ILNews

State files suit against mortgage lender

IL Staff
January 1, 2008
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Indiana Attorney General Steve Carter has filed a lawsuit against mortgage lender Countrywide Home Loans Inc. for questionable practices, making Indiana the fifth state to take action against the largest lender in the country. The suit, No. 76C01-0808-PL-652, was mailed to Steuben Circuit Court Aug. 22 and filed the same day.

The suit, which includes Countrywide's parent company, Countrywide Financial Corporation, alleges the company engaged in deceptive and misleading practices that put borrowers in potentially risky and costly loans.

Carter's investigation of the company showed homeowners were misled about some terms of their loans including pre-payment penalty terms and the time period in which interest rates would be recalculated.

The state wants the court to order Countrywide to end the deceptive practices listed in the suit, void the prepayment penalties on Countrywide originated loans, and void any portion of the Countrywide originated loans that resulted from deceptive acts.

The state is also seeking civil penalties of up to $15,500 per violation in addition to investigative costs and consumer restitution. The penalties are allowed under Indiana's Home Loan Practices Act, Indiana Code Section 24-9-8, and Indiana's Deceptive Consumer Sales Act, I.C. Section 24-5-0.5.

California, Connecticut, Florida, and Illinois also have pending actions against the mortgage company.
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  1. Im very happy for you, getting ready to go down that dirt road myself, and im praying for the same outcome, because it IS sometimes in the childs best interest to have visitation with grandparents. Thanks for sharing, needed to hear some positive posts for once.

  2. Been there 4 months with 1 paycheck what can i do

  3. our hoa has not communicated any thing that takes place in their "executive meetings" not executive session. They make decisions in these meetings, do not have an agenda, do not notify association memebers and do not keep general meetings minutes. They do not communicate info of any kind to the member, except annual meeting, nobody attends or votes because they think the board is self serving. They keep a deposit fee from club house rental for inspection after someone uses it, there is no inspection I know becausee I rented it, they did not disclose to members that board memebers would be keeping this money, I know it is only 10 dollars but still it is not their money, they hire from within the board for paid positions, no advertising and no request for bids from anyone else, I atteended last annual meeting, went into executive session to elect officers in that session the president brought up the motion to give the secretary a raise of course they all agreed they hired her in, then the minutes stated that a diffeerent board member motioned to give this raise. This board is very clickish and has done things anyway they pleased for over 5 years, what recourse to members have to make changes in the boards conduct

  4. Where may I find an attorney working Pro Bono? Many issues with divorce, my Disability, distribution of IRA's, property, money's and pressured into agreement by my attorney. Leaving me far less than 5% of all after 15 years of marriage. No money to appeal, disabled living on disability income. Attorney's decision brought forward to judge, no evidence ever to finalize divorce. Just 2 weeks ago. Please help.

  5. For the record no one could answer the equal protection / substantive due process challenge I issued in the first post below. The lawless and accountable only to power bureaucrats never did either. All who interface with the Indiana law examiners or JLAP be warned.

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