GC in Kentucky said: “HSBC changed the terms of my 30-year fixed home mortgage, to an adjustable rate mortgage in 2001, and refused to modify or make it right. I have all supporting documents from foreclosure in April of 2011.”
Here at Lender Watch we are just as shocked as most people when we read GC’s input. It does not surprise us that HSBC would not make it right, even after subprime fell apart and HSBC lost billions. From what we are told by former employees, HSBC often told homeowners that they could refinance within six months. Usually that never happened, and many experts wondered how HSBC planned to get around the Home Owners Equity Protection Act.
In reality HSBC modified whatever they wanted, said whatever they wanted, and did not care about homeowners. Similar to HSBC’s largest merchant credit card account – Bestbuy Consumer Electronics – HSBC was more focused on up-selling, personal profits, and larger paychecks, and much less focused on customer service.
What happened to GC is not rare, and happened more often than most people imagine. In our Mortgage Crisis center we documented daily reports until mortgage lending imploded. That was 2007, and HSBC was the first bank to get out in front of their mess, announcing the first losses. Losses continue today. Just look at Bank of America for instance.
The difference between Bank of America, via the purchase of Countrywide Mortgage, and HSBC is that HSBC never took responsibility, never cared about HAMP or HOPE NOW, and never really cared about business in the United States.