I am a Philadelphia area lawyer who has been protecting consumers from nasty debt collectors, foreclosure actions and at one time I provided bankruptcy services. I am now receiving calls from distraught folks who have been ensnared by unscrupulous lawyers, usually national or regional firms, who are charging small fortunes to defend their foreclosure actions. My best advise? Don't get involved.
The payment plan usually starts with a $2500.00 deposit and $500.00 per month for the life of the case. What if the case continues for one year? You have now paid an attorney $8500.00. It's simple math. At that fee, does your attorney have any incentive to actually find pathways for you to negotiate financial options with your mortgage company quickly? At that cost, do you have savings on which to draw from to clear up any arrearages? Better uses for your money? I know my clients certainly do.
When you are fighting a foreclosure action and your goal is to remain in your home for as long as possible, there is a clear strategy that can help you reach that goal. However, that doesn't mean that a law firm should be earning a monthly fee from your hard earned money. What kind of winning game plan is that? A traditional agreement with an attorney is to be paid a fee for a service. Do you think that every single month there is legal activity provided on your behalf?
While a typical foreclosure case can buy you time, and in some cases, are actually winnable, the goal is usually to save the house which is best achieved through a loan modification. Once we start defending the foreclosure lawsuit, the mortgage companies are more willing to seriously consider a loan modification. Many law firms, just recently established, to take advantage of the busted real estate market, don't understand many of your options as they have placed filling their pockets as their primary function. They are leaving you in the same exact position you were in, though, with less money and without your home, prior to seeing their ad on the internet.
I am appalled by these payment plans. A client of mine said that she felt like she was about to have another landlord had she entered into this agreement with a certain attorney's office since they pointed out that if she missed a payment, they would simply pull out of the case. Yes, I get paid for what I do. I have to be paid for my service or my lights go out. I just believe that if I am going to assist people with the best legal course of action, I need to be fair about it.
As a consumer lawyer, I hate when I see people, who are already panicked about their futures, being taken advantage of by those in my own profession. I had to bring this to the public's attention, since I have been receiving calls from my clients about it. My clients pay me well for my legal services. They do so because I have been fighting for debtors for many years. I devise very clear strategies to help improve the lives of many of my clients. I do so, because I care and I really enjoy kicking the big guy around for those who feel powerless. Give me a call to discuss your own special situation.