Foreclosure bill rejected by one vote

[flashl]

Source: Los Angeles Times

SACRAMENTO -- Legislation aimed at slowing residential foreclosures in California failed by a single vote in the state Senate on Wednesday, after Republicans balked at requiring lenders to talk personally with borrowers before they start the default process.

After the vote, Senate President Pro Tem Don Perata (D-Oakland) criticized the GOP lawmakers and vowed to bring back a similar bill in the spring.

"There are some things, albeit minor, that we can do in California to help those who are ensnared in the so-called sub-prime mortgage crisis," Perata said. "There are enough reasons for us to try to slow this process down."

He warned that 300,000 California homeowners face dramatically higher monthly payments on their adjustable-interest-rate mortgages this year.

LA Times

Read more: http://www.latimes.com/business/la-fi-subprime31jan31,0,5440639.story

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This is a shame, California foreclosure bill seems reasonable until the subprime fiasco is resolved.

[sallyseven]

1. Republicans hate working people

as well as poor people. The favor the crooks and the charlatans that pass as business people. Get use to it. It hasn't changed in 72 years as far as I know . I am only 72.

[2Design]

4. republicans are the crooks and the charlatans that pass as business people n/t

[SpiralHawk]

5. Yes, indeed. Republicons prove it again, just as they hate our soldiers & veterans

Republicons mouth a batch of propaganda talking points, but they vote against the people and the soldiers...

The arrogance of this is appalling - they want to be sure the bankers do not have to suffer the human inconvenience of actually talking to the homeowners before they move in and ruin another family's life. Sheesh- republicons are totally amoral...Konservative Kompassion, my ass.

Thow the bums out.

[FreeStateDemocrat]

2. Do the pukes have a majority or did some Democrats cross over to the dark side?

[Dark]

3. It was a filibuster I think.

n/t

[UpInArms]

6. the corporate machine cannot speak - it will only grind on

destroying everything and everyone in its path

[benld74]

7. How in the hell can these people sleep at night,,,

knowing they are doing these things to hurt other people? How can they look in the mirror? Do they think they are that much better than everyone else? bastards!

[Oreegone]

8. Sleep at night?

You have no problem sleeping if you are incapable of empathy for your fellow man.

[rodeodance]

9. they need to get voted OUT

[juno jones]

10. If they had to talk to borrowers they might discover evidence of hanky panky

that went on when their representatives or, most likely, the freelancers who sold them the unethical loan put together a, well, unethical loan. their game would be up and we of course can't have that.

[YellowRubberDuckie]

11. I feel I need to explain something to you guys.

I work for a mortgage company.
When a person is 30 days past due, we start collection calls. We do not do traditional collections. We call people to help them. We see if they qualify for Loss Mitigation, which can be a plan to add the delinquency back to their principal balance,which can't be done until 3 months past due, or a forbearance plan, which helps the people pay out their delinquency for a number of months.
The people who usually end up in Foreclosure are those who just can't afford the house anymore or they do not cooperate. When I worked in the Loss Mitigation department, people would sign up, dodge our calls for weeks and call back when they got served the Foreclosure papers, screaming at us that they had taken care of it already. I hate to burst everyone's bubble, but I work with some really good people, and I work FOR some really good people. I also hate to say it, but a lot of our customers act like we should kiss their ass as if they are buying something at Best Buy instead of trying to save their house.

We try everything we can do to keep people in their house because (and get this really insane piece of info): A PERFORMING LOAN EARNS US MORE MONEY THAN A FORECLOSURE. We will lose money when it comes to foreclosure. We WANT people in their home and making their payments. They rescinded a foreclosure sale just last week to get someone on a loan modification so that they could keep these people in their house. Please do not make us the villains. There are some bad lenders out there, but a lot of companies are just trying to stay afloat for their employees.
Duckie

[DCKit]

12. What you portray is the way it should be.

Any chance the mortgage companies will convert or refinance sub-prime mortgages to fixed rate mortgages to keep even more people in their homes, paying on time and living the American dream? I realize that millions of people paid entirely too much for their homes, but a low interest mortgage might make all the difference in the world to many of them.

On another note:

While the FBI is investigating the sleazier mortgage providers for scamming the country, I hope they will also lavish some attention on the real estate brokers who worked in collusion with the bankers to inflate housing prices based on the availability of cheap money, not of the actual value of houses. People weren't being sold houses based on their value, they were being sold based on what they thought and/or were told they could afford to pay.