Shout out to LivingLies reader Rich Caires. The following information is not legal advice- contact an attorney.
Fore more information see: https://livinglies.wordpress.com/2016/06/13/discovery-your-blackknight-in-shining-armor/
If you have refinanced your property over the past ten years, you may want to research who signed the loan release. Only the true creditor, not a servicer, can sign the release. The presumption that most homeowners, attorneys and judges make is that the property was paid off in full, the funds were provided to the trust, and the servicing rights were extinguished. When it comes to anything having to do with financing, assignments, mortgages, or title- no presumptions should ever be made. Question and challenge everything.
In a comment left on Livinglies, a reader pointed out that after he refinanced his property, he began researching releases on his property and other properties, and discovered that the same person was signing all of the releases. The WAMU signer was a known robosigner named Jocelyn Tate, a Lien Release Assistant Secretary from Duval County, Florida. However, her signature on all the releases was vastly different (the release documents were also notarized by Miriam E. Hapner Commission: DD385383 Expiring 10-24-2008).
The poster stated he had a forensic analysis done on his original note that was supposed to have been paid off by the new WAMU loan that was securitized through WAMU Pass Through Certificate Series 2007-OA1 with LaSalle as Trustee. The forensic analysis showed that the prior mortgage was never assigned to the TRUST. Therefore, who did the refinance pay off if the trust did not own the Note?
Other red flags were raised. The “release” came from “Washington Mutual Bank, FA, last assigned Mortgagee and holder of a certain mortgage”, when the release should have come from the original Trust not WAMU. Requests for the return of the original Note (to remove it from commerce) were not honored. The whereabouts of the original Note are unknown and cause concern for the homeowner that the Note is still floating around somewhere and could cause him future problems if the true creditor makes future payment demands on the Note. Although it is likely that the original Note was destroyed and never delivered to any trust- this is not the way the delivery, transfer and satisfaction of a Note is to occur under current law.
It is probable, based on the information provided that the Note was never paid off (there was no trust to pay off), and the proceeds from the refinance that were detailed in the HUD settlement statement were stolen by the pretend lender. Since the party on the prior “mortgage” and “note” was simply a conduit, they would not have received a penny from the new closing with the “borrower.” The reason for this is simple: they never had a dime of their own money in the loan nor were they in a contractual relationship with anyone who did have money in the deal.
A fraudulent refinance has several critical legal issues that should be addressed: (1) a satisfaction of mortgage from a non-mortgagee and (2) no consideration for the signing of the loan documents and (3) withholding that information from the “borrower” who in fact borrowed no money from the “refinance” of his prior “loan.” This means that the loan documents should never have been signed or delivered much less recorded. It also means that the current loan documents (and possibly the previous loan documents) are VOID and thus subject to an action for a Quiet Title action.
Background: To Release a Deed of Trust or Satisfaction of Mortgage
Normally a Release a Deed of Trust or Satisfaction of Mortgage is signed and executed by the Current Owner of the Evidence of Debt (Lender) when the note is paid in full and then submitted to the Public Trustee of the county where the property is located. The documents are then compared and reviewed for accuracy, signatures and then the release is filed with the County Clerk and Recorder.
There are requirements for releasing a Deed of Trust in the county where the property is located. The following documents are typically required to receive a release :
- Original Promissory Note that corresponds exactly with the Deed of Trust, including the principal amount, dates and the number of notes/deeds of trusts involved: Marked Paid in Full. If the original promissory note has been lost, a Lost Instrument Bond must typically be furnished, or if the owner of the evidence of debt is a Financial Institution- the Public Trustee may accept, in lieu of the Promissory Note a Request of a Deed of Trust in some states.
- Recorded Deed of Trust, can be the original or a copy. The Clerk and Recorder’s original recording information must be legible.
- Request for Release of Deed of Trust form. The release form must have the following:
- Correct name of Borrower
- Correct name of the owner of the Evidence of Debt (Lender)
- Exact corresponding information on the Deed of Trust and Note
- Recording information of Deed of Trust
- Notarized Signature/Signatures of Lender/Lenders
- Address to where the recorded release is to be sent .
Nothing is as it appears when it comes to Big Banks with an agenda.
Filed under: foreclosure