Ocwen Federal Bank ripoff Predatory Lending, high interest rates, Orlando Florida

I think that you need to go back and read the post. There is nothing in the original post that states the mortgages in their entirety is written off. The 1099c's they received was for the balance or remainder of the debt after it was sold. This is done every day. Property is sold from a banks REO department or at the auction. If there is a surplus after all fees(very rarely occurs) the amount goes to the homeowner that was foreclosed on. If there is a deficit the homeowner is still responsible for it. If the institution determines it is a debt that will not be collected, as it appears to have done, they can choose to cancel the debt(s). If the amount is greater than $600, they will issue a 1099-C to the individual. This amount will then become income to the individual and the individual will then be responsible for the taxes on such amount.

Kate, at least in my post, I was trying to explain that what was being described was not predatory lending. There was nothing predatory about this. Could there have been additional things that could have prevented this from occuring, definitely. But nothing listed is predatory. It appears to have been a straight forward case of a debt not being paid, a foreclosure occuring, and the handling of the balance owed. Just sound business. I hope that this was short enough for you.

I to have some experience with Ocwen Federal Bank. I was able to get a second mortgage with them at a high interest rate of %13.9. The second mortgage was for a trailer with a 5 year balloon. The trailer has no foundation and was not worth the 2nd mortgage amount I was approved for. Non the less you can't usually get a first mortgage on a trailer let alone a second.

I to have some experience with Ocwen Federal Bank. I was able to get a second mortgage with them at a high interest rate of %13.9. The second mortgage was for a trailer with a 5 year balloon. The trailer has no foundation and was not worth the 2nd mortgage amount I was approved for. Non the less you can't usually get a first mortgage on a trailer let alone a second.

I to have some experience with Ocwen Federal Bank. I was able to get a second mortgage with them at a high interest rate of %13.9. The second mortgage was for a trailer with a 5 year balloon. The trailer has no foundation and was not worth the 2nd mortgage amount I was approved for. Non the less you can't usually get a first mortgage on a trailer let alone a second.

I to have some experience with Ocwen Federal Bank. I was able to get a second mortgage with them at a high interest rate of %13.9. The second mortgage was for a trailer with a 5 year balloon. The trailer has no foundation and was not worth the 2nd mortgage amount I was approved for. Non the less you can't usually get a first mortgage on a trailer let alone a second.

You write paragraph after paragraph - and the ORIGINAL post says both entire mortgages were written off.

Then you say Ocwen didn't do anything wrong? What makes you think anyone would read paragraph after paragraph of your diatribe when you haven't even read the original post.

You're quite over the top in your importance here. Sorry to burst your bubble, but won't you keep your uninformed and windy opinion to yourself?

Please prepare yourself for a lengthly post as this calls for some in depth analysis.

Now mind you I have no dog in this fight, just trying to see if I have the story straight so that I may offer some advice. I will provide your very own quotes and see if I understand them correctly. If I am not understanding I will ask you to clarify some things. If you could be so kind, provide me with answers. As I stated, I have no affiliation with you (never heard of you or met you), or Ocwen. I am just a builder located in Ga. Lets get on with your story.

****** "In 2001 my husband and I bought two income properties, witin 30 days these mortgages were sold to Ocwen Federal. In addition, within the same time period I lost my job and we fell behind in the payments. However, we put both properties on the market for sale." ******

I am going to read into this paragraph and you tell me if it is correct.

You and your husband found two 'income' producing properties that you were wanting to buy in 2001. You did your 'due dilegence' such as inspecting the property for structural damage, estimated repair expenses, and came up with a value to offer the seller ( I am assuming that there was only one seller and for this case lets say that you offered the seller X$ for each house). The appraisal appears to have been provided by the seller. Rule number one: USE YOUR OWN INDEPENDANT APPRAISER!!! Can't stress this enough. Matter of fact, I can also assume that you used a mortgage broker provided by the seller (for this case, we will call broker XYZ). If, this is the case, you violated Rule Number 1 concerning financing (the other rule number 1 was regarding property valuation. You see, I have a lot of rules that I adhere to when I purchase property). Any how, always, always, use your own mortgage broker. One that you can trust. One that knows you. See, if you use your own broker, they will have the appraisers that are approved by them. By doing this, you will have a good understanding of the true value. Never use the mortgage broker provided by the seller. Never, Never. So, up to now, you have made an offer on the property using this appraisal(s) provided by the seller. Applied with the broker provided by the seller (is this fairly accurate? If not please correct me). You closed on the property(s) and received the deed for the property(s). Is this correct (again, if I am not, please correct me). At the closing, the seller received X$ in exchange for the property(s). Again, is this correct? If it is, this has been a pretty straightforward transaction (with the exceptions of you not using your own broker and appraisers if that is the case). You go on to say that that within 30 days, broker XYZ sold the loan to Ocwen. Again, this is extremely standard. They bought the loan from Broker XYZ. You go on to say that during this period, you lost your job and fell behind payments (It appears that you violated the biggest rule I have in purchasing properties....never, ever purchase properties that will not pay for themselves). When you rely on a paycheck to pay for an investment property, you better have reserves....at least 6 months to cover for any type of bumb in the road. Now you did do a smart thing and realize that the properties were beginning to bleed and you decided to try to get out from under them. This is the end of your first paragraph. Lets continue on.

***** " During this time we found out that we had been victims of predatory lending. These properties we had purchased were a lot less in value than what we had paid for. We pull out our paper work and realized that the appraisal reports were totally bogus." **************

At this time you state that you feel you and your husband are victims of Predatory Lending. While Predatory Lending does exists, this is not a case of it. An example of Predatory Lending is when a mortgage broker preys on its victims by refinancing their homes with mortagaes that has over inflated fees, premiums, highly escalating interest rates that the company will profit from. Predatory Lending is not, I repeat not placing a mortgage on a property that is of less value. Ocwen is not at fault here. They did not make you agree to purchase the property from the seller. They did not tell you what the fair market value of the property is. That is your responsibility. Actaully, the definition of value is the amount that an individual is WILLING to pay for a property/item/asset at a given time. You see, value changes with the person, with time, etc. It is your responsibility to establish what you would be WILLING to pay for this property. Again, I go back to your own, independant appraiser. Ocwen came into this transaction 30 days later. Maybe you have a beef with the first broker or the mortgage company that you applied with. But again, these are amounts that you and your husband agreed to. You say that you found out that the appraisals were bogus. That very well may be the case. But that does not constitute the mortgages be altered. If you go back to the closing, you agreed with everything being submitted to get the loans closed. You signed off on all the documents. By doing that, you accepted everything that was submitted and by doing so, bound yourself to the commitments of the morgage(s). I am sorry, you agreed to the amounts, so you are obligagted to them. For instance I am sure that you bought a car in the past. Let say that the car was worth $20,000 and you financed 100% for five years at your credit union. The second you take title to the car, the value drops to about $17,000. But you still owe $20,000. Ok, you make payments for a year and the balance is now about $16,000 owed. The value for this car may be $13,000. The credit union is not going to agree to decrease your amount because the value of the car is less than the amount financed. You still have to pay. Lets take this out one more step. Lets say that after a year you total the car. The value now may be zero, but you still owe $16,000. Well you have insurance. But guess what? They are only going to allow you the value of the car. So, they will payoff $13,000. Who would then owe the additional $3,000? Since the car is worth $0, should the credit union release your obligation for the $3,000? After all, the car is worthless now. It is your responsibility. You signed the note, and unless you have some sort of Stop Gap insurance, you are responsible for the difference. I know that this is very differnt from real estate, but regardless of what the appraisals said, you and your husband agreed to the values.

Now I am not going to go into the paragraphs about the appraisals, because, to me at lease, they are irrelevant. During escrow, you had the ability to obtain your own mortgages. Buy closing on the properties, you validated them.

You did say that you received offers for the 'tru' market value. How do you know that they were for the true market value? Very rarely, do people offer the true market value for the properties in foreclosure. They are more often than not requiring a discount. If they were TMV, how do you know that now and not when you purchased them? You say that you realized it when you looked at the appraisals. Ma'am, when I buy properties, the appraisal is one of the documents that I look at the closest. Why did you miss it? Did you even look at it? Doesn't hold water.

As to the 1099's is you argument that the properties were over appraised? That argument does not hold water. Again, you agreed to the appraisals or you would not have closed on the properties. The bank issued the funds to the other party(s) because you agreed to the amounts. The banks are entitled to their money that they lent you and you agreed to payback.

Again, if you are entitled to any relief (and I do not think that you are) it should come from either the original broker or appraisal. I am curious, lets use $100,000 as a value. If you paid $100,000 to a seller for a house. Three weeks later find out that the appraisal was wrong and the house was worth $250,000. Would you be willing to pay the seller the $150,000 difference? If you do, you are better than most. If not, the what is good for the goose is good for the......

Again, tell me what facts I have that were incorrect.

Larry;

You are the one that is Crazy! You are probably writng me from your jail cell or your the local Pheonix Psych Ward! It is quite obvious that you are a complete knuckle head. First of all my name is spelled Joycelyn not Jocelyn. Why don't you go somewhere and learn how to spell and learn how to tell the truth.

The truth is this, you and the whole Ocwen organization are a bunch of bamboozling reprobates!

Mr. Barry Wish has made $21,327,098.00 (directly from NASDAQ) selling his Ocwen stock since Jan 2004. THANKS SOME MUCH FOR RAPING THE AMERICAN HOME OWNER YOU VILE PIECE OF s**t.

Mr. Barry Wish has made $21,327,098.00 (directly from NASDAQ) selling his Ocwen stock since Jan 2004. THANKS SOME MUCH FOR RAPING THE AMERICAN HOME OWNER YOU VILE PIECE OF s**t.

Mr. Barry Wish has made $21,327,098.00 (directly from NASDAQ) selling his Ocwen stock since Jan 2004. THANKS SOME MUCH FOR RAPING THE AMERICAN HOME OWNER YOU VILE PIECE OF s**t.

Mr. Barry Wish has made $21,327,098.00 (directly from NASDAQ) selling his Ocwen stock since Jan 2004. THANKS SOME MUCH FOR RAPING THE AMERICAN HOME OWNER YOU VILE PIECE OF s**t.

Jocelyn:

No sane person would hardly call me OCWEN's defender if they read some of my other posts about this lender.

You were the one who posted a bunch of preposterous claims. Each time you post you make yourself look even dumber than the last time.

Due to your greediness, you and your hubby decided to become landlords and agreed to pay way too much for a couple of income properties. You relied entirely on the appraisals tendered by the seller; you did not hire your own appraiser nor did you bother to research the market values of the properties.

When you applied to your original mortgage lender, you were the one who claimed the properties were worth more than market value and you were the one who supplied them with the seller's appraisals. Now you claim that the mortgage lenders were not supposed to believe you and that they were not supposed to believe the appraisals that you provided. You claim that this was all the lending industry's fault because they loaned you the amount you applied for.

You added to this silliness by with claiming that when OCWEN purchased the mortgage a month later that they had some sort of obligation to reappraise the properties and accept less from you than what you agreed to pay. If OCWEN HAD done another appraisal when they purchased your mortgage, they would have discovered that you and your husband had provided false information on your mortgage application. You and your husband would have found yourselves in jail.

You and your husband are entirely responsible for the mess you got into.

Ocwen purchases the servicing rights of a loan not the mortgage. There may be some exceptions out there but this is generally the case. There's no doubt at all that they are a predatory/criminal organization. There are more than 27,201 law suits filed aguainst them. The last count that I'm aware of indicated that were at least 11 class action law suits pending certification.

If the mortgages weren't sold to Ocwen until after they were written, how does Ocwen become the predatory lender? Isn't the mortgage outfit that originally took your mortgage the one who would be guilty, if anyone at all is?

If the mortgages weren't sold to Ocwen until after they were written, how does Ocwen become the predatory lender? Isn't the mortgage outfit that originally took your mortgage the one who would be guilty, if anyone at all is?

If the mortgages weren't sold to Ocwen until after they were written, how does Ocwen become the predatory lender? Isn't the mortgage outfit that originally took your mortgage the one who would be guilty, if anyone at all is?

Dear Larry:

It is apparently that you are one of Ocwen's advocates. Ocwen and you do not know what your doing. Anytime you take over a former company's assets (i.e., mortgages)they should know what these assets are worth). You are going to tell me that when a mortgage company takes over another company's mortgages they don't do their own appraisals. They don't do research and find out exactly what their assets are worth. Ocwen and the orginal Loan Broker were in on this scam in the beginning. That is all that they do is Scam people! You can't possibly tell me that Ocwen is innocent of not scamming people. You and Ocwen need your heads examined. There are over 1100 file law suits against Owcen for Predatory Lending, Rackerteering, hoodwinking, bamboolzing, etc. ect. must I go on. More than likely you are problably one of the main bamboozlers in this crooked organization!

How exactly is this predatory lending?

You got into a business that you know nothing about. If you knew your stuff and did your homework you would have known what these two "income properties" were worth without relying on an appraiser. It sounds like the seller bamboozled you with some overstated appraisals and you did not know better than to get your own appraisals.

The way you state it, OCWEN was not involved until some 30 days after you agreed to pay more than market value for these two properties. OCWEN did not sell you the properties nor did they furnish the appraisals.

These two income properties must have been pretty bad investments if they could not generate enough income to meet the monthly mortgage payments.

When you found yourself unable to make the mortgage payments, OCWEN was under no obligation to take a loss by allowing you to sell the properties for less than you owed. The irony is that they took the same loss --and maybe more -- when they foreclosed.

The two 1099-C's hardly prove any wrongdoing by OCWEN. They tell me that you caused them to take losses totalling over $86,000 and they are not going to sue you to recover their loss.

You got yourselves into this mess by not knowing much about what you were doing. That's not OCWEN's fault.