Every single court challenge to the standing of MERS in the foreclosure process has been upheld, either in the initial court proceeding or upon appeal, when proper evidence is presented before the court. Prof. Peterson’s assertion that “virtually any company can show up, claim to own the note, and proceed to foreclose,” is false. Foreclosure is a terrible thing for homeowners but none of the confusion surrounding erroneous foreclosures can be ascribed to MERS.
MERS does not create a defect in the mortgage or deed of trust. Claims that MERS disrupts or creates a defect in the mortgage or deed of trust are not supported by fact or legal precedents. This argument is often used as a tactic by lawyers to delay or prevent the foreclosure. The mortgage lien is granted to MERS by the borrower and the seller at closing and that is what makes MERS the mortgagee. The role of mortgagee is legal and binding and confers to MERS certain legal rights and responsibilities.
MERS does not initiate foreclosure proceedings; it is the lender that initiates the proceeding. Similarly, certifying officers are designated by lending institutions and are allowed to execute only certain documents on behalf of MERS. Certifying officers selected by their employer are expected to fully comply with the policies of the lending institution for which they work, as well as MERS guidelines and all applicable laws and regulations.
Regarding the recording issue that was raised several times in the report, MERS fully complies with all recording statutes. The purpose of recording laws is to show that a lien exists, which protects the mortgagee and any bona fide purchasers. When MERS is the mortgagee, the mortgage or deed of trust is recorded, and all recording fees are paid. As for the fees themselves, these are local fees for service; if no service is needed or requested, no fee is appropriate. Additionally, any costs savings on fees are passed on to consumers.
MERS does not remove, omit, or otherwise fail to report land ownership information from public records and the trail of ownership does not change because of MERS. Parties are put on notice that MERS is the mortgagee and notifications by third parties can be sent to MERS. Mortgages and deeds of trust still get recorded in the land records.
The MERS System tracks the changes in servicing rights and beneficial ownership. No legal interests are transferred on the MERS System, including servicing and ownership. In fact, MERS is the only publicly available comprehensive source for note ownership.
While this information is tracked through the MERS System, the paperwork still exists to prove that actual legal transfers occurred. No mortgage ownership documents have disappeared because loans were registered on the MERS System. These documents exist now as they have before MERS was created.
We hope this helps clear up some of the confusion on these issues.
Every day we see more drama in the foreclosure debacle, with increasing number of lenders being pressured to put them on hold.
But what's the strategy for those of us who are still paying our mortgages and not in danger of losing our homes? This should be a perfect opportunity to take Arianna Huffington's wildly successful "Move Your Money" campaign one step further by "shopping for a lower-cost mortgage" and refinancing with a more responsible lender. This won't just punish those who loaned recklessly and reward those who didn't, i.e., community bankers, it will likely save you big bucks if interest rates have dropped at least two percentage points below the rate you are paying on your mortgage.
In the first seven days alone of the "Move Your Money" campaign which began in December 2009, about 340,000 people searched zip codes to find community banks that are highly rated. More importantly, they also moved big bucks out of big bad banks: according to Dennis Santiago of Institutional Risk Analytics, who created a search engine on the site, more than $1 billion was moved in the first three months of 2010. Finding a bank couldn't be easier. When you go to Move Your Money you simply need to enter your zip code to find a list of sound local banks and credit unions to choose from.
There's a big difference between the Too Big To Fail banks that got bailed out and the Small Banks Who Failed. For one thing, the community banks tried to stop these reckless lending practices while the big banks threw bucks at Congress to try to stop reform, James MacPhee, chairman of the Independent Community Bankers of America (ICBA).
"Along with several ICBA member bankers and staff, I have testified numerous times in the past three years in front of Barney Frank, Chairman of the House Financial Services Committee, and Chris Dodd, Chairman of the Senate Banking committee," MacPhee said. "Conversely, the American Bankers Association and the largest Wall Street firms ran a full court press trying to stop (reform) from ever being passed."
Have community banks failed? Yes, MacPhee maintains, but it wasn't because they were reckless but because their prudent loans were "bundled" with bad loans.
"As these debt instruments became worthless, hose buying our debt stopped purchasing, and foreclosures ran in the tens of thousands. When that occurred, the market value of the solid loans became worth less, as foreclosed homes were being sold well under their market value. As the job market dried up, even good loans had to be written down by the community banks. The resulting loss of capital dropped below regulatory standards, and the banks were closed and then typically merged into other banks by the Federal Deposit Insurance Corporation. "
The good news -- or let's hope so -- is that the exposure of reckless practices will humiliate the bad banks into changing their practices. If it doesn't? All the more reason to "boycott" them and only do business with those who put their customers first.
Ready to consider refinancing? Consider taking these steps.
Before you do any "mortgage shopping," get a copy of your credit history at AnnualCreditReport.com. If you have a low score, you might want to consider postponing refinancing until you've built a better bill-payment history; it could literally cut your mortgage cost in half.
Consider only fixed-rate mortgages. Some "experts" may claim that adjustable rate mortgages are okay if you're only going to stay in your home for three years or less, but your home is not a disposable item like a cell phone. If you're only planning to live in one place for three years or less, you should rent, not buy. MacPhee agrees with me that one of the biggest ripoffs in the banking industry -- that the media STILL isn't covering -- is the adjustable rate mortgage. "If (a bank is) going to write an ARM mortgage because someone cannot afford a home under standard bank rates, who are you kidding? The custom is happy for three years, or the period of the ARM balloon, the bank makes big fees, and then sells off both the credit risk and the interest rate risk and walks away."
As I pointed out in my book, America, Welcome to the Poorhouse, another big bargain is the little-talked about 15-year mortgage. Savings are significant both because the loan features a shorter payback period and because these mortgages generally feature lower rates. For example, assuming a 6% interest rate, your total interest costs on a $100,000 30-year mortgage are nearly $116,000. If that same mortgage were converted to a 15-year term, it would require somewhat higher monthly payments -- $844 instead of $600 -- but you'd save nearly $64,000 in interest payments.
Never take out an interest-only mortgage. While you pay no principal during the interest-only period, your payments will rise when that period comes to an end. Furthermore, the mortgage has to be paid off during a shorter term -- 25, 23, or 20 years -- so your monthly payments will be higher.
Avoid one of the riskiest mortgages, a balloon loan. Talk about bait and switch: typically, after the end of a three- or seven-year period, you owe the bank all the remaining principal, in one lump sum. If the value of your home drops you won't be able to find another mortgage to repay that loan and you risk foreclosure. And let's hope that this option won't even be broached by your responsible community banker.
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bench craft company complaints
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bench craft company complaints bench craft company complaints
Every single court challenge to the standing of MERS in the foreclosure process has been upheld, either in the initial court proceeding or upon appeal, when proper evidence is presented before the court. Prof. Peterson’s assertion that “virtually any company can show up, claim to own the note, and proceed to foreclose,” is false. Foreclosure is a terrible thing for homeowners but none of the confusion surrounding erroneous foreclosures can be ascribed to MERS.
MERS does not create a defect in the mortgage or deed of trust. Claims that MERS disrupts or creates a defect in the mortgage or deed of trust are not supported by fact or legal precedents. This argument is often used as a tactic by lawyers to delay or prevent the foreclosure. The mortgage lien is granted to MERS by the borrower and the seller at closing and that is what makes MERS the mortgagee. The role of mortgagee is legal and binding and confers to MERS certain legal rights and responsibilities.
MERS does not initiate foreclosure proceedings; it is the lender that initiates the proceeding. Similarly, certifying officers are designated by lending institutions and are allowed to execute only certain documents on behalf of MERS. Certifying officers selected by their employer are expected to fully comply with the policies of the lending institution for which they work, as well as MERS guidelines and all applicable laws and regulations.
Regarding the recording issue that was raised several times in the report, MERS fully complies with all recording statutes. The purpose of recording laws is to show that a lien exists, which protects the mortgagee and any bona fide purchasers. When MERS is the mortgagee, the mortgage or deed of trust is recorded, and all recording fees are paid. As for the fees themselves, these are local fees for service; if no service is needed or requested, no fee is appropriate. Additionally, any costs savings on fees are passed on to consumers.
MERS does not remove, omit, or otherwise fail to report land ownership information from public records and the trail of ownership does not change because of MERS. Parties are put on notice that MERS is the mortgagee and notifications by third parties can be sent to MERS. Mortgages and deeds of trust still get recorded in the land records.
The MERS System tracks the changes in servicing rights and beneficial ownership. No legal interests are transferred on the MERS System, including servicing and ownership. In fact, MERS is the only publicly available comprehensive source for note ownership.
While this information is tracked through the MERS System, the paperwork still exists to prove that actual legal transfers occurred. No mortgage ownership documents have disappeared because loans were registered on the MERS System. These documents exist now as they have before MERS was created.
We hope this helps clear up some of the confusion on these issues.
Every day we see more drama in the foreclosure debacle, with increasing number of lenders being pressured to put them on hold.
But what's the strategy for those of us who are still paying our mortgages and not in danger of losing our homes? This should be a perfect opportunity to take Arianna Huffington's wildly successful "Move Your Money" campaign one step further by "shopping for a lower-cost mortgage" and refinancing with a more responsible lender. This won't just punish those who loaned recklessly and reward those who didn't, i.e., community bankers, it will likely save you big bucks if interest rates have dropped at least two percentage points below the rate you are paying on your mortgage.
In the first seven days alone of the "Move Your Money" campaign which began in December 2009, about 340,000 people searched zip codes to find community banks that are highly rated. More importantly, they also moved big bucks out of big bad banks: according to Dennis Santiago of Institutional Risk Analytics, who created a search engine on the site, more than $1 billion was moved in the first three months of 2010. Finding a bank couldn't be easier. When you go to Move Your Money you simply need to enter your zip code to find a list of sound local banks and credit unions to choose from.
There's a big difference between the Too Big To Fail banks that got bailed out and the Small Banks Who Failed. For one thing, the community banks tried to stop these reckless lending practices while the big banks threw bucks at Congress to try to stop reform, James MacPhee, chairman of the Independent Community Bankers of America (ICBA).
"Along with several ICBA member bankers and staff, I have testified numerous times in the past three years in front of Barney Frank, Chairman of the House Financial Services Committee, and Chris Dodd, Chairman of the Senate Banking committee," MacPhee said. "Conversely, the American Bankers Association and the largest Wall Street firms ran a full court press trying to stop (reform) from ever being passed."
Have community banks failed? Yes, MacPhee maintains, but it wasn't because they were reckless but because their prudent loans were "bundled" with bad loans.
"As these debt instruments became worthless, hose buying our debt stopped purchasing, and foreclosures ran in the tens of thousands. When that occurred, the market value of the solid loans became worth less, as foreclosed homes were being sold well under their market value. As the job market dried up, even good loans had to be written down by the community banks. The resulting loss of capital dropped below regulatory standards, and the banks were closed and then typically merged into other banks by the Federal Deposit Insurance Corporation. "
The good news -- or let's hope so -- is that the exposure of reckless practices will humiliate the bad banks into changing their practices. If it doesn't? All the more reason to "boycott" them and only do business with those who put their customers first.
Ready to consider refinancing? Consider taking these steps.
Before you do any "mortgage shopping," get a copy of your credit history at AnnualCreditReport.com. If you have a low score, you might want to consider postponing refinancing until you've built a better bill-payment history; it could literally cut your mortgage cost in half.
Consider only fixed-rate mortgages. Some "experts" may claim that adjustable rate mortgages are okay if you're only going to stay in your home for three years or less, but your home is not a disposable item like a cell phone. If you're only planning to live in one place for three years or less, you should rent, not buy. MacPhee agrees with me that one of the biggest ripoffs in the banking industry -- that the media STILL isn't covering -- is the adjustable rate mortgage. "If (a bank is) going to write an ARM mortgage because someone cannot afford a home under standard bank rates, who are you kidding? The custom is happy for three years, or the period of the ARM balloon, the bank makes big fees, and then sells off both the credit risk and the interest rate risk and walks away."
As I pointed out in my book, America, Welcome to the Poorhouse, another big bargain is the little-talked about 15-year mortgage. Savings are significant both because the loan features a shorter payback period and because these mortgages generally feature lower rates. For example, assuming a 6% interest rate, your total interest costs on a $100,000 30-year mortgage are nearly $116,000. If that same mortgage were converted to a 15-year term, it would require somewhat higher monthly payments -- $844 instead of $600 -- but you'd save nearly $64,000 in interest payments.
Never take out an interest-only mortgage. While you pay no principal during the interest-only period, your payments will rise when that period comes to an end. Furthermore, the mortgage has to be paid off during a shorter term -- 25, 23, or 20 years -- so your monthly payments will be higher.
Avoid one of the riskiest mortgages, a balloon loan. Talk about bait and switch: typically, after the end of a three- or seven-year period, you owe the bank all the remaining principal, in one lump sum. If the value of your home drops you won't be able to find another mortgage to repay that loan and you risk foreclosure. And let's hope that this option won't even be broached by your responsible community banker.
bench craft company complaints
Probably Bad <b>News</b>: Parenting FAIL - Epic Fail Funny Videos and <b>...</b>
epic fail photos - Probably Bad News: Parenting FAIL.
Debian Project <b>News</b> - July 26th, 2010
Debian Day in New York, MiniDebConf in India, Debian Installer beta1, Debian Podcast, how to attract more users?
ABC <b>News</b> airs big exposé on BMW N54 engine problems, lawsuits [w <b>...</b>
ABC News investigates BMW fuel pump problems – Click above to watch video after the jump ABC News has cottoned on to the story that BMW.
bench craft company complaints bench craft company complaints
Probably Bad <b>News</b>: Parenting FAIL - Epic Fail Funny Videos and <b>...</b>
epic fail photos - Probably Bad News: Parenting FAIL.
Debian Project <b>News</b> - July 26th, 2010
Debian Day in New York, MiniDebConf in India, Debian Installer beta1, Debian Podcast, how to attract more users?
ABC <b>News</b> airs big exposé on BMW N54 engine problems, lawsuits [w <b>...</b>
ABC News investigates BMW fuel pump problems – Click above to watch video after the jump ABC News has cottoned on to the story that BMW.
bench craft company complaints bench craft company complaints
Probably Bad <b>News</b>: Parenting FAIL - Epic Fail Funny Videos and <b>...</b>
epic fail photos - Probably Bad News: Parenting FAIL.
Debian Project <b>News</b> - July 26th, 2010
Debian Day in New York, MiniDebConf in India, Debian Installer beta1, Debian Podcast, how to attract more users?
ABC <b>News</b> airs big exposé on BMW N54 engine problems, lawsuits [w <b>...</b>
ABC News investigates BMW fuel pump problems – Click above to watch video after the jump ABC News has cottoned on to the story that BMW.
bench craft company complaints bench craft company complaints
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