Debt Relief Category Archives — Riverside County Bankruptcy Lawyer Blog Published by Riverside County Bankruptcy and Debt Lawyer

Loan Servicing

February 20, 2024 | by Christopher Hewitt

Home loan servicers are companies that manage the day-to-day administrative tasks of a mortgage, acting as an intermediary between the borrower and the lender or investor who owns the loan. At the Law Office of Christopher Hewitt, we help clients with issues with their loan servicing companies protect their homes. In recent years, many clients have contacted us with questions about a company called the Specialized Loan Servicing LLC, located at 6200 S Quebec St, Greenwood Village, CO, 80111.

Why Loan Servicing

Typically, the lender chooses to use a loan servicing company. When a loan is initially issued, the lender either has an in-house servicing department or contracts with an external loan servicing company to handle the day-to-day loan management. In many cases, lenders may sell the loan to investors in the secondary market but retain the servicing rights or transfer them to another servicing company. Even though the lender that originated the loan may no longer own it, they or another designated company will still manage the loan servicing. Borrowers typically do not have a say in who services their loan and may find that their loan servicing is transferred one or more times during the life of the loan. When a loan servicing transfer occurs, borrowers are notified in advance by the old and new loan servicers, as required by law, to ensure they know where to send their payments.

Foreclosure on Homes by HOAs

February 1, 2024 | by Christopher Hewitt

Throughout the United States, an increasing number of people complain about corruption stemming from the homeowners’ associations (HOAs) their homes are a part of. Some HOAs are increasing fees so fast that homeowners can’t keep up with their HOA payments. Others have been accused of laundering the money from the HOAs they preside over for their benefit. An even more alarming trend is emerging: having your home foreclosed on by an HOA with minimal warning and for a minimal amount of unpaid HOA fees.

Luckily, in California, there are laws to protect homeowners from an HOA foreclosing on their home. However, it is essential to understand the laws and ensure you protect your investment and your family home. As a bankruptcy attorney, I have dealt with these kinds of issues. Having been in the business of helping clients avoid foreclosure, I have seen all sorts of different methods banks, lenders, and HOAs may use to foreclose on your home.

In California, the laws governing HOAs and their ability to foreclose on properties are outlined in the Davis-Stirling Common Interest Development Act. This Act provides a comprehensive legal framework for managing and operating common interest developments, including HOAs, in California. Here are critical aspects of these laws as they relate to HOA foreclosures:

Considering Bankruptcy for Medical Debt: Navigating the Statute of Limitations

December 13, 2023 | by Christopher Hewitt

When you have a mountain of medical debt, it can feel as though there’s no way out. However, the statute of limitations in California provides a timeframe beyond which a creditor cannot sue you for certain types of debt, including medical bills. This article explores the implications of the statute of limitations and evaluates whether declaring bankruptcy is a viable solution.

What Happens if a Creditor Doesn’t File Within the Statute of Limitations?

A creditor must sue for medical debt before the statute of limitations expires. After this period, the debt becomes “time-barred,” making it illegal for creditors to file a lawsuit. However, simply waiting out the creditors is not always practical or efficient.

Simplifying Debt Consolidation: A Guide for Californians

December 12, 2023 | by Christopher Hewitt

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In California’s diverse economic landscape, managing multiple high-interest debts is a significant challenge for many. Debt consolidation offers a practical approach, allowing individuals to combine their debts into a single, more manageable monthly payment, potentially with a lower interest rate. This method is akin to putting all your financial burdens into one basket, simplifying your financial management.

However, opting for debt consolidation in California requires a thorough evaluation of various options, each with its unique set of advantages and challenges. These options include credit card balance transfers, debt consolidation loans, home equity loans, and personal loans.

Pros of Debt Consolidation:

Being sued by Macdowell & Associates

December 6, 2023 | by Christopher Hewitt

There is a company in Newport Beach called MacDowell & Associates which has earned a notorious name throughout Southern California as a debt collection agency who sues debtors across the region. This region is likely to affect areas such as Santa Ana, Riverside, Anaheim, and maybe even down to Temecula. If you have received any correspondence from this company or any other debt collection agency, you may want to contact a lawyer before making any response to the agency. Many uneducated debtors will unknowingly make a payment to a debt collection agency even though that debt has already expired and may cause the debt to reset its expiration and give legitimacy back to the debt. When debt has already expired but a debt collection agency tries to get money back from the debtor regardless, it is called a Zombie debt collection agency.

What are Zombie Debt Collectors?

“Zombie debt collectors” refer to collection agencies or debt buyers that attempt to collect on old, often expired, or previously settled debts that may no longer be legally enforceable. These debts are sometimes referred to as “zombie debts” because they can seemingly come back to life after a period of inactivity.