Skip to content
  • About
  • Contact
  • Disclaimer
  • Privacy
  • Write for Us
  • Sitemap
Law Cost
March 25, 2023
  • Laws
  • Accident Law
  • Employment Law
  • Injury Law

Search Field

  • Home
  • Laws
  • Class Action Lawsuit Against Setterus Bankruptcy Lending Services

United Allergy Labs Lawsuit - Can an Allergy Lab Help You Get Credit for a Lawsuit?

Synchrony Bank Class Action Lawsuit

  • Laws

Class Action Lawsuit Against Setterus Bankruptcy Lending Services

Gavin July 5, 2021July 2, 2021

A group of Florida homeowners sued Seterus Inc, which allegedly violates the terms of the mortgages by requiring a monthly payment to cover their house payments over the phone and a monthly fee for processing their home loans over the phone. This is in violation of FHA’s policy that they have written into a contract with the homeowner.

Seterus disputed this, saying that they had received proper authorization from the homeowner. The homeowners filed suit claiming that the fee for processing loans over the phone constitutes illegal discrimination. They further claimed that the policy itself also violates the rights of FHA borrowers in violation of the Fair Housing Act. The case is currently going on trial.

Class Action Lawsuit Against Setterus

The trial will be held in an out of court situation. It is expected that both sides will present their cases in court. If the plaintiffs win, they can get their delinquent mortgage payments forgiven, along with additional money toward their lost equity. If the defendants win, they must pay the original debt plus attorney’s fees and costs. The credit bureaus, who stand behind the FHA’s policies, cannot be sued for the class action lawsuit because the borrowers signed non-disclosure agreements.

The suit claims that FHA’s programs for foreclosing on homes were designed to prevent lawsuits over debt collectors and collection practices, but the class-action lawsuit against the setters of mortgage services charges that they engage in a wholesale program to collect delinquent payments from homeowners.

As stated in a recent article at Forbes, “If the housing market were going to bring back buyers in droves, the FHA would have no trouble meeting demand. But as it is, there are more units on the market than there are buyers.” According to the same article at Forbes, “Borrowers can pursue the case through normal channels with an attorney, but without a FHA guarantee, lenders may not come forward to help the borrowers.”

For borrowers who fall into one of the class action lawsuit against Setterus, the most likely scenario involves a note holder selling an FHA insured loan to an investor for more than the face value of the loan.

When the borrower is not in a position to repay the new loan, the investors often resort to taking the house back from the former homeowners as well as holding onto it through foreclosure. These circumstances leave distressed borrowers with a massive amount of accumulated debt, with little hope of recovery.

The class action lawsuit against Setterus asserts that the FHA’s guidelines and regulations do not apply to notes that are held in escrow or are owned by investors.

This means that if the lender fails to make interest payments on the loan, the debtor is not entitled to any compensation. The complaint also states that it is unfair for the government to favor one set of rules over another. The complaint is being contested by a group of Florida investors, who believe that the state attorney general has no standing to bring the lawsuit.

Setterus responded to the complaint in a court filing denying liability and stating that the state law was “arbitrary and capricious.”

He noted that many class action lawsuits filed by Florida consumers are directed at his company because the state attorney general has specifically authorized its enforcement. He has previously stated that if a class action lawsuit is filed against a particular individual, it may be the case that the individual’s estate will direct that the proceeds of the lawsuit be divided between all of the named plaintiffs. He has also stated that if the court finds merit in the complaint, it may direct that the state attorney general to file a report of judgment.

Share

Facebook
Twitter
Pinterest
LinkedIn

About Post Author

Gavin

[email protected]
https://lawcost.org
Happy
Happy
0 0 %
Sad
Sad
0 0 %
Excited
Excited
0 0 %
Sleepy
Sleepy
0 0 %
Angry
Angry
0 0 %
Surprise
Surprise
0 0 %

Recent Posts

  • Nerve Injury, Burns, and Amputations Occurring After IV Infiltration Are All Possible
  • Adjustable Rate Mortgage Interest Rates Lawsuits
  • Additional Companies For Forced Placed Flood Insurance
  • Chase Adjustable Rate Mortgage Lawsuit
  • How to File an ADT Security Lawsuit
  • Allura Fiber Cement Decking Lawsuits
  • Allura Siding Lawsuit Settlement
  • Counterfeit Book Lawsuits – Why Consumers Are Turning to Legal Action
  • COVID Safety Lawsuits Against Amazon
  • ADT Spam Texts Lawsuit

Average Rating

5 Star
0%
4 Star
0%
3 Star
0%
2 Star
0%
1 Star
0%
(Add your review)

Leave a Reply Cancel reply

Your email address will not be published. Required fields are marked *

Next Post
  • Laws

Synchrony Bank Class Action Lawsuit

Gavin July 7, 2021

It appears that Synchrony Bank has finally come to their senses and is now allowing class action lawsuits by consumers to go forward. This comes as a relief to many people who have been complaining about not being able to get the money they are owed from their credit card companies. In fact, the class […]

Law

Related Post

  • Laws

Which Bankruptcy Lawyer in Queens is Right For You?

Gavin June 13, 2022June 10, 2022

If you are facing financial hardship, you may be wondering which bankruptcy lawyer in Queens is right for you. If so, you can consult one of the following attorneys for assistance: Charles Juntikka, Antoinette Osbourne, James J. DeCristofaro, Usar Law Group P.C., and Michael A. Silver. Each of these lawyers has decades of experience and […]

  • Laws

The LifeVantage Lawsuit and Its Effect on the Legal Profession

Gavin June 27, 2021June 20, 2021

If you’ve ever been involved in a Lawsuit, you would notice that most of them have similarities; especially in the LifeVantage lawsuit that was brought against Lazyman Energy. In truth, Lazyman is not as suspected. In fact, the judge stated so. So who is Lazyman, and why did he file a Lawsuit? LifeVantage Lawsuit In […]

  • Laws

Plymouth County District Attorney

Gavin July 7, 2022July 5, 2022

When you read about the candidates for Plymouth County district attorney, you may wonder, “What makes these people unique?” This article focuses on Tim Cruz, Jack Callahan, Edward G. Jacobs, and Rahsaan Hall. You will also learn about their accomplishments as prosecutors. The Plymouth County District Attorney’s Office has many important responsibilities and works with […]

Breaking News

Nerve Injury, Burns, and Amputations Occurring After IV Infiltration Are All Possible

Adjustable Rate Mortgage Interest Rates Lawsuits

Additional Companies For Forced Placed Flood Insurance

Chase Adjustable Rate Mortgage Lawsuit

How to File an ADT Security Lawsuit

Allura Fiber Cement Decking Lawsuits

Allura Siding Lawsuit Settlement

Copyright © 2023 Law Cost. All rights reserved. | Theme: Blook By Themeinwp. | Powered by WordPress