NYC residents sue over denial of loan mods under national mortgage program.
Aurora Loan Services, a subsidiary of Lehman Brothers, has been charged with denying four Brooklyn and Queens residents access to the Obama administration's Home Affordable Mortgage Program. The program, which helps borrowers stave off foreclosure by refinancing their home loans, provides capped incentives to servicers who participate. The plaintiffs, represented by the Legal Aid Society of New York City, have alleged that Aurora refused to consider their loans for modification under the program and that Treasury officials did not step in to protect their rights to due process. The class action lawsuit was filed in federal district court in Washington, D.C., and seeks to force Aurora to provide reasons for denial of access to HAMP, as well as prior notice and an appeals process. [Housing Wire]
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|Publication:||The Real Deal|
|Date:||Nov 10, 2009|
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