Irregularities in recording and delays in recording open up new channels of attack on mortgages and notes

CLICK NOW TO REGISTER FOR WORKSHOPS: DEFEND PROPERTY! COLLECT DAMAGES!

title-company-sues-countrywide-exposing-deep-flaw-in-loan-closings

PRO SE LITIGANTS AND LAWYERS ALIKE MIGHT WANT TO CHECK WITH REGULATORY AUTHORITIES TO CHECK DISCIPLINE (OR START DISCIPLINARY PROCEEDINGS) AGAINST THE REAL ESTATE BROKER, MORTGAGE BROKER, LENDER, APPRAISER, TITLE AGENT ETC. WHO PARTICIPATED IN THEIR LOAN ORIGINATION AND CLOSINGS. THE TRUE LENDER WAS NEVER DISCLOSED. (POSSIBLE CLAIMS AGAINST THEIR INSURANCE CARRIERS TOO FOR ERRORS AND OMISSIONS.)

THIS TAINTS THE TITLE OF THE COMMERCIAL PAPER (NOTE AND MORTGAGE), WHICH COULD MEAN THERE IS NO HOLDER IN DUE COURSE ANYWHERE. IF THERE IS NO HOLDER IN DUE COURSE, THAT COULD MEAN THAT THERE IS PARTY WHO HAS THE RIGHT TO ENFORCE THE MORTGAGE OR NOTE.

After all THEY knew what was going one — that this was a story of a lot of money looking for a signature on apiece of paper, where they were being paid to violate their duties and standards and professionals. YOU didn’t know this. The borrower is the person with the LEAST amount of actual information about who teh real players were, and how much they were getting paid. When you add all the fees “earned” and paid going up the securitization chhain, none fo which were disclosed to the borrower contrary to law, you might just end up with them owing more than any alleged delinquency and possibly more than the mortgage itself.

SOME PEOPLE ARE ASKING WHETHER THE RECENT ANNOUNCEMENTS THAT THE INVESTMENT FIRMS ARE BUYING BACK THE CERTIFICATES OF ASSET BACKED SECURITIES WILL MAKE ANY DIFFERNECE. THE ANSWER IS YES. PROCEDURALLY THEY ARE MOVING THEMSELVES A MICRO-STEP CLOSER TO AT LEAST ALLEGING THAT ANY DEFECT IN TITLE ON THE NEGOTIABLE INSTRUMENTS (MORTGAGE AND NOTE) HAVE NOW BEEN CURED. THIS THEN IS THE BATTLEGROUND: WHETHER THEY CAN CONVINCE SOME JUDGES THAT EVEN THOUGH THEY COMMITTED ACTS OF FRUAD AND DECEPTION, THE FACT THAT THEY RE-PURCHASED THE SECURITIES FROM THE TRUE HOLDERS IN DUE COURSE SOMEHOW CURES THE DEFECT AND SHIFTS THE BURDEN OF PROOF OVER TO THE BORROWER. NOT SO — WE’LL TAKE IT UP AT THE WORKSHOPS.

ZZZZZZZZZZZZZZZZZZZZZZZZZZZZZZZZZZZZZZZZZZZZZZZZZZZZZZZZZZZZZZZZZZZZ

ARTICLE FROM ARIZONA REPUBLIC AUGUST 15, 2008

Transnation fined $600,000 by Arizona mortgage regulator

Efforts to crack down on bad real-estate deals and illegal mortgage activities continue in Arizona.

Last week, Transnation Title Company, a subsidiary of LandAmerica, agreed to pay a $600,000 fine and a $97,000 examination fee to the Arizona Department of Financial Institutions.

Transnation was fined for not recording liens correctly on hundreds of Arizona home loans that involved Residential Asset Management, RAM. The loans were for properties across the state, but most of the business went through Transnation’s Pinetop, Ariz. Office.

Regulators found that on hundreds of loans, liens weren’t recorded on time or properly, which allowed for multiple loans on properties that lenders and investors didn’t know anything about.

Several transactions run through Transnation’s Pinetop office included buyers purchasing homes they never intended to live in and then deeding the trust back to RAM, according to the Department of Financial Institutions But RAM wouldn’t assume the loan, instead it took out other loans on the properties.

Regulators also found Transnation allowed RAM to be involved in its own escrow deals. Escrow or title agencies are supposed to be a neural, third party in real estate deals.

RAM is a familiar name to regulators. Last year, Tempe-based Home One Mortgage or SJJ Corp., lost its mortgage brokers license, in part for allowing RAM to use its license to make home loans. RAM is not licensed to handle escrows or mortgages in Arizona, according to the Department of Financial Institutions.

Draining equity

Former Phoenix mortgage broker Rick McCullough has been indicted on fraud and theft charges that stem from what regulators and prosecutors layout as a scheme to steal home equity from elderly Phoenix residents.

Earlier this summer, the Department of Financial Institutions banned McCullough from the mortgage business. Recently he pled not guilty to the felony charges against him, according to the Arizona Attorney General. McCullough, president of CactusCash, was indicted by a state grand jury in late June for the charges.

The indictment against McCullough says he supposedly persuaded homeowners to refinance their homes through his business and then invest most of that money into the real-estate market through him. McCullough allegedly charges excessively high fees and then failed to invest the homeowners’ funds in real estate and didn’t have assets to guarantee the loans.

Instead, according to regulators, McCullough invested the money jewelry. The Attorney General alleges he stole more than $400,000 from a handful of Valley senior citizens.

To file a complaint against a mortgage broker or title agency, go to http://www.azdfi.gov.

For complaints against real estate agents, go to http://www.re.state.az.us.

22 Responses

  1. No one seems to understand this true story but maybe someone knows of an agency who has people that do. I was advised today the CFPB will not enforce many violations of a lender. Here is what documentary EVIDENCE show they did. BEFORE we signed a contract to build a home, the lender misrepresented the amount of taxes.( Approximately 4 thousand shortage every year for 30 years) This is not payment shock because the lender provided an amount for future taxes in new construction. The Good Faith Estimate was an estimate & provided the same amount. At closing the same unreasonable & incorrecly calculated amounts were used but not properly. We had 5 taxing enties and each entity has a different tax rate and MUST be calculated individually. Whoever made the calculations for the projected taxes for the following year made a big error in simple multiplication. To arrive at a base amount in which to calculate taxes, a $ 60,000 sixty thousand error was eliminated from the base price. The 5 taxing entities were calculated incorrectly.The amounts were all wrong. Then, when completing the Initial Escrow Disclosure two of the incorrectly calculated amounts that were for the future year( to avoid payment shock !!!) were placed to be dispursed in the present year which made the escrow account underfunded. This is using ehe aggregate accounting required by RESPA. Also because it was wrong, when the HUD Statement was filled out the amount of the aggregate adjustment credit, it was wrong because the amount needed to arrive at the credit which comes from the Initial escrow disclosure was wrong. Also an excessive number of months was collected at closing. 6 months after settlement, the lender made it even worse by using only some of the incorrectlyi calculated tax amounts and lowered our escrow payments for the following escrow computation year and sent us a refund.To this day the CFPB or RESPA do no understand the violations or actions of this lender provided in documentary evidence, The lender fabricated a State Tax rate to HUD , RESPA and the CFPB but the people at the CFPB will not look at the evidence, they believe the fabrications provided by the lender. Evidence has been provided t’s (2) were sent to the lender but were never answered. The CFPB will not enforce the RESPA Law.The lender provided one tax rate which is light years away from the five(5) tax rates of this State.that we must use to calculate taxes, but the CFPB people only understand what goes on in their world and not the world in which there are differences which they do not understand. There are over 3600 complaints against this lender. Probably because the CFPB does not understand the settlement process or the laws in this State and probably many other states. Our mortgage escrow payment went from $ 380.00 per month to $ 1500.00 just for escrow due to documented errors. I have the RIGHTto have my questions answered and the loan corrected as stated in RESPA but the CFPB will not enforce the law so I am denied by RIGHTS Any suggestions ? Wish I could get the national Media to do a story.There is a lot more to this story. Violations of Truth in Lending Act, Unfair and Deceptive Trade Practices Act and the Real Estate Settlement and Procedure Act.
    All for the lenders and NOT for the Consumers.

  2. In regards to West Coast Servicing, inc., they have many names. And they register with MERS, but under different name. Let my know if anyone is intersting in more info….

  3. I am learning as I read these articles and comments, also questions from other viewers. The plaintiff in the foreclosure which we paid up was Bankers Trust Company of California NA, as Trustee under the Pooling and Servicing Agreement dated as of August 1, 2001, MORGAN STANLEY DEAN WITTER CAPITAL I INC TRUST 2001-NC2 , 112650 Ingenuity Drive, Orlando, Fla. 32826. This is the address for Ocwen FSB, with whom we had the mortgage. What does this mean? I am befuddled. Can anyone shed some light on this for me? Thanks!

  4. Look who’s in the news again today. Yes, MERS rises again. Vet’s tale parallels mortgage meltdown Story by Mike Stuckey of http://www.msn.com I hope this is linked (smile)

    GOD BLESS

  5. “Mortgageaudit” – your company stopforeclosurenow.com is run by the same folks as uslenderaudit.com.

    What is the deal? Are either of these companies legitimate?

  6. Jose Zayas, above LIVINGLIES provided you with information on West Coast Servicing, Inc. everything is posted, please pay close attention to something; note that there is a Member Org ID# of 1006937 and the address is Huntington Beach, CA, now lets separate the two.
    1) The Mem. ID is connected to the infamaous MERS (not operating in CA?)
    2) West Coast Servicing (a CA address)

    Ok, if I am a member of MERS, (1006937) I would have all the benefits that a member is entitle to, including the Property ID# of your loan, availible to any and everyone that can pull your loan Docs and began foreclosuer on you and everyone without notice. This so call company is hiding from you and the State of California. Please Check this site out!!! http://www.mers.org and you and the rest of the readers of this blog will find out where the Pool of Loans are. You can even become a member and open you own Servicing Co. and start foreclosing on Cameron Clayton. Just pay the membership dues and get your Mem. ID#. I could be wrong but could this be a reason why you are asking the question, “Are they own by a bank?” These So-Call Companies are blind siding homeowners left and right. That is why they are the Originators, Servicer, Subservicer, Investor, and Document Custodian. As a member of MERS you can wear ANY hat you choose. MERS IS TAKING THE PLACE OF THE COUNTY RECORDERS throughout CA and other States , and the counties don’t have a clue. They are making money from the filings/recordation or do they?
    GOD BLESS US

  7. Corporate Name: West Coast Servicing, Inc.
    Address: 17011 Beach Blvd., #300
    City,State,Zip: Huntington Beach, CA 92647
    Toll Free Number: (866) 574-2001
    Direct Number: (714) 596-6333
    Fax Number: (714) 596-6333
    Primary Contact: Cameron Clayton
    Website: http://www.wcrsi.com
    Member Org ID: 1006937
    Lines Of Business: Originator, Servicer, Subservicer, Investor, Document Custodian
    eRegistry Participant: No
    eDelivery Participant: No

  8. I am fighting a foreclosure with West Coast Servicing, Inc. LLC. Why is it so hard to find basic information on this organization? Like who owns them? Are they owned by a bank? If anyone knows please imform me. Thanks Joe.

  9. In Compliance-How To Operate a Legimate Loan Modification Business in California
    The whole title actually reads…In Compliance-How To Operate a Legitimate Loan Modification Business in California and avoid the wrath of the DRE, FBI, DOJ, HUD, FTC, AG and State Bar of California.

    Yes, regardless of what state you are from, these are some of the regulatory agencies that are looking over your shoulder if you are operating a loan modification business and targeting California residents. You cannot afford to be uninformed about the rules that apply to you as the consequences are serious–both civil and criminal penalties can apply.

    As a lawyer and real estate broker, I have researched loan modification business models, and have found that the majority of them are in violation of one or more California laws. This business is primarily governed by the Department of Real Estate, but also can be scrutinized by the FBI, Department of Justice, HUD, FTC, California Attorney General and the State Bar of California.

    In Compliance covers the major areas of focus in operating a legitmate loan modifications business in California. Learn exactly how to get your business on track, from licensing, advance fees, foreclosure consultants, referral fees and attorney relationships. Most importantly, become informed about civil and criminal penalties for violations and red flag advertisements that clue the agencies into the fact that your business does not comply with the law. Chapters cover:

    Chapter 1: Licensing-Your Ticket To A Piece Of The Loan Mod Pie
    Chapter 2: It Is All About The Benjamins-Collecting Advance Fees
    Chapter 3: Foreclosure Consultants-The Department Of Justice Wants To Know Who You Are
    Chapter 4: Referral Fees-Giving Money Away Can Hurt You
    Chapter 5: “Attorney Backed” Is An Oxymoron
    Chapter 6: Why Your Attorney’s License Is At Risk
    Chapter 7: Serious Civil and Criminal consequences
    Chapter 8: Red Flag Craig’s List And Other Internet Ads

    Order your copy of In Compliance today at http://www.legallinkmedia.blogspot.com

  10. Shawn: I am both a lawyer and a real estate broker in California and am very familiar with the DRE and State Bar Rules regarding loan modifications. My statement was that USLenderAudit is not on the list of brokers that can accept advance fees. The DRE rules are clear–no one can collect advance fees unless they are on the list of brokers who have received a “no objection” letter from the DRE. Further, NO company that does only forensic audits will be permitted to collect advance fees. You can certainly research it yourself online, from the DRE:

    “Some brokers have submitted agreements that only provide for limited services such as reviewing the borrowers’ financial condition, obtaining property information, reviewing documents, etc. These functions are just some of the steps in a single transaction in which the borrower seeks to obtain a decision from the lender or servicing agent for assistance on their loan. Agreements must provide for the broker to submit to, or negotiate with, the lender or loan servicing agent a proposed modification or other solution. Agreements that only provide for partial services with no requirement to contact the lender or servicing agent will not be considered.”
    http://www.dre.ca.gov/pdf_docs/mlb_fall08.pdf

  11. Barbara,
    THE FOLLOWING IS NOT LEGAL ADVICE AND IS FOR INFORMATIONAL USE ONLY: You may want to get a better understanding of DRE and specifics before you make such a claim about the DRE and their laws. Please, specifically show me where a loan audit, is discussed, as it is an informational piece, but moreover, if the loan audit company is NOT positioned in ANY way where it is working as a foreclosure consultant or loan modification company, in which uslenderaudit.com is none of the above, your statement should be removed! And, furthermore, since the company makes no solicitations or works to represent any borrowers for the purposes of foreclosure defense in any capacity, nor works on behalf of the borrower for modification or other work-out arrangement, you should consider understanding a company or business model before making any such statement. I would have to believe you, perhaps, may even be a competitor in some capacity and to some degree to try and make such claims about a very well organized and compliant company. However, I do appreciate the fact that you are aware of such companies in the loan modification capacities charging such fees, instead of being law firm, which should consider a REFUNDABLE DEPOSIT go into thier client’s trust account or escrow account, for the purposes of a good faith deposit as a “savings” towards a future possible payment to the bank while trying to resolve, modify, the loan or dispute, until sastifactory services are rendered. You may contact us directly, as I just came to learn of this inappropriate comment to obtain our most recent opinion letter by one of the top attorneys in CA!

  12. I’m shocked! (Not really). Nearly ALL the documents in every closing consist of at least some forgeries or fraudulent documents that were created long after the closing and never shown to the borrower. This all goes back to what I said in these replies about the TILA audit and the forensic audit. The TILA audit is not enough. If you really want to pin them to the wall and get what YOU want, then put the pressure on by asking for contact information of the people who signed these documents, go and speak with them and even take their deposition. The “lender” will back off or default rather than let the light shine on the fraud.

  13. I followed through on the qualified written request I retrieved from this website and I received documents back that were fraudulent. The mortgage and note which retyped and is different from the one I have on hand and which is recorded in the court, disclosures that I never signed and the signature is blatantly not mine, and I have never seen them before.

    Good faith estimates interest rates were crossed out and new interest rates written. Also I did not receive all the documents requested in the QWR with the default letter and power of attorney. I would like to know now that I have proof of fradulent and deceptive lending activities on my loans, what do I do NOW. I have a sheriff sale on January 29, 2009. I need to file a law suit and need immediate help.

    Any assistance, please, thank you

  14. […] Layouts Saved by nzdvc3 on Wed 17-12-2008 In-stock – Part 8 Saved by sussed on Mon 15-12-2008 Irregularities in recording and delays in recording open up new … Saved by Syminn on Sat 13-12-2008 BBC – Britain From Above Saved by tobemorecrazy on Sat […]

  15. California Department of Real Estate requires that companies performing loan audit or loan modification services be registered. I do not see that uslenderaudit.com is registered, so they should not be collecting advance fees for these services.
    http://www.dre.ca.gov/mlb_adv_fees.html

  16. I had my mortgage audit done by a few companies. It really is crazy to see how many companies are making claims to doing forensic audits, and should never be in the business in the first place. It seems moreover attorneys are claiming to be auditors, and all the loan originators are turning into loan modification companies and they are making the same claims too. After doing a review, I found that only one company stood out objectively and gave me a correct analysis and did everything on the up and up. You may want to try http://www.uslenderaudit.com They charge a little more, but when I had done the comparisons, a small amount more to get the correct calculations and moreover a real hand done forensic mortgage audit is important especially if the audit ever gets challenged. Because they have expert auditors in place that do mortgage cmpliance audits for nearly nine years as a team, they are able to this work and do it where they dont just run things into a software program. Where your loan modification is on the line, and the lender can challenge the audit, sometimes paying a little more will save you way more than you think. And, they are way more detailed than the others I tried out too. They were the only ones that caught mistakes.

  17. FOR THOSE OF YOU INPENNSYLVANIA, THE LAW DOES REQUIRE THAT EVERY ASSIGNMENT BE IN WRITING, ACKNOWLEDGED AND RECORDED, MY CASE IN ONE WHERE EMC MORTGAGE CLAIMED IN BANKRUPTCY COURT IT WAS THE OWNER OF NOTE AND MORTGAGE, AFTER BANKRUPTCY IT CHARGED THOUSAND OF DOLLARS OF VARIOUS FEES NOT ALLOED BY NOTE, AN DEMANDED PAYMENT, I DECIDE MY BEST COURSE OF ACTION WAS TO LET THEM FORECLOSE AS I HAVE MUCH MORE ASSERTABLE DEFENSE UNDER STATE LAW AS DEFENDANT RATHER THAN PLAINTIFF, IN FORECLOSURE LASALLE BANK AS TRUSTEE TO SOME 40 WORDED ASSET BACKED CERIFICATES CLAIMED TO BE OWNER, GREAT FILED A PRELIM OBJECTION HIT THEM WITH THAT BOMBSHELL AND NOW WAITING TO HEAR WHAT THEY ARE GOING TO SAY IN DEFENSE, THEY LIED TO BANKRUPTCY COURT?, THERE ALSO IS A MISSING CHAIN OF TITLE FROM THE ORIGINAL LENDER, TO LASALLE, AND TO COMPLICATE MATTERS, THE ASSISNE SUPERIOR BANK WAS PLACED UNDER CONSERVATORSHIP BY FDIC.

  18. THE MORE I EXAMINE MY MORTGAGE DOC. IT IS BECOMNG EVIDENT THT THE BANKS WERE PLAYING A GAME OF “CATCH ME IF YOU CAN” I LOOKED OVER AN ASSIGNMENT AND SAW THAT TWO DIFFERENT BANKS HAD THE SAME ADDRESS. THE FIRST NAT. BK OF NEVADA HAD THE SAME ADDRESS AS THE FIRST NATIONAL BK OF ARIZONA. THEY COMPLETED AN ASSIGNMENT WITHIN AN ASSIGNMENT DOES ANYONE GET IT? HOW COULD TWO DIFFERENT NAME BK’S HAVE THE SAME ADDRESS? I HAVE BEEN HOODWINKED! TELL ME IF I AM WRONG?

    BROOKLYNITE

  19. Thanks for listening to me Mr. Garfield . I appreciate your patience when I woke you up to early this morning. THANKS!!!!!

  20. I am currently working out an agreement with a lawfirm that does mortgage audit that will represent a borrowers on a contingency if they find violations as long as they pay the $800

    I’ll keep the group posted!

  21. One thing that concerns me, and it’s been a nagging thought in the back of my mind. But I have to wonder, no matter how good a case one might have and how good of an attorney … I wonder how many of these judges are in the hip pocket of these big mortgage companies? It’s a scary thought, and one which I honestly hope has no real merit.

  22. Upon getting my mortgage audit done, the audit company then sent out copies of their findings to the Lender[s] and also the mortgage broker who originated my re-fi. The mortgage broker emailed me a vicious response, attacking my personal character, saying I was trying to blame them for my own bad decisions. To me, their response wreaked of one who’d been caught red-handed. They knew all along damnwell what they were doing, not caring one iota that they’d set me up in a loan that I was destined to fail at. After all, they got paid, they got their undisclosed kickbacks … what do they care? This whole damn industry is crooked as all hell.

Leave a Reply

%d bloggers like this: