Legal Blog

Compensation and Compliance Matters: How Quality Customer Service Can Keep Mortgage Lenders Compliant

The consent decree the Consumer Financial Protection Bureau entered into with Green Tree Servicing involves $48 million in restitution and $15 million in penalties. Specifically, Green Tree was accused of not adhering to the modification process of loans in modification at the time they were transferred to Green Tree. In addition, its short sale department did not provide timely responses to short sale requests and was often non-responsive. Further, according to the CFPB, borrowers were harassed into making payments through aggressive and repeated phone calls and threats of potential legal action if payments were not made. Overall, the CFPB described this as a policy of “prioritizing collecting payment over helping homeowners.” Click here to read the entire article on National Mortgage News.  | 240.507.1740 Ari Karen is an experienced litigator and speaker who has focused his practice in representing financial institutions in both government investigations and litigation before state and federal trial and appellate courts nationwide. Mr. Karen’s practice is diverse, representing clients on matters concerning banking regulations, Dodd Frank financial reform laws, contractual disputes, employment and labor statutes, wage-hour class actions, employment discrimination and fair lending matters, whistleblower complaints and non-competition claims, among others. You can also connect with Offit Kurman via FacebookTwitterGoogle+YouTube, and LinkedIn. WASHINGTON | BALTIMORE | FREDERICK | PHILADELPHIA | WILMINGTON | VIRGINIA | NEW YORK