Archive for August 15th, 2013

SCAM ALERT: Modification After Final Judgment

I just received an inquiry from a Florida homeowner about helping him get a loan modification after the bank assured him he’d receive one if he consented to a Final Judgment of Foreclosure.  This is something I observe all too frequently in court, too – pro se homeowners being led to believe they can get a modification once a foreclosure judgment is entered.

Please don’t make this mistake, folks.

If a bank wants to give you a mortgage modification, it will do so WITHOUT foreclosing on you!  There’s no reason to get a judgment first!  I don’t want to sound critical of anyone, but just think about it.  If a bank wants to give you a modification, why would it ask the Court to set a sale date on your home?  Obviously, that’s not someone who intends to work out an agreement with you.

As a result, if any bank or attorney tries to induce you to “settle” by you allowing a Final Judgment of Foreclosure to be entered (then working on a modification after that), REFUSE!  Object!  Get help right away!

Or if a judge tells you that you should allow a judgment to be entered and can try to work out a modification afterwards, OBJECT!  Say no!  Tell the court you know you’re never going to get a modification if a Final Judgment is signed!  But be prepared – you better be ready to give the judge a darned good reason not to enter the Final Judgment at that hearing, because hoping to get a modification isn’t good enough.

This might come across as a shock to many of you, but think about it from the bank’s perspective.  (That might be hard, to imagine yourself being so crooked, greedy, and fraudulent, but go with me here.)  Once a Final Judgment of Foreclosure is entered, the bank has absolutely no incentive to give you a modification.  It’s already won the lawsuit.  A foreclosure sale has already been scheduled.  Why would a bank work out a deal with you in the hopes of getting monthly payments when it can set the sale and get paid in full (either by a third-party purchaser, the government, or an insurance company)?  There’s no answer to that question – and that’s why you can’t let a judgment be entered in the hopes of getting a modification afterwards.

The banks aren’t honorable.  They’re not honest.  They’re duping homeowners throughout Florida, each and every day, into giving up their rights so they can foreclose quicker.  Don’t make this mistake.  Fight for your rights – before it’s too late.

Mark Stopa

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