Does the small guy have a chance? My Opinion - Maybe or No

David and Goliath the epic battle in which the undog wins against all odds

It really depends on the bank and type of investor in your loan.    The company you call such as Indy Mac or One West Bank are the servicer and usually do not hold the note.   A third party investor like Fannie Mae,  Freddie Mac, or priviate investors owns the note.

Fannie and Freddit are working with services to get short short sales done and loan modifications but if your note or mortgage is held by a 3rd party investor who isnt willing to work with you and rather foreclosue to collect their MI (Mortagage Insurance) you are frankly screwed.   By the way they get their money when the insurance kicks in and you get foreclosed on.   If you actually speak with the MI carrier they will assist in doing a short sale or loan modification because they dont want to pay out a claim.  Or if the servicer is acting in "Bad Faith" let them know it may invalidate their policy.

Speaking of Indy Mac who went belly up and the Feds stepped in and ran the company until a group of billionare investors bought it for pennies on the dollar are just one of these banks who look like they are working hard on "getting it done", sending out mailers saying we want to help, calling using an auto dialer that hangs up after one second (proves they called but gave you no chance to speak with them, fills their quota of calls so they can foreclose."

All is just a facade to prove they reached out to you and you didn't respond.

If you are serious you have to go on the offensive and contact them every day, send in the paperwork by fax, by email, federal express so you have a papertrail.  Use their tactics against them.

David and Goliath - The Judges are seeing what the banks are doing in Nevada Foreclosure Mediation Program but their hands are tied.

In New York, a Judge granted a couples lawsuit against Indy Mac or One West Bank whacked the entire mortgage telling IndyMac/One West Bank they acted in bad faith and because of that they were nullifying the mortgage.   Of course it is in appeals court.

More battles will be fought and one by David.   Let's hope when the dust settles and the War is over Goliath is flat on his back.

SysAdmin