Lenders are now tying up our nation’s credit market

The Talent is Being Lured Away by the Other Side

So far, April has been a great month. Michael Jordan’s old college team and pre – season favorites, North Carolina, beat Michigan State by more than 15 points to win the NCAA tournament; the stock market jumped briefly above the 8000 mark and even the secret service foiled a plot to assassinate President Obama in Turkey.

But not all things are moving in a positive direction. Most banks operating within the United States are still refusing to help distressed homeowners. Most of these banks are nothing but a servicer, acting on behalf of an investor. They drive their corporate profit by tagging huge sums of fees and charges on simple transactions.  Some lenders add fees for the modification process and add it on to the principal balance of the loan. When I ask about the fees, no reasonable explanation is given.


In addition, most banks are actively discouraging borrowers from seeking legal help. Lenders are adding a warning on their automated message line telling homeowners that hiring legal help will prolong their modification. In the same message, they inform the distressed homeowner that their institution will pursue all available means in order to legally collect payments.


Lenders are now tying up our nation’s credit market. After receiving large government aids, our lending institutions are using these funds to buy more bad assets from other failing lenders.  The Presidents executive order clearly outlines the banks duties as a reciprocation for receiving government aid.  One of the conditions to receiving aid is that the banks are to modify mortgages to help the distressed homeowner.  However, the banks have not implemented the Presidents orders and we are met with resistance on a daily basis.  Every modification is a fight for our firm


Our Country is indirectly supporting and sustaining the same banks that failed us in the past.


Mr. John Habashy is a California Attorney, and a graduate of USC.  His has extensive experience in distressed real estate and finance. He welcomes your remarks or legal questions at info@stopbanks.com or  feel free to visit our website at:  www.stopbanks.com