Debt collection practices in HOAs defy common sense, ethics

By Deborah Goonan, Independent American Communities

 

The state of Texas is notorious when it comes to homeowner and condo associations exploiting the foreclosure process, but many other states engage in similar behavior.

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One of the biggest homeowner complaints is that HOA attorneys often add substantial fees that quickly exceed the amount of past due assessments or fines. A few hundred dollars of missed payments to the association can quickly balloon to thousands of dollars. And most of the money, if and when it is recovered, goes straight the attorney (or collection agent).

The following article provides a typical example.

San Antonio, TX Homeowner fighting back against HOA Attorney fees, threats of foreclosure

 

How does funneling money to HOA Attorneys instead of assessments  help homeowners?