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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I found this section withing the pool's laws and regulations:

"...The Trustee has made no independent examination of any documents                                
contained in each Mortgage File beyond the review of the Custodial File
specifically required in the Pooling and Servicing Agreement. The Trustee makes
no representations as to: (i) the validity, legality, sufficiency,
enforceability or genuineness of any of the documents contained in each Mortgage
File of any of the Mortgage Loans identified on the Mortgage Loan Schedule, or
(ii) the collectability, insurability, effectiveness or suitability of any such
Mortgage Loan. Notwithstanding anything herein to the contrary, the Trustee has
made no determination and makes no representations as to whether (i) any
endorsement is sufficient to transfer all right, title and interest of the party
so endorsing, as Noteholder or assignee thereof, in and to that Mortgage Note or
(ii) any assignment is in recordable form or sufficient to effect the assignment
of and transfer to the assignee thereof, under the Mortgage to which the
assignment relates...."??

This means that they are not sure that they have the originals??
                                                                                    

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William A. Roper, Jr.
No, Jose.  This means that the trustee has only the collateral file, which constains the original promissory note, the mortgage, the assignment(s), the title insurance policy and mortgage insurance policy.

But the trustee does NOT have and never inspects the original mortgage application, the credit report, the verifications of income and deposits, the appraisal, the HUD-1 Settlement Statement and a myriad of other documents associated with origination and closing.  These are maintained by the mortgage servicer.  The mortgage originator also probably has copies.

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jose, this means that the Trustee is almost sure to know that it has a can full of air and not much more.

Look up "Bankruptcy remote" and that will tell you why the Trustees do not have much of anything except a digital entry from one of MERS hundreds of "vice presidents" or other "MERS officers" parked in every bank and penny-ante loan servicing operation from coast to coast.

They are in trouble if they do have the original paperwork and, likewise, in trouble if they don't. The REMICS cannot own assets (i.e. negotiable instruments) or they would not be "bankruptcy remote" But, by not owning the original notes their claims for investors are pretty much legally unenforceable and null. They are in legal limbo, really. So are the investors.

This is very simplified and there are others here who can explain it better. I prefer you look it up and discover for yourself why this whole thing is a gigantic joke on borrowers, investors, the IRS and almost everybody. In that way you will learn more and remember more. The system was designed to fail for everyone EXCEPT Wall Street and its government cronies. Banks will ultimately be pounded with a stick fashioned from their own greed.

There was a poster here...hgosh...who spent a lot of valuable hours trying to teach dummies like me why all of this is not only illegal, but just plain crazy. Search the forum for some of those posts by hgosh. (Or maybe those posts got wiped out when the darned banks took down the original forum....msfraud was the "WikiLeaks" of the servicers back in the day. And, of course, they fixed nothing, just attempted to kill the messengers.)

Whoever wrote these laws/"rules" must have been smoking something stronger than cigarettes. Whoever was supposed to be regulating these frauds must have been not only smoking "something", they were also passing hours watching porn at work. One hand on the keyboard and the other on the joystick ......

Disclaimer: I am not a lawyer. I do not attempt to write in a manner that suggests I am a lawyer. I have never played a lawyer (or anything else) on television. A lot of this post consists of my own outraged opinion (except I know that SEC employees were watching porn at work: Report: SEC staffers watched porn as economy crashed). I am only a dummy who is sick of watching this continuing nightmare and trying to figure out why the greatest legal minds in the U.S. cannot or will not get a grip on this fraud. It is a mystery I feel needs to be solved.

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