DCA Blog

Amanda Narvaes's Articles

DCA Partners on Lender Liability: Good Faith Is Critical

Drew, Cooper & Anding partners John Anding and Ted Westbrook shared some of the insights they have gained from years of representing clients--both plaintiffs and defendants--in bank litigation in a recent article published in the Michigan Bar Journal, Banks Bona Fide: A Good-Faith Approach to Lender Liability.  In the article, Anding and Westbrook relate some of the challenges faced by individuals and small businesses who have been victims of wrongful conduct by banks or have been ...

Mortgage Holders Cannot Sustain Class Action Against Bank Of America

After the recent economic collapse, a number of homeowners struggled to keep up with their mortgage payments. In response, the federal government established the Home Affordable Modification Program (HAMP) to help homeowners and banks come together to refinance underwater mortgages. The hope was that more people could stay in their homes, which would slow down the devastation following the housing market crash. Many homeowners applied for the program but allegations began surfacing that banks we ...

Circuits Split over Inherited IRAs in Bankruptcy Cases

Bankruptcy in the United States courts has always been a battle between competing interests. On one hand, bankruptcy exists for the benefit of creditors; the bankrupt party (the “debtor”) generally works with the court and its officers to pay back creditors as much of the debt as possible. On the other hand, bankruptcy is designed to give debtors a fresh start. So while paying back creditors often requires debtors to turn over most of their assets, the bankruptcy laws also attempt to protect debtors from living on the streets.

CFPB Releases Mortgage Complaint Data

On March 28, 2013, the Consumer Financial Protection Bureau (CFPB) expanded its Consumer Complaint Database (CCD) to include complaints involving mortgages, student loans, bank services, and other types of loans. The expansion also features added specificity about each complaint; such as the type of mortgage involved. The CFPB launched the CCD last year with data relating to credit card complaints. The new database allows consumers to view over 90,000 complaints, up from 19,000 available before the expansion.

New Rules for Mortgage Lenders

The Consumer Financial Protection Bureau (“CFPB”) was created in 2010 as part of a wave of legislation attempting to make the subprime mortgage crisis a one-time disaster. Driven by Senator Elizabeth Warren, the CFPB was designed to put fairly heavy regulations on lending institutions: regulations that not only would punish banks for misdeeds, but also would require all mortgage lending institutions to be more discerning in their lending practices. The carrot for the lenders is that following the strict guidelines to the letter in many cases gives the lender a safe harbor from borrowers. The safe harbor exists when a lender makes what the CFPB is calling “qualified” mortgages.