FIGHT FORECLOSURE - - AND WIN!
THE STANDING DEFENSE
What is Standing?
Of all the weapons to fight foreclosure that you have in your arsenal, by far the most important and effective is the legal defense of standing. Standing is the necessary element of proof requiring a foreclosing party to show that he or she is the true owner and holder of the promissory note on upon which he or she is foreclosing.
Why is Standing So Important As a Foreclosure Defense?
Standing is critical in foreclosure defense involving securitized loans because of the way the securitization process works. Securitization is the process, devised and participated in by a small number of huge financial institutions, of converting a loan into a stock certificate, thereby creating profits many times more than which could otherwise be realized by simply receiving interest alone.
Because the securitization process involves transferring the mortgage obligation to a number of different entities before it ends up in the trust from which securities are sold, oftentimes the documentation falls short of that normally required to evidence transfer of such obligations. The problem then that parties seeking to foreclose on securitized loans have is that, when pressed, it is difficult for them to prove that they are the proper party to be bringing the action; in other words, that they have standing.
How Does One Facing Foreclosure Use the Standing Defense?
If you are fortunate enough to know the identity of the trust into which your loan was allegedly placed, you can go online and check the trust prospectus to find out who all the entities are who allegedly claimed ownership of your loan. This then allows you to compare the documents produced by the party seeking foreclosure with the chain of title of owners set forth in the trust prospectus.
If the identity of the trust is not readily apparent, then you must find that out either by way of a Qualified Written Request (“QWR”), if you are not in foreclosure, or by discovery if you are. Either way, once you know the identity of the trust, you are then able to compare the representations in the prospectus with the documents which the foreclosing party produces to attempt to show standing. Chances are, that you will then be able to punch holes in that party’s claim, successfully fight foreclosure, and stay in your home.
McGookey Law Offices, LLC
Daniel L. McGookey
Trey Hardy
Tuesday, January 26, 2010
FIGHT FORECLOSURE - - AND WIN!
FIGHT FORECLOSURE - - AND WIN!
BROUGHT TO YOU BY McGOOKEY LAW OFFICES, LLC
DANIEL McGOOKEY AND TREY HARDY
In the year and a half since I have been involved in helping distressed homeowners fight foreclosure on an almost full-time basis, I essentially had to “unlearn” all of the principles I became familiar with over the course of twenty-nine years of practicing commercial and banking law. These principles had held true with respect to lending procedures of legitimate lenders, and my knowledge of them had served me well.
However, what had been an asset for me when dealing with loans from legitimate lenders, my knowledge of the industry, turned out to be a huge detriment when considering the highly predatory, illegal loans of illegitimate, securitized lenders. That is because the fundamental rules governing those loans are diametrically opposed to each other.
First, and foremost among the differences is that the party claiming to “own” your loan, typically a trustee or a loan servicer acting on behalf of a trustee, in reality has no beneficial interest in your loan since the loan has already been bundled with hundreds of thousands of other loans, and sold to investors. Having no beneficial interest, these “lenders” have no incentive to work with distressed homeowners in helping them save their homes. Thus, when you realize that you can’t work with them, you must resolve yourself to stand your ground, and fight, if you are to keep your home.
Fortunately, and this is key: the very system which was engineered to maximize the profits of these illegitimate “lenders” in fact produces opportunities for the victimized homeowner to win the foreclosure fight. It is very difficult for me to think of how many families lost their homes when they could have stood and fought successfully, and kept them. I am sad to estimate that number in the tens of millions. Don’t let yourself and your family become part of that group. You have a number of weapons in your arsenal. All you have to do is become aware that they exist, and how to use them.
McGookey Law Offices, LLC
Daniel L. McGookey
Trey Hardy
For a discussion of the most effective weapon you have in fighting foreclosure, please visit our website at www.mcgookeylaw.com.
BROUGHT TO YOU BY McGOOKEY LAW OFFICES, LLC
DANIEL McGOOKEY AND TREY HARDY
In the year and a half since I have been involved in helping distressed homeowners fight foreclosure on an almost full-time basis, I essentially had to “unlearn” all of the principles I became familiar with over the course of twenty-nine years of practicing commercial and banking law. These principles had held true with respect to lending procedures of legitimate lenders, and my knowledge of them had served me well.
However, what had been an asset for me when dealing with loans from legitimate lenders, my knowledge of the industry, turned out to be a huge detriment when considering the highly predatory, illegal loans of illegitimate, securitized lenders. That is because the fundamental rules governing those loans are diametrically opposed to each other.
First, and foremost among the differences is that the party claiming to “own” your loan, typically a trustee or a loan servicer acting on behalf of a trustee, in reality has no beneficial interest in your loan since the loan has already been bundled with hundreds of thousands of other loans, and sold to investors. Having no beneficial interest, these “lenders” have no incentive to work with distressed homeowners in helping them save their homes. Thus, when you realize that you can’t work with them, you must resolve yourself to stand your ground, and fight, if you are to keep your home.
Fortunately, and this is key: the very system which was engineered to maximize the profits of these illegitimate “lenders” in fact produces opportunities for the victimized homeowner to win the foreclosure fight. It is very difficult for me to think of how many families lost their homes when they could have stood and fought successfully, and kept them. I am sad to estimate that number in the tens of millions. Don’t let yourself and your family become part of that group. You have a number of weapons in your arsenal. All you have to do is become aware that they exist, and how to use them.
McGookey Law Offices, LLC
Daniel L. McGookey
Trey Hardy
For a discussion of the most effective weapon you have in fighting foreclosure, please visit our website at www.mcgookeylaw.com.
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