Death and divorce don’t get sympathy from loan servicers

The National Consumer Law Center released a report today detailing troubles faced after a transfer of ownership as a result of a death or family breakup.

Column (Michigan)

Susan Tompor
Detroit Free Press
March 23, 2016
READ THE FULL STORY HERE

Tags: Consumer Protection, Housing: Foreclosure, Housing: Mortgage

Organizations mentioned/involved: National Consumer Law Center (NCLC), Legal Services of South Central Michigan (LSSCM)


DETAILS

But too often, mortgage loan servicers have made the process cumbersome or impossible for homeowners to handle on their own, advocates say. The documents required might be difficult or even impossible to obtain. For example, the loan service might want a probate court order when probate might not even be required in a particular state.

“Sometimes, the servicers are refusing to even speak to the individuals,” said Libby Benton, staff attorney for Legal Services of South Central Michigan in Ann Arbor. “The protections that are in place right now aren’t strong enough to allow homeowners to navigate the process by themselves.”