Has Your Bank Made A Mistake? You Can Stop Your Foreclosure
Foreclosing on a home requires several steps that must be followed by the lender. Sometimes, the lender will make mistakes or will deliberately try to skip over some of these steps. A foreclosure that follows improper procedures is referred to as foreclosure fraud. But fortunately, there are ways to fight your wrongful foreclosure and either stop a foreclosure or receive compensation.
You May Not Be in Default
Some homeowners have been foreclosed on without actually being in default. This is usually the result of a processing error between lenders, title insurers and other contractors. If you can prove that you were not in default and that there is no justification for the foreclosure, you will usually have the foreclosure stopped often with an apology. If the bank proceeds with the foreclosure, you may need to take this matter to court.
The Bank Could Have Made an Error
If the bank makes a mistake that is considered to be inconsequential by the courts, the judge may allow for the foreclosure to proceed. If you still believe that the error was not inconsequential, you will need a foreclosure attorney who can convince the judge of the importance of the error.
The lender will need to send a notice of the default and how much is needed to reinstate the mortgage, record the notice of default to a records office, send you a notice of the date in which the property will be sold and send a notice of how much time you have to pay off your mortgage. If any of these steps were not followed, the judge may choose to delay the foreclosure, especially if you have the ability to pay the overdue balance.
Sometimes, there is something wrong with the paperwork that might indicate that the mortgage or foreclosure is fraudulent. For example, a paper that was supposed to be signed by you could have a forged signature, which would indicate the need for legal intervention.
You Can File an Injunction
If your home is in the process of being sold, you can file an injunction to prevent this until all of the problems related to the foreclosure have been corrected. Injunctions will only be awarded by the court if it is believed that the foreclosure will cause irreparable harm to you.
You Should Consult with an Attorney
The best way to avoid a wrongful foreclosure is to hire a foreclosure attorney, like those at Legal Clinic Of Jerry Paeth. Then, you can receive regular consultation that can help you combat many of the tricks that are used to cause you to lose your home.