Mass. AG Assurance of Discontinuance in Franklin Credit Management (Sept. 26, 2024)

This is a September 26, 2024 assurance of discontinuance brought by the Massachusetts Attorney General in state superior court against Franklin Credit Management for its zombie second mortgage practices.  The state alleged violation of state law by Franklin improperly attempting after many years to collect on second mortgages after failing to communicate with borrowers or provide required statements, as well as failing to comply with state foreclosure-prevention measures and collecting on time-barred debt. Franklin Credit will cease collecting or selling its entire $10 million Massachusetts mortgage loan portfolio, pay $300,000, and change its business practices in Massachusetts.