Why are banks getting away with murder?

[Pissed]

Why are there some many foreclosures on the market? Why do the banks set the price for foreclosures higher than comps and standard sales? What is motivating banks to overprice and hold on to forclosed homes instead of selling them?

I think the answer is simple, banks have been controlling the flow of foreclosed inventory onto the market for years now with loan mods and other "debt forgiveness" schemes. Truth is banks will never forgive debt. Now that the market is flooded with foreclosures, they are holding onto the foreclosed assets by setting the prices high for several reasons;
1)The first is that those "assets" comprice a large part of their net worth on the books that are the basis for their stock price.
2) They are getting some kind of tax benefit by holding onto the assets... or the value of shoring up their stock price in #1 above over shadows any tax benefits they receive by off loading the deteriorating assets.
3) They are hoping that buy controlling the supply and demand and by feeding media news that the market is improving, they can create a self fullfilling prophecy and the markets will miraculously recover, which will in turn cause their assets to appreciate in value.

Truth is, there's no real job growth... the only job growth happening is statistical and under employment... this combined with the fact that credit tightening has restricted the number of home buyers in the market place. it takes real job growth to fuel economic recovery and it's just not happening. They have already ****ed all the buyers out of the market by offering the first time buuyers incentives, real estate investors and bank insiders comprise the majority of home purchases... and how many homes are they willing to purchase in an unstable market?

I think we are on the verge of another major slump of a solid 5-15% decline in real estate prices especially in the most over built, over valued and depressed markets. I think the high end homes... the ones that are not good rental property, because of un and under employment are the homes that will be hit the hardest.

When will the banks wake up and cut their losses? Stop making it hard for those that have lost their homes through foreclosure and short sales to get into new homes and start to stimulate the economy? I guess the answer lies somewhere between the next election and the next end of year bonus cycle for bankers. It is criminal what they are doing and what internet and real estate agents, brokers and web sites are doing to support the collusion... which borders on criminal. If the same things were happening in the stock markets, the SEC would be involved and people would be going to prison. The way web sites list property and you see the property go through the phases of standard sale, short sale, foreclosure, being unlisted and relisted, starting with good information on the property and then slowly dropping off information, pictures and any other identifyable information... including the property address... just shows the level of complicity all of those in the real estate business have in what's going on. It's criminal when properties are listed in foreclosure but you can't even buy them in auction because the starting price is so high and then they just sit and rot while banks get whatever benefits they are getting off the property being on their books.

I am absolutely disgusted with the whole system... all the way down to real estate agents who perpetuate the lies by saying every property has multiple strong offers in attempts to get higher prices for declining properties... just later to see the property back on the market with the price still in decline until it goies into the final stages of listing with no pics or information about the property.

Forget occupy wall street, let's occupy just the banks for the clamity of our generation being committed today on real estate. It's pathetic and makes me ashamed to be an american.

[bgriff]

I agree with you on a lot of your points.

It clearly seems like banks and others are artificially increasing the value of homes. There has been no fundamental change in the underlying economics to support an increase in home values. The unemployment rate (at the fake rate that everyone watches) is still above 8% and has not moved into an area that would support an uptick in home values. The economy overall is barely above recession like stats. There is nothing to support a movement in home prices. I believe the small movement in volume is either investors buying foreclosures, first-timers with large down payments or those who have significant wealth to be able to move. Your home value is supposed to be a multiple of your family's income, and that is supposed to be between 2.5 and 3 times. So if your family's total income is $100k per year, the purchase price of your home should be $250k (up to $300k by stretching it). The current home values are still way above this multiple and have to come back in-line before you'll see any meaningful movement in home values.

Can some please explain Zillow and their home values ? My home has increased 4.3% over the past month yet there has only been 1 comparable sale and that was for $20k less. There are several foreclosures within 1/2 mile of my home that have not sold in over 2 years. What in the world would make my home 4.3% more today than 1 month ago ?

I personally know and have friends that know of people that are living in there homes for 2+ years without making payments. They have not received NOD's nor have had much communication from the banks. What in the world is that all about ? Like you said, they don't want to write down their assets and they are controlling the flow of foreclosures, which is absolutely criminal.

[isisis]

It is criminal but I think it may be the low priced market is part of the design or if not in whole at least being utilized for a purpose. This is a land grab, most foreclosures go to the beneficiary. The banks own more American real estate every day while we become a nation of renters. Prices went artificially high - the banks profited, now they are artificially low and they profit even more by foreclosing on homes that people chose not to stay and fight for because they thought they were "under water". Once the banks have taken as much land as they want we'll watch prices once again go up as the banks will become even richer and more powerful One day we'll wake up and realize that we now live in the UNITED STATES OF BANK AMERICA. I hope we wake up before that.

[bankwhipped]

It is criminal but I think it may be the low priced market is part of the design or if not in whole at least being utilized for a purpose. This is a land grab, most foreclosures go to the beneficiary. The banks own more American real estate every day while we become a nation of renters. Prices went artificially high - the banks profited, now they are artificially low and they profit even more by foreclosing on homes that people chose not to stay and fight for because they thought they were "under water". Once the banks have taken as much land as they want we'll watch prices once again go up as the banks will become even richer and more powerful One day we'll wake up and realize that we now live in the UNITED STATES OF BANK AMERICA. I hope we wake up before that.

Per Thomas Jefferson principle author of the Declaration of Independence and the 3rd president of the United States:

Private Banks (Quotation)

Quotation: "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 them will deprive the people of all property until their children wake up homeless on the continent their Fathers conquered...I believe that banking institutions are more dangerous to our liberties than standing armies... The issuing power should be taken from the banks and restored to the people, to whom it properly belongs."

[Pissed]

So what can 'we the people' do about criminal activity by banks? A nationwide boycott comes to mind... it would be great if we could hold the government accountable. I think we would see a major shift in behavior if the banks(the poor banks) were to be given a tax break for losses they incur when they shed a foreclosed property to a 'owner occupied' buyer'. Then the tide would shift... absent of any governmental regulations that will alter the course of current events, nothing will change, because there is no incentive for the banks to change their behavior... in the end of the day, it is all about greed. mostly personal greed of the employees of the banks who get major bonuses for improving shareholder value. Once those incentives are shifted to the favor of the American people and to the economy... then we will see a shift in the behavior of banking institutions.

Please correct me if I'm wrong.

[isisis]

What needs to be changed is the whole neofuedalistic mortgage and banking system which is fundamentally deceptive and intended to keep homeownership out of reach.

There’s the collective deception of the terminology used. Annual percentage rate: a fantastical misrepresentation of the truth when the actual interest, the cost of the loan is 200% -300%.

The terms of default which you must agree to where three missed payments allow them to keep all the investment and take the collateral – that is an unconscionable contract, where’s the justice there?


Homeownership is a euphemism for 30 years of indentured servitude.


If we pay two or three times the property’s value and another 50% of its value over those thirty years in taxes and never in that time suffer a short term set back that makes it impossible to make payments then after 30 years we become homeowners.


Little wonder the word mortgage comes from the French meaning “death pledge”.


If you spend most of your working years giving in many cases half of everything you earn to the bank then if you’re lucky at some point before you die you might own a home. Meanwhile they own 50% of your productive efforts for 30 years. That’s pretty close to what you could call slavery, nowhere near close to economic equality and a long way away from a healthy society.


But when then a small portion of people who are enjoying the fruits of the labor of everyone else then become greedier still, turning families out of homes then it’s time for change.


Most wars through out history have been fought over land ownership, some over ideology or repression or power. What the banks are doing has aspects of all but a unique insidiousness. It's a piecemeal takeover, divide and conquer, one home, one homeowner at a time, corrupting the judicial system, ignoring the law, the government powerless to stop them. With every home they take for free they also take the savings of every homeowner they displace.

Sometimes civil disobedience becomes a responsibility in a free society. If our government turns a blind eye to crimes committed by banks in the effort to commit more crimes. If our government rewards , bails out the ones responsible for the financial crisis then what we have is not representation by the people for the people; we have representation for the banks by the banks.

[Jeffrey L. Shurtliff]

So what can 'we the people' do about criminal activity by banks? A nationwide boycott comes to mind... it would be great if we could hold the government accountable. I think we would see a major shift in behavior if the banks(the poor banks) were to be given a tax break for losses they incur when they shed a foreclosed property to a 'owner occupied' buyer'. Then the tide would shift... absent of any governmental regulations that will alter the course of current events, nothing will change, because there is no incentive for the banks to change their behavior... in the end of the day, it is all about greed. mostly personal greed of the employees of the banks who get major bonuses for improving shareholder value. Once those incentives are shifted to the favor of the American people and to the economy... then we will see a shift in the behavior of banking institutions.

Please correct me if I'm wrong.

What is the criminal activity? What are they doing that you can prove? They are quasi and hide behind a curtain of transparency and are allowed to get away with some fraud. There is no private action against these institutions for criminal acts, by a private party. This is an attorney general of the your state's job. I have been in court with Wells Fargo and Freddie Mac three times and have brought absolute proof of their misconduct and have brought and shown negligence beyond a shadow of a doubt, but have had all of my claims of violations of provisions they have been entrusted with shot down. This is the United Banks of America and it is not the America you or I grew up in. That America is gone.

[isisis]

True Jeffrey, this is not the America we knew. Thing is though WE are America, at least that's how it's supposed to be, government for the people by the people. It's a powerful concept that's easy to take for granted until you see it being taken away. If the elected government lacks the power to enforce our individual rights and can't stop large corporations from taking our homes as well as our right to due process we may not only have the right but the responsibility to act.

So what can be done to establish some equilibrium into a situation where banks are above the law? We can hit them where it hurts. They are dependent on us, we feed them. Banks speak one language - money and the nature of banking is such it requires a steady flow. If that is interrupted it can have potentially catastrophic results.

Here's how we could get their attention though it would require planning and the involvement of a significant number of people to have an impact but even with smaller numbers the concept itself of all of us acting together focusing on their vulnerability might be effective. The action I'm suggesting involves little to no risk or effort on the part of homeowner and no cost unless they choose. Like many effective tactics it's a very simple one.

On the 1st of a given month people choosing to participate in the protest would simply not make their monthly mortgage payment, if the funds prepared to make the payment were in a major bank instead they could withdraw them - ideally as cash - on the first (that would double the impact). People without mortgages but with funds in major banks on the same day could withdraw those funds. Any credit card payments owed to a major bank should also not be made that month.

Now the payment due is not technically overdue for thirty days so some could chose to make in within that time frame. Others could choose to wait until the 15th of the next month to make it along with that month's payment and consider the late fee a contribution to the cause. Others might want to make me it ongoing - a full on mortgage moratorium.

Consider the sobering effect it would have on them if those of us suffering as a result of their greed stood up together against them.

[Jeffrey L. Shurtliff]

I admire your tenacity Isisis. I have been boycotting these banks and as a business will not take any checks for payment from them. I tell the customer why.

[tiredoffighting]

The banks and government(s) have been in collusion for decades, manipulating the markets and the citizenry. I, like so many, was completely ignorant of the banking system and it's history until I read The Creature from Jekyll Island. After reading it I began reading and studying anything I could get my hands on about economics and the banking system. By no stretch of the imagination am I an expert but I fell like I have a pretty good understanding and the complicity and duplicity of the banks, RE, and goverment are criminal and if the Fed is audited the American people will finally see just how badly we have been bilked.

[tiredoffighting]

Bgriff, Zillow has my house valued at over 500,000 which is completely ridiculous because it is only assessed at 233,000 and even that isn't realistic at this point. The Zillow value is because all of the other houses in the neighborhood are waterfront, ours being the only non waterfront. other similar props are selling for 175-190 tops. I emailed Zillow several times with no change so whatever.

[davephx]

Bgriff, Zillow has my house valued at over 500,000 which is completely ridiculous because it is only assessed at 233,000 and even that isn't realistic at this point. The Zillow value is because all of the other houses in the neighborhood are waterfront, ours being the only non waterfront. other similar props are selling for 175-190 tops. I emailed Zillow several times with no change so whatever.

Assessed value in most places has nothing to do with real market value. Zillow is usually pretty accurate based on square footage but doesn't distinguish between waterfront or landlocked which is why may be way off in your case.

[davephx]

Wow this discussion is getting just silly. People actually believe all this?

Banks are not doing any land grab. They are reselling (making profits by selling) to investors etc and need to get properties off their books as fast as they can since not Tier 1 assets under bank regs. They are holding back in some markets because they don't want to drive down prices further. They are not choosing to own real estate. In fact most banks don't even own the real estate their banks are on - they are often triple net leased to investors or in REIT security pools.

In order to be "criminal" some law has to be broken. There is no law about modifications, just agreements to do with Treasury out of TARP which banks have now repaid their bailouts with huge profits to taxpayers.

The only legitimate legal issue against banks may be related to consumer fraud like alleged by the AZ and NV Attorney Generals and only alledging civil not criminal at this point. . But very hard to prove since need criminal intent.

The banks are screwing us by not following agreements they have with Treasury (of Fannie/Freddie which are separate) but its a civil issue not criminal and since we are not part of the contract have no standing to sue.

It is also a huge politcal issue with the Dems screaming about the banks not following agreements and the R's wanting to defund and get rid of HAMP etc since only interfering in the free market. But after 3 Congressional Oversite hearings or more with all the concerns of Dens raised there is nothing they can do as long as the R's continue to be able to stop anything to benefit the jobless, economy or homeowners and then blame the Admin for not solving the problems since the R's have effectively blocked most everything positive for the economy/jobs etc and their solution is to simply make the rich richer ("voodoo" trickle down economics that historically benefits the wealthy and wider gap vs middle class peons.) Mitt and Ryan are perfect examples of only for the most wealthy.

[troubleinriverside]

another thread degraded into a political rant. Why dont you take that to a political forum ? I'm sure ther's plenty of Liberals out there on political forums that would love to agree with your views

Now back to topic. I see no examples of banks driving up prices in my area. In fact they are selling big Mcmansions at rock bottom to unload them. The latest trend is to encourage short selling so they dont have to deal with an abandoned property. Not in all cases though. last night I saw a big mayflower moving van loading furniture out of the house 2 doors from me. I could see in Realtytrac he was in pre-forclosure for a couple of weeks, but i guess he decided to throw in the towel and walk away. too bad, nice 3800 sq ft 2 story with a custom rock pool. ohh well.

[bgriff]

Bgriff, Zillow has my house valued at over 500,000 which is completely ridiculous because it is only assessed at 233,000 and even that isn't realistic at this point. The Zillow value is because all of the other houses in the neighborhood are waterfront, ours being the only non waterfront. other similar props are selling for 175-190 tops. I emailed Zillow several times with no change so whatever.

You can't rely on the assessed value - those are never in-line with the current market value. I would agree that your home is being overvalued by those other comps that are waterfront properties. The only real way to get an idea of your homes value is to have a realtor give you a BPO.

[bgriff]

another thread degraded into a political rant. Why dont you take that to a political forum ? I'm sure ther's plenty of Liberals out there on political forums that would love to agree with your views

Now back to topic. I see no examples of banks driving up prices in my area. In fact they are selling big Mcmansions at rock bottom to unload them. The latest trend is to encourage short selling so they dont have to deal with an abandoned property. Not in all cases though. last night I saw a big mayflower moving van loading furniture out of the house 2 doors from me. I could see in Realtytrac he was in pre-forclosure for a couple of weeks, but i guess he decided to throw in the towel and walk away. too bad, nice 3800 sq ft 2 story with a custom rock pool. ohh well.

You might not see in your area but the banks are not in a hurry to foreclose and take on more REO's. Someone please explain to me how you can live in your house without paying your mortgage for 2-3 years. The only explanation that makes sense is that the banks don't want to 1) take on more foreclosures and have to carry the REO costs 2) write down the assets on their books which they should have reserved for in the first place.

To me, the increase in prices is all artificial. (A) Roughly 25% of all homes are underwater - they can't sell and then buy. (B) Credit is hard to come by unless you have a large down payment and excellent credit (C) Unemployment is high (D) The global and US economies are barely above recession levels. Who is buying all of these homes ? Investors and speculators. What happens when they can't sell them or rent them ? Same thing that happened in 2008 - 2010, it crashes. Until home prices are in-line with incomes, they are overvalued.

[bgriff]

Forgot this one (E) interest rates are abnormally low compared to historical averages. What happens when those rates go up ? Home prices have to come down in order for people to be able to afford the same payments.

What about all the foreclosures over the past 3-4 years. Those people can't (or won't) be buying anytime soon. Were does the demand come into the equation when you've eliminated 25% of current homeowners and 8-11 million people who've been through foreclosure. It's all hype by banks, the Realtors and lawyers. It seems even more suspicious that the timing is right before the presidential election.

[Dcurtis]

I have been fighting BOA for 5 years, they have tried 7 sale-dates {They did not get there way}. Each state is different of course, and in that time of dealing with the bank and there so called' attorneys, i find the best way to keep your home is to 'Educate Yourself'.

There are many acts, such as {RESPA}-{Tila}, i believe this is under the 2605 (e). I did have a full time job working in Law and collections for (9) years.
My wife got very ill so things changed real quick. I Started back in 2008 with CountryWide, Its amazing how the bank has tried to claim ownership and foreclose. I have a chest full of corro {Paper Trail}, and i am and have been working with the (AG) of my state {MA}. I have personally written over 75 {QWR} Qualified Written Request to the Bank and or, the investors, i get back the same thing. They are investigating our demands etc...Then they just sent out a letter from some new law firm, demanding balance in full and deny any and all claims of fraud against BOA'. I respond with Demand letters following {FDCPA} act, one would assume...If you own the property you say' then it should not take 5 years to rightfully posses it! When they send out a copy!! of a note, they claim it is satisfactory, However! it is not, accordingly, they need many items to prove ownership and properly foreclose on property.
The {UCC} requires 'Physical Transfer Of Note' this is for the banks to provide the actusl note, Not a copy of a copy...Not valid, and they must have possession, they must provide chain of assignment and record of {MERS}, this can be challenge in many ways. in my state, we have {CPA) section 93A another words {Fraud} against the consumer.If the bank or there law assigners claim you owe a debt and they do not have to provide such documents, that is Crap. If anyone faces this issue, please, know what your rights are, and DO Not! go b hear say', read, read and then read again. Your knowledge is power against them, if you feel your bank has committed "Predatory Lending" and you can prove it, I strongly advise contacting your local (AG) or Real estate Attorney if you can afford it.
Keep in mind, most banks or law offices will tell you, that you must be of legal council, that is not true. (www.ftc.gov)
I am not an attorney and i have done this on my own. Remember each state is different and does govern by there own laws, some judicial and non judicial, know what governs your state. I am wording this paragraph in simple text so anyone not privy to banking laws can understand. Don't take my word, i am not an attorney, I went down that road with paying for mod company's and attorneys, i found the best way to fight back is for me to know what they know, it cost us thousands only to get scammed by fake mods and bank lies. There are so many ways to protect yourself. my next thread i shall insert a (4) page document that has (35) demands the banks must follow and comply to. Again! Please do your homework and obtain such information for validation of anything you read from trusted sites, Not Blogs-Very Important. www.helpwithmybank.gov is a good source to start. Here are a couple of chapters you can research, see if your situation falls under these acts. (Again!) Always validate your sources and if able, seek a Qualified Real estate Attorney. {Proof of Claim-Security Instrument is Not sufficient Proof-per U.C.C Article 3 3-501 you are entitled to have this presented to you, as they are required to upkeep the legal document in trusted in them=The Lender. Removing or disputing the debt that may harm your {CR} Credit Report. www.ftc.gov {FDCPA} 809. Typically it is required for a response in 30 days and 60-90 to resolve it or they must remove any reporting of such a debt, check your state or district. I respectfully wish everyone well and hope all can continue with constructive information for others. I will post a (4) Page demand letter to the bank on my next post.

Till Then..Take Care All.

[David Dean]

We all fully know how the Banks have been able to capitalize and manipulate the housing market. To allow loans that would jump in price by more then double in only a couple of years they were fully aware of how they could steal them from the homeowner. The problem we face as Americans is that the minute the banks cried about losing money they were given blank checks by the government to bail them out. The average middle class American has lost over 40% of their net worth over the past few years. Go figure with all the borrowing our government has done to bail out the crooks our dollar has devalued by over 40%. Look at the gold prices over the past few years, it has gone from 350 dollars a ounce to over 1600 dollars. As the experts all agree, gold is not going up our dollar has decreased by this amount. The banks are sure to become the winners in this game. How can our government agree to bail out AIG only to see them pay out hundreds of millions of dollars in bonus money to the people who destroyed there company? We did not see any type of complaint by our government. We have seen bail outs of massive amounts given to the biggest crooks in history. If someone goes and robs a bank he is looking at jail time. If the banks rob us, they get a massive bailout. It only shows us that Wall Street and our own Government is allowing this to happen. It shows me that this entire crash of the middle class was completely on purpose. We as a nation should do the only thing we can. We need to vote out the politicians every time an election comes up and not stop until they realize they work by the people and for the people. These words are more true now then ever in history. It has been proven that our government in the turn of last century could be considered the most treasonous of our time, let's not let history repeat itself one hundred years later. Our choice in this election is not the greatest we are faced with in my opinion not much choice. We have allowed ourselves to pick the person with the most money and not the best qualified. However we need to vote out the incumbent to send a message that we are willing and able to replace an incumbent when they do not perform. These massive bailouts, and congress just agreed to another have cost the middle class Americans to bear the brunt of this economic mess and the president is trying to say he is going to strengthen the middle class? If he could do anything to help it would not have been bailing out Wal Street. He campaigned on the promise to fix main street and instead has flown over main street to gather funds form the millionaires to boost his campaign monies. The American taxpayer has paid enough if you look at how many taxes of different names we pay it is no wonder our net worth has dropped forty percent. The only way to stop this crash is voting out the incumbents and start over in Washington. We cannot sustain two wars going on for the last 12 years and counting.

[isisis]

Given the colossal mess that he inherited - the eight disastrous years of the Bush administration - given the fact that his hands have largely been tied, I think Obama's done as well as anyone could under the circumstances. Even so this issue isn't a partisan one in my opinion. The corruption is pervasive though out government because the people are no longer being represented. Our politicians have become figureheads and the real power is in the hands of big money, the banks. The fact that they can break the law, steal homes, be caught and go unpunished has made it stunningly clear that justice for all no longer exists.

I wish this could be changed by the vote but I think we have a bigger battle ahead of us. The banks have us in a stranglehold and everyday they are getting richer while the American people are getting poorer and losing their homes. We need to stop feeding them, stop giving them our money, stop giving them our homes, stop walking away and stand up for our rights. The law is on our side - for the most part - and challenging their right to confiscate homes they don't own while not a picnic isn't as hard as you might imagine and it can become rather expensive for them.

Anyone wanting to read more about how to stand up to the banks and fight for your home check out Freedomwon's threads My recent letter to BofA (Part 2) and Forged, Robo-signed, Mix Matched Signatures? or my thread Bagels at a Bar Mitzvah

[Dcurtis]

In my opinion' There is No One Man band here. Sad part is, Not one person can lead us from the mess we are in, it gets passed like a dent in a bake pan, each time you bake a new cake, the dent is still the same and the cake will still have a dent, regardless of how many times you change flavors.

Problem is! again my opinion, no one wants to own the up to who put the dent there, they just keep adding to it, and why not! is not easier to just use what is there rather than try to fix or replace?, of course it is.

I may not be a lawyer or a political figure, heck! i need not the education to know this is a bomb that has been lit for years now, questions is! when does it go off.

These banks are a complete joke, period. I have sent demands for trustee, wet ink, chain of assignments, respa, tilla, recession and quieting title, the list goes on. The bank has yet to prove or provide any validation to there claims, i had the (AG) involved and a certain political figure in office, and the bank still!! beats to there own drum. I found areas of fraud, faxed loan docs, illegal notary, etc.. They keep sending these idiotic law firms (collections) to threaten me and my wife. We have tried to resolve and get this loan right, they just creating lie after lie until people break. Now i am trying to get them for fraud and pursue charges of harassment, it's 5 years November since the bank has tried sale-dating this house, not because they are post poneing or because they have a mission. They cant prove ownership or chain of command or note, Not a Copy either. If the Banks or the IRS, claimed you owed monies, and you know and can prove you do not! See how that works out for you. Same thing with medical insurance, my state, even though most are unable to obtain it, you are required to have it, or you will get fined.

Bank bailouts are a joke, the medical is a joke, stimulus the largest joke. A responsible homeowner did not get bailed out, the banks did, again and again, and again...My opinion is, if the home owner is facing hardship because of economic structure, why not apply funds to the home owner, that's called growth not hand outs. If you just expect everything and have done nothing to contribute, then No! you deserve nothing.

I refuse to believe there is nothing to be done, i have hope that some day, i will prevail. Honesty and Truth will always trump, maybe not today, but soon.

[Wolfdog]

Sorry I have never used a post before. Back in April you sent a post regarding CWABS Asset-backed Notes, 2006-SD2. I have tried through the SEC Edgar site to find the prospectus. Is there one? If not what was the start-up and closing dates for this and where do I find this info? I am trying to help a friend get her house back. Thanks. Wolfdog

[Wolfdog]

Sorry. My post was to Isisis regarding her April 11, 2012. From Wolfdog.

[isisis]

Sorry. My post was to Isisis regarding her April 11, 2012. From Wolfdog.

Hi Wolfdog. Well alright, after months of plastering the internet with references to CWABS 2006 SD2 finally someone else in that trust.
It's not on edgar, it's a private BNY trust owned by Wilmington. If you need the start up date I can find it but the incorporation date was 6/27/2006. It's going to be just about impossible to find the PSA without discovery, though it is on microdisk as an exhibit in the CWRMBS Settlement so not inconceivable.

Maybe we should continue this on my thread or the thread you found my post on April 11.


What thread was the post on?

[Jeffrey L. Shurtliff]

First criminal action against a bank is done by the Comptroller of the Currency. They are the regulators. Technically it is not criminal conduct, but unsafe and unsound practices. Individuals are the ones who commit criminal acts and they are prosecuted by the appropriate authority. We have no right to action in this. It is clearly spelled out in much published substantive law. When you conduct an action against a bank in property, it is a paper war. You must construct weapons to conduct this war and if not then you lose, period. In any war there are weapons, venues for battle and intelligence gathering. This is the way Property Law works.
There is no one political party who is at fault. They are all at fault and technically here again, we are the voters and it is our fault too.
In order to change the system; we must lobby or run for the offices that are resposible to make the law. However with the checks and balances within our government; the legislative is usually checked with the Doctrine of Judicial Review, and some statutes made by the legislature are struck down by substantive law. Case in point; there have been approxiamately 600 laws made by Congress that have been struck from the system by the judiciary, because they were unconstitutional. This is the way our system works. To understand and fight an injustice, you must understand our system of laws.

[isisis]

Hi Wolfdog,


Unless you need specific information regarding modification policies finding the PSA is not really so crucial. Just about all of them require assignment within 90 days because more importantly it's a requirement imposed by I.R.C. §860g and few if any were. Having the PSA isn't necessary to challenge foreclosure due to improper securitization casting doubt as to the true identity of the note holder and therefore the authority of the foreclosing party to enforce the debt and the underlying security instrument.

But in the case of CWABS 2006 SD2 there's evidence indicating improprieties further upstream. If you go to post #112 of this thread Bagels at a Bar Mitzvah that's where I discovered that my loan appears to have been issued under fraud at the start up of CWABS 2006 SD2. This might impact all the loans in the trust because if more than de minis (1%) of the trusts holdings are defective then 100% of the the net profit would be owed to the IRS retroactively. Of course some people suggest the banks own the IRS so who knows...

[Wolfdog]

The Chickens Are Coming Home To Roost!
Hi Isisis. The first time I investigated the "trusts" was about a week ago when I found MERS had supposedly transferred my friend's DOT to BONY as trustee for CWABS 2006-SD2. Thanks for your info. I don't have her documents in front of me but as I remember her loan originated in 2006, defaulted in 2008 and MERS granted beneficial interest to BONY-CWABS 2006-SD2 in Nov.-Dec. 2009. If the PSA for this loan is anything like the ones for the CWALT loans, I don't believe her loan is in that trust or was included while it was known to be in default. The head librarian for the Riverside County law library tried to pull up the PSA for this trust from the CWRMBS settlement - Federal court exhibit, but was unable to retrieve it. If anyone has a copy, I would appreciate an email or a link. Thanx.

If CWABS, Series 2006-SD2 hadn't come up in a Google search, I would never have found this forum. There is another mention of this trust in Judge Schack's ruling in BONY v. Denise Mulligan. See also BANK OF NEW YORK A TRUSTEE FOR THE NOTEHOLDERS OF CWABS, INC. ASSET-BACKED NOTES, SERIES 2006-SD2 v SANDRA OROSCONUNEZ, et. al. [Index No., 32052/07]

[isisis]

That was smart having the librarian try to get PSA from the Settlement.

In my search for CWABS 2006 SD2 I too came across the Orosco case - and became a huge fan of Judge Schack in the process. What's not to like about a guy who can crack a joke (a milliner's delight) while demolishing the bank? I considered trying to track down the homeowner - a pro se - though there was no mention of the PSA in that case, as I recall.

If your loan originated in 2006 it was probably included in the trust at start up but most likely the note was not delivered or endorsed at that time or at all. Under some limited circumstances a loan can be substituted after the closing date but even that has time restrictions which are three years at most and it looks like you would be past that.

Here's a good article on the subject deadlyclear.wordpress.com/.../the-remics-have-failed