A copy of a default notice on a particular property was mistakenly sent in an e-mail blast to hundreds of GMAC Mortgage LLC borrowers. Now the borrowers whose names were identified in the message are talking to an attorney.
It was one thing for lending giant GMAC to mistakenly inform Jim and Carla Spears that they had defaulted on their mortgage. It was another to tell the world about it.
Earlier this month, when GMAC e-mailed default letters to the Dade City couple, it sent copies to hundreds and hundreds of other mortgage customers — displaying all of their e-mail addresses in the batch e-mail. Lawyers say the open letter is a new kind of intimidation tool and may violate privacy laws.
“I was shocked and dismayed that it happened, let alone that it could happen,” said Jim Spears, a deputy sheriff and flight instructor who borrowed two years ago from the Pennsylvania-based lender to build his home, which is about 60 miles west of Orlando. “I think they’re very negligent in handling big affairs.”
The couple say that, because of the e-mail blast, hundreds and hundreds of e-mail recipients are now under the impression that the Spears are irresponsible borrowers. In reality, the Spears had sent the disputed payment — for a trial loan modification — to GMAC by certified mail and have the receipt showing that it was delivered.
The Spears have hired Orlando law firm KEL and have asked that GMAC send any future correspondence to the firm.
“At first we thought this may have been an isolated incident, until we realized the e-mails we have contain different dates, and different e-mail addresses,” said firm spokesman Matt Harrison. “We believe GMAC is intentionally sending out mass e-mails with confidential information to cut corners. This has caused a great deal of embarrassment and inconvenience to our clients, and countless others copied in the e-mails.”
GMAC Mortgage, a wholly owned subsidiary of Ally Financial Inc. (formerly GMAC Inc., the giant auto-finance company for General Motors and Chrysler), said in a written statement last week that the public disclosure of mortgage customers’ e-mail addresses was a mistake.
“We regret that this manual error occurred,” said Jim Olecki, a spokesman for Ally. “Our intention in sending this type of [default] letter is to ensure that borrowers remain eligible to receive a permanent loan modification, and we note that the letters did not include any personal account information.”
Orlando lawyer Matt Englett said GMAC may have violated numerous parts of Florida’s version of the Fair Debt Collection Act by broadcasting the Spears’ financial issues to other people.
“You could argue that they’re using that as a tactic to intimidate people,” Englett said.
