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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the loan shark to whom I have been paying a mortgage to pending the outcome of my foreclosure has been threatening to "put the title company on notice" like he claims he never knew why I took the loan. What would that do?

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William A. Roper, Jr.

What are you trying to say?  Why would you be paying a loan shark during the pendency of a foreclosure??
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1. bad attorney: bad legal advice
in a desparate attempt to not have to show up in court and not have any money if a judgement was made against me. My foreclosure case was initiated in 2005 and then it was automatically assumed the borrower was guilty.

2. and the question on title?
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I would have to agree with Mr. Roper...huh? What you are saying does not make sense!
But to answer your question as to what will a title claim do for the loan shark? regards to why you took out the loan. The title company has nothing to do with the "lending" of the loan.
A title insurance policy guarantees that title to a parcel of real property is clear (subject to the lien it is insuring) and properly in the name of the title owner and that the owner has the right to deed (convey or sell) the property to another. It also covers other matters such as the legal description, etc. It does not cover a "predatory" loan or a loan made to someone who might not have qualified. Is that what you meant by "why you took out the loan"?
And why would you not go to court in order to stop the foreclosure if you are paying? 
There is alot of great information here on this site and good people here are willing to assist you and answer questions and give input but please make sense of what you are saying.....

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first mortgage was with countrywide. refinanced in for good faith back-up in case I lost. This was in the olden days when mortgage companies were right and the homeowner was wrong. the loan shark lender of the second mortgage claims he did not know that I was trying to refinance away from countrywide. case has been held up in court for 5 and 1/2 years. Too long. So now he has filed a claim for title insurance. I am like you have to wait and see what the judge decides dude. Damned if I know what it is.

don't try this at home folks. Nowadays homeowners do strategic defaults and walk away.
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"first mortgage was with Countrywide....refinanced in for good faith in case you lost" ???????

You still are not clear or making sense.....

if you had a first and second lien and you refinance the first lien, the second lien holder would have had to sign a Subordination Agreement before a title company/escrow would have closed on a first lien refinance if the second was not paid off at the time of closing.

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Atterbury said:

"if you had a first and second lien and you refinance the first lien, the second lien holder would have had to sign a Subordination Agreement before a title company/escrow would have closed on a first lien refinance if the second was not paid off at the time of closing."
This is true in theory, and true if an inadvertant ommission is not made, but in RE title work and in closings, stuff happens.  Papers are sometimes signed and then originals lost, as in the subordination agreement; OR sometimes a mental lapse and they are not signed at all; overlooked completely.  If in the case of the prior 1st mtg holder, who is NOW in actuality the 2nd mtg holder because a subordination agreement was not executed by the former 2nd mtg holder, (now known as the 1st mtg holder due to the error), then the former 1st mtg holder would have a title claim; ABSOLUTELY, open and shut case.  Almost no other party to the transaction would or could have a title claim other than the prev 1st mtg holder.

So maybe this is the scenario that the op is describing, but it is hard to tell due to incomplete info and story line.
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i had a first mortgage with countrywide. They filed a lis pendens. At that time I had no other mortgages.

I found a lender who would do a loan (pending the release of the lis pendens) so I would have back-up money. My attorney closed the loan (but could not transfer the funds because there was no settlement with countrywide).

The second lender discovered although he knew all along he was not in first place because the case as not been settled so he decided to file a title claim. I had paid him for four years.

Understand now? When he threatened to file a title claim I had no idea what that was. All fun and games. Not a recommended strategy. I would have been better off opening a savings account. But back then the mortgage companies ruled supreme.

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So what specifically was the outcome of the title claim by the new lender?

Of course it would depend on what his title policy stated, (such as that he was to be a first position lien), and if so then the lender would have had a claim. 

Exactly what do you mean when you say "you should have opened a savings acct".  Do you mean with the premium paid for the title ins?  If not, please clarify if you will.  Thanks.
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I don't know. There was a clause in the title policy that the lis from the first lender had to be satisfied. I As it is still in litigation... there is no answer. this was not a good back-up plan but the world was very different in 2006.

I should have opened a savings account with the mortgage payment I paid every month for four years to the loan shark. Who knew this would have stretched out for almost six years.
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