This is fascinating. It showed up on the American Banker site this morning, which is not readable without subscription.
Contrary to the statement that these ‘counselors’ do not “track” follow-up, I recently received a request to fill-in a follow up e-survey which was oddly pre-filled out stating erroneously that I had not disclosed the identity of my bank during my “counseling” session.
I forwarded it to SIGTARP, COP, and the President with the relevant questions.
So… Could it be that counsel-obtained info via Hope hotlines could corrupt HAMP performance data, and/or disadvantage borrowers in litigation/settlement?
Excerpt from article:
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Some industry experts have questioned why a nonprofit affiliated with servicers is receiving government funding to resolve disputes between borrowers and the same servicers who are denying modifications. Several distressed homeowners who contacted American Banker said servicers refuse to give explanations for denied mods. Many were put into trial mods at a reduced payment but were later denied and are now in worse shape because servicers demand that any arrearages be paid in full for the loan to become current.