Defend Your Dollars

Mortgages

Sound mortgage financing makes it possible for people to own their own homes, build a credit history by making timely payments, and invest in an important asset that can stabilize a community and help build personal wealth. For most homeowners, a mortgage is a fact of life. The economic downturn and foreclosure crisis has revealed serious problems with how mortgages have been sold. Consumers Union calls for new solutions to avert future mortgage meltdowns and to increase the number of loan modifications to prevent unnecessary foreclosures.

Follow these steps if you find that you are unable to make your mortgage payments. There are many foreclosure counseling options and other resources available to you.

Publications

• Get Real Debt Help, Not Empty Promises
  Posted 05/18/11 at 1:49 pm

  Tips from Consumer Action, Consumers Union, Consumer Federation of America, and the National Consumer Law Center®

• Reverse mortgage tips for consumers
  Posted 12/07/10 at 10:55 am

  If you need cash, consider alternatives to a reverse mortgage first

• CU comment on SEC’s proposed rules re: asset-backed securities
  Posted 08/09/10 at 10:08 am

  Consumers Union comments on SEC File Number 27-08-10

• CUs comments to the FTC re: Mortgage Assistance Relief Services—Proposed Rulemaking
  Posted 03/26/10 at 10:22 am

  Mortgage Assistance Relief Services – Proposed Rulemaking; Rule No. R911003

• Supporting comments for FDIC mortgage securitization reform
  Posted 02/12/10 at 9:46 am

  February 12, 2010   Mr. Robert. E. Feldman Executive Secretary Federal Deposit Insurance Corporation 550 17th Street, N.W. Washington, D.C. 20429 Via email: http://www.FDIC.gov/regulations/laws/federal/notices.html.   Re: RIN # 3064-AD55–Advance Notice of Proposed Rulemaking Regarding Treatment by the Federal Deposit Insurance Corporation as Conservator or Receiver of Financial Assets Transferred by an Insured Depository Institution in Continue Reading

• Who is making loan modifications for homeowners?
  Posted 01/26/10 at 10:04 am

  The HAMP program is a $75 billion federal initiative designed to aid our nation’s economic recovery from the deep financial crisis caused by putting too many borrowers into loans they could not afford. Taxpayer dollars are being spent to prop up the lender/servicers participating in HAMP by paying them incentives to put eligible borrowers into Continue Reading

• It’s time Washington looks out for us!
  Posted 01/25/10 at 1:18 pm

  If you don’t think it matters having an aggressive watchdog in Washington looking out for consumers, just consider your credit card bill.

  The full House just approved a new financial sheriff – now we need the Senate to do the same so we don’t have to endure more abusive tactics. Tell your Senators you want a watchdog who looks out for us.

• Comments to the Federal Reserve regarding proposed amendments the Truth in Lending Act’s disclosure rules on Open-End credit
  Posted 12/22/09 at 10:25 am

  December 22, 2009 Jennifer J. Johnson Secretary Board of Governors of the Federal Reserve System 20th Street and Constitution Avenue, N.W. Washington, D.C. 20551 Via email: regs.comments@federalreserve.gov VIA FACSIMILE: (202) 452-3819 Re: Docket No. R-1367 Consumers Union’s Comments on Proposed Changes to Regulation Z for Home Secured Open-End Credit Dear Chairman Bernanke, Members of the Continue Reading

• Letter to the Federal Reserve regarding proposal to amend the Truth in Lending Act’s disclosure rules on Closed-End credit
  Posted at 9:56 am

  December 22, 2009 Jennifer J. Johnson Secretary Board of Governors of the Federal Reserve System 20th Street and Constitution Avenue, N.W. Washington, D.C. 20551 Via email: regs.comments@federalreserve.gov VIA FACSIMILE: (202) 452-3819 Re: Truth in Lending—Proposed Rule: Regulation Z Part 226; Docket No. R-1366 Dear Chairman Bernanke, Members of the Board, and Board Secretary Johnson: Consumers Continue Reading

• State of Foreclosure: Progress and Solutions
  Posted 11/19/09 at 1:39 pm

  State of Foreclosure: Progress and Solutions Thursday, November 12, 2009 10:00 a.m. California State Capitol, Sacramento Room 447 Consumer Perspective on Foreclosure Mediation Norma Garcia, Senior Attorney, Consumer’s Union To watch a webcast of this hearing click here.

Press Releases

• CU Urges California Lawmakers To Protect Homeowners From Foreclosure Abuses
  Posted 04/12/12 at 3:04 am

  Key votes On “California Homeowner Bill of Rights” scheduled next week

• CFPB’s draft rules for mortgage servicers would help consumers avoid foreclosure
  Posted 04/11/12 at 12:30 am

  Rules for mortgage servicers would avoid foreclosure, cut through the clutter of mortgage statements

• $25 billion deal announced on foreclosure abuses
  Posted 02/09/12 at 1:07 pm

  Settlement is a “down payment” on what’s needed to hold banks accountable and assist homeowners

• Reverse mortgages can be risky & costly for seniors
  Posted 12/07/10 at 8:34 am

  New report highlights concerns about the growing reverse mortgage market and the need for stronger oversight

• CU praises FTC rule aimed at mortgage-relief scams
  Posted 11/19/10 at 11:12 am

  The rule cracks down on companies that rip off homeowners who are struggling to pay their mortgages

• Consumers Union Joins Call for Nationwide Moratorium on Home Foreclosures
  Posted 10/08/10 at 10:48 am

  Lenders and servicers should be required to obtain regulatory certification of compliance

• Senator Dodd Unveils Discussion Draft for Financial Reform
  Posted 11/13/09 at 2:48 pm

  The draft includes the creation of a Consumer Financial Protection Agency, an independent watchdog to crack down on abusive lending terms, hidden fees, and other tactics employed by some financial service providers.

• Obama Foreclosure Plan: Statement by Consumers Union
  Posted 02/19/09 at 6:23 am

  Obama Foreclosure Plan: Statement by Consumers Union WASHINGTON, D.C., February 18, 2009 – The Obama administration’s plan to fight foreclosures provides long overdue help to Americans at risk of losing their homes, according to Consumers Union, the nonprofit publisher of Consumer Reports magazine. President Obama today unveiled a $75 billion foreclosure prevention program aimed at Continue Reading

• Foreclosure plan offers hope for homeowners
  Posted 02/18/09 at 1:11 pm

  Obama’s $75 billion foreclosure prevention program aims to spur banks to make at-risk mortgages more affordable

• CU: Foreclosure moratorium needed now
  Posted 02/11/09 at 4:57 pm

  Obama administration urged to call on lenders to halt foreclosures for Americans at risk of losing their homes.

Blog Posts

• Consumer Beware: Scams Related to the National Mortgage Settlement
  Posted 02/27/12 at 10:59 am

  By Norma Garcia The Department of Justice and the 49 attorneys general who are parties to the National Mortgage Settlement reached on February 10th with the five major banks/servicers are warning the public to beware of scams related to the settlement.  There are already scammers at work pitching their services to the unwary, trying to Continue Reading

• The Mortgage Meltdown—Rampant Foreclosure Filing Improprieties Found in San Francisco
  Posted 02/24/12 at 2:56 pm

  by Norma Garcia On Thursday, February 16, 2012, San Francisco’s Assessor-Recorder Phil Ting announced the findings of the City’s audit on foreclosure filings , discussed in the New York Times. The audit found rampant foreclosure improprieties, including one or more irregularities in 99% of the subject loans and in 84% of the loans, the office Continue Reading

• $25 Billion Mortgage Deal Is A “Down Payment”
  Posted 02/09/12 at 3:06 pm

  $25 Billion Mortgage Deal Is A “Down Payment” on Helping Struggling Homeowners and Holding Banks Accountable Thorough Investigation of Bank’s Role In Nation’s Financial Collapse Still Needed The U.S. Department of Justice and Attorneys General from 49 states announced a$25 billion settlement today with five major banks in the country to settle allegations of fraudulent robo-signing of Continue Reading

• New details announced on Obama’s mortgage crisis investigation
  Posted 01/27/12 at 11:46 am

  In his State of the Union Address on Tuesday, President Obama announced the creation of a special new joint federal-state Task Force charged with investigating the mortgage crisis and the resulting damage to homeowners and investors.  The Task Force is known as the Residential Mortgage-Backed Securities Working Group.  President Obama announced that New York Attorney Continue Reading

• US Government To Sue Big Banks Over Mortgage Crisis
  Posted 09/02/11 at 11:24 am

  Too big to fail doesn’t mean too big to do the right thing

• Bank of America To Pay 8.5 Billion To Investors
  Posted 06/30/11 at 9:50 am

  Investors get theirs but what about the rest of America?

• Too Big to Fail? Not When it Comes to Helping Homeowners
  Posted 06/15/11 at 11:06 am

  A Failing Grade for Nation’s Largest Banks
  By Viviana Santiago

• Is There Life After Foreclosure?
  Posted 06/06/11 at 9:21 am

  By Norma Garcia

  Giving Credit Where Credit is Due: According to New TransUnion Report, “Mortgage-Only Defaulters Not as Risky as Expected”

• Nationwide Moratorium on Home Foreclosures Needed
  Posted 10/08/10 at 10:37 am

  A nationwide moratorium on home foreclosures is needed in light of recent revelations that some lenders failed to comply with laws requiring proper documentation governing foreclosures.

• How to protect against another Mortgage Meltdown? Require Skin in the Game
  Posted 08/09/10 at 10:20 am

  By Norma Garcia:The SEC has proposed requiring the sponsors of asset backed securities to keep some “skin in the game” or in other words, retain some of the risk on mortgages that are pooled together and sold as securities to investors.