anyone else had any dealings with the company. I couldn't search any other info about the company similar to what I'm going through.

Here's the results of my google search. Lot of bad stuff about that company:

http://www.bing.com/search?q=ltd+financial+services+scam&qs=AS&form=QBLH&pq=ltd+financial+services&sc=8-22&sp=2&sk=AS1

Including an FTC lawsuit and consent decree from 2007.

http://www.ftc.gov/os/caselist/0523012/index.shtm

I notice that the company website doesn't give any names of personnel.

If you want any information about corporate officers you'll have to go on the TX Secretary of State website and establish a fee based account so you can search information about corporations and business entities:

http://www.sos.state.tx.us/corp/sosda/index.shtml

Although the FTC case information appears to name names of the corporate officers and managers as of 2007.

Re: Mortgage Recovery Dept Sell Off

Saptech — Thu, 08 Mar 2012 01:35:59 GMT

I googled their name and seems legit anyway.

LTD Financial Services, based in Houston, TX.

Citi's Recovery Dept. did give me their phone number and said I need to communicate with them from now on. That's when I searched their name and same phone number that Citi gave me.

I wonder if anyone else had any dealings with the company. I couldn't search any other info about the company similar to what I'm going through.

Thnx.

Re: Mortgage Recovery Dept Sell Off

adjuster jack — Thu, 08 Mar 2012 01:28:16 GMT

Saptech:

The CA did say they can cut the amount owed on house in half and any payments I make will all go towards principle. Again, I guess I would need that in writing and you say getting it in writing may be a struggle.

I wouldn't believe that for a minute unless they actually owned the note (unlikely) and were willing to put it in writing (also unlikely).

They are allowed to lie to you to get you to send money.

Be careful.

Right now I'll bet you don't know where these people are geographically located or who you are even talking to.

I had a girlfriend years ago who worked for a collection agency. She and all the collection agents worked under phony names and changed them periodically.

Re: Mortgage Recovery Dept Sell Off

Saptech — Thu, 08 Mar 2012 01:22:50 GMT

Thanks for the reply. Now I'm even more confused. I guess I'll try to contact the County and see if a record was made.

The CA did say they can cut the amount owed on house in half and any payments I make will all go towards principle. Again, I guess I would need that in writing and you say getting it in writing may be a struggle.

I still don't know what else to do, but try your suggestions.

Thanks.

Re: Mortgage Recovery Dept Sell Off

adjuster jack — Wed, 07 Mar 2012 19:32:19 GMT

First bit of advice is never arrange for anything to automatically come out of your bank account. Once you let them in you'll never get them out and they could end up taking all of it. Then what do you do? Sue them? For money you already owe? Good luck with that.

Collection agencies rarely make any written payment agreements. They rely on fear. Fear and surprise (like the Spanish Inquisition) to get you to send money blindly.

One thing you might do is check the county recorder and see if there is a recorded document assigning the loan to the collection agency. If the collection agency owns it, you might have some leverage because they would have paid cash for the loan and have more of an incentive to cooperate with you.

If they don't own it, it means that they are probably working for the lender on a commission and all they want is your money by hook or by crook.

As for refinancing, I see a couple of issues. 1 - You are three months behind and in collections. Your credit report likely reflects that. Check it at www.annualcreditreport.com

2 - And if you bought your house in 2005 or so, just before the real estate crash you might owe more on than it's worth.

Either or both of those factors would make it difficult or impossible for you to refi.

Your best bet is to see if you can find the cash to pay off the arrears completely, all at once, and get the loan reinstated.

Anything else is likely to be a disaster.

Mortgage Recovery Dept Sell Off

Saptech — Wed, 07 Mar 2012 19:02:10 GMT

Around last week, I contacted my Mortgage Co. (Citi) about the status of my delinquent account, due to being laid off. I have been about 3 months behind on payment and was told the account has been sold off or similar to a Collection Agency. I've had the property for 7 years and until 2007 & '09 was paying then after being laid off twice got behind. This is a first mortgage.

A couple of days later, the collection agency contacted me saying how they took over the loan and wanted me to start making some type of payment or pay the full amount due. It caught me by surprise since I hadn't received anything in writing from them or Citi. So we spoke and I mention about making pmts and they wanted to receive the funds straight from my checking acct. The next day I talked to some friends and one mention that I should write a letter to the CA asking for some documentation about them taking over the account before making any pmts.

The last time I talked to the CA, they mention a letter was sent on 2/26/2012 but I hadn't received it, so I did write a Validation Letter asking them to send information about them taking over the acct. After sending my letter, I received their letter around 3/1/12. Their letter did state they took over, how much I owed and do I want to make some type of payment arrangement.

I received a reply letter from the CA and said it will suspend all contact until I receive the validation letter information I had requested, which would take between 45-60 days. I told them I received the letter and agree with it. They said I would need to send an email letter stating I agree and now willing to negotiate new payment plan. I do agree with the letter I received dated on 2/26/12.

Is it possible I may can find some other mortgage company to finance the account? The CA wants me to setup my bank account info to take agreed upon payment amount from it. They doesn't seem to want to send me documentation on agreed terms first. Should I ask them for an agreement letter describing the terms first?

Any suggestions on what I should say about how much I can pay. I've never been through anything like this and would like to keep the house.

Thnx.