HOW THEY DID IT: CONVENTIONAL LOAN TRANSACTION EXPLAINED

by Neil Garfield

The following link leads to an oversimplified chart of a conventional loan transaction, leaving out the actual people at each step and leaving out several of the computer servers:
CHART: Conventional Loan Transaction

Most people don’t have any idea about the number of steps and the number of people in the number of vendors that are involved with a single loan transaction or a single loan payment. But if it was as simple as most people think it is, we would have no need for banks or computers.

In a small bank or credit union many of the steps and procedures that are contained in the outline shown in the above chart are consolidated into a single loan officer combined with a Board of Directors that approves each transaction. The representation of the number of computer servers may seem overly dramatic to some. But the truth is that even the smallest conventional loan transaction, this chart only shows the first layer of computers that are involved and which are located in various geographical locations, owned by various outside vendors with whom the borrower has never done business.

The failure to disclose the existence of the outside vendors, and the function of the outside servicer, along with compensation received by them is generally considered to be permitted under the disclosure rules for the federal truth in lending act.

The reason is simple: the party who is named as the lender is in fact the lender and is responsible for compliance with all of the technical requirements contained within TILA. Anybody who claims to be a successor of the original lender becomes a successor lender and subject to the same claims and defenses as the predecessor for any violations of lending or servicing statutes.

It is also legal to insert mortgage bankers or mortgage brokers who intern employee sales people to make calls on prospective borrowers either in person or through some direct or electronic media. But the small bank making a conventional loan ordinarily not employ such intermediaries simply because they have no control over what is being said to the prospective borrower. Fewer intermediaries means greater accountability, which is what the ordinary lender requires. And that is the opposite of what Wall Street wants.

Anyone who studies this chart will come to the conclusion that the lending marketplace is currently dominated by players who have no desire to play by the rules described above.

     
 

Foreclosure Daily News Update ⋅ November 26, 2021

 
     
 

NY homeowners, facing foreclosure due to pandemic, could be eligible for aid – WSKG

WSKG

BINGHAMTON, NY (WSKG)—Federal funding is on the way to New York homeowners who are at risk of foreclosure. Households behind on their mortgages, …

Are you facing foreclosure? Don’t delay – act now. – Hamilton County – Hamilton County

Full Coverage

     
 
 

Do the ACE Family still face foreclosure on their $10M home? – HITC

HITC

If you’re not quite sure about the legal jargon, allow us to explain. As per the Cambridge Dictionary, “foreclosure” is defined as the “action of …

     
 
 

Professionals Listing Bank Foreclosure Homes In Orlando Florida Expands Service Area

Digital Journal

Looking for foreclosed homes for sale in Orlando, FL is best handled through professionals such as O-REO. The company has access to a variety of …

Mobile County Foreclosures – IXL Real Estate LLC – IXL Real Estate LLC

Thor Equities Sheds Ailing Times Square Bldg as Foreclosure Looms by Lender – PressReader – PressReader

Dunkley Meadows Foreclosures For Sale November 25th 10:00am: Bank Owned – RE/MAX Real Estate (Central)

Full Coverage

     
 
 

Serena & Venus Williams’ Father Richard Set To Lose $1.1 Million Florida Home To Foreclosure

RadarOnline

Serena & Venus’ father Richard Williams, who is being portrayed by Will Smith in King Richard, is set to lose his longtime home to foreclosure …

     
 
 

2021 Lucas County Auditor Delinquent Land Tax Notices – Toledo Blade

Toledo Blade

Notice is hereby given that the whole of such several lands, lots, or parts of lots will be certified for foreclosure by the county auditor …

     
 
 

Edward Durr Jr.: The Trump Republican Who’s Riding High in New Jersey – The New York Times

The New York Times

… had three children under 13 when a mortgage company began foreclosure proceedings on his 1,200-square-foot, one-story home in South Jersey in …

Foreclosure Prevention Act of 2009 – 111th Congress – Congress.gov

Full Coverage

     
 
 

Real estate foreclosure: when bidding can pay off – UK Parents Lounge

UK Parents Lounge

In the worst case, the residential property will then be foreclosed. For some, a world is collapsing, for others it gives them the opportunity to …

     
 
 

‘King Richard’ On Verge Of Homelessness: Venus & Serena’s Dad’s Home In Foreclosure!! – News …

News Nation USA

His house is in foreclosure and he’s on the verge of homelessness. It’s the Florida home, featured in King Richard, where he first moved to in …

foreclosure – Times News Network – Times News Network

‘King Richard’ On Verge Of Homelessness: Venus & Serena’s Dad’s Home In Foreclosure!! – MTO … – MTO News

Full Coverage

     
 
 

Snapshot: real estate financing in Ukraine – Lexology

Lexology

Mortgages provide several foreclosure methods: transfer of title to real estate to the creditor, sale of the asset to a third party on behalf, …

room soon after home foreclosure purchase offers happened. Even, locals on a … – smpn 103 jakarta – smpn 103 jakarta

Full Coverage

     
 
 

Serena Williams’ ailing father will lose his $1.1M house after her stepmom took out … – The Sun

The Sun

A foreclosure auction for the property has now been set for February 21 next year at 10am. It was Richard who brought the case to court four years …

     
 
 

Snapshot: real estate financing in Spain – Lexology

Lexology

As mentioned above, Spanish law does not generally establish that a lease is superior in priority to other rights upon foreclosure.

House has been in foreclosure due to only one payment being made on fha, for the last five years. – Avvo.com

Full Coverage

     
 
 

Snapshot: real estate financing in Thailand – Lexology

Lexology

There are two basic methods for enforcement of mortgage and collateral, whether by way of public auction or foreclosure of property.

     
 
 

Clark County Common Pleas Court cases – Springfield News-Sun

Clark County Common Pleas Court cases

Teri E. Smith; John Doe, real name unknown, the unknown spouse, if any, of Teri E. Smith; Clark County Treasurer, foreclosure.

     
 
 

ESAF Bank launches electric vehicle loan scheme ‘Go green’ – The Hindu BusinessLine

The Hindu Business Line

ESAF Go green loans are available at low-interest rate, zero foreclosure charges, minimal processing fee and zero documentation charges.

     
 
 

Lloyd Center: Mall memories from once-booming shopping site | KOIN.com

KOIN 6

Visitors remember the Lloyd Center as foreclosure looms; and Tribune readers sound off on favorite memories. by: Jim Redden and Zane Sparling/Portland …

     
 
 

The Fierce One – YouTube

YouTube

Foreclosure fees has local judge steaming mad. ABC Action News. ABC Action News. •. 3.4M views 10 years ago · The most dangerous school in America …

     
 
 

Letter: We are still at risk of losing our democracy – The Berkshire Eagle

The Berkshire Eagle

Trending Now. Are bowling lanes up your alley? Cove in Great Barrington to be offered at foreclosure auction …

     
 
 

2 St. Pete events drive shoppers to choose local this holiday season – YouTube

YouTube

Foreclosure fees has local judge steaming mad. ABC Action News. ABC Action News. •. 3.4M views 10 years ago · We tried Amazon Key.

     
 
 

Summons handed to impaired adult – Chicago Daily Law Bulletin

Chicago Daily Law Bulletin

On appeal from a default judgment in a mortgage foreclosure case where the plaintiff used abode service under 735 ILCS 5/2–203(a)(2) to tag the …

     
 
 

Nas Drops $3.5 Million On Calabasas Estate – HotNewHipHop

HotNewHipHop

The ‘King’s Disease’ rapper won a bidding war for the 6500 square-foot home. Nearly a decade after Nas lost his Georgia home to foreclosure in …

     
 
 

The years-long quest to develop the last vacant property on Cannery Row takes another turn …

Monterey County Weekly

The company then sued, claiming the foreclosure was unlawful. Ruby Falls bought it in 2017. And while Miller’s prison sentence wasn’t for conduct …

     
 
 

Taylor corruption probe expands into business dealings in Romulus – The News Herald

The News Herald

The report said back in June, Romulus officials were instructed to provide records from its foreclosed home rehabilitation program that conducted …

     
 
 

OnBikes | Morning Blend – YouTube

YouTube

Foreclosure fees has local judge steaming mad. ABC Action News. ABC Action News. •. 3.4M views 10 years ago · Incredible joint, with only 2 cuts …

     
 
 

Multi-alarm fire at former Carousel Shoppes closes Reading Rd. – WCPO

WCPO

A fire at the foreclosed Carousel Inn and Suites hotel occurred on Oct. 12. WCPO will continue to update this story.

     
 
 

A New Stimulus Check Program Offers Payments Upto $30,000 | – Digital Market News

Digital Market News

… Governor Kathy Hochul said her state is distributing almost $539M to homeowners at the greatest risk of foreclosure or displacement.

     
 
 

ESAF announces electric vehicle loan schemes – UNITED NEWS OF INDIA

UNITED NEWS OF INDIA

These products will help the customers discover the eco-friendly Electric Vehicles at low-interest rate, zero foreclosure charges, …

     
 
 

GoodBuy Homes – The Homebuying Company That Cares | PRUnderground

PR Underground

… fire damage, hoarder houses, houses facing foreclosure, as well as houses that just needed minor touch-up paint and carpet cleaning.

     
 
 

superior court of new jersey chancery division ocean county docket no. – Press of Atlantic City

Press of Atlantic City

… New Jersey 08034, telephone (609) 397-9200, an Answer to the Foreclosure Complaint filed in a civil action, in which Caliber Home Loans, …

     
 
 

‘King Richard’ On Verge Of Homelessness: Venus & Serena’s Dad’s Dwelling In Foreclosures!!

Digital i Wire

Venus & Serena’s dad Richard Williams’ life is the topic of Will Smith’s new biopic King Richard. The film is in regards to the sacrifices the …

     
 
 

Collectors told how many Russians risk vacation due to debts | The Goa Spotlight

The Goa Spotlight

… although recently they are increasingly turning to the foreclosure instrument. “To avoid such an unpleasant situation at the border, …

     
 
 

sensational indiscretion – Libero Quotidiano – D1SoftballNews.com

D1SoftballNews.com

… club in the morning – AC Milan specifies that the Club maintains professional relationships with all agents, without any foreclosure “.

     
 
 

Week 27 Pool Fixtures – Graded Soccer Pool Fixtures 2021 – OM Mercato

OM Mercato

Why a foreclosure might not relieve you of your time-sharing obligations. 25 novembre 2021. Life is Strange: True Colors is finally coming to …

     
 
  WEB  
 

fs-inc.com

     
 
 

Foreclosure Sales Upcoming and Completed | Linn County, IA – Official Website

Linn County

Home · Your County · Offices & Departments · Sheriff’s Office · Divisions · Civil Division · Foreclosure Sales.

     
 
 

Tax foreclosure sale to be held in Sumner County | Times-Sentinel Newspapers

Times-Sentinel Newspapers

The Board of Sumner County Commissioners will proceed with the sale of approximately 52 parcels of real estate at the annual tax foreclosure sale …

     
 
 

News | House Committee on Oversight and Reform

News | House Committee on Oversight and Reform

Top Democrats Introduce Legislation to Protect Military Families from Foreclosure. May 7, 2013 Press Release. Issues: Housing and Foreclosures …

     
 
 

News | House Committee on Oversight and Reform

House Committee on Oversight and Reform |

Cummings Calls on OCC to Postpone Consent Agreement and Demands Briefing on Foreclosure Abuses. Apr 13, 2011 Press Release. Issues:.

     
 
 

in re petition of kalamazoo county treasurer for foreclosure – Michigan Courts

Michigan Courts

IN RE PETITION OF KALAMAZOO COUNTY TREASURER FOR FORECLOSURE. Lower Court/Tribunal KALAMAZOO CIRCUIT COURT. Judge(s) LIGHTVOET PAMELA L.

     
 
 

Avoid Foreclosure (Presented by Open Communities & Township of Schaumburg) Tickets …

Eventbrite

This workshop educates homeowners about the various options available to assist them in avoiding foreclosure. It will cover information on the …

     
 
 

Avoiding Foreclosure – classes – Craigslist – Greensboro

Craigslist – Greensboro

Community Note is teaching a class called ” Avoiding Foreclosure ” Thursday 16 December 2021 at 7 PM at the Southside Branch Library.

     
 
 

Foreclosure Search | Chuck Thompson Realtors | Manheim, PA Real Estate | 717-330-0329

Chuck Thompson Realtors

Foreclosure Search. Location. Type a city, neighborhood, zip, address, or listing #. Special Conditions. Search… Min Price. No min. Max Price.

     
 
 

Solved: When did mortgage default and housing foreclosure rates be… | Chegg.com

Chegg

Mortgage default and housing foreclosure rates begin to rise rapidly from second half of 2006 and over the next two years these two rates almost …

     
 
 

1 Property related to 17 MANN SCHOOL ROAD, SMITHFIELD, RI – Auction.com

Auction.com

Foreclosure Sale, In Person. Est. Resale Value. $434,000. Est. Credit Bid. –. Opening Bid. –. ⟨1⟩. 1 – 1 of 1 properties …

     
 
 

China regulator seeks to prevent U.S. foreclosure of Chinese companies – Online Teaching Jobs

Online Teaching Jobs

Chinese authorities are working with their US counterparts to prevent Chinese companies from being delisted from US stock exchanges, a Chinese …

     
 

 

     
 

Mortgage Fraud Daily News Update ⋅ November 26, 2021

 
     
 

Marin district attorney, recorder ally to prevent deed fraud

Marin Independent Journal

Scott said one of the few deed fraud cases she has seen in Marin involved a woman whose daughter convinced her to take a second mortgage out on …

     
 
 

Home renovation loans are on trend as refinances dwindle | National Mortgage News

National Mortgage News

We examine market conditions and take a look into the latest technologies that are combatting fraud. Partner Insights Sponsor Content From First …

     
 
 

Homeowners tricked into paying for fraud protection – The Telegraph

The Telegraph

Homeowners trying to protect themselves from fraud are being “misled” into paying fees to third-party firms for services that are available for …

     
 
 

Hong Kong man admits impersonating police officer to solicit nude videos of teenage victims …

South China Morning Post

Ex-police officer faces 7 years’ jail in Hong Kong for mortgage fraud. In November last year, a 15-year-old girl, identified as B, reported that …

     
 
 

Beware of the No. 1 scam on Black Friday – MarketWatch

MarketWatch

The Federal Trade Commission released a report on the myriad of online scams and how thieves get their virtual hooks into would-be victims.

     
 
 

‘It’s like Gamestop’: Mortgage expert on risk of housing correction – BNN Bloomberg

BNN

Prices in red-hot Canadian housing markets could be at risk of a “significant” correction amid extreme valuation and policy uncertainty heading …

     
 
 

Atlanta Teacher Victim Of Fake Fraud Alert: Report – Patch

Patch

Atlanta Teacher Victim Of Fake Fraud Alert: Report – Atlanta, GA – An Atlanta teacher and new mother had her bank account wiped out after being a …

     
 
 

Philly Produce Wholesaler Gets Prison For $7.8M Fraud Scheme | Philadelphia, PA Patch

Patch

PHILADELPHIA — A Philadelphia-based produce wholesaler has been sentenced to prison time on charges of tax evasion, fraud, money laundering, …

     
 
 

DMV clamps down on fraud tied to online permit system – Times Union

Times Union

Boysen said motor vehicle investigators had arrested 52 individuals over the past three months for “altered, stolen or fraudulent documents.”.

     
 
 

What do leadership changes mean for Lendesk? | Canadian Mortgage Professional

Mortgage Professional America

“It remains on building tools that help mortgage brokers provide their … and reduce the opportunity for fraud and errors in the marketplace.”.

     
 
 

Westpac Banking: Opportunity In Rebuilding A Bank (NYSE:WBK) | Seeking Alpha

Seeking Alpha

Regulators moving to cool the property market; Future rate rises resulting in mortgage stress. Discovery of fraud due to historic lax scrutiny. As …

     
 
 

Decentralized Finance (DeFi) Fraud in 2021 Is Up 600% Over 2020, Topping $10.5 Billion …

The Motley Fool

A crypto-risk management firm finds DeFi fraud and theft is on the rise.

     
 
 

Prospera Biotech Closes a €200,000 Financing Round – Born2Invest

Born2Invest

SEE ALSO The top reason mortgage fraud is still prevalent in the industry. In its first year of activity, Prospera Biotech has already launched …

     
 
 

The scams targeted at young people – and how to avoid them – The Telegraph

The Telegraph

How to keep yourself safe from the most common frauds targeting people aged … most common scams target young people how avoid worst fraud online.

     
 
 

Mortgage Applications Increase in Mid-November – World Property Journal

World Property Journal

According to the Mortgage Bankers Association’s latest Weekly Mortgage Applications Survey for the week ending November 19, 2021, U.S. mortgage …

     
 
 

Haverford Crime Blotter: Assault, Fraud, Vandalism, More – Patch

Patch

Haverford Crime Blotter: Assault, Fraud, Vandalism, More – Haverford-Havertown, PA – Police said someone tried to cash fraudulent checks allegedly …

     
 
 

The scams most likely to trick midlifers – The Telegraph

The Telegraph

How to keep yourself safe from the most common frauds targeting 50-somethings. … most common scams likely to trick midlifers 40s 50s.

     
 
 

Are NFTs the future of mortgages? Bacon Coin wants to fund homes | This is Money

This is Money

Find the best deal using the This is Money mortgage service … this way given the volatility of cryptocurrency and the potential fraud risks.

     
 
 

Anti-Ad Fraud Platform ADEX Announces Real-Time Traffic Analysis is Available to All Clients

Benzinga

LIMASSOL, Cyprus, Nov. 26, 2021 /PRNewswire/ — ADEX, the leading anti-fraud solution provider aimed at protecting advertisers’ websites from bots …

     
 
 

BrandShield issues fraud warning to consumers ahead of Black Friday – Proactive Investors

Proactive Investors

BrandShield issues fraud warning to consumers ahead of Black Friday … Scottish Mortgage invests in three blockchain companies, …

     
 
 

CLASS ACTION ALERT: Kessler Topaz Meltzer & Check, LLP Reminds Camber Energy, Inc …

Benzinga

… Inc. Shareholders of Securities Fraud Class Action Lawsuit … including omissions and fraudulent misrepresentations about the company’s …

     
 
 

Average two- and three-year fixed rate prices synchronise, Moneyfacts data finds

Mortgage Finance Gazette

At 95% LTV, the average rate lost 1 basis point, moving to 3.12%, while at the other end of the spectrum, the average rate for a 60% LTV mortgage …

     
 
 

Properties per estate agent branch hits record low: Propertymark – Mortgage Finance Gazette

Mortgage Finance Gazette

The number of properties on offer per estate agent branch hit an all-time low of 21 in October, according to Propertymark. This figure fell from …

     
 
 

Together profit jumps 16% to £39m as originations pass pre-pandemic levels

Mortgage Finance Gazette

By using this website you are consenting to the use of cookies. Mortgage Finance Gazette is owned by Metropolis International Group Limited, a member …

     
 
 

3 Big Holiday Scams To Watch Out For On Black Friday

International Business Times AU

The holidays are right around the corner, holiday shopping is expected to return with a bang, and hackers are eagerly lying in wait with scams to …

     
 
 

Eastern Shore seafood company fined for visa fraud – Times Union

Times Union

(AP) — A company that processes seafood and produces ice on Maryland’s Eastern Shore has been fined $240,000 for visa fraud related to the employment …

     
 
 

Foundation Home Loans offers six times income multiple to professionals – Mortgage Solutions

Mortgage Solutions

Foundation Home Loans has launched residential mortgages with enhanced loan-to-income limits for professionals. The deals allows home movers and …

     
 
 

Brits brace for £2.6bn in Black Friday fraud – Business Leader News

Business Leader

With estimates suggesting that retail fraud could end up costing British shoppers £2.59bn this Black Friday, with a surge in sale scams expected …

     
 
 

Electoral fraud is a non-issue so why does the Coalition want voter ID laws? | Riotact

Riotact

Of all the legislation that the Morrison Government has decided to prioritise, its voter identity bill is arguably the least…

     
 
 

Digital-First Originations: Why Friction Counts in Small Amounts | MarketScreener

MarketScreener

… them from ID theft, prevent fraud and uphold regulatory requirements. … Research showed an average of around one in three (34%) mortgage …

     
 
 

However, the SEC features recognized a few frauds that have a tendency to give attention to …

Adotas

Reverse Home Loan Frauds. A reverse mortgage tends to be a good way for individuals over 62 to turn their property money into a way to obtain …

     
 
  WEB  
 

Inequality, Opportunity and Poverty Archives – Page 106 of 121 – Center for Public Integrity

Center for Public Integrity

New system to track mortgage loan originators. July 31, 2009 … Mortgage fraud reports rise, but some fraud may still be undetected.

     
 
 

Man who fled country after 2005 mortgage fraud awaiting sentencing – Greenville Daily …

RocketNews

… allegedly fled the United States for India after a warrant for his arrest was issued 13 years ago is now awaiting sentencing in a mortgage fraud.

     
 
 

Mortgage Fraud, Booty Bandits, Dating Ex-Cons, Isaac Allen, Juan Sanchez: Matt Cox – Odysee

Odysee

There was an error. Try refreshing the app to fix it. If that doesn’t work, try pressing Ctrl+R/Cmd+R. Error ID: 2f15aec075434bbbb84313a0cbcedd10.

     
 
 

Portneuf region: a couple of fake mortgage brokers pinned – Archyworldys

Archyworldys

“Disturbing fact”, says the AMF, Magik Hypothèque proposes a “scheme having all the appearances of mortgage fraud and the fabrication of false …

     
 

 

     
 

FRAUD STOPPERS Daily Mortgage Fraud News update ⋅ November 26, 2021

 
     
 

ID theft at Menomonee Falls bank, suspect deposited stolen checks – FOX6 News Milwaukee

FOX6 News Milwaukee

… ID theft/uttering/fraud against financial Institution incident at the … To make an anonymous tip, contact Waukesha County Crime Stoppers by …

Crime Stoppers: Two guys credit card fraud – NewsBreak – NewsBreak

Full Coverage

     
 
 

Woman charged over alleged $68000 fraud – Orange – Latest News – NSW Police Public Site

Latest News – NSW Police Public Site – NSW Government

In October 2021, officers attached to Chifley Western Region Enforcement Squad commenced an investigation into reports of alleged fraudulent claims …

     
 
 

Former Czech soccer head gets 6-year prison term for fraud – KTVZ

KTVZ

PRAGUE (AP) — A Czech court has convicted a former head of the country’s soccer association for fraud and sentenced him to six years in prison.

     
 

 

 

Stop Foreclosure, Sue for Breach of Contract 

Now is the perfect time to stand up for your legal rights and sue for beach of contract, mortgage fraud, and foreclosure fraud because the legal tide is beginning to turn, and homeowners are starting to win! In 2016 the California Supreme Court ruled in Yvanova v. New Century Mortgage Corporation (Case No. S218973, Cal. Sup. Ct. February 18, 2016) that homeowners have legal standing to challenge an assignment of the mortgage loan contract in an action for wrongful foreclosure on the grounds that the assignment(s) is/are void. Obviously if the court had ruled differently, the banks would have had carte blanche to forge mortgage assignments with wild abandon. In fact, without a system of endorsements and assignments it would be impossible to determine who has a legitimate interest in the property!

In THE PAPER CHASE: SECURITIZATION, FORECLOSURE, AND THE UNCERTAINTY OF MORTGAGE TITLE ADAM J. LEVITIN writes “the mortgage foreclosure crisis raises legal questions as important as its economic impact. Questions that were straightforward and uncontroversial a generation ago today threaten the stability of a $13 trillion mortgage market: Who has standing to foreclose? If a foreclosure was done improperly, what is the effect? And what is the proper legal method for transferring mortgages? These questions implicate the clarity of title for property nationwide and pose a too- big-to-fail problem for the courts.

The legal confusion stems from the existence of competing systems for establishing title to mortgages and transferring those rights. Historically, mortgage title was established and transferred through the “public demonstration” regimes of UCC Article 3 and land recordation systems. This arrangement worked satisfactorily when mortgages were rarely transferred. Mortgage finance, however, shifted to securitization, which involves repeated bulk transfers of mortgages.

Like many other cases, current trial court decisions are getting reversed because the courts are waking up to the reality of the rule of law. What they have been following is an off the books rule of “anything but a free house.” However a recent Yale Law Review Article eviscerates the assumptions of a free house for the homeowners and destroys the myth that somehow that policy has saved the nation. You can read the Yale Law Review article “In Defense of “Free Houses” for more information on this tide change.

To facilitate securitization, deal architects developed alternative “contracting” regimes for mortgage title: UCC Article 9 and MERS, a private mortgage registry. These new regimes reduced the cost of securitization by dispensing with demonstrative formalities, but at the expense of reduced clarity of title, which raised the costs of mortgage enforcement. This trade-off benefited the securitization industry at the expense of securitization investors because it became apparent only subsequently with the rise in mortgage foreclosures. The harm, however, has not been limited to securitization investors. Clouded mortgage title has significant negative externalities on the economy as a whole.

If your loan contains fraud or it was securitized then your lender may have breached your mortgage loan contract, and therefore your mortgage loan contract could be legally challenged in a court of law. If your mortgage loan contract is declared legally void, then any assignments of the mortgage loan contract, or subsequent assignments, could also be declared legally void.

Securitization is the process of taking an asset and transforming them into a security. A typical example of securitization is a mortgage-backed security (MBS), which is a type of asset-backed security that is secured by a collection of mortgages. Keep in mind that it is perfectly legal for banks to create mortgage-backed securities (MBS’s); however there are significant legal ramifications that will either harm you, or benefit you, depending on what actions you take in response to the fact that your mortgage or deed of trust is legally void resulting in your property, in reality, being unsecured, just like a unsecured credit card debt. What’s in your wallet?

This is why we recommend that you take immediate action and sue for the remedy the law entitles you to, and that you deserve. Treble damages and clear and free title to your home. Not sure if your loan contains mortgage fraud or if it was securitized, no problem, we will do a free mortgage fraud analysis and free Bloomberg securitization search for you.

Many of the programs that had modest success in the early days have fallen into disfavor as banks have enacted strategies to counter their progress. The banks are not going to go down without a serious fight. They have a large arsenal of tools to use, and the legal muscle to keep the industry off balance. This is not a static game. The reason that banks have been successful, for the most part, in protecting the large number of mortgages that were securitized is that there is an intricate web of legal theories that they hide behind to justify what they have done. In effect, they have created a shell game where the ball seems to move around in defiance of the laws of physics.

The banks are relying on a complex interaction between UCC 3 commercial paper law, UCC 9 securitization law, bailment law, agency law and local laws of the jurisdiction where the property is located. They would have us believe that what they have been doing since the 1970’s is perfectly legitimate. Many lawyers who have challenged the banks have gotten close to exposing the scheme only to find that judges retreat away from the complexity of the legal theories involved and fall back on procedural barriers under the auspices of protecting the equitable interests of the banks and their agents.

FRAUD STOPPERS Foreclosure Defense Program has moved the bar forward in many substantial ways:

  • Our Private Administrative process is a targeted approach to Informal Discovery:
  • 3-501. PRESENTMENT or States equivalent
  • Mortgage Error Resolution/Request for Information: If you believe there is an error on your mortgage loan statement or you’d like to request information related to your mortgage loan servicing, you must exercise certain rights under Federal law related to resolving errors and requesting information about your mortgage loan. If you think your credit report, bill or your mortgage loan account contains an error, or if you need more information about your mortgage loan, you send a written letter concerning your error and/or request.
  • Cutting edge mortgage fraud examination and court ready lawsuits and trial ready evidence to win your case
  • Nationwide foreclosure defense attorneys and Pro Se litigation education and support products and services

Subsection of Presentment (example Covenant 8 of UCC3 Note) shows NOTE and under paragraph 1 states: “BORROWER’S PROMISE TO PAY: In return for a loan that I have received, I promise to pay….

MULTI STATE FIXED RATE NOTE–Single Family–Fannie Mae/Freddie Mac UNIFORM INSTRUMENT Form 3200 1/01 (page 1 of 3 pages) Covenant:

  1. WAIVERS

I and any other person who has obligations under this Note waive the rights of Presentment and Notice of Dishonor. “Presentment” means the right to require the Note Holder to demand payment of amounts due. “Notice of Dishonor” means the right to require the Note Holder to give notice to other persons that amounts due have not been paid.

  • 15 U.S. Code § 1692g – Validation of debts

Often a debt collector cannot validate a debt and therefore cannot legally enforce collections.

  • Truth In Lending Act (TILA RESCISSION) codified in 12 CFR Part 226 (Regulation Z); particularly§ 226.34 Prohibited acts and §226.32 sub-paragraph (ii) et seq. predatory lending practices

A mortgage loan covered by the Truth in Lending Act may be rescinded by mailing a Rescission Letter to the purported lender, forcing the purported lender/creditor to oppose that rescission with a lawsuit within 20 days or lose all opposition rights.

  • The primary focus of the legal aspect of our program revolves around taking the theories and best practices that have been most successful around the country and make refinements.

“Here, the specific defect alleged is that the attempted transfers were made after the closing date of the securitized trust holding the pooled mortgages and therefore the transfers were ineffective.

  • Our program seeks to avoid getting mired in the complexity of the various areas of law involved, instead focusing on a simple, focused approach that makes it harder for judges to avoid the strength of our core arguments.
  • The PMA trustees and executive team have a diverse set of skills and significant experience in the core areas that will improve the success factors for our operations.

We have spent an exhaustive amount of time analyzing all of the cases that have been successful in resolving mortgage securitization problems. We have designed our legal information litigation strategy to hit the banks hard and fast where they are most vulnerable.

Our primary focus is on getting clear and marketable title to the property by arguing that the actions of the banks have made the security provisions of the mortgage/deed of trust unenforceable.

Instead of fighting the foreclosure itself head-on, we argue that none of the banks or their agents has the right to enforce the foreclosure provisions of the Mortgage/Deed of Trust. In effect, if none of the banks have standing to enforce the foreclosure provision, we are entitled AS A MATTER OF LAW to a declaratory judgment of Breach of Contract (Security Agreement) that is res judicata, i.e., a permanent ban on foreclosure.

The Stand & Fight Program is a complete program that provides you with everything you need:

  • Administrated Process
  • Court Ready Chain of Title Investigation and Signed Affidavit
  • Complaint along with all exhibits
  • Legal Research
  • Legal Briefs
  • Motions
  • Answers
  • Interrogatories
  • Depositions
  • Case Management for Local Civil Rules of Procedures
  • Training and Support

Take action right now and get the FACTS and HELP that you need to gain the legal remedy that the law entitles you to, and that you deserve!

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LIST OF FORECLOSURE LAWS BY STATE

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Phone / Fax

Phone: 800-459-1215

Fax: 844-318-3941

Email

info@fraudstoppers.org

Hours: CST

Mon: 10am - 5pm
Tue: 10am - 5pm
Wed: 10am - 5pm
Thur: 10am - 5pm
Fri: 10am - 5pm
Sat: Closed
Sun: Closed

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THIS SITE IS NOT INTENDED TO BE MISCONSTRUED AS LEGAL ADVICE. FRAUD STOPPERS is a Private Members Association PMA. FRAUD STOPPERS PMA is NOT a law firm, non-profit organization, or government agency.  FRAUD STOPPERS PMA does not operate in the public sector. Although this website is visible to the public  FRAUD STOPPERS PMA does not intend for any information contained in this website to be considered as legal advise.

The information about Foreclosure law and other legal information provided on this website does not, and is not intended to, constitute legal advice; instead, all information, content, and materials available on this site are for general informational purposes only.  Information on this website may not constitute the most up-to-date legal or other information.  This website contains links to other third-party websites.  Such links are only for the convenience of the reader, user or browser; FRAUD STOPPERS and its members do not recommend or endorse the contents of the third-party sites.

Readers of this website should contact their attorney to obtain advice with respect to any particular legal matter.  No reader, user, or browser of this site should act or refrain from acting on the basis of information on this site without first seeking legal advice from counsel in the relevant jurisdiction.  Only your individual attorney can provide assurances that the information contained herein – and your interpretation of it – is applicable or appropriate to your particular situation.  Use of, and access to, this website or any of the links or resources contained within the site do not create an attorney-client relationship between the reader, user, or browser and website authors, contributors, contributing law firms, or committee members and their respective employers. This site provides “information” about the law and is only designed to help users safely cope with their own legal needs. But legal information is not the same as legal advice — the application of law to an individual’s specific circumstances.

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