New Haven Financial review: mortgage rip-off 88

Wonderful news! So Scott, who has a case for liable and slander now?

Fun Fact: New Haven Financial is a Defendant in 18 cases, mostly Investor Fraud and Wrongful Foreclosure. just in LA County Superior Court alone!

wahoo!

Lawrence S. Rabinoff, Scot R. Fine, Stephen D. Sutton at all

This one is a classic equity stripping or skimming scam popular in [protected]. A new law in many states has put a higher standard on brokers reducing the amount of this type of fraud. Usually perpetuated on unsophisticated, low-income home owners, as disclosed in WP article. This site also details the length of action the company takes to spun this kind of scam. Some points are: 1. Multiple mortgage compnies are spawned to continue after regulators shut down the main perpetrator company. 2. Running internal escrows and trusts to charge extra fees to buyers and drive them further into debt. 3. Related companies are also needed to act as “rescue artists”. 4. Using fraudulent real estate licenses of other persons or expired. 5. Using unscrupulous appraisers and notaries to inflate home prices, manipulate title holders in the records. 6. Forging signatures on important documents.

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Here’s some of the real truth behind the horrific business tactics used by New Haven Financial, for which they are now being investigated by the California Department of Real Estate (DRE). A hearing on a major complaint is scheduled later this month.

First, the reason behind the creation of California Equity Lenders (Agoura Hills, California) at the end of 2007 is that most of the sales staff had invested, together with a great number of friends and family members, in New Haven Financial’s loans. Big problem: the very bad lending practices practiced by New Haven Financial (at Larry Rabinoff’s direction) were now biting them, their friends and their relatives in the derriere. So much so that the loss by default of properties with New Haven Financial loans went from a trickle to a torrent. New Haven Financial’s income is derived from a combination of points paid at the onset of the loan, exorbitant marked-up processing fees, and a percentage of incoming loan payments on an ongoing basis. All of their trust deeds are recorded ONLY in the investors’ names, NEVER in New Haven Financial’s name, so New Haven is never on the hook for a defaulted and foreclosed property in which their investors’ funds were invested (typically as a 2nd mortgage although more junior positions are sometimes funded). Investors are still held responsible for keeping senior loans current to safeguard New Haven’s junior positions. New Haven continues to accrue fees and costs even on non-performing loans, and have to suck up auction and resale costs and expenses.

Score in most cases: New Haven $$, Investor 0.

Many investors either do not anticipate or are not prepared to continue making capital infusions to keep the senior loans current when payment has ceased on New Haven Financial loans. These are very bad loans, and the defecting group of employees (another writer has provided a partial listing of those people) together with their friends, relatives, and investors have filed dozens of complaints with the DRE for these reasons. Civil law suits are also following. One witness has stated that in excess of 50 complaints have been filed with the DRE and Department of Corporations regarding illegal and unethical lending, collection, and foreclosure actions. In addition to California law, New Haven Financial is known to flagrantly violate RESPA requirements, which is the federal law regarding real estate matters.

Numerous abuses have been noted by New Haven Financial borrowers, including points and interest exceeding legal limits, imposition of undisclosed fees, illegally charging and retaining premiums on third party, and unconscionable clerical and administrative fees. Worse, witnesses have corroborated falsification and manipulation of mortgage application information, including falsification of income, income source, liabilities, and employment. Related to this, and as noted by one writer on these blogs, is identity theft, in which a spouse would (unknowingly to him/her) be added to a mortgage application to pump up income and credit worthiness of the original applicant, to make the new-and-improved application more attractive to potential investors, especially on marginal applications and properties. Remember, New Haven only gets paid for funded applications.

These misrepresentations further extend to bad, inflated appraisals, using appraisers either beholden to New Haven’s owner, or appraisers who simply request a magic number to achieve the desired loan amount. So what if the nearest “comparable” property is four miles away? The investors don’t know any better, and they are foolishly relying on New Haven to safeguard their investments despite these pie-in-the-sky figures, which are based on grossly inflated appraisals, complicit appraisers, and misuse of prior sales which are either stale, simply not comparable, or outside of a reasonable geographical area. Commonly, appraiser’s fees are marked up illegally.

Let us review the escrow company favored by New Haven Financial. Reliable Trust Deed of Tarzana, California has been known to accept illegal deviations in title, including out-of-position stake holders, and to knowingly record these deviations at the direction of New Haven Financial’s management, including Larry Rabinoff and Scot Fine. Delays in recording, postponed and missed recordings and the like have been documented, always to New Haven’s benefit. Investors and borrowers alike have been defrauded as a result. Those people include the principles of Reliable Trust Deed, including Lynn Wolcott. That’s an interesting paper trail.

Speaking of “trust”, New Haven Financial has been documented to violate laws regarding the use and nonuse of trust accounts. These violations include misuse of funds contained in the accounts, nonuse where law requires funds to be placed in trust, failure to inform clients of an in-house “captive” escrow account, and overdrawing the account which means that funds were withdrawn illegally.
Now, consider the following: at least two of the remaining executives of New Haven Financial have sold or transferred title to their properties, within a time frame defined by laws regarding “fraudulent transfers”. The writer who has been tracking Larry Rabinoff (Westlake Village) and Scot Fine (Hidden Hills sale, transfer of assets to wife on Tarzana property) is on to something, which should be carefully noted.

New Haven Financial and its affiliates, including MBT Investments, are responsible for theft, fraud, and unfair business practices that are promulgated against the elderly. I am aware of such to be a fact, I am a neutral 3rd party, with nothing to gain, but telling the truth, by saying so. They have victimized an elderly woman, widow, 81 years old, and have used extortion against her to regain her belongings, and caused her homelessness to date. THEY FORECLOSED ON HER HOME THAT SHE RAISED HER CHILDREN AND LIVED WITH HER DECEASED SPOUSE OVER A PREDATORY LENDING, REVERSE MOTGAGE, HARD MONEY LENDING SCHEME BEFORE SHE KNEW WHAT HIT HER. SHE WAS STILL WAITING FOR NEW HAVEN TO RETURN HER CALL ABOUT A 70, 000 LOAN WHEN NEW HAVEN HAD HER THROWN OUT AND STOLE HER HOME. GOD HAS A PLACE FOR ALL THAT PREY ON THE WEAK IN SUCH DECEPTION, HELL. When those responsible leave this life, they take only their soul. Shame on all involved will come soon enough. You are evil and the devil shall welcome you with open arms. Justice will be done!

I AGREE HELL HAS A PLACE FOR THEM AND ALL INVOLVED IN ALLOWING THEM TO CONTINUE.

The Scott and Todd Fines of the world victimize homeowners that are suffering, (ironically enough), from an economy that has been trashed by the bad decisions of other banking institutions driven by similar greed. The homeowners postings that appear here, unfortunately are poor in their articulation of the events, especially when juxtaposed against the smooth talk responses The New Haven vulture brothers Scott and Todd Fine have practiced and polished for years defending their deceptive lending practices. Decent people trust what you tell them Fine bros, unfortunately you lie to them with your mouths, encumber their properties with contrary to what you said loan terms, and foreclose on them at the first opportunity available to you. Since you are loophole specialists, you mouth off about doing "nothing illegal" (albeit extremely unlawful) and justify your greed driven agenda by recanting dates and documents and procedures you claim to follow and you thereby deceive your own consciences. Honest people don't have comparable double talk skills and industry phraseology to come against you with because they are still in shock that bottom feeders like yourselves took advantage of them. They are still in shock over how you were able to look them in the eye when they were signing documents that were not at all reminiscent of the terms you explained at signing.. Your whole existence revolves around homeowners that are financially exhausted and unable to fight you in the courts. The good news is your cavalier disregard for lending laws has finally been noticed by people powerful enough to make examples of you. They are going to systematically remove from you the properties you think are so cleverly hidden in cute little family trusts with unrelated names and deeded to your "investor" buddies that in reality are just more scavengers out to carve up pieces of homeowners lives to get a little more of that addicting "homeowner equity money" to set aside for themselves. All it takes to be a New Haven property vampire "investor" folks is some capital to work with and the ability to fog a mirror. People have been focused on your lending violations because that's what effects them personally. You boys have been naughty in some other areas too though, haven't you? Nailing you for your other "investment vehicles" and less than truthful statements at times and in places it's really stupid to not be truthful at/on. will provide the evidence to put you all where you belong...Poor and broke like your clients end up.Hopefully, a criminal conviction with appropriate state time also, for running a business that is nothing short of a criminal loan racket.

Yeah! I agree with you totally, email me at ck.atrg@cox.net

Jariv finally got pinched last year. Keep looking over your shoulder.