Bank Settles Countrywide Mortgage Lawsuit

(AP)  Facing a lawsuit over deceptive mortgage practices, a Bank of America Corp. subsidiary has agreed to modify tens of thousands of loans to keep people in 11 states from losing their homes, the Illinois attorney general's office said Sunday.

Borrowers stuck with Countrywide Financial mortgages that they can't afford could see their interest rates reduced or have the loan principal cut. Some might qualify for having to pay nothing but interest for a decade. Even people who can't afford to keep their homes with such changes will be able to get help moving to a new home.

"This is going to provide a tremendous amount of relief," said Illinois Attorney General Lisa Madigan.

Her office and officials from California negotiated the settlement. Nine other states have also joined the settlement, and other states could sign on, said Deborah Hagan, chief of Madigan's Consumer Protection Division.

If all 50 states were to join, the settlement could provide $8.7 billion in relief to 400,000 borrowers, Hagan said.

In California alone, the settlement will offer $3.5 billion in relief. For Illinois, that would translate to $190 million. The total for the 11 states was not immediately available.

The settlement applies to people who obtained their mortgages through Countrywide Financial Corp., which Charlotte, N.C.-based Bank of America purchased in June, at the same time Illinois and California sued the company.

"Countrywide's lending practices turned the American dream into a nightmare for tens of thousands of families by putting them into loans they couldn't understand and ultimately couldn't afford," California Attorney General Jerry Brown Jr. said in a statement Sunday.

The other states joining the settlement are Arizona, Connecticut, Florida, Iowa, Michigan, North Carolina, Ohio, Texas and Washington.

Bank of America will launch the new mortgage aid program in December, said Barbara Desoer, president of Bank of America's mortgage, home equity and insurance services. In a statement, she called it "a comprehensive program that provides more solutions than ever before to assist troubled borrowers and put them back on the path to sustained home ownership."

The mortgage aid includes revising customers' payments so they don't exceed 34 percent of income. Other options include reducing interest rates and adjusting principal so that borrowers don't wind up actually losing equity under some payment plans.

Countrywide will not charge loan modification fees and will waive prepayment penalties.

Madigan said she hopes the settlement could serve as a model for steps that other lenders could take to make up for misleading mortgage practices. She stressed that the agreement involves no tax money but will help people keep their homes and keep money flowing to lenders

"This settlement will help homeowners stay in their homes, which ultimately helps investors and also helps communities," said Madigan, a Chicago Democrat.
By Associated Press Writer Christopher Wills

[hdaudball]

i got my home loan thougth country wide, i am one of those people should not have got there loan, i have been in my home for about five years,i have been trying to lower my payments, i was approved for trial payment, made the first on then b o a put a stop to it for no reason, for about one year an half i have going thought all there lies not knowing they did this to other people, boa tried to take 1900.00 dollars out of my checking accout with me not knowing i then closed that accout. boa charges me 15.00 dollars just to drive by my house to see if i am still there.when i read the comments i feel like i am not alone and i might have some hope. please let me know if i can be apart of this law suit. my email is [e-mail]
thank you

[TheGreatDane1957]

I'm in modification for the past 2 years... These people are just nuts.... I need an attorney in either St. Augustine or Jacksonville..

Please e-mail me @[e-mail] if anyone has been lucky enough w/these Nazi's!.....

[akim-shanghai]

After the mortgage crisis in 2008, Bank of America has been suffering to recover its finanacial state. However, the recent rejection by the Fed on the dividend increase in the second half of 2011 indicates that BOA is still the last in line with the consumer loans and capital assets.

[Bofalawsuit]

If it walks like a piggy, talks like a piggy, by golly it?s a PIGGY!

BofA and it?s CEO Brian Moynihan reminds me of that song by John Lennon and George Harrison titled "Piggies" I invite you to listen to this song on youtube and see if it appropriately fits. http://www.youtube.com/watch?v=MIopI2isIKc&amp;feature=related</P

Have you seen the little piggies
Crawling in the dirt
And for all the little piggies
Life is getting worse
Always having dirt to play around in.

Have you seen the bigger piggies
In their starched white shirts
You will find the bigger piggies
Stirring up the dirt
Always have clean shirts to play around in.

In their ties with all their backing
They don't care what goes on around
In their eyes there's something lacking
What they need's a damn good whacking.

Everywhere there's lots of piggies
Living piggy lives
You can see them out for dinner
With their piggy wives
Clutching forks and knives to eat their bacon.

Wright vs. Bank of America Lawsuit at: unitedlawgroup.com

When I filed my lawsuit against Bank of America, myself and United Law Group thought of the many others out there in the same situation. It was then that we decided to educate the public on what these piggy banks are doing, as well as unite us all together as one voice. Please help me turn this David vs. Goliath modification process, into a Goliath vs. Goliath.

Please stand with me and United Law Group and send an email to Bank of America that states that we will no longer tolerate their potentially illegal, fraudulent, irregular and abusive business methods.

Divided we might have fell America, but united we must stand!

Please send your email directly to Bank of America and include the following:

1. Your name
2. Your complaint concerning your experience with Bank of America.
3. Please end your email ?I support John Wright vs. BofA Lawsuit!?
4. Please send a copy of your email to [e-mail]
5. Please send your email to both BofA link below and the CEO email


BofA Linked Email:
https://www3.bankofamerica.com/contact/?lob=general&contact_returnto=&state=VA

CEO Brian Moynihan:
[e-mail]

[steveinmiami]

I am seeking a law firm or fairness action agency that is willing to bring a class action suit against a the mortgage company in south Florida for illegal mortgage practice e.g.. deception, making false statements, predatory lending, illegal foreclosures and conspiracy with members of county Building dept. to illegally acquire and targeting properties in middleclass &#38; minority areas for development '06, '07, 08 real estate boom. I have documents supporting and media tapes to prove to support my case. Greedy practices like this has caused the real estate crash at consumers expense. I was splashed all over the networks when I stood-up to their scams. I exposed them they are afraid of media attention. Like thief?s always afraid of light.

[L_phillips]

[e-mail] Same here. Countrywide gave us 2 seperate mortgages at the same time. They stuck us in an adjustable loan that we could not afford. App. 2 months after we assumed the loans CW sold our smaller loan to HSBC home loans. In Sept.2008 our large loan went up drasticly. We attempted 3 times to refinance our loans with CW and they denied us all three times. It cost us about $1000 for appraisals. In October of 2008 I lost my job due to state cut backs and my husbands miles got cut as a truck driver. 3 months ago we had no choice but to file bankruptcy and surrender our home. We will be forced out of our home in a few months. In Sept.2009 we supposibly qualified for the remodification loan through CW. After signing some forms, that was suppose to get our new loan approved CW representatives stated that our home was already put into foreclosure. I contacted one of the supervisors at CW and she told me that she did not understand what was going on but, she promised me that she would look into it for me and let me know within 24 hours. I never heard from her. I have documented every time that I have contacted CW and whom I spoke to. I was continously given the run around by everyone that I spoke to. I finally gave up. No one would help us. I feel CW took advantage of us and they need to be held accountable for their actions. If someone can help us save our home please e-mail me. Thanks LP

[JAMESYANG1]

Yes, same here. Countrywide also give me a very bad loan which I can not afford it. I have been paying for two years and my bank account was empty. I try to work with countrywide to see if they can get my mortgage down. They told me if I can not long pay for it then just give it up for them. I have no choice but to gave it up and file bankrupcy. It's a heart breaking. I would like to know if anyone of you know how do I joint this lawsuit. Please let me know because I have lose my life time saving. I feel like someone just point a gun to my head and take my money away.

[2ManyPups]

We're in the process of putting together a mass tort suite against Countrywide and the Bank of New York for what we believe was real estate fraud. If you're in Northern California and believe you have been defrauded, see our website at infocaref.com, e-mail us with information about your case, and we'll try to help you get in contact with the authorities and our attorney (if your case qualifies). We're hoping to have the suits filed in Federal Court within another month.

[josierippey]

Hi! its me again from the earlier comment.
My e-mail is [e-mail] if anyone wants to write or can write on this comment board on how we can get a hold of the atty or an atty that is willing to help us fight against Countrywide before we loss our homes.
Anyone know an atty that can help us or can reach the atty that originally handled the first lawsuit.? I am getting sick of the posibility of lossing my home.

[josierippey]

I also am a victim of Countrywide aka Bank of America. I applied 3-4-09 to get a modification for affordability program that i am eligible for. They been stringing me around one day Yes, then No, rejected my Jan pymt after being told to pay at bank of america in person.To make matters worse they have not returned my money making me more delinquent telling me its bank at the bank, then mail..still no money back. Now they wouldn't take anymore pymts just to get me into foreclose. I can't loss my home i am hoping others will look into starting a class action suit again against CW. They will not help people they are just trying to take peoples homes away. I sent a complaint to fl state atty office, congressman and HUD and Fannie Mae has CW mortages. Please all of us lets do something FAST.