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Foreclosure: Et Tu My Lender?

Foreclosure: Et Tu My Lender?

What happened to the good ol’ handshake? Can you trust anyone anymore? Tragically, we aren’t speaking of your Indian-giving acquaintance or your small time crook. Important, too-big-to-fail banking institutions are just as quick to pull one over on the consumer as your garden variety con artist.

It’s easy for a consumer facing foreclosure, longing to see the light at the end of the tunnel, desperately clinging to any hope of salvation, to trust the almighty lender. Attorneys hear the same story over and over again. A consumer struggling to pay the mortgage, set high at the pre-2010 interest rates, calls his banking institution to inquire about that mortgage modification plan he heard about on the radio. He is informed that modification is only available to those who’ve already quit paying on their mortgages. He is advised to default on his mortgage. He does. Bank sues. No modification for you.

Luckily, Florida courts have devised a remedy to this particular problem: time travel. According to recent opinions, if a consumer facing foreclosure is able to show that the bank induced him into defaulting with sweet, tantalizing promises of modification, the court will rewind events to the point just prior to the consumer’s default. Poof. The default never happened. Poof. The piles of fees, penalties, default interest and court costs gone. Poof. The consumer is free to resume making regular mortgage payments as before. The icing on the cake is that the consumer can take advantage of this remedy even if years pass after the default.

The attorneys at the Law Firm of Grigaltchik & Galustov, P.A., help consumers defend against foreclosures. We will be able to answer all your questions and help you to understand your rights. Call today: (904) 738-8398.