Fucking Vultures

Borrowers Face Dubious Charges in Foreclosures:
"Now that big lenders are originating fewer mortgages, servicing revenues make up a greater percentage of earnings. Because servicers typically keep late fees and certain other charges assessed on delinquent or defaulted loans, 'a borrower's default can present a servicer with an opportunity for additional profit,' Ms. Porter said.

The amounts can be significant. Late fees accounted for 11.5 percent of servicing revenues in 2006 at Ocwen Financial, a big servicing company. At Countrywide, $285 million came from late fees last year, up 20 percent from 2005. Late fees accounted for 7.5 percent of Countrywide's servicing revenue last year.

But these are not the only charges borrowers face. Others include $145 in something called 'demand fees,' $137 in overnight delivery fees, fax fees of $50 and payoff statement charges of $60.

Property inspection fees can be levied every month or so, and fees can be imposed every two months to cover assessments of a home's worth. 'We're talking about millions and millions of dollars that mortgage servicers are extracting from debtors that I think are totally unlawful and illegal,' said O. Max Gardner III, a lawyer in Shelby, N.C., specializing in consumer bankruptcies. 'Somebody files a Chapter 13 bankruptcy, they make all their payments, get their discharge and three months later, they get a statement from their servicer for $7,000 in fees and charges incurred in bankruptcy but that were never applied for in court and never approved."