Mortgage Evolution: The Origin of These Fees – The Ninth Circuit Interprets RESPA In Medrano v. Flagstar Bank

By John P. Gustafson, Chapter 13 Trustee for the Northern District of Ohio, Western Division

The Ninth Circuit recently addressed the proper interpretation of RESPA’s requirements that a servicer response to a qualified written request in Medrano v. Flagstar Bank FSB, 704 F.3d 661 (9th Cir. 2012).

On its face, the letters sent by the attorney for the mortgage debtors look like the kind of issue that would make RESPA a natural selection – an escrow dispute.  But, because the dispute arose from a pre-mortgage soup of loan-broker statements that the monthly payment would never . . .

It looks like you are not signed in or registered! This content is only available to members.

Or Sign In Below:

No Author Biography has been linked to this Article.

Related Articles

September 20, 2020
By The Honorable William Houston Brown (Retired) Chapter 13 debtors’ FDCPA claim was not “related to” bankruptcy case. After reopening closed case, the debtors filed adversary complaint against mortgage holders and servicers, alleging various claims for violation of discharge injunction, automatic stay and FDCPA. The complaint plausibly pleaded elements required for §§ 362(k) and 524(i), but the claims under FDCPA...
Members
March 10, 2019
By Lawrence R. Ahern III, Brown & Ahern (Nashville, TN) PART III: The Lower Courts Struggle with Arbitration Guidelines Introduction Click here for Part I Click here for Part II
Members
lynch
July 16, 2023
A. Introduction When should we regard dismissal or conversion of a chapter 13 as an unsuccessful bankruptcy? The arguments are familiar.Chapter 13 is the easiest, quickest, and cheapest way to stop foreclosures, repossessions, and garnishments by creditors.Desperate debtors can file a chapter 13 case without schedules, statements, or a plan and buy themselves a stay for a short period. And...
Members
February 24, 2019
By Henry E. Hildebrand, III, Chapter 13 Standing Trustee for the Middle District of Tennessee (Nashville) It was impermissible and contrary to the provisions of the Bankruptcy Code for the bankruptcy clerk to enter an order which dismissed a Chapter 13 case based only upon the trustee’s certification that the debtor did not make a timely first payment. (Duncan). No...
Members
December 6, 2020
13 documents by Independence Software – Identity theft is a real and constant threat when transmitting information through the Internet. For Trusteeships, using e-mail to receive documents from the debtor bar is insecure, placing sensitive debtor information at risk. Founded in 2011, 13 Documents is unlike other filing systems — it is a complete document management solution for your Trusteeship...
September 15, 2019
By The Honorable William Houston Brown (Retired) Manufactured home did not become accession to real property. The creditor holding security interest in a manufactured home objected to confirmation, on the basis that § 1322(b)(2)’s anti-modification provision prevented bifurcation of its claim into secured and unsecured parts. The Eighth Circuit noted that the Bankruptcy Code does not resolve the issue of...
Members
January 10, 2021
By Henry E. Hildebrand, III, Chapter 13 Trustee (Nashville, TN) Other than a recluse without any information of current events, we have been made fully aware of the fact that Congress was fashioning a second stimulus/COVID relief bill. The result is the Consolidated Appropriations Act, 2021; a massive bill with more than 5,300 pages governing a huge expanse of appropriations,...
Members
March 31, 2019
By Wm. Houston Brown, United States Bankruptcy Judge (Retired) Debtor’s Attorney - Suspension of firm upheld. The District court affirmed the 90-day suspension of Law Solutions Chicago, LLC (d/b/a UpRight Law, LLC), with the record supporting the bankruptcy court’s findings that the firm failed to adequately represent the debtor in a “simple” consumer case. Disgorgement of fees was appropriate under...
Members
March 17, 2019
By Cathy Moran, Esq. (Redwood City, CA) Because its treatment varies so, we need to be asking more pointed questions of clients about both insurance policies and the debtor as beneficiary. Unmatured life insurance Starting with exemptions, §522(d)(7) makes an unmatured life insurance policy exempt without limit. So, the insurance element of a policy owned by the debtor is exempt...
Members
October 24, 2021
By Jay S. Jump, CEO, CertificateofService.com (Pasco, WA) My guess is you initially saw the title of this article and promptly pressed right on past it. Who needs to learn how to properly address an envelope? You didn’t spend three years in law school plus all that money in student loans to address an envelope! But, If the purpose of...
Members