Loan Statements to Consumers in Bankruptcy

Jonathan Foxx, Ph.D., MBA
Contact

Recently, I had a conversation with an attorney whose clients are in bankruptcy. Knowing that we have an entire group devoted to servicing compliance, he wanted to know why his clients were receiving loan statements again. It made no sense to him, since there was a time when borrowers in bankruptcy stopped receiving loan statements.

Actually, withholding of loan statements stems from confusion by courts. But I’ll get to that in a moment.

The fact is that, if you’ve represented borrowers in bankruptcy, you may remember a time when they received periodic residential loan statements from their mortgage servicer, much like they did before filing for bankruptcy protection. But you might also remember a time when the delivery of these loan statements to debtors suddenly ceased, with no explanation.

LOADING PDF: If there are any problems, click here to download the file.

Written by:

Jonathan Foxx, Ph.D., MBA
Contact
more
less

Lenders Compliance Group on:

Reporters on Deadline

"My best business intelligence, in one easy email…"

Your first step to building a free, personalized, morning email brief covering pertinent authors and topics on JD Supra:
*By using the service, you signify your acceptance of JD Supra's Privacy Policy.
Custom Email Digest
- hide
- hide

This website uses cookies to improve user experience, track anonymous site usage, store authorization tokens and permit sharing on social media networks. By continuing to browse this website you accept the use of cookies. Click here to read more about how we use cookies.