Will Banks and Their Minions Ever Get it?
One of our short sale files disappeared mysteriously out of Equator (I'm sure that this has never happened to any of you). The bank/investor had rejected the offer and we had escalated the file and requested a manual review to look at our comps. So, when we went back to do the weekly review/update on the file, we noticed it missing and contacted a large, overbearing, self absorbed financial institution that I will not name here (But the initials of their corporate name are BA.)
It turns out that our client had called their customer service number to inquire about whether a Deed in Lieu of Foreclosure would be an option. They were referred to call another number, which they did. Because of the first phone call, the bank cancelled the file from our Equator system and reassigned it to the other entity. The other entity who it turns out is both real estate licensed in our glorious state, and who also is a collection agency. Their answer was that they would let the owner know if they qualified. (While we were speaking to the first customer service person directly at the bank, they told us the owner was not qualified for a Deed in Lieu).
Now it turns out that the bank was aware, as was the 3rd party collection agency that the owner is represented by an attorney in the transaction, our staff attorney. Neither the bank nor the collection agency disclosed that they were a collection agency or even that they were a 3rd party. The owner thought they were talking to the bank. Haven't they ever heard of the Federal Fair Debt Collections Practices Act? By law, due to the attorney representation they aren't even allowed to speak to the client.
Additionally, they were fully aware of our listing contract and had it on file with our 3rd party authorizations. Under our Nevada state law, one real estate licensed party isn't allowed to communicate with the client of another without permission.
How do we beat these vultures up to the point these practices will stop?
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