- Personal Finance
In Foreclosure: FIGHT BACK against the Bank and Mortgage Lenders America!
I believe that banking institutions are more dangerous to our liberties than standing armies. If the American people ever allow private banks to control the issue of their currency, first by inflation, then by deflation, the banks and corporations that will grow up around [the banks] will deprive the people of all property until their children wake-up homeless on the continent their fathers conquered. The issuing power should be taken from the banks and restored to the people, to whom it properly belongs. Thomas Jefferson, (Attributed)
3rd president of US (1743 - 1826)
Ok, so you are facing foreclosure?
Let's start with a very brief synopses of the whole mortgage melt down crisis:
Here is what happened in a nutshell... Prior to Wall Street interfering with the home lending situation there was one lender and one borrower. Subsequently, Wall Street saw an opportunity to package these mortgages and to sell them to investors. They didn't care whether the mortgages were good or not, whether the borrower was credit worthy or even had a pulse because they were just the middle men. As soon as they sold them they got their money, their Mercedes Benz, their penthouse on Park Avenue as did the lender and the mortgage agent and they were gone, after all AIG insured all these transactions so the hot potato was in someone elses hands by then. The addition of wall street not only allowed these types of loans (no doc, teaser rate, no down payment loans etc) but they encouraged them.
So when the time comes to foreclose on the loans the actual lender is difficult if not impossible to ascertain. So, you many ask...how does this benefit me? One of the things you can do when facing foreclosure is to demand that the bank show you the original note, in other words proof that they own your home. They have to prove that they OWN the note (your home). A bank cannot take your home if they have no proof of ownership. This tactic has worked with people who have been sued by credit card companies. The debt from a credit card company has been bought and sold so many times that in many cases the collection agency has no legal proof that they own the debt or that you owe the debt. Without that proof they are NOT entitled to collect it from you.
CAPICHE? THEY CANNOT COLLECT ON A DEBT THEY HAVE NO PROOF OF OWNING!
This same tactic can be used when you are being foreclosed on. If the bank cannot PRODUCE THE NOTE they cannot foreclose on you! In addition, it will put you in a stronger position when it comes to renegotiating the note. Even if they do have the proof it might buy you a little time because there are so many foreclosures that finding the paperwork alone could delay the process by months.
CNN interviewed Congresswoman Marcy Kaptur about this topic and she recommends that her constituents “just squat”.
If you're poor and the bank is coming for your home, Congresswoman Marcy Kaptur has a plan for you.
Just squat, she says. Yes, this Ohio Democrat is actually encouraging her distressed constituents whose homes have been foreclosed upon, to simply stay put.
"So I say to the American people, you be squatters in your own homes," said Congresswoman Kaptur before the House of Representatives. "Don't you leave."
She's called on all of her foreclosed-upon constituents to stay in their homes and refuse to leave without "an attorney and a fight," said CNN.
"If they've had no legal representation of a high quality, I tell them stay in their homes," Kaptur told CNN.
Moreover, Kaptur is a high-profile advocate of an increasingly popular mode of fighting foreclosures best known for it's key phrase: "Produce the note."
By telling a bank to "produce the note," a homeowner can delay foreclosure by forcing the lender to prove the suing institution is actually the same which owns the debt.
"During the lending boom, most mortgages were flipped and sold to another lender or servicer or sliced up and sold to investors as securitized packages on Wall Street," explains the Consumer Warning Network. "In the rush to turn these over as fast as possible to make the most money, many of the new lenders did not get the proper paperwork to show they own the note and mortgage. This is the key to the produce the note strategy."
And Friday's segment on this growing foreclosure fighting "movement" was not the network's first. Earlier in January, CNN explored one person's strategy in demanding her bank "produce the note," only to find that the lender had "lost or destroyed" the evidence of debt ownership. Such a revelation can significantly strengthen a homeowner's position when asking to renegotiate a mortgage.
That these banks, many of which received billions of dollars in government bailout funds, continue to boot defaulted owners from their homes, makes them "vultures" says Kaptur.
"They prey on our property assets," she said. "I guess the reason I'm so adamant on this is because I know property law and its power to protect the individual homeowner. And I believe that 99.9 percent of our people have not had good legal representation in this."
Of course you should consult an attorney before you do anything. But, if you are facing foreclosure then what do you really have to lose?
**If you would like to earn money writing for hub-pages click here:http://hubpages.com/_earnmoneywriting
Do you think that the elite bankers are primarily responsible for the housing crisis?
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