Vice Presidents are a Dime a Dozen

I have audited countless loan documents now and I cannot tell you how often I see purported “Vice-Presidents” of MERS, Inc. (a problem in itself as the savvy know) sign on the same day as the Vice-President of the Trustee, notarized in a different state and at an address highly similar to the trustee’s, and then recorded as though this was legitimate.

As Neil Garfield puts it on his informative blog, Living Lies (wordpress) “Just think about it. Who is signing this new documentation? Most of the originating lenders are dead and buried. How can someone claim to be a VP of a dead company? And even if that signature was authorized, so what? The loan belongs to some group of investors or some insurance company that bailed out the investors, or the counterparty to a credit default swap, or the U.S. Treasury who paid $600 billion so far for “Troubled Assets” or the Federal reserve which has extended credit taking the “troubled assets” as collateral. This isn’t complicated from the borrower’s point of view. The borrower has a right to know the identity of the true lender as of the current time whether his loan is in default, foreclosure or already has been foreclosed.

AND the borrower has a right to know if someone has paid off the obligation and if there is some new obligation or new contract caused by the various permutations of pooling, insuring, cross collateralizing, bailouts etc. If there is an obligation who is the obligor? Whop is the obligee? What is the current amount of the obligation? What are the terms? In simple terms, who owns this mortgage (if anyone) who owns the note (if anyone) who do I pay my monthly payment to? Am I at risk of making payment to some company just because they said so, and then receiving a claim from several other companies having the original paperwork on the same loan, the same note, the same mortgage, and the same property?”

 

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