Ocwen is one of the largest mortgage servicers in the United States, and is funded by American taxpayers to make mortgage modification and foreclosure decisions on the loans of American homeowners at risk of losing their homes. However, the appalling fact is those decisions are not made by Americans familiar with the plight of American homeowners at-risk of losing their homes, but by workers located half a world away in India.
Ocwen is now positioned to become the 5th largest servicer of home loans in the United States by acquiring Residential Capital’s (ResCap) and mortgage giant GMAC’s mortgage servicing and origination platforms, owned by taxpayers after it received a series of taxpayer bailouts. While having its executive headquarters in West Palm Beach, Florida, Ocwen uses India as its primary location for operations, including mortgage servicing and more critically, mortgage modification decisions.
Ocwen’s business model is to use taxpayer funds to hire low-wage workers in India to determine whether to modify or foreclose on American homeowners. Not surprisingly, American homeowners say they’re frustrated whenever they call Ocwen for assistance. Bruce Marks, Founder & CEO of NACA, blasted Ocwen’s business model.
Marks noted, “On the heels of a national election where the outsourcing of jobs by American companies was criticized by both parties for keeping the unemployment rate high, here we have a corporation who wants to buy taxpayer owned mortgages and then use taxpayer funds to create jobs overseas servicing those same mortgages.”
“This is about greed,” said Marks, “It is an outrage that taxpayer funds from the government’s modification program, known as HAMP, are allowed to be used to hire low wage workers in India when there are so many out of work Americans who are better qualified to do this work. No overseas worker can understand and decision a loan for an American who is about to lose their home and possibly much more.”
NACA is asking the federal government stop payments to any company which services or underwrites mortgages for American homeowners overseas and receives taxpayer funds. In addition, multi-billion dollar investor Wilbur Ross will become a major stockholder in Ocwen and Warren Buffet, who is also posed to purchase some of the underlying assets and whose name has been mentioned by President Obama as a potential candidate to become the next Secretary of the Treasury, both need to act to stop this abuse.
NACA and many homeowners will pack a New York City courtroom court hearing on Ocwen’s acquisition of ResCap on Monday to testify and bring attention to the use of taxpayer monies in funding jobs overseas. The hearing will be held Monday November 19, 2012 @ 10 A.M. at the Federal Bankruptcy Court, One Bowling Green, New York City, N.Y.
Homeowners with Ocwen, ResCap or GMAC mortgages, or anyone opposed to this use of taxpayer dollars to send more jobs out of the United States, are welcome to join in this mission to save not only American homes, but American jobs as well. If you are not able to attend the court hearing with the NACA group, please contact your representatives in Congress and insist that your tax dollars not be used to outsource jobs overseas, especially while our unemployment rate still hovers near 8%, and point out that it should be Americans making such critical decisions about the future of American homeowners.