However, it’s not all good news – the numbers are expected to bounce back. Currently, foreclosures have been postponed while lenders work on problems regarding their legal procedures. It has been alleged that because so many homeowners are defaulting on their mortgages currently, lenders have been “robo-signing” foreclosure forms, which means bank employees signed affidavits and other legal documents without ensuring they were accurate. In December, the New Jersey Chief Justice ordered six lenders to show why their foreclosures shouldn’t be frozen. Those lenders; Ally Financial, Bank of America, Citibank, JP Morgan Chase, Onewest Bank, and Wells Fargo; will appear in court later this month to defend their actions.

The high foreclosure rates in the U.S. have been attributed to primarily two reasons: homeowners who weren’t as qualified as others to hold a mortgage began to default, and the economic crisis has caused unemployment to skyrocket, leaving homeowners with the inability to stay current on their mortgages. As the job situation improves, however, foreclosure rates are expected to decrease.

Are you currently facing a foreclosure in New Jersey? If so, contact New Jersey foreclosure resolution lawyer Robert Manchel. He has many years of experience in working with mortgage companies to determine solutions for his clients other than foreclosure. Mr. Manchel can also guide you through the foreclosure process if it becomes necessary. Call Robert Manchel today at 866-503-5655 to learn more.

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First, you should be aware that you can always work with a HUD-approved counselor on foreclosure or mortgage related issues, and they should be free. You could also consider approaching your lender for help and ask them what programs are available for assistance. They should have personnel who are aware of the options available for mortgage modification or other foreclosure alternatives.

If you decide to take advantage of a modification program, make all mortgage payments directly to your lender. Relying on someone else to send that money to the lender is taking a big risk. Also, if you are signing up for a foreclosure alternative, be aware of what you are signing. Read every single document, and don’t sign anything with errors, even if the other party promises to correct them. Get any promises offered by the program in writing – oral promises involving real estate are typically not enforceable in most states.

Many scammers are tricking people into turning over the deeds to their homes. Do not sign over your deed unless you get advice from an independent party such as an attorney or a financial advisor. If something seems suspicious about the program you are considering entering into, contact the FTC or the OCC’s Customer Assistance Group.

Facing foreclosure in New Jersey can be extremely stressful and can leave people vulnerable to scams. If you are looking at a foreclosure or a foreclosure alternative, contact New Jersey mortgage foreclosure attorney Robert Manchel at 866-503-5655. Talking with a knowledgeable authority on foreclosures and bankruptcies can help many consumers learn about their options.

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In order to find potential victims, scammers often look at public notices of foreclosures or purchase lists of distressed borrowers. Frequently, scammers offer homeowners help to protect their home against foreclosure, usually by offering a fake mortgage modification.

Some common types of scams that have appeared recently in the foreclosure industry include fake government modification programs. These scammers use certain words to make you think you are dealing with an official government program, when in actuality they have nothing to do with the government. Other scammers offer to promise to give you better financing in exchange for titling your home to them. If you fail to comply with the terms of the agreement, you lose your money and your home.

Another common scam is promising to rescue a homeowner from foreclosure by renegotiating payment plans or loan modifications with lenders. They encourage you to make your mortgage payment directly to them, but instead of passing it onto the lender, they keep the money. Still other scammers sell you bankruptcy services which will prevent a foreclosure in the short run, but will not save your house on its own. A new emerging scam is where con-artists tell you that you are not obligated to pay your mortgage by using secret laws that erase your debts, which is an illegitimate and inaccurate.

Are you having trouble making ends meet in this tough economic climate? Is paying your mortgage each month a struggle? If so, contact New Jersey bankruptcy attorney Robert Manchel at the Law Offices of Robert Manchel. Our lawyers will advise you on the legal ways to keep your house and help you ease your debt load. Call us today at 866-503-5655 to learn more.

Also, continue to check back with our blog for part two in this series about avoiding foreclosure scams.

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First, you shouldn’t ignore your mortgage problem if you’re having trouble paying it. Talk with your mortgage lender or the company collecting your mortgage payments as soon as you can. More options are available to you if you contact them sooner. Explain your situation to them and ask to work with them to find a payment solution that you can meet. If they won’t talk with you, talk with a housing counseling agency that is approved by the U.S. Department of Housing and Urban Development (HUD).

Second, before talking with your lender or a housing counselor, do your homework. Review your mortgage loan documents and your income and budget. Get information together on your expenses, including insurance, utilities, and other bills. A counselor will help you conclude what options are available to you based upon this information. They may also suggest ways you can work with your lender or possibly offer to negotiate with them for you.

Third, be aware of your options. Some options will only provide short-term help, while others offer long-term or even permanent solutions. It may be possible for you to work out a plan that is temporary to make up any payments you have missed, or you may be able to modify the terms of the loan. In some cases, the best choice could be to sell the house.

Fourth, be careful not to fall for a foreclosure resolution scam. Unfortunately, with the nation in foreclosure crisis, con artists have found a way to take advantage of people who are behind on their mortgage payments or are facing foreclosure by offering solutions that are actually scams. If you think you are being scammed, contact local and state consumer protection agencies, which are found on the Consumer Action website.

Lastly, when you decide on a plan, stick with it. By making payments on time, you can help protect your credit score. Prioritizing your bills and paying those that are crucial, such as your revised mortgage payment is also a good practice. You should also consider getting rid of other expenses, such as premium cable TV services.

Contact the New Jersey foreclosure lawyers at The Law Offices of Robert Manchel to learn more about the foreclosure process in New Jersey. Call 866-503-5655 today.

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According to the U.S. Federal Reserve Board, there are some safety precautions homeowners can take to avoid being scammed.

First, you should work with a counselor from an agency that is approved by the U.S. Department of Housing and Urban Development (HUD). You can visit the HUD website to search through their list of housing counseling agencies that are HUD approved. If you are contacted by foreclosure counselors, whether by phone, mail, or in person, be sure they are from a counseling agency that is HUD approved before doing business with them.

Second, be careful who you pay for any foreclosure-related services. Never pay anyone unless you know exactly what services you will be receiving. You should not be asked to pay hundreds of dollars, as most HUD approved housing counselors provide free services, and others provide low-cost counseling. You should be particularly cautious of anyone who collects fees before providing services, or who only accepts payment with wire transfers or cashier’s checks.

Third, be careful of “guarantees.” A reputable counselor should never guarantee they can stop the foreclosure process. While working with a counselor that is legitimate will definitely increase your chances of being able to keep your home, people who promise a sure thing are likely scammers. With any transactions, as well as with any promises, you should get everything in writing.

Fourth, you should always know what you are signing, and make sure you are the one who is signing important paperwork. A legitimate counselor should never pressure you into signing paperwork you haven’t carefully read through or that you don’t understand. You should never sign any blank forms or let someone else complete the forms for you. It is also a good idea to consult with a bankruptcy attorney before signing anything that will transfer the title of your home to someone else.

Lastly, if what is being promised to you sounds too good to be true, it probably is. If you think you are the target or victim of a foreclosure scam, get help. You should report any suspicious schemes to local and state consumer protection agencies, which you can find on the Consumer Action website. It may also be a wise decision to talk with a bankruptcy lawyer to learn about your legal rights and options.

To learn more about the foreclosure process in New Jersey, contact the New Jersey mortgage foreclosure attorneys at The Law Offices of Robert Manchel by calling 866-503-5655.

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The ruling stems from a case that was decided on January 7, involving Bank of America Corp. and a New Jersey resident. The bank sought to foreclose on a home in Bogota, NJ., in connection with a Bank of America $292,000 note and mortgage, that was misplaced prior to the assignment to the bank. The New Jersey Superior Court Judge ruled that the bank was permitted to enforce the home owner’s note obligation and was entitled to summary judgment. Previously, the U.S. courts would not as easily permit banks to enforce their interests without showing they possessed the physical note.

The ruling stated that the conclusion was reached because of the combination of several factors, including the fact that over four years had passed since the note was lost and that it was lost immediately after execution in 2006. However, the ruling stated that the bank would be required to intervene and be held liable from any future law suit from a separate mortgage company against the homeowners regarding the loan. In this case, the New Jersey home owner did not argue that they executed a note and mortgage to Washington Mutual Bank, the assignor, and then defaulted on the loan in 2008. Instead, the owner challenged the claim of Bank of America that it had the right to foreclose.

If you are a New Jersey resident and have questions about mortgage foreclosure, contact Robert Manchel, who is a highly experienced and skilled New Jersey mortgage foreclosure attorney. He has advised many home owners facing foreclosure and is well-versed in New Jersey laws regarding foreclosure. He has also helped those struggling with bankruptcy in New Jersey. Call Mr. Manchel at 866-503-5655 today to learn how he can help.

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The review was prompted after J.P. Morgan Chase & Co. announced that an internal review discovered it had wrongfully foreclosed on 14 homes of active service military families. It was also found that they overcharged over 4,000 families on their mortgages. Now, the bank is refunding over $2 million to these families. The bank alleges some of the refunds were only for minor fees, and resolved quickly 13 of the 14 foreclosures. However, many people view the mistake as proof that the foreclosure system is troubled.

Under the Servicemembers Civil Relief Act (SCRA), loans for active duty service members cannot exceed a 6 percent annualized interest rate. The law also stops all foreclosure proceedings up until nine months after a service member comes back from active duty. Active duty is defined as full-time service, which includes training and tours. Anyone who knowingly breaks the law, faces fines and prison time. The 2003 SCRA law alleviates the burdens on active service military personnel who are serving the country during war, so that these individuals do not worry about the loss of a home while serving the country.

Major mortgage lenders in the U.S. report they haven’t yet uncovered problems like J.P. Morgan Chase. Also, many lenders have stated they are making sure they are in compliance with the law. Mortgage companies are also taking steps to ensure that military members are notified of possible future foreclosure issues, to prevent any future problems.

There are many complex laws surrounding foreclosure in the U.S. and in New Jersey. Home owners, at times, may feel like there is no place to turn during their time of crisis. If you are a New Jersey resident that is facing foreclosure, contact a New Jersey mortgage foreclosure attorney at The Law Offices of Robert Manchel. We can answer any questions you have and can advise you on your legal rights as a New Jersey home owner. Call 866-503-5655 today.

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A new report by RealtyTrac, a business that tracks foreclosures in the United States, found that over a million homes were repossessed by banks last year. About one in 45 households in the U.S. received a foreclosure filing in 2010, which amounts to around 2.9 million homes. This statistic is an increase of 1.67 percent from 2009. However, foreclosure activity slowed at the end of 2010. In December, 257,747 homes in the nation received at least one notice that was foreclosure-related, the lowest monthly total for the past 30 months. The amount of foreclosure notices fell about 1.8 percent from November. The slow pace was caused by allegations that banks were not handling evictions properly. Also, since the banks were under increased scrutiny, many major lenders temporarily ceased taking action against borrowers who were behind on mortgage payments.

Nevertheless, most banks are resuming their eviction and foreclosure processes, and experts believe that the beginning of 2011 will see a dramatic increase in foreclosure activity. RealtyTrac predicts that over 1.2 million homes will be repossessed by lenders in 2011. The states that are expected to be hit the hardest are Arizona, California, Florida, Illinois, Michigan, and Nevada.

If you are behind on your mortgage payments and believe foreclosure may be in your future, it could be a wise decision to consult with a New Jersey foreclosure attorney to learn what legal options are available. At The Law Offices of Robert Manchel, our lawyers can help you understand the complex foreclosure process and advise you on the best course of action based on your circumstances. Call 866-503-5655 today.

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Experts believe the numbers would have been even higher, but many major lenders, such as Bank of America and JP Morgan Chase, stopped their foreclosure activity in late fall as they reviewed their legal practices regarding the robo-signing scandal. American citizens learned that bank employees were signing affidavits for foreclosures without checking the accuracy of the documents, among other irregularities.

Recently, the New Jersey Supreme Court ordered several mortgage lenders to court to prove why the state should not put a stop to their foreclosure activity, in light of allegations of robo-signing. The court date was originally set for January 19, but NJ.com reports that the date has been postponed to February 14, to allow the state’s lawyer sufficient time to respond to the voluminous filings. The outcome of the case could impact thousands, if not millions, of New Jersey residents who are facing foreclosure.

The foreclosure process in New Jersey can be very confusing and lead a person to question what their legal rights and options are. If you are facing foreclosure, talk with a New Jersey mortgage foreclosure lawyer at The Law Offices of Robert Manchel. We can help you decide what the best course of action is for your specific situation. Contact us today at 866-503-5655.

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Another couple in a similar situation was also contacted by U.S. Loan Auditors, who advised them to declare bankruptcy to postpone foreclosure and would charge the couple $1,000 a month for what they said were legal fees. However, the couple still lost their home, and the company continued to bill them $1,000 per month for a while after the loss of their property. The couple was eventually forced to close their bank account because the business wouldn’t stop charging the account.

California Attorney General Edmund G. Brown, Jr. said these couples and more are victims of a new kind of scam that is quickly becoming a national problem that deliberately preys on Americans who are in the midst of a foreclosure crisis and are desperate for help. In October, Brown sued U.S. Loan Auditors, its legal arm “My U.S. Legal Services” as well as the owners of the company for $60 million, alleging the company scammed thousands of homeowners for thousands of dollars. The lawsuit demands that the business pay civil penalties, as well as restitution for victims of the scam. An injunction was filed to prevent the business from making more false claims. In legal documents, Brown’s office alleges that “every step of the way, the defendants lie to clients and provide nothing of value and put them in even greater danger of losing their homes.”

Businesses such as U.S. Loan Auditors as well as other similar companies are promising they will conduct “forensic audits” of a person or couple’s mortgage transactions to see whether they discover proof of predatory lending or fraud. The businesses then allege they will use the evidence to take lenders to court to obtain a new mortgage at a more favorable interest rate on behalf of a person or couple. However, in most cases, forensic loan audits won’t help cancel a homeowner’s mortgage. In contrast to what businesses such as U.S. Loan Auditors promise, lenders can foreclose on a property after a predatory lending case has been filed against them. There is also no guarantee that mortgage payments will be significantly reduced or entirely frozen during litigation or that a bank will settle with a homeowner quickly.

Foreclosure is a very complex process, and unfortunately, as this article shows, many people fall prey to scams that promise to eradicate debt, prohibit the foreclosure process, or help with mortgage payments. If you are facing foreclosure in New Jersey, you should consult with an attorney who can help you determine the right course of action for your particular situation. The New Jersey mortgage foreclosure lawyers at The Law Offices of Robert Manchel are qualified to answer your questions regarding foreclosure or bankruptcy in New Jersey, and can advise you on your legal rights. Call us today at 866-503-5655.

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