Monday, May 20, 2013

Mortgage Settlement: BOA Loses First Settlement Check, Maybe Second as Well

Mortgage Settlement: BOA Loses First Settlement Check, Maybe Second as Well

Every time I think I've seen it all on behalf of my mortgage relief, mortgage dispute, and foreclosure clients, a lender pulls another rabbit out of its magic tragic hat. If these mistakes didn't have such serious consequences for homeowners (and, indirectly, taxpayers / the rest of us), they would be almost funny in a pathetic way. 

BOA-Promise Not to Lose Settlement Check More Than Twice

We have been working to resolve a mortgage matter in this case for over a year with Bank of America. The clients - normal, nice, family folks - had to move out of state for employment, leaving their (former) primary residence behind here in Charlotte. As part of the resolution, the homeowners were required to make a cash contribution, and submit it along with the written agreement. That certified bank check (ironically, drawn on Bank of America and made out to Bank of America) was sent to the proper address, along with the executed agreement, by certified mail in January, 2013, and in a timely fashion.

BOA then informed us it did not have the settlement check, but it had the executed agreement. The check was in the same envelope, and the envelope was not tampered with. Hmmmm . .. well, ok, it was a check drawn on BOA, written to BOA, purchased at a BOA branch - surely BOA could take some reasonable measure to expedite a replacement check and/or other resolution, right? The BOA representative promised to look into this after we provided all relevant information and get back to us. Did he? No. Did he respond to our follow up phone calls? No. Did we leave voice mails on his voice mail box? Yes. Did we call others at BOA about this? Yes. Turns out, supposedly, this person "no longer worked in that department" - but of course still had an active voice mail box in his voice, with his name, in that department, for weeks following his supposed removal. I wonder how many hundreds of distressed homeowners left him messages over those weeks, with no response?

Anyhow, BOA refused to stop payment on this check and replace it until 90 days had past. In the alternative, my clients could spend thousands of more dollars to buy another bank check to send to BOA  (no thanks). BOA never found the settlement check.

After approximately 95 days, a replacement settlement check - also drawn on BOA, purchased at a BOA, and made payable to BOA - was sent via certified mail to Bank of America. We have proof that the envelope which contained the 2nd settlement check was delivered to BOA on April 29, 2013, yet to this day (May 16), BOA will not return our calls on this matter, and when we do get someone on the phone, they are unable to confirm receipt of the check or locate the possible whereabouts of the check.

 BOA - Settlements by Carrier Pigeon

Bank of America, what do we need to do, have the funds delivered by singing telegram? Carrier pigeon? Seriously, BOA, I'm asking you, what DO you do with settlement checks? Do you put them in the employee break room freezer? Do you pin them to the bathroom wall? Do you make paper airplanes out of them for use at the BOA Foreclosure Olympic Games

Just amazing. If the other 99.9% of us ran our businesses this way, we'd be out of business in a month.