Chris Hayes: “ALL IN” Keeps the Mortgage Scandal in the Public Eye

Death by foreclosure: This week’s real scandal. See Chris’ report on Death by Foreclosure and then his interview with group in Boston that is coming up with creative solutions: — you can just wait through the commercials to see the interview or click the link below:

See Chris Hayes on ALL IN: Death by Foreclosure

There are only two suggestions I would make to Chris and those who are seeking to provide creative remedies like the Boston Group he interviewed:

1. Do not assume that Wells Fargo owned the loan of the man who died in the courtroom. The odds are, especially since it was a high risk “pick-a-payment” loan, it was securitized — or more correctly stated subject to false claims of securitization, wherein Wells Fargo never had the risk of loss on the loan, because they were using the money of pension funds and other investors. Wells has a history of denying securitization and then admitting it later on in litigation — something which has led to them being cited for contempt of court.

2. The group that is buying the homes through short sales and then selling them back to the homeowner at fair market value is doing a good thing with a good business model. But I would suggest that they get more aggressive with their efforts and demand proof of payment and proof of loss before they make a payment to a bank or other entity that is more than willing to accept the money and execute a satisfaction or release, but who doesn’t have any money in the deal, thus leaving the actual creditor out in the cold in an undisclosed transaction.

I would suggest going into select cases that are in court with financing plans like the hedge fund I am organizing, and disclose that you are willing to refinance 100% of the mortgage with the party seeking foreclosure IF they can come up with a canceled check, wire transfer receipt etc. showing that they are indeed the creditor and that the chain of money  leads and ends to and with them.

If you select your cases properly, the outcome will be that they can’t do it even if the Judge orders them to do it. They will then try to salvage the situation  by making offers which you should refuse because they are in no position to offer anything. This in turn will hopefully lead the Judge to dismiss the foreclosure with prejudice and enter an order declaring the rights of the stakeholders (quiet title).

Under prior agreement with the homeowner, the fund actually loans some money to the homeowner for payment of attorney fees and other expenses and the homeowner executes a mortgage in favor of the fund for an amount that is 75% of fair market value, fixed interest, 30 years, self amortizing — in another words a traditional mortgage.

The mortgage received by the fund is quite a bit more than the amount of the loan funded but pays off the fees and other expenses and risk undertaken by the fund. It also leaves the homeowner with a completely affordable mortgage with equity restored in his home. And it provides the fund with capital to do it again and again, using either the existing plan of short-sales or calling the bluff of the foreclosing party who at least 80% of the time is just playing games aiming for a free house.

The reaction of the party foreclosing is going to be interesting, because the goal is the foreclosure sale and not necessarily getting the house — as they often abandon the home after the foreclosure sale let it get bull-dozed.

They will be forced into the position of arguing against getting paid and demanding that the foreclosure proceed! Why, because the backlash from their previous actions is going to bite them very hard — they might owe the insurers and credit default swap counterparties a truckload of money if those homes don’t go into foreclosure as assumed, and the value is pegged as low as possible — thus maximizing their apparent loss and justifying the maximum recovery of insurance and credit default swap proceeds.

15 Responses

  1. How about if folks in Cook County put maritime liens on their properties like Mayor Daley, AG Lisa Madigan and a few others did on properties in Chicago right before Rahm Emanuel took office? If it’s good for the goose it’s good for the gander. After all, the banksters do owe us a gazillion dollars.

    WE THE PEOPLE really do need to send by U.S. MAIL a NOTICE OF DEFAULT and a DEMAND FOR PAYMENT of all of our stolen payments to the FEDERAL RESERVE BANKSTERS on their defaulted mortgage contracts. They need to be told to first surrender our Treasury.. If they do not surrender our Treasury and send us all big fat checks immediately and clear titles we will foreclose on them.

  2. I don’t see how selling people’s stolen property back to them or renting it back to them is a good business model. I guess when people don’t want to do their homework that is the result. It is all shady IMHO but many people are sheeple and are getting taken to the commie woodshed. Like my dear Grandma used to say…”they don’t know their asses from a hole in the ground”

  3. It would be a better world without the Central Bankster system of swapping their shitty credit for everyones assets. In the United States what the central banksters are doing is illegal. That being said, We The People demand our stolen wealth & assets be returned to us and they all go to prison along with the politicians who aided and abetted their crime spree.

  4. All this talk of profiting off of the collective misery compounds the problem. It’s kind of like selling makeshift housing to tornado victims. It just doesn’t work in my book.

    What needs to happen is a total righting of the situation, nothing less will do. These criminals behind the deeds (deeds: literally and figuratively) need to be apprehended and put in small windowless spaces, to better savor the rewards of their actions. That’s KARMA. Let them learn the definition.

    All people deserve, at the bare minimum, decent food, health care, and a safe place to live. If not, what good is civilization? Can it even be called that?

    These so-called Masters of the Universe, the Dimons, Blankfeins, and Moynihans of our world, are actually low-life criminal scum who need to be called out for what they are – miserable rent seeking idiots lacking any social skills whatsoever. To profit as they do, at such an enormous social cost, is beyond any possible redemption. They deserve a fate not even mentionable on an open forum.

    Stop this talk of making borrowers whole by charging them more. It will only serve to fuel the pain. Borrowers were duped. They shouldn’t be charged a fee to be rescued.

  5. We need more Americans speaking the truth publicly.

    Funny Piers Morgan of CNN is beginning to change his view on the Imposter government a bit. He now thinks the imposters are bordering on tyrannical because of the AP and IRS scandals. Where has he been since the 2008 robbery & hijacking of our Treasury? Zzzz?

  6. like DBA

  7. isn’t clayton holding a deutsche company

  8. joe- hilarious don’t think it would work for me though, I could throw a my shoe at the back of the head tho, I got great hand eye co ordination, lol.

  9. Yea I’m not done yet there is still bankruptcy and Appeals and still not done with the judge I’m filing another motion with other stuff that I found out like it never went into the trust on time and rushmore loan management servicing had somebody with several job position at Rushmore sign the hamp investor restriction. Plus during the Foreclosure they switched names of the servicer from quantan a hamp participant to Rushmore a non hamp participant but they are the same fraudulent company Clayton holding.

  10. among other things…

  11. @joe

    You said it all:
    The judges DON’T CARE that the banks are pushing FORGED DOCUMENTS.

  12. I have looked at this Boston company a while back and it is a little scary only because the banks have already duped us a few times, so not sure what can happen here with a toxic title and a fraud mod stillllllllll underwater approaching 9 yrs. and no damn equity. Will continue to watch them but yes a very good idea, and can they get around freddie’s backside or fannie butt? Hope they do not morph into the big evils already out here already, sorry to be that way but, just saying, it is yet to be seen what will actually happen with this entity. Too bad we all suffer from different levels of PTSD due to this induced con game (intent). Makes it harder for a possible good guy coming into the picture. Lets see how much ammo they have.

    @ Joe :~) go sick-em…yes that is funny… the bank lawyer ran. Yes there is still power in the hands of the souls of the beings that have been tortured.. go after them. Keep fighting, this will all fall around them in good time hopefully. You have made me smile and giggle for sure as I can picture this quite well. thank you very much Joe, check the judges financials and if need be have him removed. NEXT man/woman in black dress! most are not doing a very good job.

  13. Joe now that the nonsense of the modifications has somewhat been handle (not very good), you need to resubmit you complaint to the OCC, as it no different than what New York is doing because Wells Fargo never complied with the agreement of the Apr 2011 agreement.

    Now the OCC in a position if they don’t regulate they are a part of the crime. The question is why did not Wells Fargo have a record and if they don’t have a record how are they claiming damages to take your home.

    Who is it that they are saying they are servicing the loan for? Wells Fargo if servicing cannot be put in title if they have not themselves purchase the debt!

  14. Take that 50 million and do NOT hand over the servicer scumbags. Tell the judge you have 100% for them IF they can prove.

    EXACTLY !!!!!! I believe I have been saying this is the perfect strategy for over 2 years.

    Plus they keep the 50 million and can do it over and over and over. 4 million times over !!!!!

  15. My case has been going on for a couple of years now. I showed the judge that MERS assigned my loan and there is two allonges and servicer is no where in the chain and whole bunch of stuff like the occ couldn’t even find my loan with wells fargo. And the judge told me I don’t care and she gave them an order of reference. While leaving the court house I chased the banks lawyer screaming at him that I’m going to report him the bar association for pushing forged documents and going to punch him in the face it was so funny he ran a block back to the court screaming help help court officer help it was funny. Then he was afraid to come out of the court house

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