JC question shows the way to recovery of equity and helping two or more homeowners for the price of one

JC question shows the way to recovery of equity and helping two or more homeowners for the price of one.

Seek damages under any of the theories we have suggested here or any one we have a not thought of and if you get a final judgment for damages it will either be paid by the pretender lender or not. First you send a demand letter demanding payment. If they don’t pay, they have opened the door for you to accomplish what Washington doesn’t seem to be able to do — return to reality.

Basically a party can’t have it both ways. They cannot seek to foreclose on a property claiming to the owner of the loan and then say they are not the owner of the loan when you garnish (take) it to satisfy your judgment. We now have hundreds of thousands of cases filed by pretender lenders against whom judgments are possible using any of the causes of action suggested in our forms. In addition, you have the possibility of a judgment for attorney fees, if you had one, or court costs. Whatever it is, even $1, you have the ability to levy on what they claim is their mortgage.

Here is the question posed to me:

“We have recently perfected a lien, through consent, on GMAC with a UCC-1 after sending notices of default and demand letter with an affidavit supporting the debt with no reply by GMAC. We are now seeking judgment to obtain an order for a writ of execution. Filing a complaint will gain the courts jurisdiction but instead we are considering filing a petition. With your thoughts and experience what would be the best way to proceed to collect on the lien? or how can the trust proceed to collect on the UCC-1 avoiding the courts as much as possible? The court case is now closed; should it be reopened? how without filing motions? Your time is much appreciated.” JC


JC: If you have perfected a lien, then you need to go through post-judgment collection process. You will need to follow your state law and levy it or foreclose on it. If you don’t get paid, then levy on a GMAC mortgage that they claim to be the owner of. Just go down to the courthouse and see which cases have GMAC and of those which ones do they claim ownership.

Then assuming you have a judgment, you garnish the mortgage. Then you work out a new mortgage with the homeowner (assuming they have the means). I strongly suggest that the re-structured loan follow this model: 80% LTV (loan to value), 5%, 30 year fixed, 5-10 year balloon payment.

So say you have a $50,000 judgment lien perfected against GMAC. You find another unrelated case where they claim to be the “lender” or in any event the “owner” of the loan. Let’s say the note in the other case is $200,000 and the property is worth $90,000 now. After you get control of the mortgage, you execute a new mortgage with the distressed homeowner for $72,000, 5%, 30 year, fixed rate, with a 5 year balloon which means they need to refinance or sell their property within the 5 years. You ALSO file a friendly quiet title action against the homeowner and record a final judgment quieting title to the homeowner subject to your encumbrance (the new mortgage).

If the homeowner cannot qualify for any mortgage, then you work out a 90-day period for vacation of the premises in which they something toward rent and do the same deal suggested here with a new homeowner. By reducing the principal to reflect reality, sale the of the property is no longer impossible — it is likely.

12 Responses

  1. Mike H, I just thought of the NATIONAL CURRENCY ACT
    (later called “NATIONAL BANK ACT”) of 1864 section 27 and section 28 which states any bank officer delivering circulating notes to anyone is unlawful, even copies and any mortgage on real estate over 5 years is also unlawful, respectively.



  2. omaha man, I am not sure if Mr Garfield needs to approve any or all documents posted on his website. I would be happy to send templates for posting upon his approval.

  3. Mike H, you have to get them to contract with you. In other words, they need to consent with you that they owe you what you say they owe you. Once you get them to contract with you, bill them for that amount and if they dont pay send a demand, notice to cure and finally an affidavit in support of debt, give them time to rebut – always. With this in place you file a ucc-1 financing statement securing the accounting (invoices) as the collateral, assign the debt to a trust and then like Mr. Garfield suggests, have the trust levy or foreclose on the lien. We suggest trust bc they offer the most protection to counterattacks and privacy. If you have nothing to loose they have nothing to take.

  4. Thank you for the Insightful information and ideas. A lien is perfected with a ucc-1 financing statement which indeed is a very powerful contract. You mention, post-judgment collection process which suggests to levy or foreclose on the lien. Will the levy or foreclosure then provide us a judgment, from the county court, to allow us to levy on another GMAC case? Do we need to go that route, instead of Andy S idea of simply levy their bank accounts with the ucc-1 lien? or cant we just levy on another court case GMAC claims ownership with only the ucc-1 lien? or???

  5. Please do not respond to any of these so-called media outlets. They DO NOT care about, they NEVER DID and they’ll NEVER will. Somehow they’ll change the story around. We’ve been in this sink hole for the past 3 years already with no support from these idiots and when they do talk bout it they’d make it your fault for not affording the property you bought. Just my opinion..

  6. It ‘s a great information on mortgage

  7. HEY, I do not mean to surcumvent the real issue’s at hand, but I can not hold it back any longer!
    I want to shout to the judge look at these ass holes,
    they have brought this on them selve’s and they are hoping that what there greed created will go away! “NOT SO BANKSTER’S”. You can run but you can’t hide, “we have all the record’s”, and shame on you for forgetting the basic fundimentals of the purpose of the “clerk of the superior court”, thier whole purpode is to record and protect the very issue’s that have been in force since “WELL OVER 100, 200 OR THOUSANDS OF YEARS. THE BASIC LAW IS AT THE CROSS ROADS AND BEGS AN ANSWER- NOT FROM THE STRAW MAN BUT THE HONORABLE JUDGES THAT ULTIMATELY WILL PREVAILCITING WITH THE PUBLIC OUT CRY. YOU ARE FOUND OUT AND YOU ARE GOING DOWN- SORT OF MAKES “BERNIE MADOFF” LOOK LIKE A ONE DOLLAR BILL. 150 YEARS OF TIME IS NOTHING COMPAIRED TO THE MESS THEY STARTED. PRETENDER LENDERS AND THE OTHER LIERS AND PARTICIPANTS WILL WISH THIS HANG OVER COULD BE SOLVED WITH ALKISELSER? This is so big it dwarfs any thing to date. The “money Changes in the TEMPLE THAT “JESUS went into and turned the tables and shot the money changers and turned the tables over and sent these crooks out of the house of our Jesus and sent them running out as the tables were turned over violently because this had to happen. It happened to fullfill prophetic messages. this should enrage people in ever town, city and county in every community.
    I welcome any comments and I will take any comments and ridicule. Bring it on Mother F-er. I will not stand by and let the banks, governments and other banks to take what I have built over 242 month’s of making payments oh 246 X around 1550 to 3000.00 per month for like I say has been 246 months at 1500.oo Do the math average payment not to mention improvrments of a bout 1,000,000.00, the math and money will keep me fighting for my childrens inheritance. I want to to be restored to the place I was before I got took from “Countrywide and Bof A. I have not sent any money to the credit people “THAT HAVE SLOWLY TURNED OFF THE FLOW OF CREDIT TO THE VERY BUSINESS THAT MAKE THIS ECONOMY ROCK! ONCE THEY STRANGLE THE “people who owns the best business’s that employ more people and have been strangle of the stop of the flow of credit that we have earned, and we are not expecting a hand out, but belevie we have put sweat equity in that made us the wealth even though that web will stt the “Credit default

  8. This is great,
    At the same time the Nation grips with A six year old hidding in the attic of the family home in the “Garage” and he was thought to be inside the “UFO”.
    Storm chasers and back yard Scientist stund by the aircraft was traveling and landed 50 miles from home, How Ironic “FALCON is SAFE, BUT the public is still F…ed by “THE BANKSTER’S, THIS SHOULD BE A LESSON TO THE CROOKS ON WALL STREET, HOLD ON FOR YOUR RIDE 60 TO 80 SAFETY PEOPLE PLUS THE FAMILYS AND FRIENDS AND OFFICIAL’S ARE RE JOYCING THAT THE KID WAS HIDDING IN THE “attic of the garage on the family property”.
    WTF…… I think the “WALL STREET GUY’S” will wish they could hide. WHERE ARE THEY GOING TO HIDE in the NEXT OR THE LAST WEEKS AND MONTHS OF 2009.
    We will hunt them down one by one through the judicial courts and rub thier faces raw. They simply deserve “WHAT IS COMING” This is all for now!!!
    Hope some of them radar on to this site?

  9. Question: US Bank sued me in 2004 as trustee of
    a securitized mortgage I took out with New Century
    Mortgage in 2002. Ocwen was the loan servicer and
    lied to US Bank about me defaulting. I won my case
    as US Bank had to admit I did not default in the first
    place. Since US Bank as Trustee was a pretender
    lender and had no standing in the first place, can I
    recover the $5,000 in attorney fees and other costs, I
    spent because of them filing a frivolous lawsuit? I settled the case by resuming my payments and eventually paying off the loan in Jan. 2008.

  10. Hold on. When I read this it sounds like you advocate enforcing your valid claim by usurping an invalid claim that they have. That doesn’t sound right to me.

    It’s a nice idea that you might help the other victim of a pretender lender, but think how messy that title would be when you’re done ( … and isn’t there reason that quiet title might not go through easily?). Wouldn’t you be better off simply levying against one of their bank accounts? Certainly more straightforward. And the help you offer might not be welcome for the random homeowner in question…

  11. JC/Neil–first time poster here—any/all documents, filings, pleadings that you used would be instructive. Can you share them with us or send them to my attention via email. Many thanks to all for this great resource.

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