Investigation of HSBC for Wrongfully Denying Mortgage Modifications

Wells Fargo

Posted on July 21, 2011 by mike

Lawyers have commenced an investigation of HSBC regarding the wrongful denial of mortgage modifications on behalf of home owners who: (1) have entered into a Trial Period Plan (“TPP”) contract with HSBC and made all payments as required by their TPP contract and complied with HSBC’s requests for documentation, and (2) have not received or have been denied a permanent Home Affordable Modification Agreement in accord with the U.S. Department of the Treasury’s Home Affordable Modification Program (“HAMP”) rules.

HSBC, like many other banks, agreed to participate in HAMP and are thus obligated to modify mortgage loans they service for homeowners who qualify under HAMP, a federal program designed to abate the foreclosure crisis by providing mortgage loan modifications to eligible homeowners. The investigations questions whether HSBC systematically slowed or denied homeowners’ requests to modify mortgages in order to collect higher fees and interest rates associated with stressed home loans.

If you believe that you have been improperly denied a permanent loan modification by HSBC and would like to inquire further about the investigation or your potential legal rights, please contact using the submission form below.

W[lbert W. said
280 days ago

I was denied a modification because HSBC said I made to much money. All my househols income comes from SS and small pensions. The $240K mortgage is almost twice what the cost of the home when it was built.

MARK G. said
278 days ago

I am a HSBC BENEFICIAL Mortgage Holder, I Have been trying since Jan.2010 to get loan modification due to fact that I was discharged from workmens compensation. when I asked how can I apply for a modification,I was told that HSBC does not offer HAMP.I had to applied for hardship,In August 2010 I was granted 6 months temporary relief from 10.9% rate to 5.4% rate for my hardship. At the end of the six period I applied an extendtion and it was given to me only after the fact that agree to a deferred amount $4,756.00.Please help me,its killing me.As of june 2012 they granted me a 6 month temporary modification at 5.4% rate.I am currently waiting for a court date from Social security,because i was denied.

Laurie P. said
177 days ago

I have been trying for literally 5 years to get somewhere with HSBC. I have sent several packets (lost, denied, temporary relief, denied, denied). They would certainly short sale for less but can't help me restructure my loan? Makes no sense to either party! They are the worst to deal with. Need help, I'm ready to sue and make a complaint with the ACLU.....I believe they are denying me a modification/restructure because we are a gay couple!

ALMA W. said
168 days ago

I have applied and submitted modification packages numerous times as they have requested even before i started having problems. I forsees that i would have problem and they turned me down without a valid reasons then I became sick unable to work as i did because then i move to another state resubmit again and they denied me the home was rented out as I was relocated and the late charges started to add up, then they started to send me letters at my old address even thou I did submit my new address in which i did correspond with then the tenants took the letters read it then the stop paying rental will not move out of the house started short sale after i could not reach anywhere with HSBC presently they're holding up the short sale and I'm scared as the end of 2012 is about here what do i do need an answer thanks

christina b. said
91 days ago

HSBC stated to us they do not participate in the HAMP program. We are currently in preforeclosure. We have exhausted all of our retirement money and we are paying $2133 a month with a 11.25% interest. These people are not willing to reduce interest or payment. Please help

Buckley S. said
51 days ago

Same issue???? Are you kidding? HSBC and Bank Of America are both crooks. I have tried to get a loan mod with both since May of 2012. I was told flat out by HSBC "We do not do loan mods!" and got into a screaming match with an African American woman on the phone. HSBC SUCKS!!! They have forced me into a short sale which will I am sure lead to foreclosure.

John L. said
43 days ago

have applied for and been given a ,modification -they dropped my payment by 150.00 -- that is not a modification. I am disabled and on fixed income of 2200 a month and they want me to pay 2160 a month

John L. said
43 days ago

have applied for and been given a ,modification -they dropped my payment by 150.00 -- that is not a modification. I am disabled and on fixed income of 2200 a month and they want me to pay 2160 a month

Gregory T. said
37 days ago

I agree with everyone else.

Margo M. said
33 days ago

YES all of the above.

Jeff M. said
24 days ago

Yes, anything they could have done to violate my rights, destroy my credit, and take my home was done even though I could have easily afforded the mortgage with a simple refi to even 7.5%. I submitted 42 pages of data for a HAMP refi and within 30 minutes they said no, the paperwork was probably still sitting on the fax machine with nobody looking at it. There is no way in the peak of the mortgage crisis they could have reviewed 42 pages in under 30 minutes much less get it in front of an underwriter for review. They were intent on taking our home from day one after they lied a year prior about a promise to reduce the rate in a year. When I did return in a year they stated they would refi the house but I had to refi my cars first. Once they refinanced the cars they immediately said "no, we're not doing any home refinancing at this time". All they did was lie and I have the recorded phone conversations to prove it. Also, thank you Federal Reserve for diluting our rights with this nonsense payoff check they sent with no correct to my credit score for their wrongdoing. If there is a class action suit out there for this type of activity, the attorneys would be interested in the documentation and evidence I have on hand and I would be a happy participant even if it was only to get the bad marks off of my previously perfect credit report.

delestine k. said
6 days ago

I have been trying to get a modifacation with hsbc for 3 yrs, did a trail modification for 6 months,did excellent, no missed payments. On time payments told me that I could get one for 18 months but have been denied every since.just applied for another. One to be denied fi

Kim V. said
6 days ago

We have been trying to modify my HSBC mortgage for the last 2 years and keep getting denied, reasons are we are outside of their financial parameter yet when I worked with HUD agency and even MHA they confirm we are over the 31% guideline, at 46%. That along with the fact we are underwater locked at 8% made us candidates for HAMP. US Treasury Dept.-MHA last contacted HSBC on our behalf for modification and they denied stating they do not participate in HAMP. All HSBC does is put band aids on our loan that make it that much more impossible to ever refinance and get away from them! Need Help!