Mortgage Servicing Fraud
occurs post loan origination when mortgage servicers use false statements and book-keeping entries, fabricated assignments, forged signatures and utter counterfeit intangible Notes to take a homeowner's property and equity.
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Hi everyone~

Hoping to get some insights and much needed knowledge/assistance - Jersey homeowner here (judicial state) -I just came upon this site while researching, as it appears the curtain is starting to fall.  About 3 years ago, having heard of the MERS scandal, someone suggested I copy all my records from the county clerk's office.  

What I found- (MERS was everywhere - refinanced my house 3 times over 12 years), but the one thing I noticed was my original lender (Flagstar Bank) from new mtg taken in 2005, had never recorded an assignment of the mortgage to CITI, who has been the servicer since about 2007.  I thought then, if things got worse, I had something to go on.  

Since then, I moved out west looking to contract work,  and continued to pay on my mortgage with retirement funds.  Last Aug, I stopped as I just could no longer keep up the payments and raising costs of escrow demands.  

I ignored dozens of loan modification applications that came from Flagstar Bank, Fannie Mae and mostly Citimortgage since I'd heard horrible results from going that route.  

I've just received a Notice of Default and Intent to Foreclose with a 6/27 deadline.  From what I've read, it would behoove me to answer the letter before a suit is filed by the lender.  I decided to revisit my county records online today and found that an 'addition' had been filed last year (6/12) - assignment of mtg through MERS from Flagstar Bank to Citimortgage - 7 YEARS later!!  After some research today, I found that the signature is one of Elise McKinnon, who has been dubbed a 'robo-signer' for many mtg. companies.  Does this recent assignment recording hurt my chances, or is it the 'note' that prooves the lender has right to foreclose? I could really use some advice on how to move forward and would appreciate any help offered.  Thanks so much~
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Use the FORUM's SEARCH function for keywords.  This is the largest database out there.

The recent Erobobo case is one you should read. 


Plaintiff asserts that the transfer of the note herein is void because the note was acquired [[[ after ]]] the closing date in violation of the terms of the PSA.
Mere recital of assignment, holding or receipt of an asset is insufficient to transfer an asset to a trust. The grantor must actually transfer the asset. EPTL §7-1.18.

The assignment of the note and the mortgage which affected the transfer was dated July 16, 2008, however, pursuant to the terms of the PSA the trust closed on November 14, 2006.

Plaintiff has provided no evidence that the trustee had authority to
acquire the note and mortgage herein after the trust had closed.

Since the trustee acquired the subject note and mortgage after the closing date, the trustee's act in acquiring them exceeded its authority and violated the terms of the trust. The acquisition of a mortgage after 90 days is not a mere technicality but a material violation of the trust's terms, which jeopardizes the trust's REMIC status.

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