Sick Of Paying Your Mortgage? You May Not Have To Pay!

Banks might have really bad record keeping. And believe me their loan files look like an abortion. I've seen some commercial loan files that, if you stack them on top of each other, are almost 4 feet high.

However everything is always recorded. Maybe not well and would probably take a few months to find out where something is. But they do have a record somewhere.

You might get lucky and find a bank that kept records so poorly your original note might not be found for a year or two. But eventually it would be found.

This here technique would only work if your loan was sold to several different companies and the original note was lost by the originator because they don't exist anymore.

I never trusted the banks or any other big capitalist institution in America: I knew the whole system was crooked even when I was in my 20s, which is when I decided that I was a democratic socialist.

I have been saying for years that the whole system would crash and it has finally done so. I don't think this depression is over yet, either--not by a long shot. That's fine with me, because when the whole thing finally falls apart then we'll have a revolution. People will have no choice then: they will become desperate, and revolution was what we really need in this society.

reply to post by mnemeth1


What is a Mortgage Note. Can you elaborate on it so the Bank doesn't fool me with any document.

reply to post by OutKast Searcher


OutKast Searcher.

THANK YOU!!!

You sir are one of a dying breed. A responsible individual.

OP. You sir are rediculous. It is this sort of mentality that has gotten the United States in the mess it is in right now. At the very least you thought of a way to try to get out of you mortgage instead of just saying "I dont feel like paying my mortgage anymore so I'm not going to."

Most people that are going through foreclosure simply cannot afford to pay. Not because they simply do not want to. If this is the case then you can not afford it. Take the responsibility and get out of the loan. There are other people who can afford it and will.

If you simply do not feel like paying your mortgage and can afford it then don't. Again, take the responsibility and get out of the loan. Please do not think of some hairbrained scheme to try to get around taking the responsibility that you got yourself into. Unfortunately, this is becoming the new American way. This is why the country is in the crapper. People who think like you is why our country is in the crapper.

Hey I don't feel like paying for gas. I'm going to drive away with out paying.

Hey I don't feel like paying for clothes. I'm going to shoplift it.

Hey I don't feel like paying for anything. I'm going to claim a bogus disability and get a check from the government. Then I'm going to have a bunch of kids and get a check for each of them. Anything that doesnt cover...I'm going to steal.

Its all the same.

I may not post often but this one is begging me to reply.

Do not, I repeat...DO NOT stop paying your mortgage for any purpose.

If a bank does not have your note but instead has a "representation" for payment, they can still process you for foreclosure.

Here's where we are folks, our banking system isn't as jacked up as they tell you it is. The banks are still making money hand over fist. Actually, let me rephrase that. Our banking system is jacked up...VERY jacked up. However, consumers have a whole lot to do with the issues at hand. I won't go into a whole lot about the "why" right now because I want to stay on topic as much as possible, I'll just say people should take a little more RESPONSIBILITY for their actions and purchases. We shouldn't be a nation full of "easy-outers".

First off. The bank in charge of servicing your mortgage doesn't need to have your note. They have an "assignment". If you read your mortgage, you'll see a line item that says "and or assigns". When the collection process has been "assigned", they can act on behalf of the "originating" bank in order to collect the debt. They also have a line item (clause) called "Due on". This means they can call your note "Due" on whatever terms they decide. If you fail to pay because you believe you can get out of your mortgage, they may file a deposition in court for you to show all your payment receipts, or they may simply call your note "due". This means you'll have to pay the whole entire thing off or you're out. They have good lawyers.

Secondly. If you enter into a legal battle with a bank, be prepared to have every aspect of your life brought up in court. This may not always work to your benefit. That's all I'll say about that.

Lastly. Remember that you made a decision to purchase. The whole industry is based on the fact that you did your "due diligence" before you were required to sign several stacks of paper to "buy" your home. If, in fact, you didn't do your homework and you're headed towards foreclosure, get in touch with a local real estate investor or a good real estate attorney. Either way, don't try to fight the battle alone. Most people aren't aware of how banks really work. Others have gone the route alone and they now call cardboard home.

Keep this in mind. There were millions of homes sold in the last decade on what's called a "buydown". There were also other programs running "interest only" and programs called "A.R.M.'s". These are programs that consumers didn't take enough time to learn about before they signed up. Millions of people agreed to purchase homes based on "current" payment amounts. A whole bunch of other stuff transpired that made the whole deal go bad, but the basic issue at hand was really just a vast majority buying more than they could really afford.

I still cannot figure out why people are saying that the banks can produce these notes months and years later and still expect payment. To render that 'contract' void and to be able to keep your house, I am assuming that some sort of legal process has been gone through. How could the bank demand payment AFTER the court awarded in your favor? So producing that note months or years later has no effect on how the courts ruled.

Also, once its taken to the courts, the banks should be set to some sort of reasonable 'statute of limitations' (90 days to 6 months) to produce the original note, and if they fail to do so, then unfortunately for them, the house is yours. Now that would be a law that could actually help the people, but lets see if the government wants to help us

reply to post by crimvelvet

Thanks for those links. Great information worth checking out.

reply to post by mnemeth1


Read my thread and look at the links. "Prove up your claim" is the best way to handle any financial agency, credit card and all the rest.

Your signature creates the authority for the FED to print the "money" FOR YOU, TPTB steal it and then tell you that you owe THEM with interest....... So how do the rich get richer and we get dumber........, by our own ignorance and stupidity. Stop feeding the machinations.

www.abovetopsecret.com...

Look into the above link. I am still here and will be for a very long time, they have nothing I do not consent to giving them.

reply to post by mnemeth1


The funny thing is that there is a precedence in federal court already. I am not sure if this has been posted but judges HAVE wiped out complete mortgages because of dubious ownership claims.

One surprising smackdown occurred on Oct. 9 in federal bankruptcy court in the Southern District of New York. Ruling that a lender, PHH Mortgage, hadn’t proved its claim to a delinquent borrower’s home in White Plains, Judge Robert D. Drain wiped out a $461,263 mortgage debt on the property. That’s right: the mortgage debt disappeared, via a court order.

So the ruling may put a new dynamic in play in the foreclosure mess: If the lender can’t come forward with proof of ownership, and judges don’t look kindly on that, then borrowers may have a stronger hand to play in court and, apparently, may even be able to stay in their homes mortgage-free.

The reason that notes have gone missing is the huge mass of mortgage securitizations that occurred during the housing boom. Securitizations allowed for large pools of bank loans to be bundled and sold to legions of investors, but some of the nuts and bolts of the mortgage game — notes, for example — were never adequately tracked or recorded during the boom. In some cases, that means nobody truly knows who owns what.

To be sure, many legal hurdles mean that the initial outcome of the White Plains case may not be repeated elsewhere. Nevertheless, the ruling — by a federal judge, no less — is bound to bring a smile to anyone who has been subjected to rough treatment by a lender. Methinks a few of those people still exist.

More important, the case is an alert to lenders that dubious proof-of-ownership tactics may no longer be accepted practice. They may even be viewed as a fraud on the court.

Source
www.nytimes.com...

While I think that being responsible is a good thing for some, I also understand that the amount of abuses committed by banks are out of hand.

To all the 'responsible' people -

If I lend you $10,000 and then I sell the 'promissory note' to Pedro, the corner drug dealer - Pedro loses your promissory note on a poker game to Bob, Bob, the winner of the note forgot to pick it up from the dresser when he left the whorehouse...

You lost your job and stopped paying, Bob knocks on your door and says "You owe me $10,000 punk!"

You now are wondering who the hell is this Bob guy, and because he came to your house with "10 burly guys" (lawyers) you are scared and tell Bob that you are a 'responsible person' and want to pay your debts, but because you do not know who he is, you would like to "see the note" just to make sure that you are not paying the wrong person since you borrowed $10,000 from me and not from Bob.

Bob can never produce the note because he forgot it in a whorehouse and the Madam who found it on the floor put it away in her safe for "safe keeping" and no matter what Bob does, for the life of him, he can't remember where in the world he left the promissory note at thus Bob cannot prove that you owe him money and you cannot pay Bob because you do not know who in the hell Bob is!

reply to post by greenovni


Your example is pretty funny...not a good analogy...but funny.

When you sign for the mortgage, there is a clause saying that you are agreeing that they can sell it and you agree to pay the new owner of the note. It usually has something in there as well that you will be notified when it was sold...which most people are...that is not in dispute.

What is in dispute is that some people think since the bank can't show you the note if you walk down to your local branch...then you don't have to pay.


If in your example...you loan me 10k, and I agree to pay you back, and I agree that you can sell that loan to someone else and I will pay them back, and that you have to notify me if you sell it....and you sell it and notify me, then they sell it and notify me, then so on and so on...then I should already be paying Bob. And in your example...it's not that the banks don't have the notes...it is just that it takes a while to locate it. Big deal.


Take responsibility for your actions.

It's amazing watching the lefties come to the defense of the banks if they think their precious GSE's will get run out of business.

reply to post by OutKast Searcher
Yo,they don't have forever to find it,and it's a humpty dumpty kind of thing.


And for those of you who think it'll hurt the economy.......

Please convince me it was ever meant to work at all without your absolute ignorance of the realities of the whole giant LIE.

reply to post by OutKast Searcher
The problem with the practice,is that it is patently unlawful.

Whether you signed the contract or not.

Just wanted to reaffirm what others have added to this thread: Do not stop paying your mortgage. As others have pointed out, just because the note is not immediately on-hand, it will be. Even if it takes months, all that non-payment will come back to haunt you. You will be called on to pay your dues once the note is obtained, and if you don't have the money on-hand immediately to pay, your credit will be slammed and your house may be foreclosed on. While I support average joe on main street, I do not want to come ATS one day and see a thread about someone being foreclosed on because they thought this would pan out. Use discernment my friends, this is a costly and dangerous game, especially for those with a family to support.

reply to post by Josephus23


Once all the paperwork catches up to you you'll still owe the back rent.

Hope you enjoy paying your rent on an annual basis. Personally, I prefer the smaller monthly payments.

The contract may be with your friend for you to rent the suite, but it is also assuming that he continues to own possession of the home, as in every single rental out there, whether stated or not in the contract. A good lawyer (and the banks have plenty of them) will tear your argument to shreds.

If the original party of the rental agreement no longer owns the home, you are legally obliged to move out, immediately.

It's a testament to how busy the banks are right now with these sorts of proceedings that they haven't hired a baliff to throw you to the curb.

Originally posted by chiponbothshoulders
reply to post by OutKast Searcher

 

The problem with the practice,is that it is patently unlawful.

Whether you signed the contract or not.

Which practice are you refering to?

Selling loans to other companies? That is not unlawful at all...it is completely legal.

There is only one thing that is being disputed that brought this subject up...that some banks were going through with foreclosures without having the original note in hand. Yes....that is illegal...and they shouldn't do it. But that doesn't mean that the house is free and clear to the home owner...that means they need to track down the note FIRST...and then do the foreclosure.

The OP took that idea and made a huge logical leap and suggested that since most mortgages may not have the original note on hand...then you don't need to pay your mortgage. That is just wrong...and it is dangerous to spread that type of misinformation.

reply to post by MessOnTheFED!


So its not a cool story? Im confused now. How was that not on topic? I just wanted to ley Mr OP know that he had a cool STORY.

MOTF!

Pay your damn bills,

Buy now pay later has turned this continent into a breeding ground of people trying to get more then they deserve.

Originally posted by witness63
I never trusted the banks or any other big capitalist institution in America: I knew the whole system was crooked even when I was in my 20s, which is when I decided that I was a democratic socialist.

I have been saying for years that the whole system would crash and it has finally done so. I don't think this depression is over yet, either--not by a long shot. That's fine with me, because when the whole thing finally falls apart then we'll have a revolution. People will have no choice then: they will become desperate, and revolution was what we really need in this society.

edit on 13-10-2010 by witness63 because: (no reason given)

The sad part is that it hasn't fallen apart - yet. It's about to though. Just because several banks have placed a moratorium on foreclosures while they sort out their paperwork hasn't really done anything other than stave off the inevitable foreclosures.

If I was a home owner facing foreclosure, I would do everything possible to bring my payments up to date during this moratorium, rather than just deciding that we don't need to pay anymore.

For those facing foreclosure, this is an unexpected reprieve, that will likely carry you through the Christmas season and keep you in your homes at least through the holidays.

Please follow my advice and make as many payments as you can during this time, even extra ones once you've caught yourselves up. It will bode well for you when the banks finally do find the paperwork, move to foreclose, and find out that you're up to date now!