AG Coakley Settles with H – R Block for $125 Million #canadian #mortgage #calculator


#option one mortgage

#

Media Inquiries:
Amie Breton
617-727-2543

For Immediate Release – August 09, 2011

H R BLOCK Mortgage Company Will Provide $125 Million in Loan Modifications and Restitution

Settlement With AG Coakley s Office Resolves Allegations of Unfair Lending and Discriminatory Practices Against Thousands of Latino and African-American Borrowers by Major Subprime Lender

BOSTON – Resolving claims of unfair and discriminatory lending practices, Sand Canyon (formerly known as Option One) will modify thousands of Massachusetts homeowners loans and make a significant payment to the Commonwealth as part of a settlement valued at $125 million, Attorney General Martha Coakley announced today.

View and Listen to Press Conference Media:

The settlement with AG Coakley s Office was filed late yesterday in Suffolk Superior Court. It requires the mortgage originator, a subsidiary of H R Block, Inc. to pay $9.8 million to the Commonwealth and to direct American Home Mortgage Servicing, Inc. ( AHMSI ), the current servicer of approximately 5,500 Option One loans in Massachusetts, to institute an aggressive loan modification program that will provide an estimated $115 million in additional relief.

Option One made loans that it knew were likely to fail and it discriminated against African-American and Latino borrowers, Attorney General Coakley said. Its blatant disregard for prudent underwriting standards contributed to the economic downturn we still find ourselves in today. Like our other cases against mortgage lenders and their Wall Street facilitators, this case holds this corporation accountable and provides much needed relief to homeowners.

Option One originated approximately 32,400 loans in Massachusetts between 2004 and 2007, at which point the subprime market collapsed and it ceased its lending operations nationwide. Many of Option One s loans featured multiple risk features such as:

  • excessive debt-to-income ratios;
  • high loan-to-value ratios;
  • stated income or similar features that did not require borrowers to document their income or assets; and
  • underwriting that qualified borrowers based on their ability to make payments at an introductory, or teaser, interest rate instead of their ability to pay beyond the two- or three-year introductory period.

The Attorney General s lawsuit alleged that the risk-layered loans were unfair because they posed an excessive risk of default and foreclosure, as evidenced by their very high loan default rate. The lawsuit also asserted that Option One knew that loans with such risk characteristics were doomed to fail but that it originated them nonetheless in order to sell them to the secondary market and realize a profit.

The Attorney General also alleged that Option One s discretionary pricing policies gave mortgage brokers free reign to charge excessive and unjustified fees, causing Black and Latino borrowers to pay more money, on average, for their loans. In 2008, when the lawsuit was filed, it was the first by a state s Attorney General s Office alleging civil rights claims against a subprime lender. Option One originated loans to approximately 4,400 Black and Latino borrowers between 2004 and 2007.

Distressed borrowers, who still have an Option One loan, are eligible for loan modifications that include significant write-downs of principal balances and reduction of interest rates, depending on the prevalence of certain risk features in the loan.

Many Massachusetts borrowers will receive loan modification relief that includes significant principal forgiveness. For borrowers struggling to make mortgage payments, who are 45 or more days delinquent on their loan, Option One will direct AHMSI, which services loans originated by Option One, to modify loans to achieve affordable monthly payments for borrowers. Generally, borrowers monthly payments will be reduced to between 31% and 36% of their monthly income.

Borrowers who received the riskiest loans, burdened with a high debt-to-income ratio and a high loan-to-value ratio, will be eligible for an even greater monthly payment reduction. The specifics of how much principal will be forgiven through each loan modification will depend on the characteristics of each loan at the time of origination. Borrowers who received the riskiest loans will be eligible to have the outstanding principal balance on their loan reduced to 100% of the current value of their home, which in many instances has experienced significant depreciation since the loan was made.

The modification program will make it easier for homeowners to keep their homes and even begin to acquire some equity, Attorney General Coakley said. For several years now, many homeowners have been living underwater – owing more than their homes are worth. This modification program will change that situation for many Option One borrowers, and corrects the unreasonable risks they were exposed to when the loan was made.

In addition to agreeing to implement the loan modification program, Option One will pay $9.8 million to the Commonwealth. The settlement includes $8 million in consumer relief, $1 million for fees and costs, and $800,000 in exchange for a release of civil penalties. The consumer relief will be used to rectify the negative impact of mortgage foreclosures and predatory and discriminatory lending practices, including providing direct restitution to Option One borrowers and implementing programs to mitigate the impact of the foreclosure crisis in Massachusetts.

AG Coakley s Leadership During Lending Crisis

Attorney General Coakley is a national leader in bringing actions on behalf of homeowners against companies relating to their role in the subprime market place. Over the past three years, AG Coakley has obtained recoveries from Morgan Stanley, Goldman Sachs. and Fremont Investment and Loan. for their roles in the subprime lending crisis. As a result of these actions, her office has recovered more than$563 millionin relief for investors and borrowers, helped keep more than24,700 homeownersin their homes, and returned nearly$52 millionin taxpayer funds back to the Commonwealth.

The case was handled by Assistant Attorney General Gabriel O Malley of Attorney General Coakley s Consumer Protection Division and Jonathan Miller of Attorney General Coakley s Civil Rights Division, with assistance from Chris Barry-Smith, Chief of the Public Protection and Advocacy Bureau, and Assistant Attorneys General Shannon Choy-Seymour, Patricio Rossi, Gabrielle Viator, David Monahan, John Stephan, and Gillian Feiner.


Welcome To The H #current #mortgage #loan #rates


#mortgage relief program

#

What Is HARP ?

The HARP program can help!

The Home Affordable Refinance Program , also known as HARP , is a federal program of the United States, set up by the Federal Housing Finance Agency in March 2009 to help underwater and near-underwater homeowners refinance their mortgages. Join the 900,000+ people who have benefited from the Home Affordable Refinance Program !

Click HERE to get started.

When Does It End?

The Home Affordable Refinance Program has been extended!

In an effort to enable more struggling homeowners to take advantage of the Home Affordable Refinance Program , we have extended the application deadline of the program to September 30, 2017. HARP has also expanded the eligibility criteria for MHA to be able to offer assistance to more struggling homeowners.

For more information about HARP eligibility and requirements, CLICK HERE

Why Refinance?

The HARP program can help!

If you’re not behind on your mortgage payments but have been unable to get traditional refinancing because the value of your home has declined, you may be eligible to refinance through the Home Affordable Refinance Program (HARP ). HARP is designed to help you get a new, more affordable, more stable mortgage. HARP refinance loans require a loan application and underwriting process.

For more information about HARP eligibility and requirements, CLICK HERE

How Do I Begin?

How do I apply for a refinance under HARP ?

It’s as easy as clicking HERE! A HARP specialist will analyze your data and contact you.

Generally, you will need the following documents available when the specialist contacts you:
1. Your most recent income tax return
2. Information about any junior lien mortgage on the house
3. Account balances and monthly payments on all of your debts

Home Affordable Refinance Program and HARP are federally registered trademarks of the Federal Housing Finance Agency. harpprogram.org is not associated with FHFA or any related government program.

Helpful Articles

Social Links

Helpful Videos

See If You Qualify


Welcome To The H #jumbo #mortgage #loans


#mortgage relief program

#

What Is HARP ?

The HARP program can help!

The Home Affordable Refinance Program , also known as HARP , is a federal program of the United States, set up by the Federal Housing Finance Agency in March 2009 to help underwater and near-underwater homeowners refinance their mortgages. Join the 900,000+ people who have benefited from the Home Affordable Refinance Program !

Click HERE to get started.

When Does It End?

The Home Affordable Refinance Program has been extended!

In an effort to enable more struggling homeowners to take advantage of the Home Affordable Refinance Program , we have extended the application deadline of the program to September 30, 2017. HARP has also expanded the eligibility criteria for MHA to be able to offer assistance to more struggling homeowners.

For more information about HARP eligibility and requirements, CLICK HERE

Why Refinance?

The HARP program can help!

If you’re not behind on your mortgage payments but have been unable to get traditional refinancing because the value of your home has declined, you may be eligible to refinance through the Home Affordable Refinance Program (HARP ). HARP is designed to help you get a new, more affordable, more stable mortgage. HARP refinance loans require a loan application and underwriting process.

For more information about HARP eligibility and requirements, CLICK HERE

How Do I Begin?

How do I apply for a refinance under HARP ?

It’s as easy as clicking HERE! A HARP specialist will analyze your data and contact you.

Generally, you will need the following documents available when the specialist contacts you:
1. Your most recent income tax return
2. Information about any junior lien mortgage on the house
3. Account balances and monthly payments on all of your debts

Home Affordable Refinance Program and HARP are federally registered trademarks of the Federal Housing Finance Agency. harpprogram.org is not associated with FHFA or any related government program.

Helpful Articles

Social Links

Helpful Videos

See If You Qualify


Welcome To The H #mortgage #advice


#mortgage relief program

#

What Is HARP ?

The HARP program can help!

The Home Affordable Refinance Program , also known as HARP , is a federal program of the United States, set up by the Federal Housing Finance Agency in March 2009 to help underwater and near-underwater homeowners refinance their mortgages. Join the 900,000+ people who have benefited from the Home Affordable Refinance Program !

Click HERE to get started.

When Does It End?

The Home Affordable Refinance Program has been extended!

In an effort to enable more struggling homeowners to take advantage of the Home Affordable Refinance Program , we have extended the application deadline of the program to September 30, 2017. HARP has also expanded the eligibility criteria for MHA to be able to offer assistance to more struggling homeowners.

For more information about HARP eligibility and requirements, CLICK HERE

Why Refinance?

The HARP program can help!

If you’re not behind on your mortgage payments but have been unable to get traditional refinancing because the value of your home has declined, you may be eligible to refinance through the Home Affordable Refinance Program (HARP ). HARP is designed to help you get a new, more affordable, more stable mortgage. HARP refinance loans require a loan application and underwriting process.

For more information about HARP eligibility and requirements, CLICK HERE

How Do I Begin?

How do I apply for a refinance under HARP ?

It’s as easy as clicking HERE! A HARP specialist will analyze your data and contact you.

Generally, you will need the following documents available when the specialist contacts you:
1. Your most recent income tax return
2. Information about any junior lien mortgage on the house
3. Account balances and monthly payments on all of your debts

Home Affordable Refinance Program and HARP are federally registered trademarks of the Federal Housing Finance Agency. harpprogram.org is not associated with FHFA or any related government program.

Helpful Articles

Social Links

Helpful Videos

See If You Qualify


Welcome To The H #mortgage #calculator #uk


#mortgage relief program

#

What Is HARP ?

The HARP program can help!

The Home Affordable Refinance Program , also known as HARP , is a federal program of the United States, set up by the Federal Housing Finance Agency in March 2009 to help underwater and near-underwater homeowners refinance their mortgages. Join the 900,000+ people who have benefited from the Home Affordable Refinance Program !

Click HERE to get started.

When Does It End?

The Home Affordable Refinance Program has been extended!

In an effort to enable more struggling homeowners to take advantage of the Home Affordable Refinance Program , we have extended the application deadline of the program to September 30, 2017. HARP has also expanded the eligibility criteria for MHA to be able to offer assistance to more struggling homeowners.

For more information about HARP eligibility and requirements, CLICK HERE

Why Refinance?

The HARP program can help!

If you’re not behind on your mortgage payments but have been unable to get traditional refinancing because the value of your home has declined, you may be eligible to refinance through the Home Affordable Refinance Program (HARP ). HARP is designed to help you get a new, more affordable, more stable mortgage. HARP refinance loans require a loan application and underwriting process.

For more information about HARP eligibility and requirements, CLICK HERE

How Do I Begin?

How do I apply for a refinance under HARP ?

It’s as easy as clicking HERE! A HARP specialist will analyze your data and contact you.

Generally, you will need the following documents available when the specialist contacts you:
1. Your most recent income tax return
2. Information about any junior lien mortgage on the house
3. Account balances and monthly payments on all of your debts

Home Affordable Refinance Program and HARP are federally registered trademarks of the Federal Housing Finance Agency. harpprogram.org is not associated with FHFA or any related government program.

Helpful Articles

Social Links

Helpful Videos

See If You Qualify


LUKE SHORT, GAMBLER AND GUNFIGHTER #dodge #city, #kansas, #dodge #city #peace #commission, #lawman, #lawmen, #gunfighters,


#

Luke Short was grabbed from behind and pulled off the boardwalk in front of the Oriental Saloon. He whirled and saw Charlie Storms beginning to draw. Luke pulled his short barreled Colt and fired. The .45 caliber bullet slammed into Storms’ heart, blew him backwards, and set his shirt afire. Luke shot him again as he went down.
He stood there a moment looking down at Storms, then turned to Masterson. You sure as hell pick some of the damnedest people for friends, Bat!

Luke Short, Tombstone, Arizona Territory Feb. 25, 1881

Almost all historians have depicted Luke Short as a citified dandy gambler, probably because so little was known about his early years, but Wayne Short, Luke’s great-nephew has changed that view with his new biography.

Luke, who left home at thirteen after cutting up the school bully, indeed, was fastidious in his dress, but for six years he was a thirty dollar-a-month cowhand on the dangerous longhorn drives from Texas to the Kansas rail towns. He hunted buffalo for their hides during the heydays of 1874-75, scouted and rode dispatch for General Crook and Major Thornburgh during the Sioux and Cheyenne uprising of 1876-78, traded with the Sioux and Cheyenne around Camp Robinson in northwestern Nebraska and finally was arrested for trading whiskey to the Indians for buffalo robes.

He escaped from the army escort which was taking him to Omaha on the train and made his way to Denver and never worked again except as a high rolling professional gambler in the cowtowns and mining camps all over the west. He was no slouch with a six-shooter, either. This enigmatic man was close friends with Bat Masterson and Wyatt Earp and shot it out with some of the deadliest gunmen of that era.

“They called him ‘The Undertaker’s Friend,’ because he shot ’em where it didn’t show.”—Stewart H. Holbrook

Luke Short: A Biography
This is the first full biography of the famous gambler, and his story is told by his great-nephew, Wayne Short.

Here is what two reviews said about “Luke Short: A Biography”:

“Luke Short: A Biography” is an immensely readable account not just of the adventure-packed life of its subject — one that was brief even for its times; he was 39 when he died in 1893 — but of the period in which he lived. A friend of Wyatt Earp and Bat Masterson, and a veteran of the Dodge City Saloon War, Luke Short roamed the West working a variety of jobs. He killed a man in Tombstone in 1881.

Wayne Short has worked with family records and recollections as well as published documents to chronicle his colorful relative. In an earlier biography for which Wayne Short supplied data, the author wrote, “Luke Short’s personal tragedy was that in less than 40 years he outlived his times.”

J.C. Martin
The Arizona Daily Star

“Wayne Short, the author who gave us those great Alaskan books: “The Cheechakoes,” “This Raw Land,” and “Albie, and Billy the Sky-Pilot” is back with a biography of his great-uncle, the famous Old West gambler and gunfighter, Luke Short. I rate the book a masterful job. It not only is the adventurous story of one man’s life, but also a social and economic comment of the period in which Luke Short lived, 1854-1893. Well done!”

Robert N. DeArmond
Historian, author, former editor of
Alaska Magazine and the Alaskan Journal

Wayne Short comes from a long line of pioneering people. In 1859, his great grandfather crowded his large family into ox-drawn wagons and headed West. They finally settled on the Red River in Texas where they farmed and fought Comanches and Kiowas. Most of this indomitable little man’s sons grew to be cattlemen, but one, Luke Short, sought out the boomtowns of the West and became one of the most well-known gamblers and gunfighters of that era.

The next two generations of Shorts turned west and north seeking new country and Wayne Short was born in Nadaburg, Arizona seventy years ago. He served in the Navy’s amphibious forces during World War II and made the invasions of Iwo Jima, Okinawa, and the Philippines. He and his parents and two brothers moved to an isolated island in Southeastern Alaska in 1946 where Wayne learned to fish commercially and live off the land. Mr. Short has worked as a trapper, bounty hunter, cannery tender skipper, carpenter, shipwright, steam engineer, and commercial fisherman.

In 1954, Wayne brought his bride, Barbara, north to share their isolated life. They now have five sons and five grandchildren. Wayne has been writing and selling short stories, articles, and books for thirty-five years. Many of his stories tell of the remarkable but true stories of the adventures he and his family shared in Alaska. His latest dream was to research and write about his great uncle, Luke Short, the notorious Arizona Territory gambler and gunfighter who was a friend of men like Wyatt Earp and Bat Masterson. In order to do the proper research, Wayne and Barbara moved to Tombstone, and in 1996, Luke Short: a Biography, became a reality.

This site provided by:

Devil’s Thumb Press


AG Coakley Settles with H – R Block for $125 Million #mortgage #rates #trend


#option one mortgage

#

Media Inquiries:
Amie Breton
617-727-2543

For Immediate Release – August 09, 2011

H R BLOCK Mortgage Company Will Provide $125 Million in Loan Modifications and Restitution

Settlement With AG Coakley s Office Resolves Allegations of Unfair Lending and Discriminatory Practices Against Thousands of Latino and African-American Borrowers by Major Subprime Lender

BOSTON – Resolving claims of unfair and discriminatory lending practices, Sand Canyon (formerly known as Option One) will modify thousands of Massachusetts homeowners loans and make a significant payment to the Commonwealth as part of a settlement valued at $125 million, Attorney General Martha Coakley announced today.

View and Listen to Press Conference Media:

The settlement with AG Coakley s Office was filed late yesterday in Suffolk Superior Court. It requires the mortgage originator, a subsidiary of H R Block, Inc. to pay $9.8 million to the Commonwealth and to direct American Home Mortgage Servicing, Inc. ( AHMSI ), the current servicer of approximately 5,500 Option One loans in Massachusetts, to institute an aggressive loan modification program that will provide an estimated $115 million in additional relief.

Option One made loans that it knew were likely to fail and it discriminated against African-American and Latino borrowers, Attorney General Coakley said. Its blatant disregard for prudent underwriting standards contributed to the economic downturn we still find ourselves in today. Like our other cases against mortgage lenders and their Wall Street facilitators, this case holds this corporation accountable and provides much needed relief to homeowners.

Option One originated approximately 32,400 loans in Massachusetts between 2004 and 2007, at which point the subprime market collapsed and it ceased its lending operations nationwide. Many of Option One s loans featured multiple risk features such as:

  • excessive debt-to-income ratios;
  • high loan-to-value ratios;
  • stated income or similar features that did not require borrowers to document their income or assets; and
  • underwriting that qualified borrowers based on their ability to make payments at an introductory, or teaser, interest rate instead of their ability to pay beyond the two- or three-year introductory period.

The Attorney General s lawsuit alleged that the risk-layered loans were unfair because they posed an excessive risk of default and foreclosure, as evidenced by their very high loan default rate. The lawsuit also asserted that Option One knew that loans with such risk characteristics were doomed to fail but that it originated them nonetheless in order to sell them to the secondary market and realize a profit.

The Attorney General also alleged that Option One s discretionary pricing policies gave mortgage brokers free reign to charge excessive and unjustified fees, causing Black and Latino borrowers to pay more money, on average, for their loans. In 2008, when the lawsuit was filed, it was the first by a state s Attorney General s Office alleging civil rights claims against a subprime lender. Option One originated loans to approximately 4,400 Black and Latino borrowers between 2004 and 2007.

Distressed borrowers, who still have an Option One loan, are eligible for loan modifications that include significant write-downs of principal balances and reduction of interest rates, depending on the prevalence of certain risk features in the loan.

Many Massachusetts borrowers will receive loan modification relief that includes significant principal forgiveness. For borrowers struggling to make mortgage payments, who are 45 or more days delinquent on their loan, Option One will direct AHMSI, which services loans originated by Option One, to modify loans to achieve affordable monthly payments for borrowers. Generally, borrowers monthly payments will be reduced to between 31% and 36% of their monthly income.

Borrowers who received the riskiest loans, burdened with a high debt-to-income ratio and a high loan-to-value ratio, will be eligible for an even greater monthly payment reduction. The specifics of how much principal will be forgiven through each loan modification will depend on the characteristics of each loan at the time of origination. Borrowers who received the riskiest loans will be eligible to have the outstanding principal balance on their loan reduced to 100% of the current value of their home, which in many instances has experienced significant depreciation since the loan was made.

The modification program will make it easier for homeowners to keep their homes and even begin to acquire some equity, Attorney General Coakley said. For several years now, many homeowners have been living underwater – owing more than their homes are worth. This modification program will change that situation for many Option One borrowers, and corrects the unreasonable risks they were exposed to when the loan was made.

In addition to agreeing to implement the loan modification program, Option One will pay $9.8 million to the Commonwealth. The settlement includes $8 million in consumer relief, $1 million for fees and costs, and $800,000 in exchange for a release of civil penalties. The consumer relief will be used to rectify the negative impact of mortgage foreclosures and predatory and discriminatory lending practices, including providing direct restitution to Option One borrowers and implementing programs to mitigate the impact of the foreclosure crisis in Massachusetts.

AG Coakley s Leadership During Lending Crisis

Attorney General Coakley is a national leader in bringing actions on behalf of homeowners against companies relating to their role in the subprime market place. Over the past three years, AG Coakley has obtained recoveries from Morgan Stanley, Goldman Sachs. and Fremont Investment and Loan. for their roles in the subprime lending crisis. As a result of these actions, her office has recovered more than$563 millionin relief for investors and borrowers, helped keep more than24,700 homeownersin their homes, and returned nearly$52 millionin taxpayer funds back to the Commonwealth.

The case was handled by Assistant Attorney General Gabriel O Malley of Attorney General Coakley s Consumer Protection Division and Jonathan Miller of Attorney General Coakley s Civil Rights Division, with assistance from Chris Barry-Smith, Chief of the Public Protection and Advocacy Bureau, and Assistant Attorneys General Shannon Choy-Seymour, Patricio Rossi, Gabrielle Viator, David Monahan, John Stephan, and Gillian Feiner.


Welcome To The H #refinance #mortgages


#mortgage relief program

#

What Is HARP ?

The HARP program can help!

The Home Affordable Refinance Program , also known as HARP , is a federal program of the United States, set up by the Federal Housing Finance Agency in March 2009 to help underwater and near-underwater homeowners refinance their mortgages. Join the 900,000+ people who have benefited from the Home Affordable Refinance Program !

Click HERE to get started.

When Does It End?

The Home Affordable Refinance Program has been extended!

In an effort to enable more struggling homeowners to take advantage of the Home Affordable Refinance Program , we have extended the application deadline of the program to September 30, 2017. HARP has also expanded the eligibility criteria for MHA to be able to offer assistance to more struggling homeowners.

For more information about HARP eligibility and requirements, CLICK HERE

Why Refinance?

The HARP program can help!

If you’re not behind on your mortgage payments but have been unable to get traditional refinancing because the value of your home has declined, you may be eligible to refinance through the Home Affordable Refinance Program (HARP ). HARP is designed to help you get a new, more affordable, more stable mortgage. HARP refinance loans require a loan application and underwriting process.

For more information about HARP eligibility and requirements, CLICK HERE

How Do I Begin?

How do I apply for a refinance under HARP ?

It’s as easy as clicking HERE! A HARP specialist will analyze your data and contact you.

Generally, you will need the following documents available when the specialist contacts you:
1. Your most recent income tax return
2. Information about any junior lien mortgage on the house
3. Account balances and monthly payments on all of your debts

Home Affordable Refinance Program and HARP are federally registered trademarks of the Federal Housing Finance Agency. harpprogram.org is not associated with FHFA or any related government program.

Helpful Articles

Social Links

Helpful Videos

See If You Qualify


AG Coakley Settles with H – R Block for $125 Million #estimate #house #payment


#option one mortgage

#

Media Inquiries:
Amie Breton
617-727-2543

For Immediate Release – August 09, 2011

H R BLOCK Mortgage Company Will Provide $125 Million in Loan Modifications and Restitution

Settlement With AG Coakley s Office Resolves Allegations of Unfair Lending and Discriminatory Practices Against Thousands of Latino and African-American Borrowers by Major Subprime Lender

BOSTON – Resolving claims of unfair and discriminatory lending practices, Sand Canyon (formerly known as Option One) will modify thousands of Massachusetts homeowners loans and make a significant payment to the Commonwealth as part of a settlement valued at $125 million, Attorney General Martha Coakley announced today.

View and Listen to Press Conference Media:

The settlement with AG Coakley s Office was filed late yesterday in Suffolk Superior Court. It requires the mortgage originator, a subsidiary of H R Block, Inc. to pay $9.8 million to the Commonwealth and to direct American Home Mortgage Servicing, Inc. ( AHMSI ), the current servicer of approximately 5,500 Option One loans in Massachusetts, to institute an aggressive loan modification program that will provide an estimated $115 million in additional relief.

Option One made loans that it knew were likely to fail and it discriminated against African-American and Latino borrowers, Attorney General Coakley said. Its blatant disregard for prudent underwriting standards contributed to the economic downturn we still find ourselves in today. Like our other cases against mortgage lenders and their Wall Street facilitators, this case holds this corporation accountable and provides much needed relief to homeowners.

Option One originated approximately 32,400 loans in Massachusetts between 2004 and 2007, at which point the subprime market collapsed and it ceased its lending operations nationwide. Many of Option One s loans featured multiple risk features such as:

  • excessive debt-to-income ratios;
  • high loan-to-value ratios;
  • stated income or similar features that did not require borrowers to document their income or assets; and
  • underwriting that qualified borrowers based on their ability to make payments at an introductory, or teaser, interest rate instead of their ability to pay beyond the two- or three-year introductory period.

The Attorney General s lawsuit alleged that the risk-layered loans were unfair because they posed an excessive risk of default and foreclosure, as evidenced by their very high loan default rate. The lawsuit also asserted that Option One knew that loans with such risk characteristics were doomed to fail but that it originated them nonetheless in order to sell them to the secondary market and realize a profit.

The Attorney General also alleged that Option One s discretionary pricing policies gave mortgage brokers free reign to charge excessive and unjustified fees, causing Black and Latino borrowers to pay more money, on average, for their loans. In 2008, when the lawsuit was filed, it was the first by a state s Attorney General s Office alleging civil rights claims against a subprime lender. Option One originated loans to approximately 4,400 Black and Latino borrowers between 2004 and 2007.

Distressed borrowers, who still have an Option One loan, are eligible for loan modifications that include significant write-downs of principal balances and reduction of interest rates, depending on the prevalence of certain risk features in the loan.

Many Massachusetts borrowers will receive loan modification relief that includes significant principal forgiveness. For borrowers struggling to make mortgage payments, who are 45 or more days delinquent on their loan, Option One will direct AHMSI, which services loans originated by Option One, to modify loans to achieve affordable monthly payments for borrowers. Generally, borrowers monthly payments will be reduced to between 31% and 36% of their monthly income.

Borrowers who received the riskiest loans, burdened with a high debt-to-income ratio and a high loan-to-value ratio, will be eligible for an even greater monthly payment reduction. The specifics of how much principal will be forgiven through each loan modification will depend on the characteristics of each loan at the time of origination. Borrowers who received the riskiest loans will be eligible to have the outstanding principal balance on their loan reduced to 100% of the current value of their home, which in many instances has experienced significant depreciation since the loan was made.

The modification program will make it easier for homeowners to keep their homes and even begin to acquire some equity, Attorney General Coakley said. For several years now, many homeowners have been living underwater – owing more than their homes are worth. This modification program will change that situation for many Option One borrowers, and corrects the unreasonable risks they were exposed to when the loan was made.

In addition to agreeing to implement the loan modification program, Option One will pay $9.8 million to the Commonwealth. The settlement includes $8 million in consumer relief, $1 million for fees and costs, and $800,000 in exchange for a release of civil penalties. The consumer relief will be used to rectify the negative impact of mortgage foreclosures and predatory and discriminatory lending practices, including providing direct restitution to Option One borrowers and implementing programs to mitigate the impact of the foreclosure crisis in Massachusetts.

AG Coakley s Leadership During Lending Crisis

Attorney General Coakley is a national leader in bringing actions on behalf of homeowners against companies relating to their role in the subprime market place. Over the past three years, AG Coakley has obtained recoveries from Morgan Stanley, Goldman Sachs. and Fremont Investment and Loan. for their roles in the subprime lending crisis. As a result of these actions, her office has recovered more than$563 millionin relief for investors and borrowers, helped keep more than24,700 homeownersin their homes, and returned nearly$52 millionin taxpayer funds back to the Commonwealth.

The case was handled by Assistant Attorney General Gabriel O Malley of Attorney General Coakley s Consumer Protection Division and Jonathan Miller of Attorney General Coakley s Civil Rights Division, with assistance from Chris Barry-Smith, Chief of the Public Protection and Advocacy Bureau, and Assistant Attorneys General Shannon Choy-Seymour, Patricio Rossi, Gabrielle Viator, David Monahan, John Stephan, and Gillian Feiner.


Welcome To The H #home #mortgage #loan #rates


#mortgage relief program

#

What Is HARP ?

The HARP program can help!

The Home Affordable Refinance Program , also known as HARP , is a federal program of the United States, set up by the Federal Housing Finance Agency in March 2009 to help underwater and near-underwater homeowners refinance their mortgages. Join the 900,000+ people who have benefited from the Home Affordable Refinance Program !

Click HERE to get started.

When Does It End?

The Home Affordable Refinance Program has been extended!

In an effort to enable more struggling homeowners to take advantage of the Home Affordable Refinance Program , we have extended the application deadline of the program to September 30, 2017. HARP has also expanded the eligibility criteria for MHA to be able to offer assistance to more struggling homeowners.

For more information about HARP eligibility and requirements, CLICK HERE

Why Refinance?

The HARP program can help!

If you’re not behind on your mortgage payments but have been unable to get traditional refinancing because the value of your home has declined, you may be eligible to refinance through the Home Affordable Refinance Program (HARP ). HARP is designed to help you get a new, more affordable, more stable mortgage. HARP refinance loans require a loan application and underwriting process.

For more information about HARP eligibility and requirements, CLICK HERE

How Do I Begin?

How do I apply for a refinance under HARP ?

It’s as easy as clicking HERE! A HARP specialist will analyze your data and contact you.

Generally, you will need the following documents available when the specialist contacts you:
1. Your most recent income tax return
2. Information about any junior lien mortgage on the house
3. Account balances and monthly payments on all of your debts

Home Affordable Refinance Program and HARP are federally registered trademarks of the Federal Housing Finance Agency. harpprogram.org is not associated with FHFA or any related government program.

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