Items Tagged with 'DITECH BANKRUPTCY'

ARTICLES

  • NY attorney general opposes Ditech sale, announces investigation into reverse mortgage business

    Files brief with court claiming unlawful abuse of homeowners’ rights
    As the battle over Ditech's bankruptcy and subsequent sale of its mortgage channels rages on, New York’s top legal officer is weighing in. Attorney General Letitia James filed a brief in court this week expressing her objection to Ditech’s bankruptcy plan on the grounds that it fails to protect borrowers in foreclosure. "Ditech's action is an illegal attempt to strip hundreds of homeowners of their legitimate claims," James said.
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  • Bank of America claims Ditech's sale of RMS "threatens to abandon" elderly reverse mortgage borrowers

    Files official objection to the terms of the deal court
    Ditech Holdings announced last month that it had entered into an agreement to sell its reverse mortgage business, but now one of its big-named clients is formally objecting to the sale. Bank of America, which has a reverse mortgage servicing agreement with Ditech subsidiary Reverse Mortgage Solutions, filed a motion in court Thursday objecting to the deal as it currently stands, claiming that it “threatens to abandon the thousands of elderly borrowers” whose reverse mortgages are being serviced by RMS.
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  • Ditech selling forward, reverse mortgage businesses

    New Residential Investment snaps up forward book, Mortgage Assets Management buys reverse
    Ditech Holding is selling its forward and reverse mortgage businesses, the company announced Tuesday. New Residential Investment has agreed to purchase the stock and assets of Ditech’s forward mortgage originations and servicing business, while Mortgage Assets Management will acquire the stock and assets of Ditech’s reverse mortgage business, Reverse Mortgage Solutions.
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  • New York Court approves representation for mortgage borrowers in Ditech bankruptcy

    Ditech loses motion to dismiss consumer committee
    The Bankruptcy Court of the Southern District New York denied Ditech’s motion Friday to dismiss the formation of a consumer committee to protect the interests of mortgage borrowers who have loans with Ditech or its subsidiaries – including those who have reverse mortgages with its subsidiary Reverse Mortgage Solutions – ensuring these borrowers will not suffer too great a loss as the mortgage giant restructures.
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  • Mortgage borrowers win protection in Ditech bankruptcy, Ditech fights back

    New York court must rule on Ditech's objection
    The long and winding saga of Ditech's bankruptcy continues, as the U.S. Trustee grants a request to create a committee to protect consumer interests in the proceedings. The committee is intended to ensure that borrowers who have a mortgage with Ditech or its subsidiaries don't get trampled in the proceedings, but if Ditech has its way, this group will be disbanded before it has a chance to weigh in.
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  • Victims of reverse mortgage scam want protection from Ditech bankruptcy

    Request the creation of a committee to protect consumer interests
    Ditech is in the midst of a bankruptcy, and some are worried that the rights of its borrowers will be trampled in the process. A recent filing with the U.S. Trustee asked that a consumer creditor committee be formed to protect the rights of those who have claims with Ditech, including the victims of a reverse mortgage scam who have open claims with Ditech subsidiary Reverse Mortgage Solutions.
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