topic American Home Mortgage pushing to seize $27 million in retirement savings in Credit in the News

American Home Mortgage pushing to seize $27 million in retirement savings

Anonymous — Wed, 19 Sep 2007 05:50:02 GMT

http://www.newsday.com/business/ny-bzdefer0918,0,5702591.story

Bankrupt Melville-based American Home Mortgage is attempting to seize as much as $27 million that employees had set aside from their paychecks as retirement savings, and if it is successful, the workers may never see the money again.

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This is among the reasons I contribute to a 401K but NOT to my companies pension plan.

Re: American Home Mortgage pushing to seize $27 million in retirement savings

Anonymous — Wed, 19 Sep 2007 16:17:44 GMT

Something's not quite right -- it says the plan was available to employees who made >$200,000, yet the two people quoted said that their $35,000-$50,000 was a substantial part of their retirement savings (crucial to survival) ???????????

Re: American Home Mortgage pushing to seize $27 million in retirement savings

Anonymous — Wed, 19 Sep 2007 23:22:10 GMT

While I think trying to take private accounts like this should be punishable by no less than two dimes in prison...

This is a tale told a thousand times, and people never learn. I tell you three times I tell you three times I tell you three times: NEVER invest ALL or even MOST of your retirement savings in any single stock, even your own company's. I don't care if your company is rolling out an easily produced machine that eats garbage and child molesters while emitting premium gasoline and uranium pellets. DIVERSIFY!

Re: American Home Mortgage pushing to seize $27 million in retirement savings

Anonymous — Thu, 20 Sep 2007 01:03:23 GMT

If these are all the same American Home Mortgage, then it seems they might be engaged in fraud and other violations of law.

American Home bouncing tax checks around country
http://www.newsday.com/business/ny-bzahm0920,0,1602449.story

But at least seven taxing jurisdictions said they received bad checks from the servicer or related complaints, and experts said borrowers who had deposited money for future tax and insurance payments could end up liable for missed payments.
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if the $60,000 worth of taxes was not paid by May, 12 borrowers' houses could be auctioned off.
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Leaders & Losers For Wednesday, Sept. 19
http://www.forbes.com/2007/09/19/freddie-mac-fannie-markets-cx_js_0919leaderslosers.html

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Leading the surge was Freddie Mac. The mortgage finance giant's shares rose 4% at midday. Freddie Mac said it has settled its dispute with American Home Mortgage Corp. The agreement should clear the way for payment of $2.4 million in delayed property taxes. American Home Mortgage declared bankruptcy last month and had not turned over a number of loan files to Freddie Mac.
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Caught in a toxic mortgage
http://money.cnn.com/2007/09/12/real_estate/surprising_face_of_foreclosure_Olivers/?postversion=2007091711

It seems surprising that Kurt and Vicki Oliver could lose their home to a bank foreclosure. They had great credit, long-term employment and excellent assets and income.
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They say the term, "negative-amortization loan," wasn't mentioned, but that's what they got instead.
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Making matters worse, the couple's mortgage servicer was American Brokers Conduit, a division of American Home Mortgage

Re: American Home Mortgage pushing to seize $27 million in retirement savings

Anonymous — Tue, 25 Sep 2007 19:32:31 GMT

http://ap.google.com/article/ALeqM5iTuk9vUyw1anPbbiDRg4y7FwaKWA

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The Maryland Commissioner of Financial Regulation filed an inquiry with American Home Mortgage on Friday. Melville, N.Y.-based American Home Mortgage has five days to respond to the letter, said Joseph Rooney, the deputy commissioner for Maryland's financial regulator.

Officials in New York and Washington state are also looking into bounced checks there.
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Whether American Home Mortgage broke the law by bouncing checks from escrow accounts depends on how the account trusts were set up
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