"The Burger King Kids" this should be funny, but it's NOT.

By
Mortgage and Lending with Christensen Financial Mortgage 385907

The New York Times reported in an article entitled "Bankers Ignored Signs of Trouble on Foreclosures," that at Chase the employees hired to review and sign off on foreclosure mortgage documents were referred to as

the Burger King Kids

that was because most of the hires were walk ins who were so inexperienced they barely knew what a mortgage was.

they really took this seriously didn't they

NOT

The article further states that at Citigroup and GMAC, dotting i's and crossing t's on home foreclosures was outsourced to frazzled workers who sometimes tossed the paperwork in the garbage.

This was not as unusual response as you may think. 

Tossing files in the garbage that is.

Tammie Lou Kapusta, a former employee of Attorney David Sterns office, when deposed by the Florida's AG's office stated that mortgages would get placed in different files or

"they would get thrown out."

Well, that takes care of that!

next file please

Just another quick note about David Sterns Office, and if you're in the mortgage business in Southwest Florida you know the name well, Tammie says they hired outsourcing firms in Guam and the Philipines to help.

We all know that's where the real mortgage pros are living.

"burger king kids," throwing out files, 

say it ain't so

Please

but it is

THIS IS NOT FUNNY

I can remember previously when we had discussions about banks who were considered too big to fail. Do we now have a situation where the banks are

too big to prosecute

As far as I'm  concerned, one man's opinion so to speak, the banks are just laughing out loud at the regulatory agencies. And the regulatory agencies are just looking for a way to hide and hope it all just goes away.

So here's the million dollar question?

Do we ignore the laws and regulations in regards to the filing of foreclosures. Do we accept and reinforce the banks behavior.

or do we fully investigate their behavior and enforce the regs and existing laws?

What a mess!

Personally, right now I'm too flabergasted to think clearly and formulate any answers. Hopefully time will allow us to see and evaluate this more clearly. But you know

burger king kids

this should be funny, but it's not

 

 

  

Comments (26)

Jay Beckingham
Christensen Financial Mortgage - Port St Lucie, FL
Seniors ROCK!

Ron,

as far as i'm concerned they should be held to a higher standard. who are the professionals here, or as we are discovering, who's not.

thanks

jay

Oct 15, 2010 01:58 AM
Harry F. D'Elia III
RentVest - Phoenix, AZ
Investor , Mentor, GRI, Radio, CIPS, REOs, ABR

This is not funny business when a person has just lost their home on the court house steps. Now, they are being asked to leave their home.

Oct 15, 2010 02:03 AM
Jay Beckingham
Christensen Financial Mortgage - Port St Lucie, FL
Seniors ROCK!

Harry,

i agree, it's not. the banks activities are conducted solely in their own self interest with total disregard to the impact on others. let me point out in this case the "others" are their clients.

thanks

jay

Oct 15, 2010 02:35 AM
Sandy Vale
Punta Gorda, FL

Whoa.....I by no means think the banks acted properly, but is there any proof that the homeowner was NOT in default of their loan?  Why is it always someone elses  fault?  Are we going to find that an "i" was dotted or a "t" wasn't crossed or did the borrower really make the payments and the lender is foreclosed without cause?

Oct 15, 2010 02:40 AM
Jay Beckingham
Christensen Financial Mortgage - Port St Lucie, FL
Seniors ROCK!

Sandy,

we are a nation of laws and regulations. the banks/lenders are as bound by them as we are and are not, nor should they be allowed to disregard and ignore them. they actually have gone much further than that with their arrogance.

when they fulfill their requirements, if the buyers are in default, then they should be allowed to conduct a foreclosure and/or exercise whatever other recourse is available to them.

not before.

thanks

jay

Oct 15, 2010 03:22 AM
Joan Mirantz
Homequest Real Estate - Concord, NH
Realtor, GRI, CBR, SRES - Concord New Hampshire

I'm telling you Jay....it must have something to do with NE roots...that strong reaction to Right & Wrong!!
I posted on this yesterday (same title too! But I had a cute picture!) and am equally incensed! It's mind boggling and not the end of it in my opinion!

(PS: I will be doing a foliage post this week....will let you know)

Oct 15, 2010 03:55 AM
Jay Beckingham
Christensen Financial Mortgage - Port St Lucie, FL
Seniors ROCK!

Joan,

i like the dancing king, but i'm not that talented.

well there was mom and dad, sister Judith, and live free or die.

the banks/investors just can't be allowed to ignore and mock the existing rules and regs, and make their own. can't do it, it's not right.

why can't we all work this out together.

thanks

jay 

Oct 15, 2010 05:22 AM
Phil Stevenson, CRMP
PS Mortgage Lending 305-791-4874 or 888-845-6630 - Miami, FL
"Mortgage Nerd" in Miami, Florida and Texas

Jay, this is great info.  I don't think we can truly see and understand the depth and girth of this mess.  Foreclosures were taking an average of 2 years here is So Fla, and now I feel it will be much longer.  This is for 2 reasons, the current frozen foreclosure proceedings, and the new regulation that will cause further delays.  I honestly see no end in site, and that is very unfortunate!

Oct 15, 2010 07:20 AM
Jay Beckingham
Christensen Financial Mortgage - Port St Lucie, FL
Seniors ROCK!

Phil,

our foreclosures average a little over a year, maybe a year and a half. here's some info i plan on discussing tomorrow.

in a bloomberg article today paul miller, a former bank examiner, and current FBR Capital Markets analyst, says extending foreclosures by one month costs about $1,000 per property. now, if you were to believe mr. miller, which i'm not sure i do, you'd have to think that bankers are the worst business men in the history of mankind, which i don't

somethin doesn't smell right here.

thanks

jay 

Oct 15, 2010 08:16 AM
Wendy Rulnick
Rulnick Realty, Inc. - Destin, FL
"It's Wendy... It's Sold!"

Jay - That law firm does a lot of Northwest Florida work, too.  The foreclosures need to be done properly without exception.  "Investigate, correct and abide by the law."

Oct 15, 2010 11:59 AM
Jay Beckingham
Christensen Financial Mortgage - Port St Lucie, FL
Seniors ROCK!

Wendy,

are they really "officers of the court?" if so they need to set an example and be held to a higher standard.

i'm right there standing next to you.

thanks

jay

Oct 15, 2010 12:44 PM
John Novak
Keller Williams Realty The Marketplace - Las Vegas, NV
Henderson, Las Vegas and Summerlin Real Estate

In my market I've heard them referred to as "paper hats", because that's what they wore in their last job.

Oct 15, 2010 12:46 PM
Jen Edwards
RE/MAX Unlimited - Ponte Vedra Beach, FL
Broker Associate

Did you read the artice from www.tampabaytoday.com about Stern giving lavish gifts to his employees.  It was truly disgusting. What goes around comes around!

Oct 19, 2010 02:59 PM
Jay Beckingham
Christensen Financial Mortgage - Port St Lucie, FL
Seniors ROCK!

John,

with the level of unemployment there shouldn't be any problem finding qualified people to perform the functions to which they are legally obligated.

Jen,

i did, amazing isn't it at the level of arrogance involved accross the board.

thanks

jay

Oct 20, 2010 12:16 AM
Anonymous
Beth Atalay

Great Post Jay!! Wish this was on the 5:00 o'clock news for the nation to hear!! Banks simply don't care about what happens to these families, they're not interested in helping anyone, yes, indeed they're all laughing out loud about all this mess. There's probably a contest out there with law firms to see which one could foreclose the most in 30 days. This is beyond cruel.

Oct 20, 2010 02:33 AM
#21
Jay Beckingham
Christensen Financial Mortgage - Port St Lucie, FL
Seniors ROCK!

Beth,

there's gotta be a better way, wouldn't you think?

thanks

jay

Oct 20, 2010 03:48 AM
Drick Ward Property Management / Broker Assoc
NEPTUNE REALTY - Virginia Beach, VA
"RealtorDrick" - Experienced Representation

Everyone is outraged about the BK kids, but what about those instances were the information was accurate and valid although not verified.  Do you disqualify that foreclosure?  I predict when it's all said and done, a small percentage of the foreclosures will be where the borrower was indeed current.  A larger group will be where the borrower was in default but the i dots and t crosses were missing (I don't agree those should be thrown out, but also recognize the rule of law).  However the largest group will be those that were in default, properly foreclosed on, and if the underlying paperwork stands up to scrutiny now, does it really matter if it was verified before it was signed?  Isn't that like throwing the baby out with the bath water to disqualify that foreclosure?

Oct 22, 2010 05:45 AM
Jay Beckingham
Christensen Financial Mortgage - Port St Lucie, FL
Seniors ROCK!

Drick,

the ends justify the means?

does it really matter, absolutely. the lenders/investors/attorney's intentionally and for the sole purpose of doing this a cheaply as possible ignored the laws governing foreclosures. 

we are a nation of laws and regulations, we don't get to make our own or ignore the existing statues, just because it's more convenient, and less expensive for us to do so.

the term "burger king kids," shows just how little respect for the laws the lender had and the degree of arrogance that they exhibited.

thanks,

jay 

Oct 22, 2010 08:19 AM
Drick Ward Property Management / Broker Assoc
NEPTUNE REALTY - Virginia Beach, VA
"RealtorDrick" - Experienced Representation

Jay, It's less Ends Justifies Means and more Focus on Where we Are and Where we Need to Go.  I agree they acted with arrogance and there should be a monetary penalty to them, but halting all foreclosures hurts the entire industry and doesn't sufficiently punish them for the instances where they acted inappropriately (because surely some of the foreclosures completed were conducted honorably and properly).  Given that, I see a looming class action suit that ends in lots of dollars and for all in the class a free year of home warranty or something equally inconsistent with what happened.  It's the world we live in. Good discussion.

Nov 07, 2010 05:11 AM
Jay Beckingham
Christensen Financial Mortgage - Port St Lucie, FL
Seniors ROCK!

Drick,

where we need to go is to reestablish integrity and ethics.

you're right halting all foreclosures doesn't punish them sufficiently, but dissolution of the balance does.

honorably and properly? you're kidding right.

thanks

jay

Nov 07, 2010 06:14 AM