Paid In Full Foreclosure Defense

I have a rather fascinating case – I live in Florida, and in 2004 I refinanced my condo ( my primary residence )into a 5.99% two year intro rate A.R.M. with the intent to roll it to a fixed after the two years if I decided to stay there.  I’ve decided that this will be my retirement residence ( I retired in 2007 ), and contacted the “servicer” after the 2 years was up and asked if they had a roll-over option, which I was told my loan would allow me to do after the 24th month.

They said “they didn’t do loans” and the ‘investor’ didn’t do them either.  I stalled some, and finally in Dec 2007 when my rate was now 10.625% and the current market was 5.5% fixed, decided it was worth it ( my loan is 85,000, my property value over 200,000 [at the time] and a refi is quite expensive in Florida so – as the rate crept up – it became worth my while ) – and surprise… they said they soon would have a new program that they could do it under.

Sure enough, in January 2008 they approved me for a fixed rate at no cost, first payment April 1, 2008.  The two conditions of the program, they said, was that I had to become 30 days or more delinquent [which I had never been] and not make anymore payments until April 1, 2008 – the first payment on the new fixed rate loan which would have all my missed payments rolled into it, and that my credit report would continue to reflect my account Paid As Agreed, as it had always been.

It’s now May 2009, I haven’t made a payment since December 2007, and the President’s proclamtions have turned out to be a smokescreen and a farce to cover the massive fraud going on within our financial industry — instead of refi’ing me to a fixed, I was sued for judicial foreclosure (and served in May 2008), by a lender on behalf of an investor, both of which I had never heard of before.

I filed my defense and also filed a counter claim and cross complaint alleging fraud.  The “servicer” offered me two ‘deals’- one in the summer of 2008 was to resume my old high $900 a month  payments, leave both my rate and the adjustable terms alone — BUT MAKE TWO $3,000 plus payments just 60 days apart -and THEN they said we would ‘talk some more’ about what happened next.  Their second proposal, after I was contacted by Project Hope in Dec 2008, was they would convert my loan to a 5.99% fixed but wanted to increase my loan balance to almost 100,000 plus have me pay them an up-front cash fee of $3,300 immediately upon my acceptance – which they called “a contribution”, – and even their attorney could not explain what the $3,300 was for.

Being retired, I have been representing myself and doing my homework.  Listen to what I found out !!

My original lender is now bankrupt and dissolved. The Trustee of their records shows my loan to be Paid in Full with no sums owing them under it.

They said my loan had been sold to a specific bank.  That bank says they never bought or received any interest in it and has absolutely no record of ever owning or servicing my loan or acting as a Trustee.  They said the company that made the loan uses them to physically warehouse original documents only, and that they did in fact receive my originals.  They also show the original documents were sent over to another bank from their custodian department without permission of my original lender, although THAT bank, also, says they never owned my loan, but they have custody of the originals.

The bank that sued me for foreclosure, as Trustee on behalf of a securities company which turns out to be just a shell, both say they do not now – nor have they ever – owned or serviced my loan, and neither has any knowledge of ever suing me for foreclosure.

To top it off, the attorney ( a large mill operation ) suing me for foreclosure, after filing the foreclosure action, executed and recorded an assignment from ‘MERS’ to this non-owning bank ….can you belive they just created an assignment after they sued me ??…of course they claim the originals are lost – which they aren’t.

My servicer ???…It’s not the one my original, and one and only, lender transferred my servicing to ( they transferred Select Portfolio, which in FTC v Select Portfolio had agreed not to do the very things my “servicer” has been doing ).

My “servicer” turns out to be Wells Fargo, who has been using it’s employees working at WF desks, using WF telephones, receiving WF paychecks claiming they are a company called America’s Servicing Company..which according to Florida, does not exist and they have no record of any such a company.

I want my payments back !!!… and the court to rule that my loan legally still belongs to my original lender and is satisfied, which is what the bankruptcy court accepted as being the case, order it be removed from my property, and then order this foreclosure attorney and Wells Fargo be investigated and prosecuted for running this type of scam…NOW you can see why I feel both Presidents have been defrauding the public with their money laundering and false promises rhetoric.  There IS no help for the public, only for politicians and bankers/”investors” lining their pockets and controlling OUR government.

With your experience, how do you suggest I proceed to get this done and go on with my life !

GREAT website BTW…kudos to you!!… can you be talked into running for government, we need folks like you to replace the folks now in power who are nothing but financial terrorists…- where’s Homeland Security when you need them – there’s widespread massive financial fraud going on here !  Money is a weapon of mass destruction !!!

Tom

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Hello Tom,

ASC is a division of Wells Fargo Home Mortgage and National Banks have federal preemption from state law.  See Watters v. Wachovia.

Personally, I believe you have an excellent argument for claiming that your mortgage note has been paid in full.  I was talking with a Florida foreclosure defense attorney last week who was describing something similar.  Additionally, you are correct that the assignment can’t postdate the filing.  MERS is a creepy assignment system.

Thanks for the questions and hope this helps.

Paul

This author is not an attorney and this information should not be considered legal advice.  Please consult an attorney for legal advice.