TIL Compliance – Payment Frequency

XYZ Mortgage Company
123 Anywhere Street
Anyplace, New York 54321

RE:  Fred Flintstone Account#1234567890

Dear Sirs,

With this letter I hereby exercise my rights under the Federal Truth in Lending Act, 15 U.S.C. § 1635, Regulation Z § 226.23, to rescind the above referenced mortgage loan.  The Truth in Lending disclosure statement was defective for the following reason:

TIL disclosure failed to list a payment frequency. 

“…Ameriquest cannot escape the fact that it committed a technical TILA violation by failing explicitly to state the payment period of Hamm’s and Jones’s loans on the Disclosure Statements.” See Hamm v. Ameriquest Mortgage Co., 2007 WL 3010973 (7th Cir. Oct 17, 2007)

Pursuant to 15 U.S.C. § 1635(f), my right to rescind this loan extends for three-years as a result of this defective Truth in Lending disclosure statement.  This rescission notice has been sent to you within that time period.

Please be advised there is a short sale in process with your company and I am prepared to tender the reduced payoff amount through the short sale once the proper credits have been reflected in my reduced payoff.  Alternatively, please be advised that tender may also be made through bankruptcy [Jaaskelainen v. Wells Fargo Bank, N.A. (In re Jaaskelainen), 391 B.R. 627 (Bankr. D. Mass. 2008)], although I would prefer a short sale and this is not an area that I have explored, yet I do feel I would qualify and this information is provided as formal notice that tender is available once the credits have been made through one of these options.

Additionally, please consider this letter a “Qualified Written Request” per RESPA and as such I am demanding an accounting of my loan including the following: loan disbursements, charges, all payments paid to date, and the principal balance.

Please be advised that your security interest in my home is now void per 15 U.S.C. § 1635; Regulation Z § 226.23 and you have twenty-days to return all of the payments I have made on this loan and to do your part to terminate the security interest in my home.

Thank you for your immediate attention to this matter and govern yourself accordingly.

Fred Flintstone
(555) 555-5555
100 Bedrock Lane
Flint, Michigan 98765

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