GMAC Informs Customers of BK, Cautions Against Missing Payments

Residential Capital Corp. last week began mailing out letters to its 2.5 million mortgage customers informing them of the firm’s bankruptcy filing but also cautioning them about keeping their loans current.

“The restructuring of ResCap and GMAC Mortgage does not change your obligations as a mortgage borrower,” the letter reads. “As such, you must continue to make your scheduled mortgage payments on time and in full.”

Last week Ally Financial, the parent company of ResCap/GMAC, threw its mortgage division into Chapter 11 bankruptcy protection.

As part of the filing Ally unveiled ResCap’s sale to Nationstar, a publicly traded nonbank. (As a technical matter, the transaction is an asset sale, not a franchise sale.)

Other bidders are still involved in ResCap’s pursuit, but for the time being Nationstar is considered the leading bidder.