The friendly folks at BankofAmericaSuck.com posted information about the screens and the access to info that your bank has about your home loan.

LPS, short for Fidelity’s Lender Process Services is the nations largest insurance & foreclosure tracking servicing and is used by many banks to handle the nitty gritty details involved in managing your home loan – specifically how to maximize profits for the bank at the homeowner’s expense AND to clean up any troublesome title issues related to cleanly foreclosing on your home by a lender who is TOTALLY DIFFERENT from the one whom you started AND different from the lender named in the recorded documents living in the property records.

My favorite rip-off is the banks’ plan to insure your home month by month when they intend to foreclose (and add it to your bill) but not naming you in the policy so you reap no reward.

Think of it this way.   The bank takes out insurance to pay off your loan if they have to foreclose.  They foreclose, collect the insurance money, SELL YOUR HOUSE keeping that money, and then SUE YOU FOR THE DEFICIENCY between what you “owed” and what they got at the foreclosure auction!  Nothing like trying to collect three times!!

Sweet deal for the bank.  Sour for the homeowner.

Fight for your rights!

– The Bank Slayer

Fidelity LPS Navigation for Foreclosure Info

While some lenders do utilize web-based proprietary systems (MortgageServ, Res.net, etc) for insurance and foreclosure tracking, the majority of the lenders in the US (including Bank of America, Aurora Loan Services, and OneWest) utilize the Fidelity LPS system, which is maintained by Fidelity National Financial. It seems almost impossible to believe all of our banks would allow a single point of failure in our nation’s financial systems, however a certain level of cockiness is certainly warranted after successfully pulling off the largest series of cons in our nation’s history.

The LPS system can be accessed several ways. Using Internet Explorer, Balboa and Assurant agents are able to query every field within the system via the web based Lending Portal Login for all of their clients. The information is then used to build all of the AxsPoint/Cool reports utilized to track Force Placed and REO information on the CCS & PAC systems. The tracker then places the information on Clientsource for the servicer to view.

These systems are all web-based, because while the banksters do practice “honor amongst thieves,” each individual banks still likes to hide a certain level of information from each other to allow the possibility of stealing from each other while stealing from you. Web-based systems allow them to control the information visible to each other.

The LPS System

Depending on the terms of the contract between the tracker and servicer, the SOR (System of Record) can either be the information on LPS (accessed via the Lending Portal Login) or CCS (accessed via Clientsource). Either way, if your attorney were to subpoena documentation in court for a foreclosure case, you will be presented with the Fidelity LPS information, if anything.

At first glance, LPS appears to be quite a confusing system. To make things even more difficult, the field values are stored in CD libraries that can only be accessed if you have CPI Navigator installed on your system, and are able to access either the physical disk or the virtual disk installed on an internal network drive. Many field values are chosen by the servicer, so they can vary. The general system architecture, however remains consistent throughout each company.

Once logged in to the LPS system, on the top left of each screen will be a 4-character field (which can be accessed by either pressing Home or clicking on the field with your mouse). The 4 characters represent a screen subset, as well as a particular screen. Each associate with LPS access (whether customer service, management,  or back-end) has at least read/print access to each of the major screens listed below.

It is important to know that many of them can not update the fields on these screens based on their particular access, however they are ALL able to access the information and provide it to you with 6 simple key strokes (Home-4 character screen name, Enter) within 10 seconds or less. The most important screen subsets for your usage are:

FOR_ (Foreclosure Screens)

These screens house all information relating to the foreclosure of your home. There are 4 screens utilized: FOR1, FOR2, FOR3, and FORN.

The FOR1-3 screens are utilized by the foreclosure agents to process your foreclosure, and are occasionally utilized by the insurance tracker to determine REO premium values, as these screens display loan specific information for your flood zone, loan investor, state, replacement cost, principal value, step code (a code assigned based on the current step of foreclosure you are in), etc.

The FORN screen is where all information is notated by the agents regarding your foreclosure, including a 3 digit code that is automatically attached to each transaction to identify the individual representative, field agent, or automated system update responsible for the update.

REO_ (Real Estate Owned Insurance Screens)

These screens house all information relating to the insurance placed on your home after the foreclosure. They are set up exactly like the FOR screen subset, with REO1-3 housing the foreclosure and REO information, while REON has notations of each transaction performed within the screen subset, including the 3 character ID of who made the change.

REO insurance is important, because depending on foreclosure laws for your particular state and investor (FNMA and FHLMC-owned loans tend to be more strictly regulated), REO insurance can be placed on your loan before the foreclosure proceedings are complete. REO insurance is always paid out of your escrow account.

If you do not have an escrow account, or if it is set up only for taxes, the LPS system is designed to automatically create one for you, rolling the balance into your account. This means that if you do not have an escrow account, and your attorney was successful in litigating your foreclosure case, you will still have paid for an REO policy (issued through Balboa, Meritplan, or Newport Insurance) of 1 month or more of insurance on your home that lists the loan servicer has the loss payee.

You, as a borrower, are unable to file a claim against this policy, as you are in no way listed on the policy, if a loss were to have occurred in this time frame. In addition, more often than not, REO policies are renewed monthly, and a new policy number is issued for each 1 month term. If you call in to have this money refunded to you, the system only allows a cancellation of the most recent policy, and you may have multiple policies listed on your account, which you can not see.

HAZ_ (Hazard Insurance Screens)

This screen subset houses all information regarding hazard insurance (whether voluntary, force-placed, or real estate-owned). It is divided once again into HAZ1-3 for maintenance and HAZN for notations.

There is also a HAZM screen which shows any historic policy placement on your loan within the last 3 years. Many lenders will not list the specific REO policy number, but will instead only list REO as the policy number, but you can still find out whether or not you’ve ever had REO insurance placed.

In addition to current insurance information, the HAZ1 screen will show the investor for your loan (along with contact information for them), the insurance company and agent with contact info (including force placed and REO), foreclosure status, property address, escrow status, escrow balance, etc.

INV_ (Investor Information Screens)

The INV screen subset will show all information regarding the current and historical investor information for your loan. This screen subset is read-only for most representatives, however, it can still be accessed by all associates and emailed/faxed to you if you call and ask.

If you were told by your servicer that any of the above listed information is not available or could not readily be accessed, you have been lied to. If it was told to you in court, your lender has officially committed perjury per United States law, as every loan tracker and loan servicer is provided a copy of the CPI Navigator disk, which is updated monthly.0

In addition, this information is documented in several departmental electronic policies and procedures maintained throughout each company involved with the maintenance of your loan , as well as in physical paper job aides, training manuals, and shortcut cards located on the cubicle walls of most associates’ desks.

If you have even a decent foreclosure attorney, you may be entitled to a free house, courtesy of your lender’s cockiness. Be sure to thank them afterward.

The fact that Bank of America has claimed to halt foreclosures in all 50 states is significant.  It is likely only a matter of time until the other big banks capitulate and offer some type of foreclosure freeze as well.

What will be the outcome?  It remains to be seen but for now there are several industries that are grinding to a halt: title companies, Realtors, buyers of foreclosed homes, and the banks trying to unload foreclosures are experiencing either a slow down or a complete stop.    Not to mention the bond holders of mortgage backed securities.   Try selling them now.  I’m no financial guru but I wouldn’t bid much for something that has good cash flow now but what is actually owned and therefore retrievable later is up in the air.

Who are the largest banks involved in this mess?  Reauters provided this list.

Watch for these sly foxes to start selling off loans and the servicing of loans that are in default to the smaller guys who don’t show up on the government or media’s radar.

- The Bank Slayer – see what other REALTORS have to say about us.

The following is the list of mortgage servicers (lenders) that have been initially targeted by Texas Attorney General Greg Abbot’s office for possible foreclosure fraud.

If your loan is in a foreclosure status or you have been wrongfully foreclosed within the last four years please seek assistance immediately.

- The Bank Slayer

At IndyMac / OneWest it is very simple,  30 second per documents instead of 3 seconds.  This allows plenty of time to review if documents are legitimate.  WRONG!!!

Take a few moments to speak with Dan Welch in our office.   Maybe IndyMac should deposition him like other folks have depo’d IndyMac / OneWest employees.  Never mind, they would be too scared.

What would you find?  Well, Dan used to work for these crooks.  Yes, he used to work on the inside…supposedly helping homeowners.

What does he do now?  He helps homeowners deal with crooks and liars like many of the “loss mitigation” folks at places like IndyMac / OneWest as well as the usual too big to fail folks like Chase, Bank of America and Wells Fargo.

Why did he leave a good “bank” job?  He wanted to do something that mattered.  Something where he was paid to make a difference.

How many of your go to work with the attitude or responsibility of saving a family’s financial future?  This is a very tough but rewarding job.

I tell folks all the time, we get paid for helping people.  How much better does it get…we get paid for helping people!?!

Look at the testimonials we have generated.  This is not bragging, it is making a difference in people lives.

Sure, some folks that don’t pay their bills and deserve to lose their home; but we help those that have been unjustly wronged and need help.

As I close this Sunday night , tomorrow is another day for us to make a difference.

Lord, let us make a difference for those that seek help and are willing to step forward in faith.   We know we are far form perfect.  Let us perform according to your will; doing the right thing in helping those less fortunete and in need of help.   We ask that those who need earthly help you grant us the ability to assist where appropriate.

- The Bank Slayer

IndyMac-OneWest-Deutsch bank: 30 seconds per document

OneWest Bank employee: ‘Not more than 30 seconds’ to sign each foreclosure document

The recent announcements by J.P. Morgan Chase and Ally Financial that they were freezing some foreclosures because of paperwork irregularities raises a key question: How many more mortgage companies employed “robo-signers?”

In a sworn deposition in July, Erica Johnson-Seck, an Austin, Tex.,-based vice president for bankruptcy and foreclosure for OneWest Bank, said she and her team of seven others sign 6,000 documents a week or about 24,000 a month without reading all of them.

Johnson-Seck estimated that she spends 30 seconds to sign every document.
She explained that while she does not check everything, she does check some information, “which is why I said 30 seconds instead of two seconds.”

In the past, the company had a quality control process that required signatories to check 100 percent of the debts and any figures for loans and bankruptcy, Johnson-Seck said. But the error rate was low, so now they only check about 10 percent of the documents.

She said OneWest Bank’s “outsourcing vendor,” Lender Processing Services, “checks the documents completely.”

A subsidiary of Lender Processing Services is the subject of a criminal investigation by the U.S. attorney’s office in the middle district of Florida. LPS has acknowledged problems with its foreclosure paperwork, saying there was an error in how the company handled notarization.

Johnson-Seck also said in the deposition that she had signing authority for Deutsche Bank, Bank of New York and U.S. Bank, among others.

A spokesman for the company did not immediately have a comment.

It’s about time that the government wakes up to the schemes some of these banks are pulling on borrowers and taxpayers.   Neil Garfield put it best…”Well you have to give credit to Sheila Baer.  She gets it. Here she is going after the IndyMac executives for making loans to developers that they knew would not be repaid. It is the first time that an important agency has recognized the link between the malfeasance of the originating lenders, the securitization intermediaries and the developers.

It is central to the issue of appraisal fraud. Anyone who moved into a new development knows that the developer was raising prices like crazy to create a a sense of urgency on the part of borrowers. Those prices from the developers were used an excuse to inflate the appraisals ona continual basis, so that a house of exactly the same model and features would be appraised one month for $350,000 and then a month later for $375,000 or more.

The developers knew they could do this because they knew the “lender” would approve it. It was a classic dysfunctional dance in which everyone was lying to everyone else. And everyone, except the borrower and the investor-lender knew it. Thus suits against the developer, especially those with mortgage offices on premises, can be expected to rise by both private actions and public actions from regulatory agencies and law enforcement. It was fraud.

FDIC and Sheila Blair sue IndyMac

LA Times

The agency accuses the managers of the defunct bank’s Homebuilder Division of acting negligently by granting loans to developers who were unlikely to repay the debts.
By E. Scott Reckard, Los Angeles Times

July 14, 2010

Launching a new offensive against leaders of failed financial institutions, federal regulators are accusing four former executives of Pasadena’s defunct IndyMac Bank of granting loans to developers and home builders who were unlikely to repay the debts.

The lawsuit by the Federal Deposit Insurance Corp. alleges that the IndyMac executives acted negligently and seeks $300 million in damages.  It is the first suit of its kind brought by the FDIC in connection with the spate of more than 250 bank failures that began in 2008.   Regulators said it wouldn’t be the last.

“Clearly we’ll have more of these cases,” said Rick Osterman, the deputy general counsel who oversees litigation at the agency.

The FDIC has sent letters warning hundreds of top managers and directors at failed banks — and the insurers who provided them with liability coverage — of possible civil lawsuits, Osterman said. The letters go out early in investigations of failed banks, he added, to ensure that the insurers will later provide coverage even if the
policy expires.

The four defendants in the FDIC lending negligence case, who operated the Homebuilder Division at IndyMac, collectively approved 64 loans that are described in the 309-page lawsuit.

They are:

•Scott Van Dellen, the division’s president and chief executive during six years ending in its seizure;

•Richard Koon, its chief lending officer for five years ending in July 2006;

•Kenneth Shellem, its chief credit officer for five years ending in November 2006;

•William Rothman, its chief lending officer during the two years before the seizure.

Through their attorneys, they vigorously denied the allegations.

“The FDIC has unfairly selected four hard-working executives of a small division of the bank … to blame for the failure of IndyMac,” said defense attorney Kirby Behre, who represents Shellem and Koon. “We intend to show that these loans were done at all times with a great deal of care and prudence.”

Defense attorney Michael Fitzgerald, who represents Van Dellen and Rothman, said no one at the company or its regulators foresaw the severity of the housing crash before it struck, and that IndyMac was one of the first construction lenders to pull back when trouble struck the industry in 2007.

Fitzgerald added that the FDIC thought Van Dellen trustworthy enough that it kept him on to run the division after the bank was seized.  The suit naming the IndyMac executives was filed this month in federal court in Los Angeles, two years after the July 2008 failure of the Pasadena savings and loan. The bank is now operated under new ownership as OneWest Bank.

IndyMac, principally a maker of adjustable-rate mortgages, was among a series of high-profile bank failures early in the financial crisis that were blamed on defaults on high-risk home loans and the securities linked to them.  But the majority of failures since then have been at banks hammered by losses on commercial real estate, particularly loans to residential developers and builders — and IndyMac had a sideline in that business
as well through its Homebuilder Division.

The suit alleges that IndyMac’s compensation policies prompted the home-building division to increase lending to developers and builders with little regard for the quality of the loans.   “HBD’s management pushed to grow loan production despite their awareness that a significant downturn in the market was imminent and despite warnings from IndyMac’s upper management about the likelihood of a market decline,” the FDIC said in its complaint. An investigation of IndyMac’s residential mortgage lending practices could lead to another civil suit, potentially naming higher-up executives, attorneys involved in the case said.

Separately, a criminal grand jury investigation into the actions of IndyMac executives continues, according to a knowledgeable federal official who was not authorized to publicly discuss the investigation. The bank, known mostly for providing home loans without requiring proof of income from borrowers, had operated its builder-loan division since 1994.   The lawsuit said IndyMac had about $900 million in land acquisition, development and construction loans on its books when the bank  collapsed. Losses on the portfolio are expected to total $500 million — minus whatever the FDIC can recover through litigation.

The FDIC’s Osterman said the government recovered about $5.1 billion from former bank and thrift executives and their outside professional advisors after the last major financial crisis devastated the savings and loan industry in the 1980s. Most of the money came from insurers that had written policies covering bank directors and officers against negligence or other misdeeds. Because the warnings of possible lawsuits are mailed out during the early stages of investigations, it’s frequently decided later that the cases aren’t strong enough to bring or aren’t likely to be cost-effective and so are dropped, Osterman said. FDIC spokesman David Barr said the agency generally had three years from the date of a failure to file civil cases.

IndyMac is a shady operation.  One of our staff used to be on the inside working against homeowners but (in my words…turned his life around) and now battles for home owners.

He tells tales of “being trained” on programs like HAMP and seeing blacked out sections.   When he asked why IndyMac (now OneWest) redacted the HAMP training guidebook, his supervisor told him, “We don’t agree with those parts so you won’t be trained on them since we aren’t going to implement  it.”   Nice huh?

As a REALTOR you wonder, “Why don’t these banks follow the rules set out to help homeowners, like HAMP and HAFA?”  Because:

#1 they are guidelines, not laws.

#2 they don’t care and do what they want.

If you have an account or mortgage with what was IndyMac, below is info relating to what happened and supposedly who you can contact.   Thanks to Neil Garfield.   The mortgage companies have MERS.  He’s building HERS.      Stay tuned.

- The Bank Slayer

Information for IndyMac Bank, F.S.B., and IndyMac Federal Bank, F.S.B., Pasadena,

Introduction

1. Press Release
2. Acquiring Financial Institution
3. Question and Answer Sheet
   • En Español
   • Chinese Language Version (350 kb PDF File PDF Help)
4. Banking Services
5. Loan Customers
6. Unclaimed Deposits
7. Possible Claims Against The Failed Institution
   • FAQ re IndyMac “No Value” Determination
8. Priority of Claims
9. Dividend Information
10. Brokered Deposits (Institutional Brokers)
11. Agreements
    • Purchase and Assumption Agreement (1.1 mb PDF File – PDF Help)
    • Master Purchase Agreement by and among FDIC as Conservator for IndyMac Federal Bank, FSB and IMB HoldCo LLC, and OneWest Bank Group LLC (5.3 mb PDF File – PDF Help)
    • Loan Sale Agreement Between the FDIC as Receiver for IndyMac Federal Bank, FSB and OneWest Bank, FSB (3.5 mb PDF File –PDF Help)
    • Shared Loss Agreement Between the FDIC as Receiver for IndyMac Federal Bank, FSB and OneWest Bank, FSB (1.7 mb PDF File – PDF Help)
12. IndyMac Bank, F.S.B., Contact Information
    JavaScript is disabled or blocked. Alternatively, you may navigate towww2.fdic.gov/drrip/cs/index.asp and search for the contacts.
13. Balance Sheet Summary

I.  IntroductionOn March 19, 2009, the Federal Deposit Insurance Corporation (FDIC) completed the sale of IndyMac Federal Bank, FSB, Pasadena, California, to OneWest Bank, F.S.B., Pasadena, California.  OneWest Bank, FSB is a newly formed  federal savings bank organized by IMB HoldCo LLC.  All deposits of IndyMac Federal Bank, FSB have been transferred to OneWest Bank, FSB.OnJuly 11, 2008, IndyMac Bank, F.S.B., Pasadena, CA was closed by the Office of Thrift Supervision (OTS) and the FDIC was named Conservator.  All non-brokered insured deposit accounts and substantially all of the assets of IndyMac Bank, F.S.B. have been transferred to IndyMac Federal Bank, F.S.B. (IndyMac Federal Bank), Pasadena, CA “assuming institution”) a newly chartered full-service FDIC-insured institution.  No advance notice is given to the public when a financial institution is closed.

The FDIC has assembled useful information regarding your relationship with this institution.  Besides a checking account, you may have Certificates of Deposit, a car loan, a business checking account, a commercial loan, a Social Security direct deposit, and other relationships with the institution.  The FDIC has compiled the following information which should answer many of your questions.Back to top

II.  Press Release The FDIC has issued the following press releases (PR-56-2008, PR-42-2009) about the institution’s closure.  If you represent a media outlet and would like information about the closure, in California, please contactDavid Barr with the Office of Public Affairs at 202-898-6992, in Washington D.C. please contact Andrew Gray at 202-898-7192. Back to top

III.  Acquiring Financial InstitutionOn March 19, 2009, all deposits of IndyMac Federal Bank, FSB were transferred to OneWest Bank, FSB, (OneWest Bank) Pasadena, California.On July 11, 2008, all non-brokered insured deposit accounts were transferred to IndyMac Federal Bank, F.S.B. (IndyMac Federal Bank), Pasadena, CA (“assuming institution”) a newly chartered full-service FDIC-insured institution.  The OTS appointed the FDIC conservator of IndyMac Federal Bank.  All insured deposit accounts will be available as usual during regular business hours starting July 14, 2008.

Principal and interest on insured accounts, through July 11, 2008, are fully insured by the FDIC, up to the insurance limit of $100,000.  You will receive full payment for your insured account.  Certain entitlements and different types of accounts can be insured for more than the $100,000 limit.  IRA funds are insured separately from other types of accounts, up to a $250,000 limit.

All accounts that exceed the $100,000 insurance limit, and/or all accounts that appear to be related and exceed this limit, are reviewed by the FDIC to determine their ownership and insurance coverage.  If you think you might have uninsured deposits you should call the FDIC Call Center to arrange for a telephone interview with  a Claims Agent at 866-806-5919. The Claim Agent may direct you to download and submit a particular form that will assist in expediting the processing of your claim.

List of Affidavits, Declarations, and Forms available for download

Please return the forms to the FDIC by FAX (facsimile) or mail at the number or address listed for the failed institution.

If it is determined that you have uninsured funds, the FDIC will generate and mail to you a Receiver Certificate.  This certificate entitles you to share proportionately in any funds recovered through the disposal of the assets of IndyMac Bank, F.S.B.  This means that you will eventually recover some of your uninsured funds.  The FDIC declared a 50% advance dividend for uninsured deposits.To find out more about FDIC Deposit Insurance:

• Visit EDIE the FDIC’s Electronic Deposit Insurance Estimator
• View the FDIC Deposit Insurance Coverage Video

Checks that were drawn on IndyMac Bank, F.S.B. will be honored up to your available balance or the insured amount.  You may withdraw funds from any transferred account without an early withdrawal penalty until you enter into a new deposit agreement with IndyMac Federal Bank.  A hold may be in place on deposits accounts due to delinquent loans where the depositor is the borrower or guarantor.  Additionally, any account pledged as collateral for a loan will be held.Back to top

V.  Banking ServicesOn March 19, 2009 there was no break in services.As ofJuly 14, 2008 you may continue to use the services to which you previously had access, such as, online service, safe deposit boxes, night deposit boxes, wire services, etc.

Your checks will be processed as usual.  All outstanding checks will be paid against your available insured balance(s) as if no change had occurred.  IndyMac Federal Bank will contact you soon regarding any changes in the terms of your account.  If you have a problem with a merchant refusing to accept your check, please contact IndyMac Federal Bank, Customer Service Department, at 800-998-2900.  An account representative will clear up any confusion about the validity of your checks.

All interest accrued through Friday, will be paid at your same rate.  IndyMac Federal Bank will be reviewing rates and will provide further information soon.  You will be notified of any changes.

Your automatic direct deposit(s) and/or automatic withdrawal(s) will be transferred automatically to IndyMac Federal Bank.  If you have any questions or special requests, you may contact a representative of your assuming institution at 800-998-2900. Back to top

VI.  Loan Customers If you had a loan with IndyMac Bank, F.S.B., you should continue to make your payments as usual.  The terms of your loan will not change under the terms of the loan contract because they are contractually agreed to your promissory note with the failed institution.  Checks should be made payable as usual and sent to the same address until further notice.For all questions regarding new loans and the lending policies of IndyMac Federal Bank, please contact 800-998-2900 or visit the IndyMac Federal Bank website atwww.IndyMac.com. Back to top

VII.  Unclaimed Deposits Please note that any deposits that have not been claimed within 18 months of the failure of Indymac Bank was sent to the FDIC by One West Bank. If the FDIC is unable to locate the deposit customer, the unclaimed funds will eventually be escheated to the state or according to Federal Law (12 U.S.C., 1822(e)).

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VIII.  Possible Claims Against the Failed InstitutionDetermination of Insufficient Assets To Satisfy Claims Against Financial Institution in Receivership

SUMMARY: The FDIC, by its Board of Directors, has determined that insufficient assets exist in the receivership of IndyMac Bank, F.S.B., Pasadena, California and the receivership of IndyMac Federal Bank, FSB, Pasadena, California to make any distribution to general unsecured claims, and therefore such claims will recover nothing and have no value.

DATES: The Board made its determination on November 12, 2009.

FOR FURTHER INFORMATION CONTACT: If you have questions regarding this notice, contact Thomas P. Bolt, Counsel, Legal Division, (703) 562–2046 ortbolt@fdic.gov; Shane Kiernan, Senior Attorney, Legal Division, (703) 562–2632 or skiernan@fdic.gov,

SUPPLEMENTARY INFORMATION: On July 11, 2008, IndyMac Bank, F.S.B., Pasadena, California (‘‘IndyMac Bank’’) (FIN # 10007) was closed by the Office of Thrift Supervision and the Federal Deposit Insurance Corporation (‘‘FDIC’’) was appointed as its receiver. In complying with its statutory duty to resolve the institution in the method that is least costly to the deposit insurance fund (see 12 U.S.C. 1823(c)(4)), the FDIC effected a pass-through receivership. Accordingly, the FDIC organized IndyMac Federal Bank, FSB, Pasadena, California (‘‘IndyMac Federal’’), a new federal savings bank for which the FDIC was appointed as conservator. IndyMac Bank’s assets were transferred to IndyMac Federal under an agreement whereby the amount (if any) realized from the final resolution of IndyMac Federal after payment in full of IndyMac Federal’s obligations was to be paid to the IndyMac Bank receivership. On March 19, 2009, IndyMac Federal was placed in receivership and substantially all of its assets were sold. The amount realized from the resolution of IndyMac Federal is insufficient to pay all of its liabilities, and therefore there will be no amount to pay to the IndyMac Bank receivership.Section 11(d)(11)(A) of the FDI Act, 12 U.S.C. 1821(d)(11)(A), sets forth the order of priority for distribution of amounts realized from the liquidation or other resolution of an insured depository institution to pay claims. Under the statutory order of priority, administrative expenses and deposit liabilities must be paid in full before any distribution may be made to general unsecured creditors or any lower priority claims. The FDIC has determined that the assets of IndyMac Bank are insufficient to make any distribution on general unsecured claims and therefore, such claims, asserted or unasserted, will recover nothing and have no value. The FDIC has also determined that the assets of IndyMac Federal are insufficient to make any distribution on general unsecured claims and therefore, such claims, asserted or unasserted, will recover nothing and have no value. //

Federal Register / Vol. 74, No. 221 / Wednesday, November 18, 2009 / Notices59541

FAQ re IndyMac “No Value” Determination Back to top

IX.  Priority of ClaimsIn accordance with Federal law, allowed claims will be paid, after administrative expenses, in the following order of priority:

Depositors

General Unsecured Creditors

Subordinated Debt

Stockholders

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X.  Dividend Information When IndyMac was placed into Conservatorship in July of 2008, the FDIC calculated that the ultimate resolution of IndyMac would result in a recovery of approximately 50% of the uninsured deposits of IndyMac. Based upon that estimate, an advance dividend in that amount was paid to the uninsured depositors at that time. The announced sale of IndyMac to IMB Management Holdings is consistent with the original estimate and no additional dividend will be paid as a consequence of this sale.While no dividends for the uninsured depositors are anticipated at this time, the FDIC will continue to periodically re-assess the financial condition of the receivership to determine if there is additional cash for dividend distributions.

Dividend History on IndyMac Bank, F.S.B.
JavaScript is disabled or blocked. Alternatively, you may navigate to
www2.fdic.gov/DIVWEB/Dividendindex.asp and search for the dividends. Dividend Information on Failed Financial Institutions Back to top

XI.  Brokered Deposits The FDIC offers a reference guide to deposit brokers acting as agents for their investor clientele.  This site outlines the FDIC’s policies and procedures that must be followed by deposit brokers when filing for pass-through insurance coverage on custodial accounts deposited in a failed FDIC Insured Institution.Deposit Broker Processing Guide

IndyMac has set a new record (at least in our office) for the longest time for a simple response to a Request for Validation of Debt (“RVD”).   Granted some mortgage companies never respond but as far as actually responding this sets a new bar.

We sent a standard RVD to IndyMac, now OneWest Bank, asking to validate the debt for a client.  Instead of the five day required turnaround for a response these morons sent it SEVEN MONTHS later.  That right, seven months after requested.  But wait it gets better…

Not only did it take seven months but they sent it four months after the client went AWOL on us and ended up being foreclosed!   To boot they mailed a copy to the house which of course was foreclosed and sold already.    You couldn’t make this stuff up.