Timothy J. Sierra, Attorney at Law Trusted Florida Bankruptcy Attorney Since 1987
Call Today For A Free Initial Consultation
813-463-2256

Federal settlement to help consumers in wrongful foreclosures

The federal government has announced a settlement with major banks to compensate many consumers who have had their homes wrongfully foreclosed upon. The banks are to pay $8.5 billion to millions of homeowners, who lost their homes due to questionable practices, such as skipping required foreclosure steps and mishandling paperwork. This can greatly impact many consumers in Florida, which was one of the states hit the hardest by the housing market crash.

The settlement was originally begun as an enforcement action in 2011 as a result of complaints against banks and lenders for questionable and unfair foreclosure activities. The action has recently been revised to reach more of the affected homeowners and to reduce the cost and amount of time it was previously taking to close the individual cases.

The settlement covers millions of people in foreclosure during 2009 and 2010. A lighter offense, such as not allowing a homeowner some form of loan modification before beginning foreclosure, would bring a minimum compensation of $1,000; more serious incidences of foreclosure fraud such as seizing a family's home under unfair practices can result in a higher payout of up to $125,000.

Consumer advocates argue that this settlement is still unfair to those who have lost their homes under the above conditions. They say banks are getting off the hook too easily without paying as much as they should to people who have suffered the financial challenges that come with home repossession. However, proponents of the settlement and the banks involved say that this agreement will reach the affected individuals faster and more efficiently than the original 2011 agreements.

Source: MSN Money, "10 banks agree to pay $8.5B for foreclosure abuse," Daniel Wagner, Jan. 7, 2013

No Comments

Leave a comment
Comment Information
  • "When I first came to the decision to file for bankruptcy, I had no idea where to start. I began researching attorneys on the internet and came across the information for Tim Sierra. Since he specialized in bankruptcy and had a lot of experience......"
  • The process of going through bankruptcy could be very overwhelming but Tim made me feel at ease and I felt that my needs were being taken care of. I truly feel that he had my best interests in mind and the lines of communication were always open....
  • "I had to file a Chapter 7 bankruptcy. I didn't know anyone who could refer someone so I took a chance and just looked on the Internet. I don't remember exactly why I chose Mr. Sierra, but I am glad I did..."
  • He was honest, straightforward, and hard-working. In my case I ended up with some extenuating circumstances and he handled the matter professionally even though I'm sure the work probably exceeded what he originally felt it would be....
  • I don't ever write reviews, and I had no prior relationship with Mr. Sierra. This review is simply being written as a service to others that Mr. Sierra is an excellent attorney and should be considered for your needs if you need one....
  • "I'm very happy to have been referred to Tim for my Chapter 7 filing. He was knowledgeable in his field and very responsive in replying to any questions or concerns I had. Tim was also very accommodating with meeting times..."
  • " I recently was in need of Mr. Sierra's services and I found him to be very understanding and helpful in my particular circumstance. He met with me and explained everything in full detail and also answered every question that I had....."
  • " I recommend Timothy Sierra a loyal and dependable lawyer. When you talk to him you feel that you are with a friend or a member of your family. Timothy is able to lead you in every step of the process. Good job Timothy."
  • " Bankruptcy is a private and personally devastating life event. Timothy Sierra and his assistant, Nancy, made the process as painless as possible. They kept in close contact via phone and email so I always knew what was happening in my case...."
More Testimonials
Email Us Today

Schedule A Free Initial Consultation To talk to an experienced Tampa bankruptcy attorney, call 877-492-7449 or fill out the form. All calls are returned within 24 hours.

Bold labels are required.

Contact Information
disclaimer.

The use of the Internet or this form for communication with the firm or any individual member of the firm does not establish an attorney-client relationship. Confidential or time-sensitive information should not be sent through this form.

close

Privacy Policy

We Have Offices in Tampa, Riverview and Brandon For Your Convenience.

Tampa Office
118 South Rome Avenue
Tampa, FL 33606

Toll Free: 877-492-7449
Toll Free: 877-492-7449
Phone: 813-463-2256
Phone: 813-463-2256
Fax: 813-258-4746
Tampa Law Office Map

Riverview Office
6314 U.S. Highway 301 South
Riverview, FL 33578

Toll Free: 877-492-7449
Toll Free: 877-492-7449
Phone: 813-463-2256
Phone: 813-463-2256
Fax: 813-258-4746
Map & Directions

Brandon Office
305 North Parsons Avenue
Brandon, FL 33510

Toll Free: 877-492-7449
Toll Free: 877-492-7449
Phone: 813-463-2256
Phone: 813-463-2256
Fax: 813-258-4746
Map & Directions