Posted by Emily/AL on 9/2/09 9:13pm
Msg #302667

Loan Mod

I did, they said "just sign and notorize it somewhere on the paper or what ever your state law requires". So I then called the Law office they are closed. Problem is my signing is before they open.

Reply by MW/VA on 9/2/09 9:20pm
Msg #302669

That's a tough spot to be in. You don't know & can't decide if it's an ack or jurat. I'm curious.
Your first post said client-attorney agreement. Is this loss mitigation (a contract saying they will find a lender to do the mod)? Are they charging large upfront fees?

Reply by Emily/AL on 9/2/09 9:25pm
Msg #302672

never done one like this before, yes they r having the borrower put up 1,995 up front, turn all his info thru me. Thing is this signing was assigned to another notary at 6 and she didn't show so they called me at 7, which the signing is an hour away from me. So it has been moved until in the morning at 8.

Reply by MW/VA on 9/2/09 9:29pm
Msg #302675

There has been a lot of discussion on this forum about loan mod app scams. You might use the orange search button and try under "21st Century Legal Services". I can't advise you on this, but this type of transaction is not legal in many states (requiring a large upfront fee in advance for a service that has not been performed).

Reply by Linda_H/FL on 9/2/09 9:20pm
Msg #302670

Emily...you just need to reply to the post (green button I think)....then you don't start another thread...

The hiring party has to tell you if they want an ack or jurat...you can't decide that (at least I don't think you can in AL)...the proper way would be to postpone the appointment until you can contact someone at the company to find out what they want. You need to be clear about what your problem is with this..."just notarize" is too general a comment...do they want them to acknowledge it or swear to it?

If it were me, since the notarizations in FL have to be completed in front of the signers, I'd postpone the appointment until I could reach someone who could answer my question.

MHO

Reply by MW/VA on 9/2/09 9:25pm
Msg #302673

Best advice.

Reply by Emily/AL on 9/2/09 9:29pm
Msg #302676

This is probably their pay for this one is really high

Reply by Emily/AL on 9/2/09 9:26pm
Msg #302674

Thanks

Reply by MW/VA on 9/2/09 9:31pm
Msg #302677

I added another msg. @ #4.

Reply by Jim/AL on 9/2/09 10:01pm
Msg #302680

I actually got to do a true RESPA app. for a loan mod today...thought for sure before I got the docs that they would require me to p/u checks and I would have given back, but it was a for real mod. I was very greatful. Been a few months since I have seen one. Usually VA when I get one.

Have no clue what Emily has in hand, but it would be the first loan mod I have heard about (21st century type or not) that required a notarization, something does not smell right about it.

Reply by MW/VA on 9/2/09 10:10pm
Msg #302682

Jim, if you read the 3rd post, they are requiring $1995 up front. Yes, it smells.

Reply by John Schenk on 9/2/09 10:27pm
Msg #302691

Money up front required usually makes these stink.

I won't do them with money up front or post-dated checks, period, but to each his/her own.

JJ

Reply by Jim/AL on 9/2/09 10:31pm
Msg #302693

Ditto John. n/m

Reply by jojo_MN on 9/2/09 10:59pm
Msg #302698

From your state's website

http://www.banking.alabama.gov/documents/Governors%20Office-Banking%20Department%20Press%20Release%20regarding%20loan%20modifications.pdf

This is on your state's website. Illegal in AL for upfront fees.

Reply by Linda_H/FL on 9/3/09 7:20am
Msg #302712

But...But...but...

Didn't read the link, but if this is an Attorney-Client Agreement as she stated (i.e. Retainer Agreement) the up-front fee (attorney's fee) would possibly be legal. I don't know many attorneys, other than legal aid, who take on non-contingency cases without money up front for their time.

Reply by jojo_MN on 9/3/09 8:17am
Msg #302715

Re: But...But...but...

In Minnesota, attorneys have to get their loan originators license if they are going to do anything that deals with contacting lenders in regards to modifying mortgages. It is illegal in Minnesota to charge upfront fees. It doesn't matter if it is me picking up a check or them charging it to a credit card. It is still illegal.

The link I posted states it is also illegal to charge upfront fees in Alabama. She needs to check with her state regarding an attorney charging. Everyone that is dealing with the loan modification applications should do the same. Some attorneys are telling the prospective client that they are "federal attorneys" so don't have to comply with state laws. Not true. Also, I've personally been told that they have attorneys in all states so their office doesn't have to comply. Also, not true.

I'm not an attorney, I just check with the state to verify before accepting assignments. I don't want to see myself on a list of defendents when a disgruntled person is turned down for their modification after they paid $$$$ for the service upfront when it is illegal.

Reply by Jack/AL on 9/3/09 10:31am
Msg #302738

Re: But...But...but...

Here, Here! Bravo! Well said!

Obviously, I agree and like your approach.

Reply by MW/VA on 9/3/09 10:36am
Msg #302739

Re: But...But...but...

Yes, I was trying to convey that info to her before she got involved in something that she didn't have a clue could be a problem.

Reply by Jim/AL on 9/3/09 10:52am
Msg #302744

Thanks JoJo, good info. n/m

Reply by CLOSERS LLC - JAS LOAN on 9/3/09 11:56am
Msg #302755

I have done some of these that ask for money up front. They did not require me to notarize anything but I am not going to do any more. Here is the story they ask for money upfront and what happens they get the homeowner 3 months behind so they can claim hardship and maybe they will get the mod or maybe not. They also told me not to print copies for the borrowers. My feeling was that I did not sign anything I do not get a copy of. These would be okay for people who are already behind but then the lender is usually trying to work with them.

The legal service that handled these was Fidelity National Legal Services (could they be part of Fidelity National Title) if so how long b/4 this title company fails.

Barb

Reply by MW/VA on 9/3/09 1:23pm
Msg #302776

Fidelity National Legal Services is one of the names 21st Century Legal Services is using. They are scammers. If you do some research using the orange search button you will realize that this activity is illegal in many states. They're fooling a lot of people by using the term "legal" in their name.