“Fake news” is now the dominant form of spreading disinformation in our marketplace. The banks are in control of media outlets — some created by the banks — that keep spewing out false data about the foreclosure crisis being over. It isn’t true. It never was true. We still have millions more to go and that doesn’t include the new “delinquencies” that will hit the shores as the race continues to move money through false claims of securitization.
Get a consult! 202-838-6345
While most of the banking sector is claiming that the mortgage mess is over, the data shows that we (a) never hit any bottom and (b) that foreclosures are beginning to spike again.
The threat to the economy and market indices is a clear and present danger to our national economy and to the geographical areas that have yet to be decimated by declarations of default, foreclosure filings by strangers, and the wholesale sweep of once vibrant neighborhoods.
As we have seen many times in our history, Wall Street is one big selling machine. And the players on Wall Street will continue to sell anything that they convince others to buy regardless of quality and certainly regardless of social cost. Despite the lessons that could have been learned from the 2008 crash, the banks continue to retain ill-gotten gains siphoned out of the American economy and continue to pursue more ill-gotten gains.
The goal was and continues to be foreclosure because once the foreclosure judgment is signed there is a presumption of validity to everything that preceded the foreclosure judgment or sale. In fact, though, in nearly all cases where the “owner” is portrayed as a REMIC Trust, the trust was never used in any capacity except for invoking the name of the trust, whether it existed or not and whether or not the trust ever had any business or assets. The trust was cover for global theft.
Black Knight reports that there are now 2.8 million delinquent loans. What they do not report is that they continue the same behavior as before (when they were known as LPS), to wit: creating fake data, fake documents and fake signatures using mechanical arms and an IT platform that performs the work required while keeping the client banks safely hidden from view.
As money continues to flood the marketplace, housing prices are once again climbing far above value. Value has historically been calculated, for more than 100 years, as the relationship between housing costs and median income. While TILA creates a duty of the lender to assure that its loan products are affordable, the only way the banks make the big money is by making sure that the loans go into default. And the only way the banks can create a veil of legitimacy over their illegal scheme of false securitization claims is to foreclose — because it is the only legal outcome that protects them from lawsuits and enforcement actions.
In the current market deregulation of the banks will have little meaning — just as regulating them will mean nothing if we forbear enforcement actions. With the Court system presuming that the transactions originated were actually loans between the payee on the note and the homeowner and with legislators at every level heavily influenced or bought by the banks the burden of righting the ship falls on the victims of foreclosure — the homeowners and the investors. And since the investors have no appetite for attacking the TBTF banks, that leaves the homeowners who have scant resources to mount a credible attack on the banks — except through mass joinder actions that have been stained by insult.