Reverse Engineering Wall Street
Homeowner Taxpayers are Third Party Beneficiaries of HAMP
By Daniel Edstrom
DTC Systems, Inc.
Georgia judge provides colorful order denying motion to dismiss against US Bank. Phillips asserts that compliance with HAMP is a condition precedent to foreclosure.
L. Randall Wray does it again – Requiem For MERS
By Daniel Edstrom
DTC Systems, Inc.
L. Randall Wray, Professor of Economics and Research Director for the Center for Full Employment and Price Stability, University of Missouri-Kansas City posted an article on the Huffington Post (http://www.huffingtonpost.com) that I somehow missed. The MERS design was woven in fraud. Professor Wray points out the two main issues with MERS. The first is that most foreclosures are illegal because those doing the foreclosing do not have legal standing. Second the practices that create the foreclosure problems also mean that the mortgage backed securities are actually unsecured debt. Professor Wray says that this means the banks must take them back, so they are toast. He also states that it all comes back to MERS business model: it destroyed the chain of title.
Continue reading “L. Randall Wray does it again – Requiem For MERS”
It used to be that when a homeowner took out a mortgage, the bank held the paper.
It used to be that when a homeowner took out a mortgage, the bank held the paper.
If you had questions or needed help you simply contacted the bank.
The bank held the note and mortgage on-site and could produce this paper if they needed to payoff, foreclose or sell the loan.
When the loan was sold the note was endorsed and the mortgage assigned.
The new owner of the loan actually took possession of the note, mortgage and the assignment.
The assignment was property recorded in the county and the appropriate taxes and fees were paid for the transfer.
No other party was present and the homeowner was not confused as to who owned the loan.
Those were much simpler times.