Brown's January 3rd letter to John Walsh, the OCC Director, highlights the public concern:
I write today to express my grave concerns with provisions of the OCC’s guidance regarding the proper treatment of foreclosed properties. Specifically, your guidance implicitly approves of the practice of having lenders “release a lien securing a defaulted loan rather than foreclose on the residential property.” This practice, also known as an “abandoned foreclosure” or a “bank walkaway,” has caused substantial harm to Ohio’s communities and should NOT be supported by the federal government.
Strong standards from the OCC will send a message that Wall Street must share in the responsibility to end the foreclosure crisis. Preventing banks from walking away from properties will give servicers greater incentive to avoid unnecessary foreclosures and explore alternatives to foreclosure. Wall Street banks may be acting in their own economic interest when they walk away from vacant properties, but they are not acting in the best interest of our communities.
In Cleveland Ohio via newnet5
Senator Brown was joined by Jeannette Smith, a Cleveland Heights resident, that faced foreclosure several years ago and left her property at the point of Sheriff’s sale. Later, she found out that her mortgage servicer had withdrawn its foreclosure action. Jeanette had already signed an apartment lease and was also left on the hook for the Bank abandoned property. She was later cited and charged, by the City of Cleveland Heights, for the cost of maintenance of her vacant property.
* “This foreclosure crisis affects all of us: homeowners, families, neighbors, and state and local governments. It is clear that the current system isn’t working and unfortunately federal regulators have failed to bring meaningful reform to mortgage servicing"
*SHERROD BROWN introduced the Homeowner Abuse Prevention Act of 2011
1-3-12 PRESS RELEASE:
Brown Urges Agency to Take Action to Prevent Needless Evictions of Ohio Families and Neighborhood Blight
1-4-12: RELATED: OBAMA names RICHARD CORDRAY to head CFPB
In a visit Wednesday to the Cleveland home of William and Endia Eason, who were victims of predatory lending, President Obama appointed Richard Cordray as head of the Consumer Financial Protection Bureau (CFPB). Speaking in Cordray's home state of Ohio, Obama blamed the “trickery and abuse” of the non-banking financial sector for the Easons’ woes and said, “We’re going to have to do something about it.” He added: “We’re so glad that we’ve got somebody like Rich Cordray, who’s willing to take this on and make sure that families like the Easons who do the right thing ... are not taken advantage of and are able to live in security and in dignity in their golden years.”
Thomas Ondrey - Plain Dealer
President Obama meets with Cleveland residents William Eason, left, and his wife Endia, along with newly appointed head of the Consumer Financial Protection Bureau Richard Cordray
Sherrod Brown's Press Release:
Appointment of former Ohio AG Cordray to National Consumer Watchdog Head
“Ohio families deserve a Consumer Financial Protection Bureau (CFPR) - complete with a Director - that can stand up to the special interests and look out for Ohioans’ interests. We asked for a fair up or down vote on Richard Cordray’s nomination. But too many senators are willing to stand instead with Wall Street, blocking a qualified nominee for the first time in the history of the Senate based on opposition to an agency’s very existence. Rich Cordray is fair-minded and highly qualified, which is why he enjoys widespread and bipartisan support from both the people of Ohio and those he would regulate.” said US Senator Sherrod Brown
Op-Ed by Sherrod Brown(12-6-11) POLITICO: CFPB Time is Now for Cordray
OhioFRAUDclosure previous post: Ohio leaders shaping Fraudclosure landscape
National Blog recognizes: OhioFRAUDclosure (Mandelman Matters - HERE)
Mandelman Matters - Podcast with Former OHIO AG - Marc Dan (HERE)