I am frequently approached by pro se (representing themselves) defendants in a foreclosure lawsuit. All too often these defendants tell me, “I am under review for a loan modification, the bank said I do not need to worry about the foreclosure case.” I cringe every time I hear that quote. Even worse, once I check the status of their case online, most of the time the banks have been moving forward with the foreclosure case after all.
While these defendants may be under review for a loan modification, that fact alone does not alleviate the need to properly defend the foreclosure case. For example, if an individual is served with a foreclosure complaint, they will have to file a response with the court within twenty (20) days, whether or not they are “under review” for a loan modification. If that response is not filed in time, the Plaintiff can move for a clerk’s default. Once that default is entered, the defendant is not allowed to file an answer or defend the case (except as to attorney’s fees) unless that default is vacated. In laments terms, the bank has an easy path to a foreclosure on the home.
Loss mitigation and the foreclosure lawsuit itself are two separate roads. While one can impact the other, both need separate and adequate attention.
THE HAYNES CONCLUSION: Even if you are under review to modify your loan, make sure you, or your attorney, are taking every precaution possible in the foreclosure case in order to protect your interest.
NEED HELP? I’ve represented banks in thousands of foreclosures. Now, I use my Florida foreclosure experience to represent homeowners and help them save their homes. If you are in need of an aggressive Orlando Foreclosure Lawyer, contact our firm, Haynes & de Paz, P.A.