Possible fraud in the processing of foreclosures has led many lenders to put a hold on pending trustee sales and foreclosures.  Bank of America announced today that it has widened its prior moratorium to include all 50 states.  You can read more about this action here: http://www.msnbc.msn.com/id/39582964.  Attorneys for consumers have long been complaining that banks have been taking advantage of consumers at a time when they are most vulnerable.  Many consumer bankruptcy attorneys continue to believe the only way to stop these abuses is for Congress to give bankruptcy judges the ability to “write down” the mortgage on a primary residence to the value of the home.  The carrot approach currently being employed to encourage lenders to work with distressed home owners is failing miserably.  The “stick” approach, with the Court looming to write down a mortgage would likely prompt banks to be more aggressive in their efforts to voluntarily assist homeowners.  For more information about foreclosure issues, loan modifications and bankruptcy in Arizona, check out our websites at www.mcguiregardner.com and www.bankruptcylawyeraz.com.