New CFPB Study on Reverse Mortgage Ads find Many Contain Confusing, Incomplete, and Inaccurate Statements

Fred Thompson vs. new CFPB study

Picture of former Senator Fred Thompson in reverse mortgage advertisement

“When it’s a former Congressman endorsing it, it makes it sound like a good idea.” -consumer discussing reverse mortgage advertisements and celebrity spokespeople.

Earlier today, the CFPB released a study that examined advertisements for reverse mortgages.

They found:

Among the advertisements we collected, on their face, many contained confusing, incomplete, and inaccurate statements regarding borrower requirements, government insurance, and borrower risks. Furthermore, after viewing ads in our focus groups, many consumers were confused or had misconceptions about important features and terms of reverse mortgage loans. For example, some consumers struggled to understand that reverse mortgages are loans that must be repaid with interest. Consumers also often misinterpreted the role of the federal government in the reverse mortgage market as providing consumer protections that are not actually offered.

If you’re a regular follower of CRC, you know that we’re opposing the CIT Group and OneWest merger, and one of the issues that has come to light is the reverse mortgage servicing subsidiary of OneWest bank, innocuously named “Financial Freedom.”

At a Federal Reserve hearing held in February 2015 in Los Angeles, dozens of people and organizations testified against the merger.  A number of the people who either spoke or submitted testimony cited their incredibly difficult times trying to work with Financial Freedom, especially after the death of a loved one.

The issue of surviving spouses facing foreclosure due to a reverse mortgage that was originated solely with their deceased spouse has come to light thanks to a class action lawsuit by AARP against HUD for turning a blind eye to reverse mortgage brokers and companies originating these loans to only one spouse, with the implicit suggest that the often younger, often female spouse, wouldn’t face foreclosure and/or could be added to the loan later.  Now, these widowed homeowners are facing foreclosure.

HUD released a policy in January 2015 to address this issue, but most experts predicted it would be useless for the very people it was supposed to help.  In April, HUD rescinded the policy, but what about the homeowners who are potentially facing foreclosure?

Take a look at the testimony by Karen Hunziker, who is a surviving spouse, facing foreclosure.  Does this sound like a helpful loan servicing department, especially if you’re a grieving spouse?

Additionally OWB has failed to provide a Single Point of Contact. This creates a communication maze impossible to navigate for the consumer to get customer support or guidance.

One day, I called 5 times to verify I received the 90 day extension OWB promised in writing. I spoke to 5 different people all with a different story. In part, I was told:

• OWB didn’t receive the documents faxed multiple times,
• The documents needed to be reviewed by their legal department,
• I had to call back in 5 days
• I used up all my extensions.
• I didn’t get the documents in on time,
• The last person told me my property was scheduled for auction in 30 days.

At all times OWB refused to put any phone conversation in writing.

For more background on this issue, read these two articles.

Will grandma get run over by HUD’s reverse mortgage policy?

New Reverse Mortgage Policy Leaves Widows and Widowers Homeless

If you’re an attorney working with a surviving spouse facing foreclosure due to a reverse mortgage, or if you’re a surviving spouse facing foreclosure, please contact CRC if you’d like to join in advocacy on this issue. We are NOT able to represent you as an attorney, but we would like to have you join in our advocacy to bring greater attention to this problem and how it is affecting widowed homeowners.

 

 

OneWest Bank Foreclosure Tracker: How Many Families Are Losing Their Homes?

Editor’s note: We have compiled much of the information below (and a whole lot more!) on our website: www.badbankmerger.com.  Take a look and let us know what you think!

As we reported earlier, OneWest Bank has refused to disclose how many foreclosures it has conducted since purchasing IndyMac Bank in 2009.  Instead, the leadership of the two banks would like to continue processing foreclosures on US families, be reimbursed from the FDIC for doing so, and hope that nobody questions their foreclosure track record as they attempt to merge with CIT Group.

CRC and our members and allies remain hopeful the Federal Reserve and the OCC will require OneWest Bank to disclose this information to the public.

But, in the mean time, we are going to start posting OneWest foreclosure notices every day on our new OneWest Foreclosure Tracker. The bank has already foreclosed on tens of thousands of homeowners, but this tracker is starting from March 2015.

If you have a foreclosure notice with OneWest you’d like us to include, please email it to scoffey@calreinvest.org.  We can also post pictures of a foreclosure notice in your local paper.  If it is a Financial Freedom (subsidiary of OneWest Bank) foreclosure, we will indicate that with red ink.  Homeowners, attorneys, and surviving spouses all testified about their nightmare experiences interacting with Financial Freedom at at Federal Reserve hearing that you can read about here: SURVIVING HEIRS TESTIFY ABOUT THEIR EXPERIENCES WITH FINANCIAL FREEDOM AND ONEWEST BANK FORECLOSURES

OneWest Bank: Foreclosing on Families Across the United States

66. IN THE CIRCUIT COURT OF THE EIGHTEENTH JUDICIAL CIRCUIT IN AND FOR BREVARD COUNTY, FLORIDA CIVIL ACTION CASE NO.: 05-2014-CA-030380 DIVISION: ONEWEST BANK N.A., Plaintiff, vs. HIGHT, JOHN R et al, Defendant(s). NOTICE OF SALE PURSUANT TO CHAPTER 45 NOTICE IS HEREBY GIVEN Pursuant to a Final Judgment of Foreclosure dated 7 April, 2015, and entered in Case No. 05-2014-CA-030380 of the Circuit Court of the Eighteenth Judicial Circuit in and for Brevard County, Florida in which OneWest Bank N.A., is the Plaintiff and Courtney Page Hight, an incapacitated person, by and through, Pennie Page also known as Pennie Ann Hight, as Guardian, as an Heir of the Estate of John R. Hight also known as Johnny R.Hight, deceased, Tenant # 1 n/k/a Dorothy Wilkinson, Tenant # 2 n/k/a Paul Robinson, Tenant #3 n/k/a Julius Talpas, The Unknown Heirs, Devisees, Grantees, Assignees, Lienors, Creditors, Trustees, or other Claimants claiming by, through, under, or against, John R. Hight also known as Johnny R. Hight also known as John Robert Hight, deceased, United States of America, Secretary of Housing and Urban Development, are defendants,

65. IN THE CIRCUIT COURT OF THE EIGHTEENTH JUDICIAL CIRCUIT IN AND FOR BREVARD COUNTY, FLORIDA CIVIL ACTION CASE NO.: 05-2013-CA-037292 DIVISION: ONEWEST BANK, FSB, Plaintiff, vs. FOWLER, CHARLES A et al, Defendant(s). NOTICE OF SALE PURSUANT TO CHAPTER 45 NOTICE IS HEREBY GIVEN Pursuant to a Final Judgment of Foreclosure dated 8 April, 2015, and entered in Case No. 05-2013-CA-037292 of the Circuit Court of the Eighteenth Judicial Circuit in and for Brevard County, Florida in which Onewest Bank, Fsb, is the Plaintiff and Barefoot Bay Homeowners Association Inc, Mark Charles Fowler, Pamela Spuller, The Unknown Beneficiaries Of The Fowler Revocable Living Trust dated Novemebr 29, 1995, The Unknown Successor(s) Trustee(s) Of The Fowler Revocable Living Trust Dated November 29, 1995, are defendants…

64.  IN THE CIRCUIT COURT OF THE EIGHTEENTH JUDICIAL CIRCUIT IN AND FOR BREVARD COUNTY, FLORIDA CIVIL ACTION CASE NO.: 05-2013-CA-036826-XXXX-XX DIVISION: ONEWEST BANK, FSB, Plaintiff, vs. RICHARD F BELL, et al, Defendant(s). NOTICE OF ACTION To: THE UNKNOWN SPOUSE, HEIRS, BENEFICIARIES, DEVISEES, GRANTEES, ASSIGNEES, LIENORS, CREDITORS, TRUSTEES, AND ALL OTHER PARTIES CLAIMING AN INTEREST BY, THROUGH, UNDER OR AGAINST THE ESTATE OF RICHARD F. BELL, DECEASED Last Known Address: Unknown Current Address: Unknown ANY AND ALL UNKNOWN PARTIES CLAIMING BY, THROUGH, UNDER, AND AGAINST THE HEREIN NAMED INDIVIDUAL DEFENDANT(S) WHO ARE NOT KNOWN TO BE DEAD OR ALIVE, WHETHER SAID UNKNOWN PARTIES MAY CLAIM AN INTEREST AS SPOUSES, HEIRS, DEVISEES, GRANTEES, OR OTHER CLAIMANTS Last Known Address: Unknown Current Address: Unknown YOU ARE NOTIFIED that an action to foreclose a mortgage on the following property in Brevard County, Florida: LOT 12, BLOCK 338, PORT MALABAR UNIT NINE, ACCORDING TO THE PLAT THEREOF, AS RECORDED IN PLAT BOOK 15 PAGES 1 THROUGH 9, PUBLIC RECORDS OF BREVARD COUNTY,

63. The Property is subject to that certain Deed of Trust dated 3/23/2006, recorded 3/27/2006, under Auditors/Recorder’s No. 4143966, records of CLARK County, Washington, and an agreement to modify the terms and provisions of the said Deed of Trust, dated 12112/2007 from LEONID KUCHEROV A MARRIED MAN, as Grantor, to FIDELITY NATIONAL TITLE, as Trustee, in favor of INDYMAC BANK, F.S.B., as Beneficiary, the beneficial interest in which is presently held by OneWest Bank, FSB. 1/ No action commenced by the Beneficiary of the Deed of Trust is now pending to seek satisfaction of the obligation in any court by reason of the Borrower’s or Grantor’s default on the obligation secured by the Deed of Trust.

62. STATE OF NEW MEXICO COUNTY OF BERNALILLO SECOND JUDICIAL DISTRICT COURT No. D-202-CV-2013-06333 ONEWEST BANK, FSB, Plaintiff, vs. ADORACION ABRAMS, IF LIVING, IF DECEASED, THE UNKNOWN HEIRS, DEVISEES OR LEGATEES OF ADORACION ABRAMS, DECEASED, TYNA ABRAMS, UNITED STATES OF AMERICA BY AND THROUGH THE SECRETARY OF HOUSING AND URBAN DEVELOPMENT, GE MONEY BANK, THE UNKNOWN SPOUSE OF ADORACION ABRAMS, IF ANY AND THE UNKNOWN SPOUSE OF TYNA ABRAMS, IF ANY, Defendants. NOTICE OF SALE Notice is hereby given that on June 11, 2015, at the hour of 10:00 AM, the undersigned Special Master, will, at the front entrance of the Bernalillo County Courthouse, at 400 Lomas Blvd. NW, Albuquerque, NM 87102, sell all of the rights, title and interest of the above-named Defendants, in and to the hereinafter described real estate to the highest bidder for cash.

61. IN THE CIRCUIT COURT OF COOK COUNTY, ILLINOIS COUNTY DEPARTMENT – CHANCERY DIVISION ONEWEST BANK N.A. Plaintiff, -v.- JENNIFER MIMMS GOOCH, UNITED STATES OF AMERICA – DEPARTMENT OF HOUSING AND URBAN DEVELOPMENT, CITY OF CHICAGO, SOUTH SUBURBAN REHABILITATION CENTER, LLC, UNKNOWN HEIRS AND LEGATEES OF KATE MIMMS, UNKNOWN OWNERS AND NONRECORD CLAIMANTS, WILLIAM P. BUTCHER, AS SPECIAL REPRESENTATIVE FOR KATE MIMMS (DECEASED) Defendants 14 CH 016044 2122 170TH STREET HAZEL CREST, IL 60429 NOTICE OF SALE PUBLIC NOTICE IS HEREBY GIVEN that pursuant to a Judgment of Foreclosure and Sale entered in the above cause on April 6, 2015, an agent for The Judicial Sales Corporation, will at 10:30 AM on July 8, 2015, at The Judicial Sales Corporation, One South Wacker Drive – 24th Floor, CHICAGO, IL, 60606,

60. NOTICE OF SALE SUPREME COURT – COUNTY OF SUFFOLK ONEWEST BANK, FSB, Plaintiff -against- GAIL PUSKAS AS EXECUTRIX OF THE ESTATE OF JAMES WALTER UNDERHILL A/K/A JAMES W. UNDERHILL-DECEASED, SECRETARY OF HOUSING AND URBAN DEVELOPMENT, INTERNAL REVENUE SERVICE-UNITED STATES OF AMERICA,

59. OneWest Bank NA v. Rosetta A. Swainstonreal property;

58.  May 29, 2015 IN THE CIRCUITCOURT OF THE EIGHTEENTH JUDICIAL CIRCUIT IN AND FOR BREVARD COUNTY, FLORIDA CIVIL ACTION CASE NO.: 2015-CA-022533 DIVISION: ONEWEST BANK N.A., Plaintiff, vs. ANTHONY BASTONE , et al, Defendant(s)….YOU ARE NOTIFIED that an action to foreclose a mortgage on the following property in Brevard County, Florida

57.  Date Filed May 5, 2015 Case Number845101 Amount$83,481.34 Case Type Foreclosure Judge Judge J. Burnside Onewest Bank, NA 2603 Main St., Ste. 300 Irvine California 92614. Defendant: David Dove, et al. 1613 Plymouth Road Cleveland Ohio 44109

56. COUNTY OF MORRIS SUPERIOR COURT OF NEW JERSEY Morris County Chancery Division SHERIFF’S SALE NO. 15000412 DOCKET NO. F-008435-12 PLAINTIFF OneWest Bank, FSB DEFENDANTS- Sue C. Roberts, her heirs, devisees and personal representatives, and her, their, or any of their successors in right, title, and interest;

55. Onewest Bank, address not shown, vs. Charles Landers, individually and as Trustee of the Landers Family Revocable Living Trust, 958 Hunters Lane, et al., default on note for $190,688.12 plus attorney’s fees, costs, etc.

54. NOTICE OF SALE UNDER POWER STATE OF GEORGIA COUNTY OF RABUN Under and by virtue of the power of sale contained with that certain Security Deed dated August 19, 2009, from Vaughan Watts and Nancy V. Watts to Mortgage Electronic Registration Systems, Inc. as nominee for Financial Freedom Acquisition LLC, A Subsidiary Of OneWest Bank, FSB, recorded on September 2, 2009 in Deed Book J-35 at Page 448, Rabun County, Georgia Records, having been last sold, assigned, transferred and conveyed to OneWest Bank N.A. (formerly known as OneWest Bank, FSB) by Assignment and said Security Deed having been given to secure a note dated August 19, 2009, in the amount of $750,000.00, said note being in default, the undersigned will sell at public outcry during the legal hours of sale before the door of the courthouse of Rabun County, Georgia, on June 2, 2015, the following described real property (hereinafter referred to as the “Property”):

53. 226 Valleyview Drive, Franklin, buyer: Onewest Bank NA, seller: York Trustee Services LLC, Jan. 15, price: $247,526.

52. PUBLIC AUCTION – FORECLOSURE SALE Docket No.: CV14-6041672S Case Name: Onewest Bank, FSB v. Bernice Sullivan, The Widow, Heirs, and/or Creditors of the Estate, et al Property Address: 410-412 Hollister Avenue, Bridgeport, CT Type: Residential Sale Date: May 9, 2015

51. OneWest Bank NA v. Constance A. Feeney, real property.

50. AustinTown Neighbors: OneWest Bank NA v. Joan L. Armstrong et al, foreclosure.

49. Bradenton Herald: Estate of Glenn P. Lefevre et al, $198,746, Onewest Bank FSB, 2013-CA-000985, online.

48. Bradenton Herald: Woltz Revocable Trust under Trust Agreement et al, $176,107, Onewest Bank NA, 2014-CA-004502, online.

47. Bradenton Herald: Terri Ann Allen et al, $155,887, Onewest Bank NA, 2014-CA-003793, online.

46. Vindy.com: OneWest Bank NA v. Joan L. Armstrong et al, foreclosure.

45. Kaango.com: STATE OF CONNECTICUT RETURN DATE: MAY 12, 2015 :SUPERIOR COURT ONEWEST BANK N.A. :JUDICIAL DISTRICT OF :STAMFORD-NORWALK V. :AT STAMFORD THE WIDOWER, HEIRS AND/OR CREDITORS OF THE ESTATE OF :MARCH 20, 2015 ANTOINETTE D. BALZARINI A/K/A ANTOINETTE DALE BALZARINI, ET AL. NOTICE TO THE WIDOWER, HEIRS, AND/OR CREDITORS OF THE ESTATE OF ANTOINETTE D. BALZARINI A/K/A ANTOINETTE DALE BALZARINI AND ALL UNKNOWN PERSONS, CLAIMING OR WHO MAY CLAIM, ANY RIGHTS, TITLE, INTEREST OR ESTATE IN OR LIEN OR ENCUMBRANCE UPON THE PROPERTY DESCRIBED IN THIS COMPLAINT, ADVERSE TO THE PLAINTIFF, WHETHER SUCH CLAIM OR POSSIBLE CLAIM BE VESTED OR CONTINGENT. The Plaintiff has named as a Defendant, THE WIDOWER, HEIRS AND/OR CREDITORS OF THE ESTATE OF ANTOINETTE BALZARINO A/K/A ANTOINETTE DALE BALZARINI, and all unknown persons, claiming or who may claim, any rights, title, interest or estate in or lien or encumbrance upon the property described in this Complaint, adverse to the Plaintiff, whether such claim or possible claim can be vested or contingent, if not living, as a party defendant(s) in the complaint which it is bringing to the above-named Court seeking a foreclosure of its mortgage upon premises known as 128 CRESTWOOD DRIVE, STAMFORD, CT 06905

44. Houmato Today:  Defendant: Harold Conn Jr; Plaintiff: Onewest Bank; Executory Process; $N/A; Entry#126934 on 3/4/2015.

43. Middletown Press: LEGAL NOTICE FORECLOSURE AUCTION SALE MMX-CV-14-6012706-S Case Name: Onewest Bank N.A. v. Kristen L. Johansen, et al Property Address: 10 Cedar Street Essex, Connecticut Property: Residential Date of Sale: May 9, 2015

42. Farmington Independent: MORTGAGOR(S): Mary A. Hansen, a single person MORTGAGEE: Mountain Pacific Mortgage Company LENDER OR BROKER AND MORTGAGE ORIGINATOR STATED ON THE MORTGAGE: Mountain Pacific Mortgage Company SERVICER: OneWest Bank N.A.

DATE AND PLACE OF FILING: Filed November 27, 2007, Dakota County Recorder, as Document Number 2557780
ASSIGNMENTS OF MORTGAGE: Assigned to: Financial Freedom Senior Funding Corporation, a subsidiary of IndyMac Bank, F.S.B.; thereafter assigned to Mortgage Electronic Registration Systems, Inc. Thereafter assigned to OneWest Bank N.A.

41. Philly.com: CIVIL ACTION LAW  COURT OF COMMON PLEAS  PHILADELPHIA COUNTY  Number 140400230
OneWest Bank, FSB v.  Stephen D. Metas, Known Surviving Heir of Antoinette Metas, Deceased Mortgagor and Real Owner, Theresa Ann Freda, a/k/a Theresa Ann Metas, Known Surviving Heir of Antoinette Metas, Deceased Mortgagor and Real Owner,  Unknown Surviving Heirs of Antoinette Metas, Deceased Mortgagor and Real Owner, Christopher W.S. Metas, Known Surviving Heir of Antoinette Metas, Deceased Mortgagor and Real Owner, and Stephen D. Metas, Known Surviving Heir of Antoinette Metas, Deceased Mortgagor and Real Owner…

40. Amittyville Record: Premises being foreclosed: 150 Scott Avenue Deer Park, NY 11729 ACTION TO FORECLOSE MORTGAGE ON PROPERTY SITUATED IN SUFFOLK COUNTY SUPREME COURT OF THE STATE OF NEW YORK COUNTY OF SUFFOLK …………X OneWest Bank N.A. f/k/a OneWest Bank, FSB, Plaintiff, -against- Anna Lois Jones a/k/a Anna L. Jones and all the heirs at law, next of kin, distributees, devisees, grantees, trustees, lienors, creditors, assignees and successors in interest of any of the aforesaid defendants at law….

39. OneWest Bank NA v. Mary Sefner et al, foreclosure.

38. Onewest Bank v. unkown heirs, Mike T. Chytraus, Steve E. Chytraus, Elizabeth C. Nielson, Sudden Valley Community Association, United State of America, the state of Washington, occupants of the premises, foreclosure.

37. The Morning Journal: SHERIFF’S SALE OF REAL ESTATE Plaintiff: ONEWEST BANK N.A. Vs. Defendant: MICHAEL W. WILLIAMS, ET. AL. Case Number 14CV184651 Court of Common Pleas, Lorain County, Ohio In pursuance of an Order of Sale issued from said Court to me directed in the above entitled action, I will expose to sale, at public auction in the Commissioner’s Public hearing Room on the 4th floor of the Lorain County Administration Building, 226 Middle Ave., Elyria, Ohio on Wednesday, May 13, 2015 at 10:15 am or shortly thereafter the following described real estate

36. Asbury Park Press: Seized as the property of CARL GUNNAR SODERLING, ETC., ET ALS, and taken in execution at the suit of ONEWEST BANK, FSB, to be sold by Michael G. Mastronardy, Sheriff.

35. Daytona Beach News Journal: OneWest Bank NA v. Foye J. Hensarling, real property

34. Amityville Record: Date filed: 2/25/15 SUPPLEMENTAL SUMMONS Premises being foreclosed: 150 Scott Avenue Deer Park, NY 11729 ACTION TO FORECLOSE MORTGAGE ON PROPERTY SITUATED IN SUFFOLK COUNTY SUPREME COURT OF THE STATE OF NEW YORK COUNTY OF SUFFOLK …………X OneWest Bank N.A. f/k/a OneWest Bank, FSB, Plaintiff, -against- Anna Lois Jones a/k/a Anna L. Jones and all the heirs at law, next of kin, distributees, devisees, grantees, trustees, lienors, creditors, assignees and successors in interest…

33. The Vindicator: OneWest Bank NA v. Mary Sefner et al, foreclosure.

32. Alachua County Today: ONEWEST BANK, FSB, Plaintiff, JOHNNY L. WATTS et al,Defendant(s). NOTICE OF SALE PURSUANT TO CHAPTER 45 NOTICE IS HEREBY GIVEN Pursuant to a Final Judgment of Foreclosure dated 18 February, 2015, and entered in Case No. 01 2014 CA 000967 of the Circuit Court of the Eighth Judicial Circuit in and for Alachua County, Florida in which Onewest Bank, FSB, is the Plaintiff and Johnny L. Watts, Bertha L. Watts, United States of America Acting on Behalf of the Secretary of Housing and Urban Development,, are defendants, the Alachua County Clerk of the Circuit Court will sell to the highest and best bidder for cash in/on the lobby of the Alachua County Family/Civil Justice Center, 201 East University Avenue, Gainesville, FL 32601., Alachua County, Florida at 11:00AM on the 1st of May, 2015, the following described property as set forth in said Final Judgment of Foreclosure:

31. Daytona Beach News-Journal: OneWest Bank NA v. Jose A. Soto Rodriguez, real property

30. Daily Legal News: The Unknown Successor Trustees and/or Beneficiaries of the Kerver Family Revocable Living Trust dated February 22, 2002, whose last known address and present address are unknown, will take notice that on February 16, 2015, the undersigned, OneWest Bank N.A. c/o Financial Freedom, filed its complaint in the Court of Common Pleas, 1200 Ontario Street, Cleveland, Ohio 44113, of Cuyahoga County, Ohio, alleging that there is due the plaintiff the sum of $174,049.63 as of January 21, 2015, on a Home Equity Conversion Note secured by a mortgage deed of even date conveying the following described property to wit:

29. Daily Legal News: OneWest Bank, FSB c/o Financial Freedom, filed its complaint in the Court of Common Pleas, 1200 Ontario Street, Cleveland, Ohio 44113, of Cuyahoga County, Ohio, alleging that there is due the plaintiff the sum of $156,628.12 as of January 30, 2014, on a Home Equity Conversion Note secured by a mortgage deed of even date conveying the following described property to wit….Plaintiff further says that as the result of scrivener’s error and mutual mistake of fact between the parties thereto, the Granting Clause in the Home Equity Conversion Mortgage executed by the primary defendant does not contain the marital status of the mortgagor. Plaintiff is informed and believes that Marian Danzi was in fact unmarried at the time of the execution of the plaintiff’s mortgage. Because this mistake was the result of a scrivener’s error and mutual mistake of fact between the parties to said document, plaintiff is entitled to have the above described mortgage reformed to properly state “Marian Danzi, unmarried” in the Granting Clause of said mortgage. Plaintiff is further entitled to an order of this Court decreeing the property as described in Plaintiff’s mortgage be sold at Sheriff’s Sale.

28. Ashbury Park Press: Seized as the property of LANE A. CURTIS, ET AL, and taken in execution at the suit of ONEWEST BANK, FSB, to be sold by Michael G. Mastronardy, Sheriff.

27. Ashbury Park Press: Seized as the property of OSCAR C. CORLISS, ETC., ET ALS, and taken in execution at the suit of ONEWEST BANK, N.A., to be sold by Michael G. Mastronardy, Sheriff.

26. NewsLeaderOnline: ONEWEST BANK, FSB, Plaintiff, vs. THE UNKNOWN SPOUSE, HEIRS, BENEFICIARIES, DEVISEES, GRANTEES, ASSIGNEES, LIENOR, CREDITORS, TRUSTEES, AND ALL OTHER PARTIES CLAIMING AN INTEREST BY, THROUGH, UNDER OR AGAINST THE ESTATE OF FRANCES W. PACETTI A/K/A FRANCES PACETTI, DECEASED, et al,

25. Ashbury Park Press: OCEAN COUNTY SHERIFF’S SALE By virtue of the above stated writ, to me directed, issued out of the SUPERIOR COURT OF NEW JERSEY, CHANCERY DIVISION Docket No. F02315713 will be exposed to sale at public venue on TUESDAY the 7th DAY OF APRIL, A.D. 2015 between the hours of 12 o’clock and 5 o’clock (at 2 o’clock) Prevailing Time in the afternoon of said day at the Office of the Sheriff, Toms River, Township of Toms River, County of Ocean, New Jersey.Seized as the property of PETER JOHN VAIRO, ETC., ET ALS, and taken in execution at the suit of ONEWEST BANK, FSB, to be sold by Michael G. Mastronardy, Sheriff.

24. InYork: OneWest Bank N.A. v. Aron Richter, Known Surviving Heir of Isabelle R. Hooper, Deceased Mortgagor and Real Owner, Jennifer Richter, Known Surviving Heir of Isabelle R. Hooper, Deceased Mortgagor and Real Owner, John C. Hooper II, Known Surviving Heir of Isabelle R. Hooper, Deceased Mortgagor and Real Owner, Unknown Surviving Heirs of Isabelle R. Hooper, Deceased Mortgagor and Real Owner, and Sheree Hooper, Known Surviving Heir of Isabelle R. Hooper, Deceased Mortgagor and Real Owner NOTICE OF SHERIFF’S SALE OF REAL PROPERTY TO: Jennifer Richter, Known Surviving Heir of Isabelle R. Hooper, Deceased Mortgagor and Real Owner Your house (real estate) at 3009 Faith Lane, Red Lion, Pennsylvania 17356 is scheduled to be sold at Sheriff’s Sale on June 8, 2015 at 2:00 p.m. in the Sheriffs Office,York County Judicial Center, 45 North George Street, York, PA 17401 to enforce the court judgment of $139,995.17 obtained by OneWest Bank N.A. against you.

23. Eugene Weekly: ONEWEST BANK N.A., FKA ONEWEST BANK FSB, its successors in interest and/or assigns, Plaintiff, v. UNKNOWN HEIRS OF DOROTHY L. ROSDAHL; RICK R. ROSDAHL AKA RICK RAY ROSDAHL; DORA L. ROSDAHL;

22. Daily Legal News: 838024—Financial Freedom  OneWest Bank, N.A. vs. Lessie Curry aka Lessie Adams aka Lessie M. Curry, et al.

21. The Daytona Beach News-Journal: OneWest Bank NA v. Caryll A. Dunham, real property

20. Geuga County Maple Leaf: LEGAL NOTICE IN THE COURT OF COMMON PLEAS GEAUGA COUNTY, OHIO 14-F-000733 – OneWest Bank, N.A., Plaintiff vs. Daniel J. Sitkowski, aka Daniel Sitkowski, et al., Defendants

19. Lincoln Journal Star: By virtue of an order of sale issued by the District Court of Lancaster County, Nebraska, and pursuant to a decree of said Court in an action therein indexed at Case No. CI 14-1881, wherein OneWest Bank N.A. f/k/a OneWest Bank, FSB, is the plaintiff, and Charlotte Haas, Personal Representative of the Estate of Merlyn D. Brindley, Deceased, the Estate of Merlyn D. Brindley, the Heirs, Legatees, Devisees, Personal Representatives,

18. Knoxville News Sentinel: Shapiro and Ingle LLP, substitute trustee, to OneWest Bank, on Belt Road, $97,956.

17. Bradenton Herald: Richard Rowe et al, $485,191, Onewest Bank FSB, 2009-CA-007878, online.

16. Bradenton Herald: Rann Family Revocable Living Trust April 24, 1992 et al, $361,574, Onewest Bank FSB, 2013-CA-000692, online.

15. Middletown Press Classifieds: LEGAL NOTICE FORECLOSURE AUCTION SALE Docket No: MMX-CV14-6011234-S Case Name: OneWest Bank, FSB, OneWest Bank National Association vs. The Widower, Heirs and/or Creditors to the Estate of Shirley J. Rasmussen Property Address: 9 Woods Lane Clinton, CT Property Type: Residential Date of Sale: Saturday, April 11, 2015…

14.  Daily Legal News: Financial Freedom: 837783—OneWest Bank N.A. fka OneWest Bank, FSB vs. Jennifer Gayle Arshenovitz aka Jennifer Arshenovitz, et al. The unknown heirs, devisees, legatees, executors, administrators, spouses and assigns and the unknown guardians of minor and/or incompetent heirs of Bernard Arshenovitz, the place of residence of each being unknown, will take notice that on December 22, 2014, the undersigned, OneWest Bank N.A. fka OneWest Bank, FSB c/o Financial Freedom, filed its complaint in the Court of Common Pleas, 1200 Ontario Street, Cleveland, Ohio 44113, of Cuyahoga County, Ohio….

13.  News Leader Online: CASE NO.: 13-CA-000530-AXYX DIVISION: ONEWEST BANK, FSB, Plaintiff, vs. CLEO G COURSON, et al, Defendant(s). NOTICE OF SALE PURSUANT TO CHAPTER 45 NOTICE IS HEREBY GIVEN Pursuant to a Final Judgment of Foreclosure dated 2-10-15, and entered in Case No. 13-CA-000530-AXYX of the Circuit Court of the Fourth Judicial Circuit in and for Nassau County, Florida in which Onewest Bank, Fsb, is the Plaintiff and Dorothy Courson, Laura Gail Courson A/K/A Laura Gail Claxton, Nadine C. Courson, The Unknown Spouse, Heirs, Beneficiaries, Devisees, Grantees, Assignee, Lienors, Creditors, Trustees, and all other Parties claiming an interest by, through, under or against the Estate of Cleo G. Courson, Deceased….

12. TimesFreePress.com: SUBSTITUTE TRUSTEE’S SALE Sale at public auction will be on April 13, 2015 at 10:00AM local time, at the west door, Hamilton County Courthouse, 615 Walnut Street, Chattanooga, Tennessee, pursuant to Deed of Trust executed by John E. Clark, to Resource Real Estate Services, LLC, Trustee, on February 28, 2007 at Book GI 8266, Page 608; all of record in the Hamilton County Register’s Office. Party entitled to enforce security interest: OneWest Bank N.A, its successors and assigns 

11. Morning Sun Classifieds: FINANCIAL FREEDOM: MORTGAGE SALE – Default has been made in the conditions of a mortgage made by Shirley Henderson, fka Shirley A. Richardson, unmarried, original mortgagor(s), to Financial Freedom Senior Funding Corporation, a subsidiary of Lehman Brothers Bank, FSB, Mortgagee, dated January 31, 2003, and recorded on June 10, 2003 in Liber 1170 on Page 295, and assigned by mesne assignments to OneWest Bank N.A. as assignee as documented by an assignment, in Isabella county records, Michigan, on which mortgage there is claimed to be due at the date hereof the sum of Seventy-Four Thousand Three Hundred Thirty-Six and 60/100 Dollars ($74,336.60). Under the power of sale contained in said mortgage and the statute in such case made and provided, notice is hereby given that said mortgage will be foreclosed by a sale of the mortgaged premises, or some part of them, at public vendue, at the place of holding the circuit court within Isabella County, at 10:00 AM, on April 16, 2015.

10. Orlando Business Journal: ONEWEST BANK N.A., Plaintiff, vs. BONITA B. BEAR AKA BONITA B. BAGGETT, et al, Defendant(s). ________________________/ NOTICE OF SALE PURSUANT TO CHAPTER 45 NOTICE IS HEREBY GIVEN Pursuant to a Final Judgment of Foreclosure dated March 3, 2015, and entered in Case No. 35-2014-CA-001679 of the Circuit Court of the Fifth Judicial Circuit in and for Lake County, Florida in which OneWest Bank N.A., is the Plaintiff….

9. Daily Freeman Classifieds: SUPREME COURT – COUNTY OF ULSTER ONEWEST BANK, FSB, Plaintiff against CRAIG CRAWFORD, et al, Defendant(s). Pursuant to a Judgment of Foreclosure and Sale entered October 17, 2013.

8. The Times-Picayune: Michelle Drive 38212: Onewest Bank NA to OWB REO LLC, $50,000.

7. The McLeod County Chronicle: FINANCIAL FREEDOM MORTGAGEE: Cornerstone Mortgage Co.
LENDER OR BROKER AND MORTGAGE ORIGINATOR STATED ON THE MORTGAGE: Cornerstone Mortgage Co. SERVICER: OneWest Bank N.A.
DATE AND PLACE OF FILING: Filed April 2, 2009, McLeod County Recorder, as Document Number A-382814
ASSIGNMENTS OF MORTGAGE: Assigned to: Financial Freedom Senior Funding Corporation; Thereafter assigned to Mortgage Electronic Registration Systems, Inc.; thereafter assigned to OneWest Bank, N.A.
– See more at: http://www.glencoenews.com/content/foreclosure-reinert-1#sthash.j0KV10fe.dpuf

6. Daily Legal News: FINANCIAL FREEDOM 833316—OneWest Bank, N.A. vs. Carol McNeil, et al.

The unknown heirs, devisees, legatees, executors, administrators, spouses and assigns and the unknown guardians of minor and/or incompetent heirs of Carol McNeil, the place of residence of each being unknown, will take notice that on January 29, 2015, the undersigned, OneWest Bank, N.A. c/o Financial Freedom, filed its second amended complaint in the Court of Common Pleas, 1200 Ontario Street, Cleveland, Ohio 44113, of Cuyahoga County, Ohio, alleging that there is due the plaintiff the sum of $59,497.28 as of August 13, 2014, on a Home Equity Conversion Note secured by a mortgage deed of even date conveying the following described property to wit:

5. The Daytona Beach News-Journal: OneWest Bank FSB v. Georgette Derienzo, et al, 1150 Bryn Mawr Drive, Daytona Beach, single-family residence.

4. The Daytona Beach News-Journal: OneWest Bank FSB v. Stephen Perechodiuk, et al, 16 Oak Brook Drive, Ormond Beach, single-family residence.

3. MyCentralJersey.com: COUNTY OF MORRIS SUPERIOR COURT OF NEW JERSEY Morris County Chancery Division SHERIFF’S SALE NO. 15000105 DOCKET NO. F-35996-09 PLAINTIFF – ONEWEST BANK, FSB DEFENDANTS- EVA KELEMEN Writ of Execution. By virtue of the above stated Writ of Execution to me directed and delivered I will expose for sale at public vendue on Thursday THE 16th DAY OF April 2015 between the hours of two and five o’clock in the afternoon of said day, that is to say at 2:00 P.M.

2.The Beacon: SUPREME COURT – COUNTY OF SUFFOLK ONEWEST BANK, FSB,
V. CATHY Y. MORRIS, et al.
NOTICE OF SALE
NOTICE IS HEREBY
GIVEN pursuant to a Final Judgment of Foreclosure dated 10/5/10, and
entered in the Office of the
Clerk of the County of SUFFOLK, wherein ONEWEST
BANK, FSB is the Plaintiff
and CATHY Y. MORRIS, ET
AL. are the Defendant(s). I,

1. CASE NO.: 05-2013-CA-031056 DIVISION: ONEWEST BANK, FSB, Plaintiff, vs. THE UNKNOWN SUCCESSOR TRUSTEE(S) OF THE ARLEE L. MILLER REVOCABLE LIVING TRUST, DATED JANUARY 22, 1990 et al,

Twenty-One Unanswered Questions About the OneWest and CIT Group Merger

Why No Questions at OneWest Hearing

In February, the Federal Reserve and Office of the Comptroller of the Currency held a public hearing about the proposed merger of CIT Group and OneWest Bank. Public hearings are not held on every proposed bank merger, and some thought the hearing was held both in response to the record-breaking opposition to it, and in response to the many unique issues raised by this merger.

While advocates appreciated the regulators holding the hearing, they were also surprised that the regulators at the hearing didn’t ask the Bank CEOs, the supporters, or the opponents, any questions.

CT Financial News wrote “Yet, despite the size of the deal and the controversial issues it raises, regulators asked no questions of any of the public speakers, not even of Thain or Otting.”

It wasn’t for a lack of questions about the proposed merger.

CRC and other organizations have raised questions about the merger since October, but unfortunately the banks have declined to be transparent with the community.

While there is a long list of unanswered questions about this merger, we are including some of the more significant ones that have been raised since October when CRC initially announced our opposition to this merger.  For more information, see CRC’s Merger Resource Page where you can read the in-depth letters we have sent to the regulators.

Foreclosures

At the hearing, Joseph Otting, CEO of OneWest Bank, shared figures on the number of modifications OneWest has provided, but he didn’t share any numbers about foreclosures, improper foreclosures, or how many more people are facing foreclosure.

Mr. Otting’s testimony at the hearing:

Joseph Otting Testimony at Public Hearing

1) Is there a contradiction between the statement above and the outside indicators below about OneWest foreclosure practices?

They include:

2) How many families has OneWest Bank foreclosed on, both nationally and in California since buying the failed IndyMac Bank in 2009?

3) Has OneWest ever submitted a reimbursement claim to the FDIC for a wrongful foreclosure, such as this one?

OneWest Mortgage Fraud Case

4)  How many widowed, widower surviving spouses and other heirs, like these two sisters below, has OneWest’s reverse mortgage servicer subsidiary, Financial Freedom, foreclosed on since buying IndyMac in 2009?

Foreclosing on Heirs

5) How many homeowners, surviving spouses, and other heirs are in OneWest’s foreclosure pipeline right now?

6) Does OneWest Bank (and do regulators) believe that OneWest Bank is exempt from the California Homeowner Bill of Rights?

From the East Bay Express article: Saving the Homeowner Bill of Rights

Danny Barak, an attorney in Foondos’ law office, is currently appealing the decision before the Ninth Circuit Court of Appeals in hopes of reversing the lower court’s decision, and clarifying once and for all that federal savings banks like OneWest can’t claim preemption over California’s foreclosure protection laws. “I think that a Ninth Circuit ruling that the Homeowner Bill of Rights is not preempted by HOLA would end this problem once and for all,” said a hopeful Barak.

Attorneys representing OneWest Bank and representatives of the bank’s public relations firm, Sard Verbinnen & Company, did not respond to requests for comment for this report.

7) Homeowners are wondering-  Are there any contradictions between the statements like Mr. Thain’s (below) vs. the actions of the investors who bought this bank, knowing they would be foreclosing on tens of thousands of people and getting reimbursed by the FDIC for these foreclosure costs (to the tune of $2.4 billion)?

At the hearing, Mr. Thain, CEO of CIT Group, commented to the WSJ:

“I think the stories you’ve just heard [on the panels] are terrible.” He then referenced one example of people being thrown out of their house but blamed a federal rule he said needed to be changed.

8) If Mr. Thain is concerned about these foreclosures, is he willing to work with OneWest Bank, and/or with the regulators to reduce the number of preventable foreclosures and to ensure that surviving spouses aren’t being foreclosed and evicted from their homes?

Community Reinvestment

A day before the hearing, the two banks announced that they were switching plans for where CIT Bank, which collects deposits from around the US, would reinvest those deposits.  Instead of reinvesting the deposits in the communities where the money is collected, or even the top ten or twenty metropolitan areas where the deposits are collected, the banks announced that all of CIT Bank’s deposits would be reinvested in its LA Assessment area.  Here’s what one CRC member had to say about CRC and its members taking a principled stand that CIT Bank should reinvest its deposits in the communities from which it receives them:

“While we’d love the $$$ for southern California, I’m reminded of how Dorothy Richardson and her neighbors in Pittsburgh first staged a series of “sit-ins” at local banks because of the redlining in their neighborhood. Every neighborhood matters. Every family matters. Out of the strength of her convictions, Dorothy succeeded and the Neighborhood Reinvestment Corporation and NeighborWorks Network were formed. We must stand for what is right on behalf of all of our neighbors to ensure justice for everyone. Seems fitting during Black History Month.”

9) Why are CIT and OneWest only planning on reinvesting in LA, whereas the Community Reinvestment Act calls on banks to reinvest their deposits in the communities where they receive them?

10) If CIT Bank knows where the deposits are coming from, why doesn’t CIT Bank reinvest deposits in those communities?

11) Why did the bank CEOs change course on where the deposits would be invested?  Originally they were going to continue to only reinvest the deposits in Salt Lake City, UT.

12) Why did OneWest try to keep its CRA Strategic Plan confidential?

13) Since OneWest didn’t meet the reinvestment goals it set for itself in its CRA Strategic plan, what steps (if any) will OneWest take to improve?

Systemic Risk

Community advocates, who saw the damage caused by IndyMac Bank’s reckless lending and $13 billion failure, and who witnessed the $2.3 billion bailout provided to CIT Group, are still trying to understand:

 14) How is a larger, $70 billion bank is less risky than two smaller banks?

15) How is CIT Group less interconnected today than it was in 2008, when it received its bailout from taxpayers?  (ostensibly for small business owners, though as CNN pointed out, CIT Group actually made about 1,000 fewer small business loans)

CIT Group Small Biz Lending after TARP Bailout (CNN)

16)  How can taxpayers and regulators be assured that this new bank wouldn’t try to pressure taxpayers or regulators into another bailout, as CIT Group did in 2009 (for a 2nd bailout), before filing bankruptcy?

CIT Group Tries to Pressure FDIC

17)  If CIT Group isn’t concerned about systemic risk, why has it spent more than $6,500 a day during the past two years, lobbying on things like systemic risk?  From Opensecrets.org 

CIT Group Lobbying

Meeting Community Credit Needs

18)  Why does OneWest Bank only have two branches in low income communities?

OneWest Bank Branches

19)  Outside of  mobile banking, do the bank CEOs have plans to serve low-income consumers, especially given new research by the FDIC, which found:

 “Although mobile banking would appear to be an appealing substitute for bank office visits, and is a fast-growing option, it remains one of the least common ways for consumers to access their accounts.”  

20)  Is there a reason OneWest bank’s lending record to Asian borrowers is lower than the industry as a whole?

21)  Why is most of OneWest’s small business lending to businesses with greater than $1 million in gross revenue?

HUD Denied Our Fee Waiver for a FOIA Request About Reverse Mortgage Complaints

It would appear that HUD does not want CRC, nor the general public, to know more information about reverse mortgages, complaints about them, or foreclosures on surviving spouses.

In late 2014, we submitted a Freedom of Information Act (FOIA) request to HUD, asking, among other things for data related to:

  • the number of complaints that have been filed to HUD about reverse mortgages serviced by Financial Freedom;
  • any data on estimates of the number of non-borrowing spouses who could face foreclosure if their reverse mortgage borrowing spouse were to pass away;
  • the number of complaints made against Financial Freedom, a reverse mortgage servicer that is owned by OneWest Bank, a bank which is trying to merge with CIT Group; and
  • the number of foreclosures on surviving spouses by Financial Freedom since April 2009, and the number of foreclosures for the industry as a whole.

In December 2014, HUD denied our request for a fee waiver.   We appealed.

Today, we heard back that we have lost our appeal.  HUD’s letter to CRC suggests that we failed to meet the criteria that “the disclosure of the information would contribute significantly to the public’s understanding of government activities or operations.”

To understand why this is so problematic, consider why we submitted a FOIA request in the first place.

For years, reverse mortgage brokers have been telling couples that it is okay to remove the younger spouse from the title of the home in order for the older spouse to obtain a reverse mortgage.  Couples were told there was no chance the younger spouse would be kicked out if the older spouse were to pass away, or in other cases (like this one), they were told the younger spouse could be added onto the mortgage as soon as they turned 62.  All of this was done with HUD turning a blind eye to this practice.  Unfortunately, as the older spouses have passed away, reverse mortgage servicers have been moving to foreclose on the surviving spouse.

HUD is already being sued for enabling these foreclosures and as a result, a federal judge ordered HUD to develop a policy to assist theses non-borrowing, surviving spouses.  The policy that HUD announced in January is NOT expected to help any surviving spouses because it relies on the servicer’s discretion and because it would likely require the surviving spouse to come up with a large lump sum of cash.  For more on this, see today’s press release:  Advocates: Grandma May Get Run Over By HUD’s New Reverse Mortgage Policy

So, what should one conclude from HUD denying a fee waiver for our FOIA request because granting it would NOT contribute significantly to the public’s understanding of government activities or operations?

We feel the public would gain a lot from this knowledge.

A 2013 story below illustrate why we think it’s important for HUD to disclose this information.  Stay tuned to hear our next steps.

Reverse Mortgage Nightmare

WFMY News2Reverse Mortgage Nightmare: Widow Facing Foreclosure

WINSTON-SALEM, N.C.– In 2007, a knock at Barbara Freeman front door, came with a great opportunity: to be debt-free and take care of her sick husband.

This year, another knock at that same door was a sheriff’s deputy serving foreclosure papers — and that’s when her nightmare began.

The widow is now at the brink of losing everything she and her husband worked for all because of a reverse mortgage. In the most simplified terms, reverse mortgages differ from “regular mortgages” because in the latter, a homeowner makes monthly payments to a lender.

Watch the full story here: Reverse Mortgage Nightmare: Widow Facing Foreclosure

 

Lack of Single Point of Contact With Financial Freedom Reverse Mortgage (Owned by OneWest) Not Helpful for Heir

The testimony of Michael Allen, a surviving family member of a OneWest reverse mortgage borrower, about the proposed OneWest and CIT Group merger, is featured in its entirety below. If you were unable to attend the hearing, CRC live-blogged it here and you may also find our CIT Group/OneWest Merger resource page helpful as well. Pictures of the rally against the merger are available here.

TESTIMONY OF MICHAEL ALLEN

PUBLIC MEETING FEBRUARY 26, 2015, 8 AM to 4 PM

FEDERAL RESERVE BANK, LOS ANGELES BRANCH

Thank you for the opportunity to testify today.  My testimony is in opposition to the proposed merger of OneWest Bank and CIT Financial.

My name is Michael Allen.  I live in Phoenix, Arizona.  I am Successor Trustee for my mother, the borrower of a Financial Freedom reverse mortgage.

My mother’s intention for her estate was for her family to sell the home to repay the loan.  She died on June 12, 2014

At all times, I was in compliance with HUD regulations to the best of my ability based on the limited information provided by OneWest Bank.

OneWest Bank (OWB) did not provide a Single Point of Contact nor provide any guidance or instruction to help me satisfy the loan.

I initiated all calls to OWB and spoke to a different person with a different story and different reason to deny my requests.

OWB claimed they didn’t get my documents time after time.  THEY DID

OWB sent me a short sale packet twice after I wrote saying I wanted to pay the lesser amount of the loan balance.  The appraised value was about $35,000 more than the loan balance.

OWB refused to perform or pay for a HUD required appraisal.

I called OWB on October 1st to inform them a sale was in process.

On 11/3 I received notification that OWB had recorded a Notice of Trustee sale on September 29, approx 3 months after my mother’s death and 2 months after receipt of the repayment letter.

OWB used Arizona foreclosure laws to violate HUD regulations and my right to time to sell the property.

I called OWB  – they refused to postpone auction.

The auction was cancelled with HUD intervention.

OWB added foreclosure related legal fees and drive by appraisal fees to the payoff.

The only phone call I ever received from OWB was on December 19 to tell me they have no intention of removing the accelerated foreclosure fees.

My story is illustrative of OneWest Bank’s violation of my right to repay the loan, the acceleration of foreclosure, and the related legal and appraisal fees of $2,508.50 and an unidentified servicing advance of $1,839.00 we did not receive.

I should not have to pay for OneWest Bank’s violations of HUD regulations or my rights.

I request an Investigation, audit, and review of OWB Reverse Mortgage Loan Files

  • For the servicing violations of Federal Regulations and consumer rights
  • To ensure compliance with existing laws and regulations.

Thank You!

Documented evidence of my testimony can be provided upon request.

Delays by Financial Freedom Cost Family Heir Extra Money with Reverse Mortgage

The testimony of Elizabeth Lavulo, a surviving family member of a OneWest reverse mortgage borrower, about the proposed OneWest and CIT Group merger, is featured in its entirety below. If you were unable to attend the hearing, CRC live-blogged it here and you may also find our CIT Group/OneWest Merger resource page helpful as well. Pictures of the rally against the merger are available here.

TESTIMONY OF ELIZABETH LAVULO

PUBLIC MEETING FEBRUARY 26, 2015, 8 AM to 4 PM

FEDERAL RESERVE BANK, LOS ANGELES BRANCH

Thank you for the opportunity to testify today.  My testimony is in opposition to the proposed merger of OneWest Bank and CIT Financial.

My name is Elizabeth Lavulo.  My family property is located in Salt Lake City, Utah.  I am a Marketing and PR Executive.

When my Grandmother was sold a reverse mortgage her conditional acceptance was for her family to retain the property after her death.

When she passed away, I did everything according to HUD regulations to repay the loan.

Beginning with the repayment letter, One West Bank (OWB):

Did not provide a Single Point of Contact or anyone helpful.

OWB said they didn’t get my documents – time after time.  THEY DID

OWB claimed I did not have legal authority to speak to them or act on behalf of my grandmother’s estate – I DID

OWB Accelerated foreclosure 4 months after my Grandmother’s death

OWB refused to honor my letter of intent to repay the loan and refused to grant me the HUD authorized time to obtain a new loan.

I provided proof of loan approval multiple times

The OWB response:  3 attempts to auction the property in 6 weeks – on September 17th, October 17th and October 31st 2014.  It was only stopped with hours to spare by HUD intervention.

Escrow proceeded and certified funds were sent per the OWB loan payoff statement.

OWB refused to accept the certified funds and demanded additional legal fees because OWB chose to list the property for auction a 4th time.  OWB’s statement to escrow “If the additional fees for listing the property for auction are not paid immediately OWB will return the certified funds and auction the property.”

In order to close the loan I was forced to pay $2,015.60 in foreclosure related costs and legal fees for the decision of OWB to accelerate foreclosure and auction 4 times.

My story in illustrative of OneWest Bank’s refusal to allow consumers to repay reverse mortgage loans with certified funds, to accelerate foreclosure, and violate all federal regulations and consumer rights.

I request an Investigation, audit, and review of OWB Reverse Mortgage Loan Files

  • For the servicing violations of Federal Regulations and consumer rights
  • To ensure compliance with existing laws and regulations.

Thank You!

Documented evidence of my testimony can be provided upon request.

Inside One Family’s Financial Freedom Reverse Mortgage Nightmare

The testimony of Julie Cheney, a surviving family member of a OneWest reverse mortgage borrower, about the proposed OneWest and CIT Group merger, is featured in its entirety below. If you were unable to attend the hearing, CRC live-blogged it here and you may also find our CIT Group/OneWest Merger resource page helpful as well. Pictures of the rally against the merger are available here.

TESTIMONY OF JULIE CHENEY

PUBLIC MEETING FEBRUARY 26, 2015, 8 AM to 4 PM

FEDERAL RESERVE BANK, LOS ANGELES BRANCH

My name is Julie Cheney, I live in Simi Valley California and I am a computer programmer.

Thank you for the opportunity to testify today.  My testimony is in opposition to the proposed merger of OneWest Bank (OWB) and CIT Financial.

I was a Successor Trustee of my parents Trust when they were sold a Financial Freedom reverse mortgage they didn’t need, while my dad was in the last month of his life, with terminal cancer, on narcotic pain medication, and my mother had Alzheimer’s disease and could not complete a sentence.

A month after dad’s death we found the Financial Freedom loan docs and learned my parents received a lump sum of $80,000 that sat untouched in their bank account.

The nightmare began when we tried to give the money back to OneWest Bank 3 times over the course of a year after dad’s death.  OWB refused each time.

OneWest Bank knowingly and wrongfully foreclosed on our property 3 times.

The 1st Notice of Default (NOD) in 2010 falsely claimed mom didn’t occupy the property as her primary residence when OneWest Bank had verified evidence she did.  This NOD was rescinded with HUD intervention.

The 2nd NOD in 2012 cited the same 2010 occupancy default letter.

On the 2nd defective NOD we appealed to the court for an injunction and OneWest Bank voluntarily agreed to rescind the 2nd NOD.

The day the 2nd NOD was rescinded a third NOD was recorded concurrently.  OneWest Bank cut off all communication with us.

Finally, we received a letter from Gail Balettie Sr. VP of Reverser Mortgage Operations acknowledging our intention to retain the property but demanding certified funds within the 2 business days before the scheduled auction.  The payoff included an unverified loan balance, unauthorized legal fees and other foreclosure related fees for OWB’s 3 wrongful foreclosures.

Our property was wrongfully auctioned by OneWest Bank April 2, 2013

Over 8 years from 2005 to 2013 OneWest Bank:

Recorded false documents with the county recorder

Refused to accept annual occupancy certificates because they were not “certified” by a notary

Violated our HUD rights & all attempts to retain the property

Failed to provide a Single point of contact

Inflated an appraisal in order to prevent us from exercising the 95% option

Charged unauthorized legal, service and foreclosure related fees to the loan payoff

Wrongfully auctioned our property

All violations of federal regulations, consumer rights and protections were knowingly directed from the Senior Vice President level or higher.