WHAT I LEARNED AT THE NBI ADVANCED TITLE ISSUES SEMINAR

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HERE ARE MY NOTES: NBI Advanced Title ISsues

 

I attended a seminar yesterday and came up with some interesting information, as well as receiving news that a guy I know won his UD action and in the process was restored to full ownership of his home free and clear of the mortgage. The case didn’t extinguish the debt, but ti is going to be hard for HSBC to come back into court unless they have ALL their ducks in a row. Amongst the things I picked up (see below) is that the issue securitization is avoided like the plague by the insurance carriers, the insurance agents, the attorneys who do the transactions, and the attorneys who litigate title issues. They treat securitization as an issue where all the facts or events occur AFTER the closing and thus AFTER the title policy was issued. This of course is a mistaken presumption.

I was surprised by the lack of knowledge regarding table-funded loans, the secondary markets and how they operate. But I did get corroboration of what Dave Krieger told me. The carriers definitely agree that that the mortgages are probably invalid for a number of reasons. So their position is that the elements of an insurable interest are not met (see below). SO if they were presented with claims from the banks, which they are NOT receiving on any case where the title issue is lost, the insurers will take position that there is no coverage because (a) there is no properly recorded instrument to insure — e.g.., Deed of Trust, Mortgage Deed etc. and (b) there was no economic interest to insure and thus no damages. The successors to the title policy, if any, do not acquire greater rights than the original insured, which is some party designated by the securitizing parties who orchestrated the table funded loan.

BUT neither the attorneys who make their living off these policies and closings and litigation regarding the policies nor the title companies are willing to come right out and say the mortgages are all unperfected security interests because the banks would hate them for that. And where do they get their business referrals? The Banks. So the securitizing banks are not submitting the claims on the title insurance and the insurance companies know that the old mortgages are not valid and potential void or wild deeds. But, as I thought about it after leaving the conference, that woudl mean that there are problems with any title policies they issue today on property that ever had a loan that was claimed as securitized but which is subject to being overturned or eliminated from the property records.

One of the main things is that the homeowner is relying upon the title company to do its job and is relying upon the title company’s representation of the status of title. But the title companies maintain that theirs is only a contract that states the risk they are willing to undertake and NOT a representation as tot he status of title. As a practical matter, when I brought it up, they conceded that if that position were upheld, the buyer of a piece of property would never know if he/she was really getting title unless they ordered a title abstract or otherwise ordered an extra service from the title company. The title agents do not offer this extra service, You must know about it and ask for it and pay for it.

BOTTOM LINE: Title examiners when presented with specific facts are universally applying the same standards and reaching the same conclusions: a mortgage that does not have the correct legal description, a foreclosure sale that is defective, a table funded loan in which the mortgagee or beneficiary is not the party who was the actual lender and therefore not possessed of an insurable interest.

Hence we have a left-handed statement that completely corroborates what we have been saying on these pages — that the pretenders are just that, pretending to be lenders, and that the original mortgage is a void wild deed that does not in fact create a security interest in the property but instead describes a transaction that occurred between people who were not made party to the signed documents. It is the same as a bad legal description of the property itself.

The documents do not describe the right parties or the right transaction. That leaves a potential obligation hanging out there, but not owed to any of the securitizers unless they can show they loaned the money, they didn’t get paid for it, or that they purchased the loan and didn’t get paid for it.

WHAT I LEARNED AT THE NBI ADVANCED TITLE ISSUES SEMINAR
MAIN TAKEAWAY ITEMS:

1. INSURABLE INTEREST (RELATES TO STANDING AND REAL PARTY IN INTEREST): Title insurance only applies if there is an insurable interest. It was universally accepted by the conference (including those who were there to protect the interests of the banks and pretenders), that an insurable interest includes two elements: (a) a recorded instrument naming that party and (b) an economic interest in the property. Thus if we take the position that an insurable interest is based upon law and not just policy, it can be argued that in the absence of an insurable interest, the title company will not issue the policy and the Court should not and may not validate the interest, since it is ipso facto, uninsurable.
2. DUTY TO INQUIRE: As the number of transfer of the “indebtedness” (the note) increases, the duty to inquire increases, and the more nervous the title examiner or transactional lawyer becomes.
3. PRODUCE THE NOTE: Producing the note is universally accepted as law despite some court decisions to the contrary. In Florida and other states the forecloser must produce and tender the original note to the court in order to obtain an order from a Judge to sell the property, and without the note, the forecloser cannot submit a credit bid. So even if the Judge lets the case go through, the sale can be attacked as being no sale (Void, not voidable) because the forecloser did not comply with the requirements of law to establish itself as the creditor.
4. PARTIES IN POSSESSION: Title insurance policies universally have an exception for the rights of the parties in possession. Presumably that means at the time of the transaction. So if the transaction was are financing (which accounts for more than half of all mortgage transactions, the party in possession is the homeowner. The argument can be made that the title carrier made the exception — and that assuming they are experts in title — that exclusion should be used in any litigation of the parties regardless of whether the issue involves the title policy. Thus the homeownerʼs rights include multiple affirmative defenses, counterclaims and cross claims which need to be heard in a hearing in which actual evidence is heard which means that actual COMPETENT witnesses must be heard to authenticate any documents proffered into evidence.
5. IDENTITY OF PARTIES: Any situation in which the named insured on the title policy is different than the instrument on record identifying the mortgagee or beneficiary results in an uninsurable interest which can be translated as non-marketable title. Hence the originated loan documents prove that the transaction was a table-funded loan in which the true lender was not disclosed. This means the original documents are fatally defective and cannot be cured without the signature of the borrower or a Court order which would require a hearing in which actual evidence is heard which means that actual COMPETENT witnesses must be heard to authenticate any documents proffered into evidence.
6. CREDIT BID AND CREDITOR: Only a creditor may submit a credit bid. If anyone else bids, the Trustee or clerk usually has no discretion but to issue a certificate of title (deed) which gives clear title to the grantee, which c an either be the borrower or someone standing in for the borrower.
7. Title insurance is not a magic bullet. It does not prove the status of title.
8. UNRECORDED INSTRUMENTS AND EXCEPTIONS: Generally unrecorded instruments are not covered by title insurance. In Arizona and other states there is general acceptance of the idea that based upon statute and ATLA standards successors in interest to the debt do not need a new title policy. BY inference this would mean that they are giving credence to the idea that the mortgage follows the note, whether the transfer was recorded or not. But upon questioning the experts who delivered the presentation agreed that as the number of transfers increased the transaction becomes suspicious and that the rule regarding successors was probably meant for single transfers.
9. REGISTRATION AND GOOD STANDING OF CORPORATE ENTITIES: A transfer by a corporation not in good standing in the state or states in which it is required to be registered may not transact business nor bring any judicial proceeding. Mere ownership of property is not considered doing business. But a pattern of conduct of transactions is all that is needed. If the entities (any of them) that are involved in the chain of title are either defunct or in bankruptcy, any assignment, allonge or other instrument is invalid. It can be cured but there are time limits on how long they have before they cure, and it may be that reinstatement may require a name change. After 6 months in Arizona the name of the entity that should have registered is up for grabs which means you can incorporate under that name. What you can do with that name is an interesting proposition that was not discussed.
10.CONFLICTS OF INTERESTS: Conflicts of interests apparent on the face of the document or otherwise known to the title examiner create a duty to inquire. Therefore, since the usual pattern is that these documents are created after notice of default and usually after the matter is in litigation and sometimes not until hours or days before a hearing in which the documents need to be produced, the matter is a question of fact that needs to be decided after hearing evidence which requires competent witnesses testifying from personal knowledge.
11.BOARD RESOLUTION REQUIRED: No officer may sign a deed without board resolution. It is possible that estoppel, waiver or apparent authority might apply in the situation where the complaining party is a bona fide third party arms length purchaser for value.
12. IMPUTATION OF KNOWLEDGE: In Arizona the knowledge of the Trustee is not imputed to the Lender, but there is no reference or prohibition against imputing the knowledge of the Lender tot he Trustee. The practice of ALWAYS substituting trustees instead of using the old one is a cover for the fact that the old trustee would probably ask some questions rather than simply follow orders and send the notice of default, notice of sale etc.

44 Responses

  1. Steve correction on Nationwide is not UBS AG.

    Option One Mortgage Acceptance (issuing entity fictitious name in federal reserve system) parent is UBS AG.

  2. Dear Steve,

    a lot of professionals don’t know who should regarding Certegy/First National Financial 2006 merger of Lenders Processing Services Division where DOCX is the subsidiary.

    How about Nationwide (the first live MERS account which came up 1000xx Royal Bank of Scotland!

    How about Norwest relationship with Nationsbank?
    How about Wells Fargo & Co dba WFC HOLDINGS CORP operates for benefit of (1) foreign owner HSBC plc.

    What about Nationsbank acqiring servicing pipeline and conduits of Norwest Home Mortgage, Banco MOrtgage, GMAC Mortgage Corp, Chase Manhattan Mortgage Corp, INDYMAC/Countrywide – acquired by Nationsbank BOA!

  3. Dear Steve, a lot of people don’t know that Nationwide is really UBS AG. Wells Fargo is really HSBC plc. Norwest Home Mortgage, Banco MOrtgage, GMAC Mortgage Corp, Chase Manhattan Mortgage Corp, INDYMAC/Countrywide – acquired by Nationsbank BOA!

  4. Dear carie

    Yes the Investor (SASCO) Structured Asset Securities Corp (pass through agency) of Lehman Brothers used to secure assets of consumers and placed on their books at 100% of Origination value in a ‘Global Mortgage Asset’.

    The Asset Portfolio assigned sequence of loan numbers (envision a spreadsheet of 1,000 loan numbers). The dollar amounts of loans were filled in until the Asset Portfolio and amount of loans were matured. This is how there are multiple pledgings of ‘assets’ into multiple loans to different people! Meanwhile to get the cash into the Corporate Securities Treasury of Structured Asset Securities Corp (INVESTOR) or Wells Fargo Asset Securities Corp (INVESTOR) Originator (sells loans at a discount, having faciliated taking of consumer property by deceptive acts at RETAIL, created Alt-A Loans in which the Title Company insured for the INVESTOR.

    Third party lenders credit lines were utilized to procure cash for loans as deposits (Seller of discounted loans, as depositor, in agreement with Purchaser) … FOr example Pinnacle Mortgage would get the yield spread on a loan for allowing SASCO to procure cash using the credit line of Pinnacle Agent and they are unrelated to transaction with consumer who has no idea that the loans would be placed into other financial product and financial service commodities which are unsecured.

    Servicers sell serivicing rights of portfolio’s and servicers performing and non-performing loans at the end of the month the servicer of a portfolio pays the amount due to the Agency they are in agreement with including the non-performing loans and agree to do so for 30 years.

  5. The transactions are mechanized by computer and individual transactions (over 50 percent of the USA real estate industry) transactions processed through one central clearing house ‘Lenders Processing Services division 2006 subsidiary of DOCX’ following merger of Certegy and First National Financial.

    Thank you saveamericaone. I did not know this. Thought LPS was only recently created for mass foreclosure processing.

  6. Thanks, ANONYMOUS…weird to think you have a real name…
    I (and many others I know), deeply appreciate your insight…you have helped greatly to give hope, empowerment, clarity, and SANITY…take care.

  7. Anonymous Take Care. Hope you return soon.

    thanx

  8. carie,

    To your question below — yes — but not valid mortgages if subprime – only reaffirmation of collection rights.

    Have to stop posting for a little while. Nothing to do with anything like M. Soliman in past.

    Will be back — later. .

  9. speaking of title issues, hopefully someone with some legal knowledge can answer this question. first american title is a shareholder of mers, as are a few other title insurers. is there or is there not a conflict of interest when one of these title insurers receive a claim from one of their insureds which contains a title defect caused by mers? it seems to me that aside from the obvious incentive to deny the claim (they dont want to pay) they also have an incentive in denying the claim because if they acknowledge mers did wrong they are calling into question the legitimacy of mers, which they wont do because as a shareholder of mers they have a financial incentive not to do so. if this conflict exists, then there is no way that title insurers can fairly and impartially assess or pay a claim involving mers, correct? i may be wrong, but dont insurers have a duty to their customers? and isnt there ability to effectuate their responsibilities called into question because of their relationship with mers? there has to be something wrong with this.

  10. Get Educated and find out about misrepresentations and warranties express and implied and intent incorporated into ‘sec’ side and substantive omissions on commercial banking side.

    losses resulting from denial of insurance coverage due to misrepresentations\in connection with the origination of a Loan will result in affecting …

    SEC Search ‘Insurance’ 424B5
    Structured Asset Securities Corp · ‘424B5’ ·
    Amortizing Residential Col Tr Mor Pas Thr Cer Ser 2001-Bc2

    MERS ORD ID: SASCO ARC 2001-Bc2

    http://www.secinfo.com
    Login as User (free account when you signup)
    Then past url and in ‘FIND’ box type ‘insurance’ and click on FIND

    There you can read about the insurance covering the Lender/Investor/Servicer

    When you ‘click’ on any of the ‘hits’ wait and the cursor will move to the page around the ‘hit’ so you can read the details.

    Financial Guaranty Insurance Policy
    Credit support may be provided in the form of a financial guaranty insurance policy by one or more insurance companies named in the prospectus supplement. The financial guaranty insurance policy will guarantee, with respect to one or more classes of Securities of the related series, timely distributions of

    Description of Mortgage and Other Insurance
    The following descriptions of primary mortgage insurance policies, pool insurance policies, special hazard insurance policies, standard hazard insurance policies, bankruptcy bonds, repurchase bonds and other insurance and the respective coverages thereunder are general descriptions only and do not purport to be complete. If specified in the prospectus supplement, insurance may be structured so as to protect against losses relating to more than one

    Primary mortgage insurance policies reimburse certain losses sustained by reason of defaults in payments by borrowers. Primary mortgage insurance

    the exhaustion of coverage under any mortgage pool insurance policy may affect the master servicer’s or servicer’s willingness …

    mortgage insurance policy covering a Mortgage Loan (referred to as the “Insured Loss”)

    …in the prospectus supplement, the master servicer will be required to maintain a pool insurance policy for the Loans in the trust fund on behalf of the trustee and the securityholders.

    The amount of insurance benefits generally paid by the FHA is equal to the unpaid principal balance of the defaulted mortgage loan, plus amounts …
    …as well as the failure of FHA insurance to cover the first 60 days of accrued and unpaid interest and all foreclosure expenses as described above…

    The monthly or periodic insurance premiums for FHA Mortgage Loans will be collected by the master servicer or servicer and paid to FHA. The regulations governing FHA single-family mortgage insurance programs provide that insurance benefits are payable upon foreclosure (or other acquisition or possession)…

    HUD has the option, in most cases, to pay insurance claims in cash or in debentures issued by HUD. Current practice is to pay claims in cash, and claims have not been paid in debentures since 1965. HUD debentures issued in satisfaction of FHA insurance claims bear interest at the applicable HUD debenture interest rate. The related master servicer or servicer will be …

    …HUD previously accepted assignment of defaulted mortgages and paid insurance benefits to lenders.

    FHA Insurance and VA Guaranty

    Pool Insurance Policy:
    The prospectus supplement will describe any provisions of a pool insurance policy that are materially different from those described below. It may also be a condition precedent to the payment of any claim under the pool insurance policy that the insured maintain a primary mortgage insurance policy that is acceptable to the pool insurer on all Mortgage Loans in the related trust fund that have Loan-to-Value Ratios at the time of origination in excess of 80% and that a claim under the primary mortgage insurance policy has been submitted and settled. FHA Insurance and VA Guarantees may be deemed to be acceptable primary insurance policies under the pool insurance policy.

  11. All SASCO (Structured Asset Securities Corp) MERS ID’s are INVESTOR!

    1 “Issuer” Relationship (where the security “Owner” is…)

    Structured Asset Securities Corp [ formerly Structured Asset Sec Corp Series 1998-2 ]

    21 Affiliate Relationships (based upon SEC Files: Parents / Subs., Directors / Officers, et al.)
    Last Filing Registrant

    7/17/02 Amortizing Resi Collateral Tr Mor Pas Thru Cert Ser 2000-Bc3
    12/19/02 Amortizing Resi Collateral Tr Mort Pas Thru Cer Ser 2001-Bc1
    3/29/02 Cendant Mortgage Corp Mort Pass Through Cert Series 2001-6
    3/26/02 Structured Asset Sec Corp Mor Pass Thr Cert Ser 2001-9
    7/18/02 Structured Asset Sec Corp Mort Pas Thr Cert Ser 2000-4
    1/7/02 Structured Asset Sec Corp Mort Pass Thr Cert Ser 2000-5
    9/5/02 Structured Asset Sec Corp Mort Pass Thr Cert Ser 2001-10a
    3/26/02 Structured Asset Sec Corp Mort Pass Thr Cert Ser 2001-2
    12/19/02 Structured Asset Sec Corp Mort Pass Thr Cert Ser 2001-5
    3/28/02 Structured Asset Sec Corp Mort Pass Thr Cert Ser 2001-Sb1
    9/5/02 Structured Asset Sec Corp Mort Pass Thr Certs Ser 2001 3a
    7/31/02 Structured Asset Securities Corp Mo Pa Th Ce Se 2000-Bc2
    12/18/02 Structured Asset Securities Corp Mor Pas Thr Cer Sr 2001-Bc4
    12/19/02 Structured Asset Securities Corp Mor Pas Thr Cert Ser 2001-6
    10/1/02 Structured Asset Securities Corp Mort Pa Th Cert Ser 2001-8a
    12/19/02 Structured Asset Securities Corp Mort Pas Thr Ce Se 2001-Bc3
    7/24/02 Structured Asset Securities Corp Mort Pas Thr Cert Se 2000 3
    9/5/02 Structured Asset Securities Corp Mort Pas Thr Cert Ser 01 7a
    3/26/02 Structured Asset Securities Corp Mort Pass Thr Cert Ser 01 1
    9/2/08 Structured Asset Securities Corp [ formerly Structured Asset Sec Corp Series 1998-2 ]
    9/5/02 Structured Securities Asset Corp Mort Pas Thr Cert Ser 01 4a

    13 Names (Directors, Officers, Attorneys, Accountants, Bankers, Agents, et al.)
    Last Filing Signatory

    4/11/01 Amy Doyle
    3/20/02 Beth Belfield, Officer
    4/11/01 Dan D. Stilwell
    12/19/02 Edward M. Frere Jr., Senior Vice President
    4/11/01 Ellen V/ Kiernan
    4/11/01 Margaret Sue Ellis
    4/11/01 Pablo de al Canal
    4/11/01 Pablo De La Canal
    4/11/01 Richard Delgado
    8/6/01 Sherri, Sharps, Vice President
    4/11/01 Stanley Labanowski
    4/11/01 Trisha Lowe
    12/19/02 Wells Fargo, Bank Minnesota, N.A.

    Above as related to:

    Issuing Entity ‘Fictitious Name’ and MERS ORG ID SASCO ARC 2001-BC2

    c/o 3 World Financial Center, NY NY 10285

    Mailing Address: 200 Vesey Street
    24th Floor, NY NY 10285
    74-2440858 IRS# for what?
    Asset Backed Securities

    Prospectus Supplement 1/26/2001
    Rule 424(b)(5)

    Master Servicer: Wells Fargo Bank Minnesota NA
    Depositer: Structured Asset Securities Corp
    Underwriter: Lehman Brothers
    Purchased by: Lehman B rothers Inc with right to reject any ‘order’. Proceeds to SASCO from sale of certificates will be 106.50% of initital total principal amount, plus accrued interest, before deducting expenses. 3/27/2001 delivery oof certificates offered by this prospectus supplement (except Class R or Residual Certificates) will be made thru book-entry facilities of DTC (nominee), Clearstream Banking, societe anonyme, and the Euroclear System, and delivery of Class ‘R’ Certificate will be made in physical form of Lehman Brothers Inc NY

    Disclosure inside this transaction:

    Secondary Mortgage Market Enhancement Act of 1984
    SMMEA also amended the legal investment authority of federally-chartered
    depository institution as follows: federal savings and loan associations and
    federal savings banks may invest in, sell or otherwise deal in Securities
    without limitations as to the percentage of their assets represented thereby,
    federal credit unions may invest in mortgage related securities, and national
    banks may purchase Securities for their own account without regard to the
    limitations generally applicable to investment securities set forth in 12
    U.S.C. 24 (Seventh), subject in each case to any regulations the applicable
    federal authority may prescribe. In this connection, federal credit unions
    should review the National Credit Union Administration (“NCUA”) Letter to
    Credit Unions No. 96, as modified by Letter to Credit Unions No. 108, which
    includes guidelines to assist federal credit unions in making investment
    decisions for mortgage related securities, and the NCUA’s regulation
    “Investment and Deposit Activities” (12 C.F.R. Part 703), (whether or not the
    class of Securities under consideration for purchase constitutes a “mortgage
    related security”).

    http://www.secinfo.com/d12atd.414v.htm (Why read a document such as a prospectus supplement to understand what transactions may have occured that you can request copies of related to the ‘mortgage loans’ and for no other reason to understand how they moved money for 90 dyas Lender/Investor using credit lines of third parties and take in asset of consumer as their own for their own benefit and all of the employees and affiliates in the ‘stables’ were trained to do business not in your best interest but to take your assets as their own and convert asset into US currency that the Bank Owners would launder into other assets that were held in bank owner name as a foreign entity outside US outside of control of US TREASURY!

  12. SASCO 1999 AL2/US Bank NA
    SASCO 1999 ALS3/US BK NATL ASSOC
    SASCO 1999 SP1/FNB Chicago
    SASCO 2000 ARC-BC3
    SASCO 2000-3 (Aurora Loan Services NE)
    SASCO 2000-4 (Aurora Loan Services NE)
    SASCO 2001-1 (Aurora Loan Services NE)(
    SASCO ARC 2001-BC2 (Amoritizing Residential Collateral)
    SASCO1999ALS-1/Chase Manhattan Bank

    Structured Asset Securities Corp fka EF Hutton, subsidiary of Lehman, pass through agency for US Bank, First National Bank, Bear Stearns, Chase Manhattan Mortgage Corp dba JPM and Bear Stearns,

    Corporate Name: SASCO 1999 AL2/US Bank NA
    Address: 2617 College Park
    City,State,Zip: Scottsbluff, NE 69361
    Toll Free Number:
    Direct Number: (800) 550-0508
    Fax Number: (308) 220-2502
    Primary Contact: Jan Walsh
    Website:
    Member Org ID: 1000380
    Lines Of Business: Investor
    eRegistry Participant: No
    eDelivery Participant: No

    Observation: all of the MERS Lines of Business for the MERS entities above are INVESTOR

    I selected an interesting one
    SASCO ARC 2001-BC2

    Guess who? ? ? I learned UBS AG is parent of ‘Ocwen’ transactions in federal reserve system 2001. You know Ocwen Mortgage Acceptance Corp as a DE corp now dba SandCanyon Mortgage Acceptance Corp.

    10K Filed by Norwest Asset Sec….Trust – Filing Agent
    Why are there 25,841 SEC Filing 3/10/98 to 6/8/11? Why are the assets of SEQUOIA being converted and for the benefit of whom last 10D Periodic Distribution field by Norwest Asset Sec Corp Mort Ps Thru Cert Ser 1998-1 Trust …’Issuing Entity’ fictitious name
    c/o Norwest Bank Minnesota NA
    1100 Broken Land Parkway
    Columiba MD 21703
    NO IRS#!!!!! listed for Registrant

    10K with No ‘IRS’ # marked ‘Pending’ Oh My! ‘New York’ Jurisdiction???
    Commission File Number: 333-35026-10

    Issuing Entity fictitious name:
    Amortizing Residential Col Tr Mor Pas Thr Cer Ser 2001-Bc2 · 10-K · For 12/31/01

    Amortizing Residential Collateral Trust
    Mortgage Pass-Through Certificates
    Series 2001-BC2
    c/o
    Wells Fargo Bank Minnesota, NA
    11000 Broken Land Parkway
    Columbia MD 21044

    Ocwen Federal Bank FSB Servicer
    Wells Fargo Home Mortgage Servicer

    Records provided to the Trust by the DTC and the Trustee
    indicate that as of December 31, 2001, the number of holders of
    record for each class of Certificate were as follows:

    Class A 1
    Class B1 1
    Class B2 1
    Class B3 1
    Class M1 1
    Class M2 1
    Class M3 1
    Class R 1

    Total: 8

    Properties. See Item 14(a), Exhibits 99.1, 99.2, and 99.3, for information
    provided in lieu of information required by Item 102 of
    Regulation S-K.

    /s/ Beth Belfied ‘Officer’ 3/15/2002 Wells Fargo Bank Minnesota NA as Master Servicer 10K Servicing Report of (8) assets tracked for

    Amortizing Residential Col Tr Mor Pas Thr Cer Ser 2001-Bc2 · 10-K · For 12/31/01

  13. usjustice4all,

    Excellent question. Power to declare national state of emergency rests with President O’Bama under Article II Executive Branch and his AG who serves at his pleasure. But President O’bama made a personal choice to look forward and not prosecute.

    Whyd did the US Treasury not take over the banks when they could have in 2008 and would have gotten to the bottom of the money laundering and stopped the leak in the dam before the foreign owners escaped – filed bankruptcies and moved on to new financial exchanges.

  14. Guess who went bankrupt right before SASCO (Investor)? The private family trust Lehman was responsible for during 94/95.

    Why read this? directly related to intent of ‘conduit’ in pipeline (Special-purpose vehicle “SPV”) and guess who DJL is? Credit Suisse

    DLJ Commercial Mortgage Corp., 1998-CF1.

    Conduit Agency, Special Purpose Vehicles (SPV’s) are a means by which ‘thing’ IN REM transmitted. Latin (to lead together) e.g., Moodys saw the conduit was choked with rubbis.

    Donaldson, Lufkin & Jenrette. Salomon Brothers Mortgage Securities VII, 1996-C1. Conduit …

    Link of Moody Report 1993-2002 important at bottom. Cut/Pasted Footnotes of paramont importance often neglected and should be read along with the report.

    Payment Defaults & Material Impairments of U.S. Structured Finance Securities 1993-2002:
    Summary December 2003
    Moodys Special Comment
    Moody’s structured ratings are assigned on the basis of expected loss, which is the product of the frequency of default and losses in the event of default. While the likelihood of default alone does not determine a rating, it is a critical component of the measurement of expected loss.
    This is the first study of defaults on Moody’s-rated structured finance securities. Some initial findings on loss severity given default are reported as well. Highlights of this special comment include:
    • A structured security is defined as being:
    – In payment default if it suffers an interest shortfall or principal writedown.
    – Materially impaired if it has defaulted and its default has not been cured, or if it has not yet defaulted but was assigned a Ca or C rating.
    (1993-2002) The largest number of materially impaired securities came from the ABS sector with 174 material impairments. This is followed by the RMBS sector with 121 material impairments. The CMBS sector had the least material impairments with 31. The ABS sector also sustained the highest material impairment rate while the CMBS sector had the lowest.
    Footnotes Page 3
    1. When external credit enhancement is employed in a transaction, the risk of default on the part of the credit enhancer also may have material impact on the overall risk of the transaction. In addition, collateral performance can be affected by the financial condition of the originator or the servicer.
    2. This discussion does not extend to the junior-most, unrated equity tranche, which is a residual claimant to the securitization’s cash flows.
    3. Credit events in structured transactions are further discussed in “Moody’s Approach to Rating Synthetic Resecuritizations,” Moody’s Structured Finance Special Report, October 2003.
    4. Prepayment interest shortfalls are losses of interest attributable to prepayments made before the end of a month. When a borrower prepays, interest is paid only until the prepayment date. The remaining interest for the month would be lost. Most servicers pay compensating interest to cover this type of interest shortfall, but only up to a specified percentage of the servicing fee received in the given month. The amount available to pay interest can also be reduced by application of the Soldiers’ and Sailors’ Civil Relief Act of 1940, as amended, or comparable state legislation, that permits a reduction of the interest on consumer debt for military personnel. These types of shortfall are not reimbursable by the servicer and are allocated pro-rata among all certificate holders. In addition, SSCRA of 1940 application is not limited to mortgages. These interest shortfalls are not considered to be payment defaults either.
    5. Once written down, principal balances are almost never written back up. Moreover, when principal balances are written down, the balance against which future interest payments are calculated is typically reduced. Hence, in those instances, principal write-downs lead to permanent losses of interest, even if the write-down itself is later reversed. Not all asset types have write-down provisions. For these asset types, principal shortfalls may occur prior to maturity, but may not be realized. Our definition of payment defaults covers loss events explicitly reported in servicing reports, and those principal shortfalls that are not realized are not considered to be payment defaults.
    6. CDO tranches have not been included in this study because it is difficult to obtain detailed tranche-level payment information for all securities in this asset class. CDO defaults will be addressed in a future study.

    See Footnote seven regarding “The sample is drawn from the ABS, CMBS, and RMBS sectors. Asset-backed commercial paper (ABCP), collateralized debt obligations (CDO),6 credit derivatives, structured notes, and securities wrapped by financial guaranty insurers or guaranteed by federal agencies or government sponsored enterprises (GSEs) are excluded.7”
    7. Guaranteed securities have been excluded because they would skew the default rate statistics: they have all been very highly rated, often as Aaa; no security that has been guaranteed and highly rated by Moody’s has ever defaulted; these financial guarantors do not originate or service structured transactions. We did not exclude
    tranches guaranteed by the originators of the assets, such as those guaranteed by Green Tree/Conseco.
    8. We collapsed like-rated tranches in order to avoid placing undue weight on a few securitizations that have many pari passu tranches in our estimates of default and material impairment rates. By construction, pari passu tranches have perfectly correlated default and loss experience, and therefore provide no additional information about the likelihood of default or loss.
    For the purposes of this study, however, we were unable to determine for all securities which tranches were indeed pari passu. By collapsing like-rated tranches within every deal, we have eliminated all pari passu tranches; however, we may have eliminated some non-pari passu tranches as well. Examples of such non-pari passu tranches include (a) tranches supported by different groups of loans, but rated the same in the same deal; (b) tranches whose corporate guarantor’s rating coincided with another rating in the deal. We closely examined our data to include these kinds of coincidentally like-rated securities.
    Additionally, we have collapsed tranches that had different maturity but carried the same rating. These tranches are generally pari passu so long as they are outstanding at a given point of time. The decision to collapse tranches that are likely to be pari passu is consistent with our corporate default studies which focus on the issuer rather than the issues as the unit of default analysis. In Appendix IV, we show default rates and material impairment rates based on the larger sample that does not collapse like-rated securities.
    9. These are securities that are either denominated in U.S. dollar and/or issued in the U.S. In addition, securities issued in Bermuda, the Cayman Islands and the Channel Islands, but denominated in US dollars are categorized as U.S. structured securities.
    10. HEL includes subprime mortgage loans, second-lien mortgage, HELOCs (home-equity-lines-of-credit), and HILs (home-improvement-loans).
    11. The last default identified in our list began at the end of 2002. As shown in Figure 5, cures after 8 or more months of default are rare. Therefore, we have updated cured status through July 2003.
    12. If a security went into default, became cured, but later went back into default, we ignore the “temporary cure” and treat the security as defaulted, using the initial default to determine the default date.
    13. Class A from Autobond Receivables Trust 1995-A and 1996-B were downgraded to Ca in February 2000. The first security was paid down in full in 2001 and the second was paid down in full in 2002.
    14. Please refer to “Default & Recovery Rates of Corporate Bond Issuers”, Moody’s Special Comment, February 2002.
    15. This is an adjustment for withdrawn ratings (WR) in a given calendar year. Such adjustments have been made for all default rates in this study. In addition, we assume each security can only default once and that is the first time it sustained a payment default. Once a security went into default, the security would exit from the rating universe and no longer be counted in future rating cohorts. As soon as a security sustained a payment default, we start tracking and computing its loss severity rate.
    16. All default rates in this study are weighted average default rates unless noted otherwise. Figure 11 – One-Year Payment Default And Material Impairment Rates By Rating, 1994-2002
    17. For all other rating transition rates in structured finance, please refer to “Structured Finance Rating Transitions: 1983-2002, Comparisons with Corporate Ratings and Across Sectors”, Moody’s Special Comment, January 2003.
    18. “Default & Recovery Rates of Corporate Bond Issuers: A Statistical Review of Moody’s Ratings Performance 1970-2001”, Moody’s Special Comment, 2002.
    19. There were five defaulters originally rated Caa, all within the CMBS sector. Four of them have remained Caa rated and one was downgraded to C.
    Figure 14 – Multi-Year Cumulative Material Impairments Rates By Original Rating, 1993-2002
    Years After Origination
    Original Rating 1 2 3 4 5
    Aaa 0.00% 0.00% 0.03% 0.16% 0.24%
    Aa 0.54% 0.81% 1.14% 1.51% 1.60%
    A 0.03% 0.34% 0.65% 0.83% 0.86%
    Baa 0.26% 1.09% 2.27% 3.33% 3.87%
    Ba 0.43% 2.51% 5.16% 6.60% 7.16%
    B 0.90% 4.16% 9.10% 10.57% 11.30%
    Caa 4.00% 4.00% 8.27% 8.27% 8.27%
    20. We note that the majority of payment defaults, and to a lesser extent, material impairments, are in residential mortgage-backed securities and HEL securities whose seasoning pattern is most evident.
    22. If interest shortfalls were caused by appraisal reductions or loan modifications, investors will likely receive reduced interest payments for all future payment periods.
    Figure 20 – Cumulative Material Impairments Rates In CMBS By Cohort Rating, 1994-2002
    Years After Cohort Formed
    Cohort Rating 1 2 3 4 5
    Aaa 0.00% 0.00% 0.00% 0.00% 0.00%
    Aa 0.00% 0.00% 0.00% 0.00% 0.00%
    A 0.10% 0.26% 0.53% 1.03% 1.03%
    Baa 0.42% 0.99% 1.55% 2.23% 2.23%
    Ba 0.94% 2.20% 4.33% 5.17% 5.17%
    B 2.86% 7.07% 12.92% 15.68% 19.43%
    Caa 1.85% 4.70% 9.85% 9.85% 9.85%
    Note: Sample size for the Caa rating category three years after cohort formation is very small.
    23. For more information on these deals, please refer to “Moody’s Downgrades 101 Classes of Quality Mortgage MBS’, Moody’s Press Release, May 1998.
    24. For more information on these rating actions, please refer to “Moody’s Downgrades 94 Classes from DLJ’s Quality Mortgage Deals”, Moody’s Press Release, July 1999.
    25. In our corporate default research, information about lifetime cumulative loss rate is easier to obtain for two reasons. Corporate defaults usually lead to bankruptcy, which are typically resolved within about two years. Second, trading prices for defaulted corporate debt are often widely available and many studies have shown that trading prices one month after default are good proxies for ultimate recoveries.
    26. Strictly speaking, those defaulters cured within a short horizon suffered minor losses when the present value of the payments is considered, if the repayment did not include interest on interest shortfalls .
    27. There were five defaulters originally rated Caa. None of them suffered material losses.
    28. The number of observations available for computing average loss rates decreases with the length of seasoning. This is shown in Figure 24.
    29. Corporate loss severity estimates cannot be compared directly against structured finance loss severity estimates because corporate securities are typically par bonds and many structured securities are amortizing bonds.
    To order reprints of this report (100 copies minimum), please call 1.212.553.1658. Report Number: 80247
    http://www.google.com/url?sa=t&source=web&cd=10&ved=0CG8QFjAJ&url=http%3A%2F%2Fv2.moodys.com%2Fcust%2Fcontent%2Fcontent.ashx%3Fsource%3DStaticContent%2FFree%2520pages%2FCredit%2520Policy%2520Research%2Fdocuments%2Fcurrent%2F2002200000428113.pdf&rct=j&q=DLJ%20Commercial%20Mortgage%201998-cf1&ei=Ud7XTeyhMs2_gQeL85lY&usg=AFQjCNH5sAtcdlH37TxkW-MjlFlfwvTYNg

    See List of DEFAULTS – huge

    Do the underwriter(s) have any role, formal or otherwise, in the lending …. of the NYS Banking Board to acquire DLJ’s Winthrop Trust Company? … to perhaps buy New Jersey’s Summit; Lehman Brothers reportedly on the block. …

  15. Dear Steve:

    What you and the DOJ saw I have seen too and continue to beg Congress, OCC, OTS, FTC, FCC, DOJ, DOBI, Financial Crimes and FBI to secure copies of documents including funding revealing how the economy has been harmed, third element of our national security by money laundering.

    What a conundrum.

    Consumers, are Ignored simply because we are individual consumers whose property taken possession of in a larencous manner (not secured) allows third parties to take possession and place false claims deny consumer’s due process of law and subject us to unlawful seizures and wrongful federal tax liens.

    Bring into the light of day the facts contained in the origination files the OCC ignores! The OCC sees the bank’s affiliates title agency transactions? No procedures at minimum for the transactions are off-site via LPS – DOCX – Certegy – First National Financial over 50%.

    Consumer as individual + National Association’ affixed to every transaction places all matters outside jurisdiction of AG. If we were banded together by SaveAmericaOne we could bring forth before Congress as a commercial entity who they would be forcred to hear.

    I beg all consumers, whether in default or not, to please secure copies of the Origiantion Folder documents from the settlement agent in the state the property is located.

    Will we learn how to file civil complaints outselves YES!

    Consumers as individuals have the right of due process for we are to be safe in life and property and we are not to be subject to unlawful seizure of our property.

    Yes, your property was taken by deceptive acts in the light of day. The asset used for the benefit of the LENDER/Investor whose decision was in bad faith related to you the consumer.

    The Lender/Investor did take possession of property in a larcenous manner and continues to act deliverate intent to spit upon the Federal Republic for which we stand now LAWLESSNESS for Congress does allow harm to economy and does prevent enforcement of laws, and does allow with every forced modification, forced foreclosure, forced bankruptcy Lender/Investor’s third party to retake possession of property in a larcenous manner.

    Consumer’s as individuals documents are pure intent of substantive omissions fo material facts, of who the LENDER/Investor are not, who the Servicer are not, who is the Note Holder in due course are not.

    Over the past decade, the LENDER/Investor have taken possession of your your property in a larcenous manner even if you did not execute a mortgage or refinance. Any existing mortgage serviced during the past decade could be sold and incorporated into the mess in the form of another asset in the bank owners name.

    The statutory laws were removed by former President Clinton and that act alone did not destroy the economy. Each act of Congress ignoring the loopholes used by Lender/Investor they benefitted from egregious behavior. Talk about weiner gate.

    Congress neglected to create regulations to protect welfare of nation which are the individual consumers targetted by foreign organizations. Are the foreign owners smarter than Congress?

    The consumer protection laws were neglected and the federal adminstrative agencies did withhold substantive omissions of material facts from consumers who trusted the consumer protection laws and financial products and financial services placed into the public domain to be safe from defects, title defects, sound business practices to make sound decisions for the benefit fo the consumer and lender/investor.

    Who did not update the HUD, TILA, RESPA disclosures revealing the new math.

    Its not that the federal administrative agencies did not know, rather its the intent of the INVESTOR/Lender’s substantive omissions of material facts of the related transactions, and instructing affiliates to not follow the statutory laws which did harm the economy, third element of our national security, which President O’Bama ignores and did create defects in the title by the affiliates (Agency who issued title policy) and not recording the sale and resale fo the servicing rights to third parties did cloud the title and such defects will prevent the sale of your property to a third party who is unrelated to the bloodline. Consumer’s may have experienced this when selling a home that one company would not issue a policy and they were encouraged to use another one?

    Come on lets group together and secure evidence that otherwise will disappear that is not required to be held for IRS tax purposes. Seondary loans are being written off pending claims to be processed and tracked by the servicer. Was the loan really paid off?

    Reveal facts to IRS that your property is an unsecured debt will change the REMIC and force change for the LENDER/Investor in violation of the trust!

    The US Currency disappeared and what tax implications exist that the IRS has not looked at for each ‘deposit’ into Corporate Securities Treasury of LENDER/Investor was passed through pass-through agencies over 90 days, US currency converted into many assets in name of bank owner c/o Cede & Co – DTC nominee for example, those assets are untouchable? No taxes paid? LENDER/Investor tries to force ‘secured’ upon consumer to suffer tax implications of secured debt in bankruptcy. How many of you are out there paying taxes deduced from your unemployment checks related to IRS federal liens related to bankruptcy and foreclosures related to mortgage?

    Did the IRS get their fair share!

    Don’t get stuck with the bill of the unsecured asset in bankruptcy for it is to be stripped if the servicer granted summary judgment.

    Fight hard to get the IRS to recognize your debt is unsecured!

    An IRS issue to be explored for all of you who have lost your property to deceptive acts, stuck with the tax bill for the forced loss of the entire asset that remained on the books of the LENDER/INVESTOR at origination value for 30 year period and is only adjusted as a receivable as a loan during the 30 year period of the servicer. The loan# inside certificates not sold back from trust to servicer. That would be silly. IN the event of foreclosue, reo broker recycles property for Servicer and the Lender/Investor benefit again doing it again Sam!

    INVESTOR/Lender ordered third party ‘funding’ transactions (Warehouse Lenders for example to close with title companies and issue checks payable payable to Title & Settlement Agents aka Settlement Agents and brokers.

    Did the LENDER/Investor during Origination take possession of your asset in a larcenous manner? Yes if they did not follow state and federal statutory laws.

    Who did not follow statutory law? The party who ordered the settlement agent to not record the documents but return them to the ‘Post-Closing Agency’. You know who that is as defined on the ‘mortgage’.

    Did you every think about the fact the mortgages were generated and produced by the backoffice of LPS – DOCX, those packages sent in accordance of TILA in name of LENDER! are the preliminary closing instructions. You don’t get all of the documents the settlement agent gets,
    You don’t get copies of the emails the LENDER orders title policy to be created for amount and ‘phrasing’ of that statement to be placed in the endorsement. Consumers don’t get copies of the title policy which is issued by a different company. The settlement agent does business in their own name as an agent, broker, dealer distributor of the title & settlement company. That company decides which agency will do the policy that benefits the LENDER/Investor that is correct that policy is to protect the ‘servicer’ who will be collecting payments from borrower for 30 years.

    who took asset of consumer and converted that asset (real property) into ‘US Currency’ in the form of a deposit into its Corporate Securities Treasury, and to please send copies to their Department of Justice – US Attorney General and State Attorney General and the Attorney General under President O’bama which reveals the new math and 21st Century method to book asset at original value and book 30 year of receivables and collect payments over 30 years on a loan number.

    The transactions are mechanized by computer and individual transactions (over 50 percent of the USA real estate industry) transactions processed through one central clearing house ‘Lenders Processing Services division 2006 subsidiary of DOCX’ following merger of Certegy and First National Financial.

    Wow if that is not an anti-trust issue I dont’ know what is!
    If that is not an issue for the FTC I dont’ know what is?
    Well Over 50% of the transactions processed through LPS – Lenders Processing Services a division whose subsidiary ‘DOCX’ in 2006 are responsible for funding check issued by third party payable to settlement agent. Did the settlement agent do anything wrong? Possibly otherwise why are they not providing copies to consumers who request the documents and all are claiming to be out of business doing business in other names so consumers believe their false statements.

    The new math logical had the statutory laws and forms been updated to protect consumers. Why did the OCC ignore the loopholes which harmed the economy, third element of our national security? Where was Comptroller Duggan everyday? What was he monitoring during the 2005 escalation, 2006 freenzy, 2007 bubble? For every foreclosure was and is a national association based on my research. What does your ‘mortgage’ say on the front page where the definitions of ‘Lender’ are located?

    Remember these documents were also produced by LPS as ordered by the LENDER/INVESTOR who would conveniently send what they called a ‘preliminary TILA’ satisfying a requirement of federal administrative agencies and were you told as I was to place that package on the side for the appraisal was not even back. That package was used to create preliminary approvals. Additional TILA packages were created that you never see that are in the Origianton Folder of the Settlement Agent’s file.

    LENDER/INVESTOR goal was to use your asset to create loans to procure cash for the main purpose of securing deposits!

    DEPOSITS into Corporate Securities Treasuries the bank owners take into their own name and convert into other assets in the bank owners name c/o Cede & Co – Nominee DTC for a Note (a 365 day instrument) for example.
    Meanwhile… money is laundered out of US in form of other assets that the bank owners may be accountable for but the US Governement can’t get their hands on in the event they take over the bank which they could have back in 2008 but must have known there was no money in the Corporate Securities Treasury rather sorry US Treasury! Or both actually!’

    The lines of business which evolved surrounding consumer mortgages (terms as used in MERS electronic registry) are directly related to the MEMBERS of the national association entities the OCC supervised the ‘math formulas’ and never looked at the transactions all stored off-site from the banks. Banks have policy and procedure books that is what the OCC looks at regarding how they process transactions and do not look at the individual transactions.OCC put horse blinders on Congress. Did Congress know or not only the OCC knows!

    OCC blessed all consumer complaints as nonsense and praised their clients were good fiduciaries.

    Investor/LENDER facilitated taking asset into their pipleline and benefitted from all transactions in the leased backoffices as owners.

    The bloodline to launder currency for asset remains the Title & Settlement Agents for the funding checks are payable to the settlement agents and settlement brokers who may not have realized the ‘deposits’ were going into INVESTOR Corporate Securities Treasury.

    The OCC knew about the new math as SUPERVISOR of the national associations trustee’s responsible at the back end of foreclosues and DISSING CONSUMERS for a decade!

    ‘LENDER’ is INVESTOR in MERS.

    All SASCO entities are ‘INVESTOR’ in MERS.
    Lender Processing Services Inc (aka LPS) is Vendor/Service Provider.
    Wells Fargo as a trade mark of and shareowner of MERS many roles.

    who controlled who and what would be placed in the Title Policy issued to LENDER.

    All Originations were done in secret with settlement agents.

    LENDER is the INVESTOR who places consumer’s asset (real property) electronically out for bid and third party’s (warehouse lender, REO Broker, Broker of Real Estate, Settlement Agents, …,) bid for their line of business for the ‘transactions’ allowing ‘LENDER / Investor’ to convert asset into a US Currency Cash Deposit and places the Asset on their books as an asset they will hold for 30 years independent of the servicer who will collect payments from the borrower. Mortgages did not harm the economy, the money laundering of US Currency into assets held in the name of the owners of the bank are what harmed the economy. Meanwhile the servicers have big business to continue collecting payments from borrowers or the servicers themselves until a new borrower is found to replace the old one.

    Is anyone getting this?

    This is a Kuy ba ya moment.

    How they get the cash is the new math of 21st Century.

    Commercial Conglomerates authorize the commercial providers of the many Lines of Businesses: Investor, Master Servicer, Servicer, Subservicer, Originator, Third Party Originators, Interim Funder, Investor, Document Custodian, MERS 1-2-3, Vendor/Service Provider

  16. There is a big disconnect between the truth and reality.

    Commerical ‘banks’ invested in a 30 year payout of a loan period.

    Without stautory laws in place to prevent the traditional mortgage, a new math was created to create mortgages.

    Cost of money procured today, verus collecting payments for 30 years.

    The morgage is a promise of a borrower to pay p&i over 30 months and considered to be a performing loan in a portfolio.

    In the event of a default, the loan becomes non-performing.

    In the event of default, the Servicer pays the P&I due until a new loan# and/or a new borrower is assigned to that loan and continues making payments – literally.

    The portfolio will maintain its aggregate and the loan numbers may change sbut the expectation of the servicer is they will collect payments for each loan over 30 years even if the loan is paid off a new loan will replace that loan in the portfolio.

    Are you getting it yet?

    There is no elephant in the room.

    There is money missing lawfully placed in the name of the owner of the bank in an unlawful manner called money laundering.

    Using the credit line of a third party, Wells Fargo now calls in their new commercial to be the #1 commercial bank of small businesses.

    That is a misrepresentation.

    Wells Fargo assigns credit lines to all brokers, agents, dealers, distributors, wholesale or retail and uses those credit lines to procure money from a third party to create a mortgage loan portfolio that the servicer will collect.

    Big commercial banks only care about deposits. Deposits allow them to convert assets into the owner of the bank’s name and that money converted is long gone in the treasury of a foreign organization who is the owner outside the USA.

  17. This is EXACTLY what I’m talking about: TOTAL DISCONNECT…this guy can’t possibly not know the truth of what is going on with the “fake mortgages”…so he QUITS…and pretends like everything is okay…

    http://www.huffingtonpost.com/2011/06/08/austan-goolsbee-no-economic-crisis_n_873585.html

  18. @usjustice4all

    I’ll tell you why there is no “state of emergency”…because it’s the GIANT ELEPHANT in the room that they just don’t want to ADMIT to—that “The emperor has no clothes”, and the banks have no mortgages—until they have absolutely NO CHOICE…which I believe is coming very, very soon…the “just ignore it” tactic isn’t working, the loan mods aren’t working, the cover-up isn’t working, the illegal foreclosures aren’t working, all of the “wag the dog” tactics aren’t working, and they just can’t hide much longer…so stock up on food and water, and get out the lawn chairs—’cause there’s a spectacle ‘a comin’!!!

  19. I keep wondering why if so many people have been harmed and have had property loss, why is no one declaring it a state of emergency??? I just read this about the weather on the east coast and think that it is crazy how such a small crisis caused an uproar, where as the housing market, nothing.. Read and wonder..”Massachusetts Governor Deval Patrick declared a state of emergency and ordered National Guard troops to assist with cleanup efforts. Tornadoes killed at least four residents, while reducing homes, schools, and churches to rubble.”

  20. ANONYMOUS

    a question: I went to frauddigest.com, and read Lyn’s latest post…she says at one point:

    …”The Trusts seem to have sold a list of loans they INTENDED to acquire”

    So, is this what has been referred to here as “sell, and THEN originate”???

  21. My friend, Dave Krieger first pointed out to me a year ago that my title insurance policy was written as such that MERS was the beneficiary. He said this was a big time issue. My attorney’s are now on this as well, along with the Combo Securitization and Title info I got from Neil and Crew.

    The tide is turning, people!

    KEEP UP THE FIGHT!!!

    ~Seeking Remedy

  22. the ultimate against any TBTF bank is too not use their so called products of money lending or services. You have the power to borrow from friends and family if need be. There is the power of word of mouth and the 6 degrees of separation

    http://en.wikipedia.org/wiki/Six_degrees_of_separation

    use it.

    Tear up all credit cards. Do not take out car loans. Save your money, borrow from friends and buy a house all cash. Do not ever use credit but keep it as a second cushion.

  23. GAME OVER, Mr. Bankster. Mr. Wall Streeter.

  24. In todays world, when You lend somebody some money or credit, YOU have a problem. It is not the other way around, and don’t forget it. And don’t be a sucker, and don’t be a pansy. God damn it.

  25. it’s all BS on the part of banks and wall street.

    …………………./´¯/)
    ………………..,/¯../
    ………………./…./
    …………./´¯/’…’/´¯¯`·¸
    ………./’/…/…./……./¨¯\
    ……..(‘(…´…´…. ¯~/’…’)
    ………\……………..’…../
    ……….”…\………. _.·´
    …………\…………..(
    …………..\………….\…
    ……………\………….\…
    …………….\………….\…

    Sorry I may upset some of you folks, but hey this is the New World.

    I am not into throwing all these corrupt banksters, wall streeters, congress paid hacks, lobbyists, all of them,,,

    I am not into throwing them into jail.

    I am into demoting them to line level clerks, at min wage, stripping them of all their money and assets and denying them promotions. That is the ultimate penalty, not behind bars.

  26. What about programs that the states and cities are using to try to help stall foreclosures? They are basing it on the assumption that the mortgages are legit and the servicers they are paying are the right ones.
    This monster feeds from all kinds of sources, the deceptions are spread far and wide, using and bleeding legit sources of help designed to save a homeowner.
    This is the Michigan website;
    http://www.michigan.gov/mshda/0,1607,7-141-45866_47905-177801–,00.html

    Another video meant to help people but is it really, or are these good intentions that are being abused by the lenders?
    https://www.stepforwardmichigan.org/#

  27. NEIL GARFIELD AND HIS COLLEAGUES ARE TRULY RIGHTEOUS.

    To Neil Garfield and his family Happy Holiday.

    Be Strong And Courageous. May G-d give you health.

    Thank You

  28. I am starting to get really frightened. Yesterday James Carvelle was saying on CNN that we are gonna have civil unrest

    http://www.eutimes.net/2011/06/james-carville-warns-obama-about-possible-civil-unrest-in-2012/

    Now on Dylan Ratigan guest is talking about civil unrest.

    http://www.washingtonsblog.com/2011/06/big-banks-have-sold-us-out-democrats.html

    Be Strong and Courageous

  29. ‘The practice of ALWAYS substituting trustees instead of using the old one is a cover for the fact that the old trustee would probably ask some questions rather than simply follow orders and send the notice of default, notice of sale etc.”

    Thank you for clearing that up. Deed of Trust the old trustee was the Title company called prior to foreclosure in 2009 that couldn’t find anything to my loan at both local and corporate offices; they did however find 4 pages faxing over borrowers settlement statement.

    After foreclosure it took Department of Insurance assistance to get Title Co. to send docs. Of course, too late now. But if there is anything else they can help me with or if I’d like to look at docs between broker and lender it will require a subpoena. Thanks Title Company.

  30. PLEASE SIGN ME UP SO I CAN GET YOUR DAILY POSTINGS.
    Thank you,
    Doug

  31. Grab a cup of coffee and listen to the podcast of O Max Gardner & Mandelman, it is over an hour long and gets interesting as time goes on:

    http://mandelman.ml-implode.com/2011/06/max-gardner-from-the-front-lines-of-the-battle-a-mandelman-matters-podcast/

  32. Neil, thanks for taking the time to share your experience and thoughts gleaned from your seminar. Great stuff as always.

  33. Zei Gesund Neil.

  34. @concerned – you seem to have some very valid issues – I hope you are pressing them. If the original lender didn’t exist, had no corporate identity, then any endorsement on the note by them is ‘questionable’, as well. It sounds to me like you have a dead-note. No debt, no collateral, of course. Sounds like a case of no
    diligence, as well, on the part of the folks who allege to have bought that note.

    While I’m at it, Aurora Loan Services, for example, is only registered in some states as a servicer.
    Yet it underwrote and bought loans – read funded them with its own funds or Lehman’s – in states where it had no lending license. Then as servicer, it comes in and pretends to own that very note which went thru Lehman Brothers Holdings, Inc. for securitization as if it never happened.
    So, shouldn’t these real providers of funds have been licensed lenders?

  35. jjg007 – that’s good info, but a wrongful credit bid does not lead to a legal conclusion that the deed has been ‘forged’. It has been procured wrongfully, but I don’t think that’s the same thing, unfortunately. So maybe it’s fraud in the inducement to get the
    deed by the lying-credit bidder. I suppose that would make the deed voidable as opposed to void??
    If people really believe the lender named on their note was not the lender and or that the loan was sold forward to or funded by securitization-investors and their rights have been altered unilaterally, then the willful misrepresentations to the borrower at closing were fraud in the inducement (maybe) and there was no meeting of the minds because teach party to the contract, the note, was not agreeing to the same thing. Does this require you to show you were damaged? Probably.

    If you no longer have an opportunity to re-negotiate the terms of the note, haven’t you been damaged?
    I believe that even to modify a note using HAMP funds, the bankster must first purchase the note. CAN they purchase a note, especially one not in default? Is this why we’re told the loan must be in default? Sure, they’ll take your home without ownership in the note, but modify it when they don’t know who the h owns it? They’re not going to do that. They can’t buy it under those circumstances (can’t find note, dont’ know who owns it, etc.) to modify, either.
    That’s one of the reasons your paperwork disappears time and time again.
    And there’s some kind of contractual agreement about the number of loans which may be modified in each pool, as I recall.

    These yeahoos who signed up for HAMP funds did not disclose these facts (like must purchase a loan to modify it) when taking the billions. So who’s the deadbeat criminal?

  36. Mr Garfield has devoted more than one complete post to the fact that loans that Identify a LENDER by the name of “America’s Wholesale Lender Corporation” are WILD.

    That corporation did NOT exist.

    My question is WHY the SEC is not involved with forcing CountryWide and now BofA to pull all such mortgages back from the CWABS, CWMBS, CWALT, etc, etc., named REMIC trusts?

    Regardless of WHEN they are SUPPOSEDLY being transferred into those REMICs, there is NO valid way to transfer them at all because the named LENDER is a BOGUS NAME.

    A different group did later on register that name as an ‘INC’. There is no connection between that new group’s AWL Inc and the bogus AWL Corp that is on the mortgage documents.

    My documents that were all generated after the supposed default show an invalid claim that the loan was already in the trust when no assignment had ever been concocted.

    My documents also show a substitution of the trustee for my mortgage that was executed using MERS and Litton personnel signed it. The Deed specifies that only the LENDER can make that substitution. Litton is really good at failing to adhere to the deed of trust. The section on that topic in the DOT states that NO other methods of performing the substitution are allowed. MERS is NOT given permission do it, no beneficiary is allowed to do it. It names only the LENDER as who can do it.

    The lender is a bogus corporation. I have a bogus substitution of the trustee. That bogus trustee then generated the bogus notice of default with the help of LSI (a subsidiary of LPS).

    The loan that is bogus on it’s face is supposedly now in a REMIC Trust that is listed by the SEC.

    If the SEC does not act to force these mortgages out of the trusts, it then becomes a burden for the investors to force this to occur.

    When will the SEC ever do some regulation of this mess with BNY Mellon?

  37. Neil this is great which company has the monopoly on title insurance? and no one has even tried anti trust action on him many title lawyers know but take no action . This would be a good distraction for our friend william foley at fidelity and dig into his huge can off worms maybe lift or pierce the corporate veil that hes has some necessary trusts and corps and holding companies llc. The huge game that he likes to play with millions of peoples home and retirement asseets undermining america. NO JAIL JUST AMPUTATE HIS HANDS THIEF ITS HARD TO WORK A VINEYARD WITHOUT HANDS.

  38. Does Neil’s article above mean we should all order new title insurance policies, plus the extra policy and see why the title company refuses to issue title insurance?
    7. Title insurance is not a magic bullet. It does not prove the status of title.
    8. UNRECORDED INSTRUMENTS AND EXCEPTIONS: Generally unrecorded instruments are not covered by title insurance. In Arizona and other states there is general acceptance of the idea that based upon statute and ATLA standards successors in interest to the debt do not need a new title policy. BY inference this would mean that they are giving credence to the idea that the mortgage follows the note, whether the transfer was recorded or not. But upon questioning the experts who delivered the presentation agreed that as the number of transfers increased the transaction becomes suspicious and that the rule regarding successors was probably meant for single transfers. I am in a non judicial state and have a copy of my title report done just a month ago. Which shows there has never been an assignment to Chase or Deutsche of the DOT.

  39. If there is a Title Policy issued to the 1st Lien holder and a second title policy issued to the 2nd lien holder who would be a different bank, would the same title company on the same date issue the policies with the same policy numbers ?

  40. SALEM — John O’Brien is a man on a mission.

    The South Essex register of deeds, who has been on a crusade to hold major banks accountable for their role in the home mortgage crisis, is now turning his attention to what he and others say are forged mortgage documents being pumped out by lenders seeking to back up foreclosures.

    Yesterday, he refused to accept two documents purportedly signed by “Linda Green” — a name that appears on nearly 300 other mortgage documents already on file at the South Essex registry and on thousands of other mortgage documents being filed around the country.

    The documents are what have been referred to as “robo-signed” — generated by a Georgia-based company called Docx.
    O’Brien and other registers say that Docx was set up by the banking industry to create documentation after homeowners whose mortgages were being foreclosed began going to court demanding proof that the bank seeking to foreclose on them actually owned the mortgage.

    It’s a situation that stems from another move by the banking and mortgage industry — the creation of a company called “Mortgage Electronic Registration Systems,” or MERS, to electronically keep track of millions of home mortgages.
    Banks and lenders used MERS to avoid the cost of filing paperwork at county land registries all over the country as mortgages were bundled, bought and sold. When banks started being challenged in court as to their ownership of the mortgages, they had to find a way to generate paperwork.

    O’Brien said Docx stepped in, using a staff of low-wage employees, including one named Linda Green, to sign the documents (not a robot, as the nickname might suggest).
    “My registry will not be a knowing participant in this fraud against homeowners,” O’Brien said in a statement. “From today forward, lenders be on notice, the Southern Essex District Registry of Deeds will not record robo-signed documents.”

    O’Brien recently began looking for documents signed by “Linda Green” and two others, “Korell Harp” and “Linda Burton,” after seeing a story on “60 Minutes.” He found 274 “signed” by Green, in 22 different types of handwriting. He also saw signatures from two other robo-signers, Korell Harp and Linda Burton.
    He’s still looking.

    “I find this practice very troubling on many levels,” O’Brien said. “It has completely jaded my understanding that a notarized document was something that could be relied upon.”
    Beyond that, however, O’Brien said he doesn’t want to be a party to fraud and potentially put the registry in violation of a new state law.
    That law took effect last August and makes it a crime to file and record any document that contains false information with a register of deeds.

    “To do so would make me a willing participant in a continuing scheme which has corrupted the chain of title of thousands of Essex County property owners,” O’Brien said.
    O’Brien, who is the first register in the state to refuse the robo-signed documents, will be speaking about his campaign to a statewide meeting of land registers in Worcester and at the National Association of Registers conference in Atlantic City later this month.

    To check your deed

    Please Sign Our petition… It will be formally presented to the NACRC

    http://www.ipetitions.com/petition/smokeandmers911/

    NACRC’s AKA National Association of County Recorders, Election Officials & Clerks

    NACRC’s Mission:
    To provide professional training and leadership development, through the promotion of networking, technology innovations, educational programs and legislative monitoring on national issues that affect county recorders, election officials and clerks, to better serve the public.
    Objectives:

    Provide members the opportunity to exchange information on a national level concerning their respective offices.
    Provide members with continuing education programs including the Certified Public Official program.
    Keep members fully informed of rapidly changing technologies.
    Provide a stronger voice in Congress on federal legislation affecting county offices.

    Be the source for county officials when they need answers.
    Ethics Statement:
    All members of the association are required to live up to and abide by the highest ethical principles in the conduct of their affairs as elected officials and as members of the association. Any member who is convicted of a felony or a public offense involving dishonesty, or who has violated their State or other professional association ethical principles or guidelines, may be subject to removal from any office held within the association, as well as any membership benefits at the discretion of a majority of the present and voting members of the board of directors of the association.

    http://www.ipetitions.com/petition/smokeandmers911/

  41. John Gault,

    “[A] forged deed is a nullity and vests no title in a
    grantee. [Cit.] As such, even a bona fide purchaser for value without notice of a
    forgery cannot acquire good title from a grantee in a forged deed, or those
    holding under such a grantee, because the grantee has no title to convey.” Brock
    v. Yale Mortgage Co., 287 Ga. 849, 852 (2) (700 SE2d 583) (2010).

  42. Mr Garfield said

    6. CREDIT BID AND CREDITOR: Only a creditor may submit a credit bid. If anyone else bids, the Trustee or clerk usually has no discretion but to issue a certificate of title (deed) which gives clear title to the grantee which can either be the grantee or someone standing in for the grantee.

    jg: Okay, only a creditor may submit a credit bid. So now in practice:

    Isn’t the trustee using the same old hearsay to determine that the joker submitting a credit bid is the creditor? (Trustees are foreclosing on a ‘because we said so”.)

    But let’s say you know the trustee hasn’t been given real evidence that the alleged
    bidder with a credit bid is the creditor. You or your auntie show up and bid 100k
    (10k?) or whatever on your property, cashier’s check in hand, and hand it over or attempt to hand it over.
    The trustee takes the credit bid over your’s because it was higher. Now you or your auntie file suit with a lis pendens and assert your auntie had the successful bid because the credit bidder had no right to a credit bid.
    If the trustee weren’t given the real evidence of the ‘creditor’s’ creditor standing, he can’t cure it subsequently because that’s garbage, and your bid is in the way.
    At the time of the sale, your auntie had the only bona fide bid at the sale…. yes?

    If she had the only bona fide bid, shouldn’t that be a done deal?

  43. THANK YOU FOR SHARING THIS INFORMATION AND GAZTHERING IT FOR US.

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