Haeggquist & Eck, LLP Announces Investigation Regarding Whether PennyMac Required Home Owners to Purchase Excess Homeowners’ Insurance for Home Loans and Home Loan Refinancing

SAN DIEGO--(BUSINESS WIRE)--
Haeggquist & Eck, LLP, a leading consumer rights litigation firm, is investigating whether lending practices by PennyMac Loan Services, LLC (“PennyMac”) violated California law by requiring home owners to purchase excess homeowners’ insurance for home loans and/or home loan refinancing.

PennyMac is a home-loan originator for first and second mortgages and/or refinances home loans with its headquarters in Westlake Village, California.

If you purchased or refinanced a home recently, your rights under California law may have been violated. If PennyMac or another lender required you to purchase hazard insurance coverage that exceeds the replacement value of your home, you may have a legal claim.

In California, lenders may require homeowners to have hazard insurance (also called homeowners, fire, or flood insurance) as a condition of extending the loan. However, the lender may not require a borrower to purchase insurance over and above the cost of replacing the buildings on the property. In other words, you cannot be required to purchase more insurance than would cover the cost of constructing a new home on your property.

What You Can Do

If PennyMac or another lender required you to purchase hazard insurance coverage that exceeds the replacement value of your home, you may have a legal claim. If you wish to discuss this investigation, or have questions about this notice or your legal rights, please contact attorneys Amber Eck or Ian Pike at 619-342-8000 or e-mail them at [email protected] or [email protected]. There is no cost or obligation to you.

Haeggquist & Eck, LLP is a nationally recognized leader in consumer rights law. The firm represents individuals in consumer and securities class actions, and members of the firm have helped consumers and shareholders recover more than $1 billion of value.

This release constitutes attorney advertising. Past results do not guarantee a similar outcome.

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Haeggquist Eck, LLP

619-342-8000
Amber Eck, [email protected] or Ian Pike, [email protected]

Source: Haeggquist Eck, LLP