You are correct up to a certain point, the banks should be to identify and verify who is really having a hardship, because for some that are doing this, we are all paying, I for instance lost my lob during the recession as well as my husband at the same time, and our home was going unpaid until we were able to get employment again, ever since we have been dealing with BOA for a mod yet they are not trying to work with us, now we are almost 30 payment behind and keeps on getting worse and it's wrong when we want our home and can afford it , and also went through a real hardship totally unexpected yet the bank is not willing or wanting to make an exception and help us. Now we are going through Naca to hopefully see what can be achieved that way. Even though you might be right we don't help the situation and banks have to do what they have to do to keep them afloat, yet there are stil some of us that had a real hardship and reason, yet now we need help, no one is there for us.
You'll have to forgive Cinderella, she appears to work for a bank, probably BOA in fact. She has to tell herself this fairy tale just so she can make it through another day at work. I know I couldn't work there. Man, talk about a beat-down!
Of course, it's also possible that she really, truly believes that the banks aren't culpable, that they didn't commit massive, systemic fraud from the top down. Either way, she is deceived.
The Modus Operandi for BOA and most other large home loan lenders is this: delay, delay, delay. Delay the day of reckoning as long as possible. They have taken back so many homes that they are now some of the largest sellers on the Real Estate market. To list them all today would cause the prices to plummet, which would prevent them from selling. So they are trickling them out as slow as possible. This includes the initial foreclosure process and evictions. We walked away from our home 4/1/10 and they still haven't sold it on the courthouse steps. It sits there, dark, empty, no water, no electricity, bushes and trees slowly dying.
Of course I work for the banks, no secret here.
I am not disillusioned about my employer either. They are a mega US modern corporation at it's best. Bloated, saddled with politics, ineffiicient, greedy executives and eager higher level managers that would outsource my job to my "team mates" in India for one hundredth of the wage I am paid if they could find the skillset. Inefficient, bloated, and performing/producing at mediocrity entangled with massive intra bureaucracies where production is stifled with by seasoned morons adept with organizational politics.
No, I am not disillusioned where I work.
I also don't lie to myself about what I have seen working 60 plus hours a week in loss mitigation. The poster above demands their home for free. In another post, they think because of some incompetencies, they can be opportunistic, spin some stories about how the bad guy (in this the bank) jump on the bandwagon, and because of being the "victim", whatever that is and the loose accompanying definition they seem to have for "victim", they get a home for free!
And I am the one who is disullisioned.
I am all for the little guy who got laid off at the plan getting a great mod. Heck, I will work to make the numbers happen in these situations. But if you think all the people who submit requests for mods are recently laid off, out of work, feeding a family of three on meager income and barely getting by, then that is a very naive perception.
To save a few bucks on an Xbox on Black Friday, some people will whip out the pepper spray on other people. Heck, for few more bucks, others last year were willing to trample a man to death at Wal-Mart.
When it comes to money, people will do all sorts of things, and lying to save some money on a mortgage (paid primarily by the US taxpayer, not the bank/servicer) is no different. It is more the norm than not.
I do agree with you on this. I believe some banks deliberately stall foreclosure to inflate balance sheets. A bank can keep a property on the books at the purchase price and account for the income generated on their books. Once a home is foreclosed, they have to adjust the value to market. You could imagine the Tsunami of write downs and ensuing further collapse if banks actually did move forward with foreclosure at historic rates. I don't believe they want to without cutting of their limbs and face massive writedowns.
If you've read my posts, I have always adovacted a drop in real estate prices. It will hurt banks, and maybe current homeowners. But it will help millions more. Our cost of living will come down, buying a home won't entail a liar loan to be qualified. Keeping prices artificially inflated helps the banks and help current homeowners, but the many more millions that do not own.