Quite a Stew: Wells Fargo Pressure Cooker for Sales and Fabricated Documents

Wells Fargo Investigated by 4 Agencies for Manual on Fabricating Foreclosure Documents

Wells Fargo is under investigation for a lot of things these days, just as we find in Bank of America and other major “institutions.” The bottom line is that they haven’t been acting very institutional and their culture is one that has led to fraud, identity theft and outright fabrication of accounts and documents.

There can be little doubt about it. Documents that a real bank acting like a bank would have in its possession appear to be completely absent in most if not all loans that are “performing” (i.e., the homeowner is paying, even if the party they are paying isn’t the right and even if the loan has already been paid off). But as soon as the file becomes subject to foreclosure proceedings, documents miraculously appear showing endorsements, allonges, powers of attorney and assignments. According to a report from The Real Deal (New York Real Estate News), these are frequently referred to as “ta-da endorsements” a reference from magic acts where rabbits are pulled from the hat.

Such endorsements and other fabricated documents have been taken at face value by many judges across the country, despite vigorous protests from homeowners who were complaining about everything from “they didn’t have the documents before, so where did they get them?” to luring homeowners into false modifications that were designed to trap homeowners into foreclosure.

After 7 years of my reporting on the fact that the documents do not exist, including a report from Katherine Anne Porter at what was then the University of Iowa that the documents were intentionally destroyed and “lost” it has finally dawned on regulators and law enforcement that something is wrong. They could have done the same thing that I did. I had inquiries from hundreds (back then, now thousands) of homeowners looking for help.

So the first thing I did was I  sent qualified written requests to the parties who were claiming to be the “lenders.” After sending out hundreds of these the conclusion was inescapable. Any loan where the homeowner was continuing to make their payments have no documentation. Any loan where the homeowner was in the process of foreclosure had documentation of appear piece by piece as it seemed to be needed in court. This pattern of fabrication of documents was pandemic by 2007 and 2008. They were making this stuff up as they went along.

It has taken seven years for mainstream media and regulators to ask the next obvious question, to wit: why would the participants in an industry based on trust and highly complex legal instruments created by them fall into patterns of conduct in which nobody trusted them and where the legal instruments were lost, destroyed and then fabricated? In my seminars I phrased the question differently. The question I posed is that if you had a $10 bill in your hand, why would you stick it in a shredder? The promissory note and the other documents from the alleged loan closings were the equivalent of cash, according to all legal and common sense standards. Why would you destroy it?

As I said in 2008 and continue saying in 2014, the only reason you would destroy the $10 bill is that you had told somebody you were holding something other than a $10 bill. Perhaps you told them it was a $100 bill. Now they want to see it. Better to “lose” the original bill then admit that you were lying in the first place. One is simple negligence (losing it) and the other is criminal fraud (lying about it). The banking industry practically invented all of the procedures and legal papers associated with virtually every type of loan. The processing of loans has been the backbone of the banking industry for hundreds of years. Did they forget how to do it?

The answers to these questions are both inconvenient and grotesque. I know from my past experience on Wall Street that bankers did not deserve the trust that everyone seemed to repose in them. But this conduct went far beyond anything I ever saw on Wall Street. The answer is simply that the bankers traded trust for money. They defrauded the investors, most of whom were stable managed funds guarding the pensions of millions of people. Then they defrauded homeowners creating a pressure cooker of sales culture in which banking evolved simply into marketing and sales. Risk analysis and risk control were lost in the chaos.

The very purpose for which banks came into existence was to have a place of safety in which you could deposit your money with the knowledge that it would still be there when you came back. Investors were lured into a scheme in which they thought their money was being used to fund trusts; those trusts issued mortgage bonds that in most cases were never certificated. In most cases the trust received no money, no assets and no income. The fund managers who were the investors  never had a chance.

The money from the investors was instead kept by the broker-dealers who then traded with it like drunken sailors. They pumped up real estate PRICES  far above real estate VALUES, based on any reasonable appraisal standards. The crash would come, and they knew it. So after lying to the investor lenders and lying to the homeowner borrowers they lied to the insurers, guarantors, co-obligors and counterparties to credit default swaps that had evolved from intelligent hedge products to high flying overly complicated contracts that spelled out “heads I win, tails you lose.”

In order to do all of that they needed to claim the loans and the bonds as though they were owned by the broker-dealers when in fact the broker-dealers were merely the investment banks that had taken the money from investors and instead of using it in the way that the investors were told, they created the illusion (by lying) of the scheme that was called securitization when in fact it was basically common fraud, identity theft of both the lenders and borrowers, in a Ponzi scheme. When Marc Dreier was convicted of similar behavior the amount was only $400 million but it was the larger scheme of its kind ever recorded.

When Bernard Madoff was convicted of similar behavior the amount was only $60 billion, but the general consensus was that this was the largest fraud in history and would maintain that status for generations. But when the Madoff scandal was revealed it was obvious that members of the banking industry had to be involved; what was not so obvious is that the banking industry itself had already committed a combination of identity theft, fraud and corruption that was probably 300 times the size of the Madoff scandal.

The assumption that these are just loans that were to be enforced just like any other loans is naïve. The lending process described in the paperwork at the closings of these loans was a complete lie. The actual lender did not know the closing had occurred, never received the note and mortgage, nor any other instrument that protected the investor lenders. The borrower did not know the actual lender existed. Closing agent was at best negligent and at worst part of the scheme. Closing agent applied money from the investors to the closing of the “loan” and gave the paperwork that should’ve gone to the investors to third parties who didn’t have a dime invested in the deal. Later the investment banks would claim that they were suffering losses, but it was a lie, this time to the taxpayers and the government.

The reason the investment banks need to fabricate documentation is simply because their scheme required multiple sales of the same loan to multiple parties. They had to wait until they couldn’t wait any longer in order to pick a plaintiff to file a foreclosure lawsuit or pick a beneficiary who would appear out of nowhere to start the nonjudicial sale of property in which they were a complete stranger to the transaction.

The reason that homeowners should win in any reasonable challenge to a foreclosure action is that neither the forecloser nor the balance has been correctly stated. In many cases the balance “owed” by the borrower is negative! Yes that means that money is owed back to the borrower even know they stopped making payments. This is so counter intuitive that it is virtually impossible for most people to wrap their brains around this concept and that is exactly what Wall Street banks have been counting on and using against us for years.

LA Times Report on Wells Fargo Sales Culture

43 Responses

  1. JP Morgan’s Top Commercial Bankruptcy Lawyer Dead In Minivan Hit & Run

    http://www.trunews.com/jp-morgans-top-commercial-bankruptcy-lawyer-dead-minivan-hit-run/

  2. @ Poppy:

    “SUICIDE COUPONS” on sale:

    If these are real suicides (not murders), then for fundraising, and public service, police stations in New York, Chicago & other cities with financial centers could advertise selling suicide coupons to such financial scums so that for a couple of thousand dollars they could borrow a police gun in a suicide room and have a painless one instead of flying off roofs!
    Police could surely benefit from the extra cash too!

  3. […] Such endorsements and other fabricated documents have been taken at face value by many judges across the country, despite vigorous protests from homeowners who were complaining about everything from “they didn’t have the documents before, so where did they get them?” to luring homeowners into false modifications that were designed to trap homeowners into foreclosure. READ MORE… […]

  4. So why is this. Any one know how that kB homes class action worked out in AZ it was a firm called hagan berman shapario. I believe Robert Carey was lead council. ( prior assist atty g)
    It was reported in AZ republic then all went vwery vwery qweit

    http://stopforeclosurefraud.com/2014/03/18/in-2008-prosecutors-agreed-to-not-prosecute-mortgage-origination-fraud-and-they-have-kept-their-promise/?utm_source=feedburner&utm_medium=feed&utm_campaign=Feed%3A+ForeclosureFraudByDinsfla+%28FORECLOSURE+FRAUD+%7C+by+DinSFLA%29

  5. FBI Partners with Banks and Blames Mortgage Fraud on Poor Borrowers

    Prof. Bill Black, former bank prosecutor:

    ………

  6. BUSINESS DAY

    A Loan Fraud War That’s Short on Combat
    MARCH 15, 2014

    http://www.nytimes.com/2014/03/16/business/a-loan-fraud-war-thats-short-on-combat.html?emc=edit_tnt_20140315&nlid=55929820&tntemail0=y&_r=4

    What’s the difference between a third-world country and today’s US? Today’s US can still report on its misery (even though nothing comes out of it).

    For how much longer…? Depends on whether people will take action and stop feeding the problem. So the short answer is: based on the past 10 years, freedom of speech days are counted too.

  7. Ftr, there isn’t a snowball’s chance in a warm place any of that gang expected home prices to continue up. Even had home prices not risen to the extent the rise could be called a “bubble”, r.e. prices have ALWAYS been cyclical. They rise, they fall, they rise, they fall. But they generally haven’t crashed….at least to the dramatic extent of this round – because the rise was artificial. What makes prices go up is supply and demand – when the demand exceeds the supply. It was the demand which was artificial, incited and fueled by predatory lending – loans to people known to not qualify and garbage loans to boot (teaser rates with wholey intolerable adjustments, etc.)

  8. Deb,

    We all did, bright eye and bushy tail, and we all got screwed. That’s a given no one denies.

    I know no one, absolutely no one who got up one morning and said: “I got a bright idea. I’m going to sign papers with a bank, enslave myself forever and give it carte blanche to screw me over and over and over and, because, I’m the better person, I will take it with a smile and keep on taking it on the chin.”

    There comes a point where. in the face of such adversity, people need to realize that… well… they frickin’ FEED into the problem. Still do today. Vent some by going on LL but… Where’s the action?

    Again, I’m not knocking anyone who DOES something. But, for Pete’s sake! Stop feeding the problem! To date, there hasn’t been the 10% necessary to actually initiate change. Not against government, not against banks, not against Monsanto, chemtrails, Tepco or anything.
    Just trickles… This country expects to change by trickling down. Obama’s favor phrase: “it will “trickle” down…

    What a legacy: once upon a time, the US were great. ‘Til they decided to “trickle” down.

    Benny Hill was actually more insightful than many give it credit for… Go back to his interviews: the guy observed.

  9. Yes Christine
    Ignorance is no excuse- unless you had a right to rely. And we did.

  10. God god Christine Benny Hill, oh noo

  11. http://www.cepr.net/index.php/blogs/beat-the-press/locking-up-the-banksters-its-not-hard

    “Would this process have put Jamie Dimon, Lloyd Blankfein, Robert Rubin and the rest behind bars? Who knows, but we know with certainty that the Justice Department never started on this path so there was no way that the honchos could ever be held accountable for any crimes they did commit. This speaks volumes about the nature of justice in the United States today.

    There is one other issue that is worth addressing here. Many commentators have argued that the honchos were foolish, not crooked. They really did believe that the house prices would just keep rising. [Darn how dumbed down this country has become on every single level! Physics 101: what goes up, up, up… must eventually come down, down, down and for every action is an opposite reaction of equal force! Didn’t any of those bankers, officials, financiers, politicians and whatnot actually ATTEND high school? Did they graduate? Doesn’t that say anything about the US being 27th in education among all the developed countries?]

    In this case all the mortgages would end up being good mortgages. (If a bank forecloses on a fraudulent loan where the house has appreciated 20-30 percent, it is not likely to suffer a loss.)

    It is entirely possible that the top people at the banks really did believe that the bubble would keep inflating indefinitely, but it is also irrelevant. (The Enron boys may have believed they really had a good business model. That doesn’t change the fact that they broke the law.) The issue at hand is whether they knowingly issued and passed along mortgages that were not documented properly. That is fraud and a criminal act. It doesn’t change anything if they were also stupid.”

    “Stupid.” Big club. Doesn’t matter how much money people make: they all compete to belong in it.

    I love this country! Benny Hill got it so right!

  12. Oops correction “ML said” – CITING justice Lippman

  13. mL thank you
    Some people may say its idealist thinking but if there ever was anything worth being an idealist about it is the truth- I’m going to say it — the whole truth and nothing but the truth so help me god- ML said

    ” what I am trying to do is make this abstract concept of justice real, concrete. All of us must have our day in court, no matter what resources we have. Equal justice is the endgame, and we are pursuing that goal with all of our energy. That is what all of us should be doing every day—pursuing justice”

    Thanks again ML

    ” what is life if you can not live it in anything but truth , living in a world of lies is not what life is supposed to be about, and of course – never ends well – Albeit ” creative ” but if that expression of being creative hurts your fellow man- it’s is not of god .
    It’s about the love of truth of living in gods light to express ourselves as individualized expressions – of god.” Just my opinion. ( and btw I’m of no particular religion and I can’t be Buddhist I drink wine),
    So , a judges life’s work is supposed to be about getting to the truth of the matter , with respect of rules , procedure and case law and to do gods will really since under god the manga carte was established, to protect innocent men. It’s a tough job but I say if you can’t stand the heat- get out of the kitchen. Recuse. Not to be facetious but that leaves probably Arty Shack. Just kidding

  14. “Mortgage servicer to pay $268 million to Californians”

    Can we have a show of hands from who got one penny out of all the ridiculous settlements to date? Looks good on paper but worth jack… just like the Constitution of a fallen country. Not just falling: flat out fallen, on its back, in agony and nowhere near climbing back up.

    What a great country! Keep paying your taxes and feeding into the problem. Who knows… we may finally discover what absolute insanity really looks like supported by taxpayers’ dime, after flirting with the idea for so long.

    May even be just what the doctor ordered after all: a good look into all that money can buy and science without conscience can create. Karma’s such a bitch!

    http://usawatchdog.com/united-states-definitely-wants-war-in-ukraine-paul-craig-roberts/

  15. all
    if Justice lippman accomplished rhis, this would be great.
    New York Chief Judge Jonathan Lippman ’68 has been a passionate advocate for civil legal services and equal access to justice since becoming the head of the state judiciary in 2009. He has pushed for publicly funded civil legal services for the poor, a 50-hour pro bono requirement for law students seeking bar admission, mandatory reporting of pro bono service, a rethinking of the current legal curriculum, and the use of non-lawyer advocates to support unrepresented litigants.

    Lippman agreed to discuss his motivations and drive for change with Senior Staff Writer Atticus Gannaway shortly before he delivered the 20th Justice William J. Brennan Jr. Lecture on State Courts and Social Justice, titled “The Judiciary as the Leader of the Access to Justice Revolution.” Below is an edited and condensed Q&A.

    You went full speed ahead in advocating for access to justice shortly after becoming chief judge. How did your passion for this set of issues originate?

    When I became the chief judge, I had things in my mind from a 40-year career in the courts. The access to justice issue was first in my priorities as something I immediately wanted to pounce on. On top of all that, I came into office shortly after the economic crisis, which so widened what we call the justice gap.

    Have you been inspired by the actions of other state judiciaries?

    I see New York as being a leader in this area. Many of the things that we are doing are being emulated around the country, certainly regarding legal education, encouraging pro bono, and public funding by state governments. By the same token, as chief justices, we learn from each other. I certainly look with a very sharp eye toward what’s going on around the country.

    I believe in not shrinking from being bold, trying new things, and not necessarily waiting to see what others are doing. On issues that are fundamental to equal justice, I do not think we have to stop and take a vote on how to proceed. You have to lead. If you are going to wait to get everyone’s agreement before you do anything, you are not going to get anything accomplished.

    Considering all these initiatives, do you consider yourself an activist?

    Our constitutional as well as our ethical mission is to foster equal justice. I would describe myself as “proactive in the pursuit of justice” and wear that description as a badge of honor.

    We miss the boat unless we understand that our roles are more expansive than solely sitting on the critical cases that come before high courts. The policy issues that revolve around access to justice are very much the raison d’etre of judicial leadership. I believe strongly in using the leverage and credibility of the judiciary as well as the public role of chief judge to effect change.

    How have the various stakeholders reacted to the civil legal services push?

    The fact that we have been able to obtain so much public funding for legal services—by far the most in the country—shows that we have helped our partners in government understand that legal services for the poor are every bit as important as the other priorities of life, like housing, education, or medical care. Civil legal services are not just another form of public philanthropy. As a result of that understanding by both our partners in government and the bar, we have received wide support.

    Our friends in the law schools were initially taken aback that the judiciary would be so muscular with our power to regulate bar admission to implement the 50-hour rule, and now to allow students to take the bar exam earlier in return for full-time pro bono service (the Pro Bono Scholars Program). But the law schools get it that there is a deep unmet need for civil legal services. In general, we have had nothing but cooperation from the law school community.

    As for the response from some in the state bar to reporting of pro bono service, I believe that you have to hold the members of a noble profession up to the highest aspirational standards, not settle for a focus only on their own more parochial or economic interests. Sometimes we have a family disagreement on how to get there or exactly how fast, but the bar invariably rises to the occasion.

    What do you see as the endgame in your advocacy for civil legal services and pro bono participation?

    What I am trying to do is make this abstract concept of justice real, concrete. All of us must have our day in court, no matter what resources we have. Equal justice is the endgame, and we are pursuing that goal with all of our energy. That is what all of us should be doing every day—pursuing justice.

    Watch the video of the 20th Justice William J. Brennan Jr. Lecture on State Courts & Social Justice (1 hr, 17 min), presented by the Dwight D. Opperman Institute of Judicial Administration:

  16. IN THE CIRCUIT COURT AND 20TH JUDICIAL DISTRICT
    IN AND FOR LEE CO. FLORIDA
    PATRICK LORNE FARRELL©,Plaintiff, possessor, Droit-Droit,vs. G.M.A.C.; WELLS FARGO;IMPAC SECURED ASSETS, et al Defendants_____________________WELLS FARGO, as trustee..purported plaintiffvs.PATRICK FARRELLpurported defendant CASE NO.07-CA-14942________________________________________________CASE 07-CA-16767

    58. AFFIDAVIT OF INDEBTEDNESS NAMES A DIFFERENT PARTY AS LIEN CLAIMANT
    59. In the Affidavit of Indebtedness filed with the motion Lori Ann Dasch who claims to the signer for Ocwen as servicing agent for; WELLS FARGO BANK N.A. AS INDENTURE TRUSTEE UNDER THE INDENTURE RELATING TO IMH ASSETS CORP. COLLATERALIZED ASSET-BACKED BONDS,SERIES 2005-6. This is not the party of record.
    60. WELLS FARGO BANK N.A. AS TRUSTEE UNDER THE POOLING AND SERVICING AGREEMENT RELATING TO IMPAC SECURED ASSETS CORPORATION, MORTGAGE PASS THROUGH CERTIFICATES,SERIES 2005-2 has been the party of record since DEC 2007.
    61. This again and finally is a genuine disputed issue of material fact and evidence of Fraud.
    SUCK IT WELLS FARGO

  17. Check out Judge Eric Aarseths verbal nonsense ,validating OneWests foreclosure in IndyMacs name:
    “The question of “why” the foreclosure was initiated initially in the name of IndyMac is not relevant to this Court’s determination of the legality of the transaction.”
    “Again, OneWest has not explained what it was thinking with this, but its irrelevant. OneWest had the authority to foreclose in its own name, but chose to use the name of its immediate predecessor.”

    How about the trustee Richard Ullstrom, out of Routh Crabtree:
    “The note that has been uploaded is to E-Loan, I need one that has been endorsed to Indymac (and ideally, further endorsed to OneWest).”
    “Other 2 endorsements are needed, please open a copy of allonge process for each endorsment needed making sure to fill in the from and to entities.”
    “Borrower is questioning validity of assignment to IndyMac Federal Bank, FSB, that was executed after the date IndyMac was closed by the FDIC.”

    When presented with this evidence of fraud in a 60B motion, Judge Aarseth held no hearing:
    “These communications made no request or suggestion to generate fraudulent documents and alter existing documents.”

    Ullstrom:
    “Why set aside a sale based on defects in the foreclosure process if the borrower has failed to perform, and the foreclosure must be held in any event?”

    Aarseth:
    “Even if this Court did find some legal issue with the sequencing of events prior to the non-judicial foreclosure and sale, there is no evidence that an “unjust extreme” would result by upholding the foreclosure.”
    “No Alaskan Court has ever required the original Note to proceed with foreclosure, but nonetheless, OneWest indicates Deutsche provided the original Note and a color copy is attached.”

    Neil Garfield:
    “To the highest degree of certainty, the change of title was a sham, the errors, fabrications and forgeries have exceeded anything I’ve encountered before”.

    Espeland v. IndyMac Draft circulating before AK Supreme Ct      

  18. Wells Fargo is guilty of securities violation as the government loan are all going to be blank Notes, but what going to bring this matter to the forefront is that with the WaMu loan it foreclosed for there is no signing the Notes or an allonge attached because the path of the plane is on radar.

    We know exactly what the procedure are for every single one of the loans, and once WaMu die as bank there not way legally for have MERS for WaMu to assign the Notes to Wells Fargo and any payment for a purchase would have been something from a bankruptcy court, however Ginnie Mae already thought about this dilemma and that is why they took the step of transferring the mortgage servicing from WaMu to Wells Fargo!

  19. What can you expect from Wells Fargo which is North America’s main drug cartel bank according to their former insider & investigator:

    BIG U.S. BANKS LAUNDER BILLIONS IN CARTEL DRUG MONEY..WELLS FARGO, BANK OF AMERICA, ETC..
    ————-

    & here is more documentation:

    http://www.veteranstoday.com/2011/04/04/wachoviawells-fargo-the-drug-cartel-banks/

  20. Anyone who has Ocwen…

    Mortgage servicer to pay $268 million to Californians
    It’s part of a $2.1-billion national settlement with Ocwen Financial, which is accused of breaking state law by denying loan modifications and charging unauthorized fees.

    http://www.latimes.com/business/la-fi-ocwen-foreclosures-20140318,0,1317760.story#ixzz2wJrz3aP5
    Of course pennies on the dollar for them. Business as usual…

  21. @John Gault – AIG and CitiBank Corp. bot did 10-1 reverse splits. After several years – this gives the appearance they are healthy stock

  22. @ Charles Reed – i did read back and you are correct. You did say MBS, and i was fixated on agency bonds.

    I will take two tea spoons of salt on top of that hat I am now ready to eat. My apologies to you.

    To all Charles Reed was right in what he said – and i was wrong.

  23. !Charles you are so right. The thing is I have all my paperwork from 2010 when I first applied through NACA for to start the modification process. BOA is the fourth company that my loan has been bought out of. They don’t do what you request and this is what they ask. They asked which was the better number to reach you at I told them several times and it suppose to be noted to call me on my cell because I’m not home until after 4 as of yesterday 03/17/14 they left a message on the house phone. Oh this is the Rep. over my account! A blind person can see through this mess

  24. Even as AIG was on the brink of BK in 2008 (it took the bail out funds in September of 2008 – about the time for what looks like new NYSE symbols for BA (BAC) and PNC – but NOT my thing – and right after Lehman’s BK on 09/15/08), it – aig – was spending literally billionS on lobbying for a nuclear deal with India. It looks like a deal was signed in 2008, if only for “civilian” nuclear facilities. Something else happened in Dec of last year (I think), but I haven’t researched what, but what I found suggested nuclear operations of another kind. Gee, the wonders of bottomless pockets. Cake, anyone?

  25. I was looking into something and came across “control fraud”:

    “An example would be when an insolvent company publishes accounts showing massive profits.* This will cause the stock to rise beyond its actual value, and those exercising the control fraud will cash in their stocks before the reality is known by others.[5] Additionally, companies can lobby for changes to weaken the law or accompanying regulation. This can be particularly effective with large campaign contributors like Charles Keating, who with other control frauds in the United States League of Savings Institutions, was able to get his own people placed on the board of the primary regulatory agency, the Federal Home Loan Bank Board (FHLBB). With the assistance of people like Speaker of the House Jim Wright and the Keating Five, he was able to convert Lincoln Savings and Loan Association into a Ponzi scheme, making millions for himself, while suppressing the investigative and regulatory functions of the FHLBB. Eventually, the Ponzi collapsed, as all Ponzis must, but with a massive cost to the taxpayers and unsecured investors.
    Some control frauds are reactive in the sense that they turn to fraud only after concluding that the business will fail. Opportunistic control frauds, by contrast, are attracted to a criminogenic environment where it is harder to detect fraud, e.g., as a result of deregulation.”

    *The article said the Enron deal was an example of control fraud.
    Imagine if you knew AIG (etc) was ‘too big to fail’, but could predict its stock would hit the skids – temporarily. AIG opened at .52 on 03/02/09 and opened at 49.13 on 03/03/14. Or how about Citi? It opened on 03/02/09 at 1.50 and opened on 03/03/14 at 47.80.
    Stocks traded as PNC and BAC appear to be new symbols on 09/30/2008 (at least I found no prices for them before that).

    Earlier I pondered the poss that the banksters were waiting to modify for a period of time to come and go. Maybe I wasn’t far off:

    “Some at the Fed are wondering if the banks are holding onto, say, insurance against mortgage defaults, just to look good on the tests.”

    from here:
    http://finance.fortune.cnn.com/2014/03/17/fed-bank-stress-tests-2/?section=magazines_fortune

    I don’t say I understand that stuff; I just see what might be clues.

  26. johngault that why NY suing these lenders because they still doing some of the same crap. When the Justice Dept does not do its job as what been reported in the last days, these banks can do what they want. I feel it was almost better to be foreclose and take these clown to court instead watching these folks go through all this mess, and then when it at the end of Obama terms they be screwed!

  27. Maybe there’s a contractual deal or some kind of “statute of limitations”
    for the repayment of any monies that were forked over if a loan “modification” occurs (v f/c). Anyone know if the majority of that bs is happening on sub-prime loans? Are these guys getting some kind of brownie points for ‘considering’ loan mods?
    On agency loans, like fnma, is fnma continuing the guarantee payments, betting on rising home prices? Does everyone think it’s really just about the servicers snarfing more servicing and servicing-related fees? (maybe it is)
    I thought they were told to knock it off on dual tracking.

  28. @iwantmynpy if your going to tell something tell the truth and that is that I said Ginnie Mae was the first to sell MBS. Look you need to wiki and you will see that in 1970 Ginnie Mae was first. I=And most people here will testify that what I talk about is Ginnie Mae and the government insured loans (FHA & VA)!

    Now Fannie Mae been around since 1934 but they did not have Mortgage Backed Securities until later, because it was a new product in 1970. Just simply read a little!

  29. Charles Reed cannot be believed. He claims Freddie mac was the first agency to securitize loans. We all know that Fannie and FHLB’s were around 35 years prior to Freddie. C’mon Charles – get real… What were they doing for 35 years, packaging turds?

  30. @Shirley P I believe what BOA is doing is that your loan actually does not belong to them, and that they are just wanting you to not pay a payment so they can foreclose. This is a game to BOA and as long as they can draw this game out, who know you get may get tried or god forbid die. There end game is to hope that you one on the people who will just give up! There was just an article out about them doing what they are doing to you to others!

  31. If everything was approved and you are making payments why the need for a letter of intent, hardship and start “the process”? WHAT process?

    Don’t let it get too far, just saying. Good luck, BOA is the worst.

  32. They are like BOA . I have been paying a trial payment since Feb.2013. They said notary papers were signed wrong. Both notaries was with BOA one at a bank branch the other person came to my house. well back in Nov. 2013 I called on the 1st to make the payment that’s when I was informed that the modification was approved and in Dec. 2013 I can start paying the set amount, they even sent it to my NACA file that it was approved. Beside that they told me that I could start back paying online plus they sent a paper statement for Dec.2013 & Jan 2014. to make a long story short why in the middle of Jan. 2014 they started send letters of intent & papers for to explain hardship and to start the process of a modification. I am alone with the rest of you being dragged alone by this company. I call these people every week and get the same response that they don’t know what happened and the see in the file where the modification was approve.

  33. @neidermeyer I think that as Wells Fargo is that outside bank of New York as was Washington Mutual Bank and now that NY newspapers are on to some hicks as with BOA, have taken the all the big shot papers financial experts on this fake ride, which I am seeing the awakening of these reporters.

    I don’t think this story waits until the election because the NY Times just busted Atty Gen Holder out over the Justice Dept IG report that caught them in inflating cases they had brought recovered monies from the $1 billion, to actually $95 million and prosecuted 504 but actual like 100 people.

    javagold the bank are Democrat money not the GOP and I believe that the Clinton are too close to the banking industry and she would need all the money she could get. Hillary was just at something with Goldman Sachs. I believe why Obama not active in this is because bank put and have keep him in office.

  34. I think WF is under more pressure to fraudclose as a SERVICER with fraudulent paperwork.

  35. N, I agree with you. After the midterm elections. Besides he has to help get Hillary elected not that I think she is the greatest choice. Once again, it is going to be the least smelly one.

  36. @ Charles Reed ,

    I agree with your assessment ,, my question is when will Obama turn this situation to his advantage and nationalize the money center banks? He has to pay back Soros sometime… I think it’ll be shortly after the midterm elections.

  37. IN the case of New Century the payments were stolen by them. Lines of credit were never paid back and the Delaware bankruptcy court knows it.

    They never secured a line of credit to notes and they are years later while still in bankruptcy assigning notes to servicers for the full balance due…How the heck can New Century assign something that is the property of the court, send it to a servicer at the full amount-when they never attached a lien or paid for the loan and stole payments defaulting the loans in the same year they filed bankruptcy and the homeowner was current?

    Talk about criminals, fraud and perjury, times 10…

  38. This behavior also dovetails nicely into the whole “debt collection” scam that these servicers engage in. Debt collectors do not have the necessary documents either, but they still collect from borrowers anyway.

  39. I reported on Wells Fargo now since Oct 2010 and there situation with blank Notes, and the simplest way to handle this crime is with the Ginnie Mae MBS because there is not the situation were as with the other two in Fannie & Freddie were they can purchase home mortgage loans and they do also create securities and sell them.

    Ginnie Mae is caught in a situation that none of the loan placed into the pools will ever have and endorsed Note. Now I see how Wells Fargo and the other large lender get around UCC 9 as long as they originated the loans and they are in possession of the Notes whether blank or not, the originator does not have to provide proof of ownership.

    This is why Ginnie Mae makes these clowns the custodian as it serves two were Ginnie got control were the bank cannot run off with the loans, and lenders when there is a situation that title involved and the lenders are already in the “lien” position.

    However these lenders/servicers are servicing loan for other lenders and are in possession of the blank Notes but not as the lender, and as we know WaMu, IndyMac, Countrywide and Wachovia were these blank notes have been transferred and in order for the properties to be foreclosed there is a burden of proof that on the shoulders of the party claiming a financial interest.

    I think that Neil is now seeing that the properties and all the payment go back to the homeowner. However Neil still does not understand that these other folks that monies that he is saying flow through the bank before the closing, if they are not banks they cannot produce a home mortgage loan if they are no license lenders.

    Yes the loan are sold at least once more when creating securities out of the same loan and maybe with other product in bond or whatever.

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