Thursday, August 8, 2013

Mortgage Rebates Were a 'Trojan Horse,' Class Says

Ocwen, the nation's largest subprime loan servicer, uses a check for $2.50 to automatically enroll unsuspecting customers in bogus home-warranty and service plans, a class claims in Federal Court.
     Margarita Delgado and William Sheppard, a married couple from Brooklyn, filed the suit in Eastern District New York against Ocwen Loan Servicing; Ocwen Mortgage Servicing; Ocwen Financial Corp.; Ronald Faris; Scott W. Anderson; Cross Country Home Services Inc.; Homesure of America Inc.; Homesure Services Inc.; Homesure Protection of California Inc.; Homesure of Virginia Inc.; Joseph Incandela; and Sandra Finn.
     The couple says the scheme starts by sending Ocwen customers checks for $2.50 "that a reasonable consumer thinks is a refund or rebate on their mortgage."
     Enclosed in the letters is a pitch inviting customers to cash the checks "so they can start saving money right away!" the lawsuit states.

http://www.courthousenews.com/2013/08/07/60081.htm 

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