Livinglies's Weblog

Since
everyone on Wall Street and the banks are getting bailed out, what
about the shareholders, private investors, and borrowers? I have a
plan, a good and easy plan I think, that if implemented, can help bring
a little transparency to this entire PONZI mess and debacle as well as
lend solutions to the government and save us untold billions.
It’s a VERY SIMPLE law amendment and solution in this age of bailouts
of mortgages and securitizations. So, here we go in easy and simple
terms.
First, an amendment to the Real Estate Settlement & Procedures Act
(“RESPA”) be implemented to add requirements of servicers and lenders
to do the following:
Upon a qualified written request letter from a borrower along with a
payment of a $25.00 fee, a servicer much provide a borrower with the
following information when requested:
#1 The name of the trust that holds the promissory note the borrower
signed since that’s the negotiable instrument everyone owns;
#2 The name of all investors, guarantors, and parties who the
borrower’s note has ever been sold, transfered, assigned to, pledged,
or subrogated to and a complete chain of title evidencing the dates
such transaction occurred, with whom they occurred, and the price or
consideration paid for that performance;
#3 The name and location of the document custodian that is actually
holding the borrower’s promissory note and the ability to pay another
$25.00 to get a certified copy of the note with all endorsements and
allonges that are on the note or made a part thereof;
#4 The amount paid for each purchase of the promissory note and the
date of purchases with the ability to see canceled checks or wire docs
for such purchases;
#5 Any pooling and servicing agreements in PDF form related to any
purchase of the borrowers note and loan;
#6 The return of a borrower’s promissory note returned and stamped
“cancelled and paid in full” upon the payoff of the note or the
refinance of the note with another note;
#7 The ability to go online at Mortgage Electronic Registration Systems
Inc, (MERS) and observe all data that is entered into the system
related to each borrower for a fee of $25.00;
#8 The right to know all servicing relationships related to a
borrower’s loan including subservicers, special servicers, default
servicers, master servicers et al…
#9 The right to copies of master servicing records and transaction
histories with common methods and codes so accountants with a booklet
of mortgage servicing accounting and codes can easily and economically
audit their client’s loan histories from inception of loan to payoff;
#10 The right to20receive all servicing histories from the inception of
a loan to one year after payoff;
#11 The disclosure of all real parties in interest in any mortgage
foreclosure and the ability to know who owns and holds the note,
especially if it is the government, Fannie, Freddie etc and that all
parties with any interest in the note or mortgage/deed of trust are
identified and their relationships established
#12 Judicial foreclosure laws created to stop non-judicial foreclosures
and make it easy for servicers to profit from foreclosure abuse;
#13 All fees charged to a borrowers clearly labeled and identified;
#14 A limit on legal fees that a servicer/lender can charge in
litigation to 5% of the outstanding principal balance of a loan;
#15 A national board of mortgage arbitration to handle mortgage
disputes under $5000 that has both mortgage and consumer lawyers
equally together on a panel;
#16 The identification in each MBS prospectus for mortgage sales of the
actual property addresses and borrower names that can be downloaded
from the SEC’s Edgar database;
#17 Availability of investor accounting reports that contain a
borrower’s loan so that comparative analyses can be made to the
borrower’s loan histories;
AND LAST, BUT CERTAINLY NOT LEAST, THE ABILITY OF THE BORROWER OR AN
INVESTOR THEY FIND OR ANY INVESTOR, TO BUY BACK FROM THE GOVERNMENT THE
PROMISSORY NOTE AND ALL TITLE TO THE HOME FOR THE ACTUAL PRICE THE
GOVERNMENT PAID FOR
THE ASSET PLUS A 10% TO 25% PREMIUM THAT CONGRESS CA
N DECIDE ON…
This will help both borrowers and the government and save taxpayers
$$$$ and prevent servicers and lenders of the abuses they have
promulgated for decades now.
Nye Lavalle

Filed under: CDO, Eviction, foreclosure, GTC | Honor, Mortgage |