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Toxic Titles | Herkimer County Clerk to Nationwide Title Clearing “MERS Assignments and Satisfactions Do NOT Comply with NY Law"

4closureFraud's picture




 

TOXIC TOXIC TOXIC TOXIC TOXIC TOXIC TOXIC TOXIC TOXIC

TITLES TITLES TITLES TITLES TITLES TITLES TITLES TITLES TITLES TITLES TITLES TITLES

Well, lookie what we found here...

Right off of the Nationwide Title Clearing blog...

MERS Mortgage Assignments & Satisfactions in Herkimer County NY

Instead of indexing MERS Assignments or Satisfactions as simply an "Assignment of Mortgage" or a "Satisfaction of Mortgage" they will now also be indexed as a "minute." The reason given by the county, as per the county recorder’s written letters, is that MERS assignments and satisfactions do not comply with all the legal requirements per New York law.

The assignment letter states, "As a courtesy, we are advising you that the
attached Assignment of Mortgage has been recorded. However, the
Mortgage(s) referred to on this Assignment of Mortgage has not been
noted as assigned
. Instead we have noted as a 'minute'. The reason for
noting as a 'minute' is because the document(s) does not comply with all
the legal requirements under Section 321(1) of the Real Property Law
for marking the mortgage as 'assigned'. When a 'minute is entered, the
mortgage is noted as follows: 'document relating to mortgage recorded on
______ as Document # ____.' (The assignment must be signed by the
mortgagee or assignee. Assignments executed by MERS 'as nominee' will be
noted as a 'minute'.
)"

This appears that it does not affect the recording of these documents, just how they are indexed on record. It is still undetermined if this "minute" notation will somehow affect the mortgage satisfaction or assignments in the future. We also wonder if this will adversely affect title searches or property reports in the future for this county, especially if you conducted a search for all assignments of record.

 

"It is still undetermined if this "minute" notation will somehow affect the mortgage satisfaction or assignments in the future."

Really? "Undetermined" if this will affect satisfactions and assignments?

If they do not comply with all the legal requirements per New York law, it appears that they aren't worth the paper they are written on...

Here's a link to Section 321(1) of New York Real Property Law

If you didn't catch the key language from the letter, it comes down to this.

"The assignment must be signed by the mortgagee or assignee. Assignments executed by MERS 'as nominee' will be noted as a 'minute'."

This should get real interesting if the rest of the clerks in NY follow suit...

Good luck on "fixing" this one Nationwide...

Letter below...

www.4closureFraud.org

08 17 11 NY Herkimer County Clerk MERS Assignments

 

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Fri, 09/30/2011 - 02:25 | 1724971 tbd108
tbd108's picture

You gentleman are arguing a soon to be moot issue. When The Bernank prints up another 10 trillion to "save" the world's banking system, mortgage money won't buy stamps (think wheelbarrows of funny money).

Fri, 09/30/2011 - 02:24 | 1724969 tbd108
tbd108's picture

You gentleman are arguing a soon to be moot issue. When The Bernank prints up another 10 trillion to "save" the world's banking system, mortgage money won't buy stamps (think wheelbarrows of funny money).

Fri, 09/30/2011 - 02:23 | 1724968 tbd108
tbd108's picture

You gentleman are arguing a soon to be moot issue. When The Bernank prints up another 10 trillion to "save" the world's banking system, mortgage money won't buy stamps (think wheelbarrows of funny money).

Fri, 09/30/2011 - 00:10 | 1724798 Problem Is
Problem Is's picture

+5... Excellent work 4F
Keep providing the good information...

Fri, 09/30/2011 - 00:00 | 1724789 Dingleberry
Dingleberry's picture

MERS was created to AVOID FEES OWED TO CITIES/COUNTIES.....PERIOD.  Now the banks want the best of both worlds, MERS as a claim for them but NOT a liability since shit is now going in reverse. The IRS is already looking at this whole system as a SCAM...WHICH IT FUCKING IS, YOU STUPID BASTARDS THAT SUPPORT MERS.  Why the FUCK do you think the banks invented MERS???  Charity????

Thu, 09/29/2011 - 23:20 | 1724723 Caveman93
Caveman93's picture

Yeah, Love the Mohawk Valley. Lived there for many years. Miss the Italian Greens the most. HCCC FTW!

Thu, 09/29/2011 - 22:53 | 1724672 zorba THE GREEK
zorba THE GREEK's picture

That's what title insurance is for. Every mortgage requires mortgage insurance, and if you are paying cash in these 

troubled times, I would recommend you pony up the cash for some.

Fri, 09/30/2011 - 02:37 | 1724980 FinalCollapse
FinalCollapse's picture

Yes - they need owner title insurance, as opposed to lender title insurance.

Fri, 09/30/2011 - 04:22 | 1725011 daily bread
daily bread's picture

Is there an owner title insurance that pays if the initial mortgagor subsequently sheds the mortgage via MERS/Fannie Mae?

Thu, 09/29/2011 - 22:29 | 1724633 williambanzai7
williambanzai7's picture

It has now been close to a year since all of this blatant documentary fraud surfaced and what has been done about it?

There certainly is much to be said for the expression "robbing with a pen."

Fri, 09/30/2011 - 02:34 | 1724976 FinalCollapse
FinalCollapse's picture

It is  FUBAR - WB7. We can (and should) put thousands of people behind the bars, but the broken title chain will remain. Some originating banks, sold the same house ten times over, took money and gambled on the stock market, which promptly collapsed. How do you explain it to villagers in Norway - they own only 10% of what they invested, not counting the foreclosures?

Some people live in fractional house - they just don't know yet.

Thu, 09/29/2011 - 22:45 | 1724658 HardwoodAg
HardwoodAg's picture

The Mohawk Valley....Home to Remington and Ithaca firearms

Thu, 09/29/2011 - 22:15 | 1724602 bill1102inf
bill1102inf's picture

You will still NEVER get a free house.  Now pay up or move the f out.

Thu, 09/29/2011 - 23:02 | 1724694 TheMerryPrankster
TheMerryPrankster's picture

If you can't write fuck you can't do fuck. We're all adults here, if your vocabulary is so stilted that you can't express yourself without profanity, please feel free to spell it out instead of writing like a 7 year old texting her friends.

P.S. My house is paid for in full - I own it so I don't know who you are adressing or what you are on about.

Fri, 09/30/2011 - 00:46 | 1724856 UGrev
UGrev's picture

In NY, if you don't use profanity when you speak, then you're probably a fucking liar and you can fucking fuck off. /end sarc. 

Thu, 09/29/2011 - 20:28 | 1724363 SwingForce
SwingForce's picture

The minute somebody determines that MERS is a fraudulent entity born only to defraud counties of revenue, property owners of 1st owner's rights, and homeowners of legal title, its TILT: GAME OVER.

Thu, 09/29/2011 - 20:58 | 1724445 narnia
narnia's picture

bloodbath scenario #1:  all transactions with MERS being voidable.  imagine morgage originators having to fork over the original purchase price of every property that has nosedived in value.

bloodbath scenario #2:  all interest rate swaps being voidable.  imagine every financial institution receiver making money on the spreads of swap agreement to LIBOR having to reimburse that amount to payer/borrowers.  

 

Thu, 09/29/2011 - 21:31 | 1724520 I think I need ...
I think I need to buy a gun's picture

closing a property in New York was always a disaster. The attorneys have to do it and talk about a waste of everyones time and money. They still manage to not get the paperwork right.

Thu, 09/29/2011 - 20:21 | 1724339 PulauHantu29
PulauHantu29's picture

Buyers are at risk of title problems in these times...same thing happened in the last RE Boomtime in the 1980's.  The RE folks got so greedy that title closing mistakes, etc were very common. Years later when people went to sell, guess what...you find you discover a MASSIVE title problem and CANNOT sell yoru property!

I know...it happened to me!

Buyer Beware......

Buy at your own risk!

Thu, 09/29/2011 - 19:36 | 1724209 disabledvet
disabledvet's picture

Should be interesting if this makes the newspaper tomorrow. I won't hold my breath of course.

Fri, 09/30/2011 - 00:18 | 1724808 Nepenthe
Nepenthe's picture

Fuck off Troll. I have a mortgage assigned through MERS. I'd like to see this in the newspaper.

 

You should hold your breath just a bit longer...

Thu, 09/29/2011 - 19:40 | 1724218 johnQpublic
johnQpublic's picture

i will

thats where my second house is

we paid cash but can this affect us anyway?

 

Thu, 09/29/2011 - 19:18 | 1724153 beastie
beastie's picture

It's well known by now (it is? eveidence?) that courts don't consistently rely on Mortgage Electronic Registration Systems (MERS) assignments and therefore standard practice is for the mortgagee to assign the mortgage from MERS to the current holder of the note prior to initiating any court proceedings (If that were the case then we wouldn't have an article above). There are litterally millions of mortgages held in MERS and this doesnt invalidate the mortgages in any way (says who? you?). Now, I cant attest for Nationwide's policies on the matter (no? but you seem to be such an expert) but most competent attorneys won't go to court with the mortgage assignments not buttoned up (crawl back under your rock). If they do they're amateur hour.

Could this poster be drumming up support for their cause (Ya think?)

Quit trying to invalidate your mortgage so you can stop paying your bills. (Double whammy break in logical arguement)

 

So let me ask you dallasgringo, if that is your real name, do you deny molesting your dog? and if so do you also deny your Mom makes you dress up in her soiled underwear?

Thu, 09/29/2011 - 23:19 | 1724722 dallasgringo
dallasgringo's picture

Beastie, perhaps you should crawl out of your parents basement, presumably in the house they've been living in for free for the last two years by paying their attorney to fight the legitimacy of their mortgage, and learn a little about this business rather than spouting off like you actually do anyting remotely other than eat Cheetos off your belly while gaming with your quasi-friends in Hong Kong. I've worked in this business for more years than you've played internet watchdog but albeit less years than you've suckled on your surrogate mother's teet. But I digress. Trying to prove something to someone who's already taken a side on the subject is pointless. But let me try for your edification. 

An article is an article, a piece of opinion, in this case an opinion on a few letters that went out to Nationwide. If you're relying on the opinion of a blogger as fact, I have a bridge to sell you. I mentioned that I dont attest to the best practices that Nationwide employs but let try to educate your 13 year old mind. MERS was designed as an electronic database ultimately owned and controlled by the loan originators who wrote the mortgages to help avoid the hassles of recording every mortgage/deed/assignment of leases and rents/assignments from originator to issuer/etc in every County for the thousands of loans they were originating back in the origination hayday. It was well conceived on paper but not practical in the real world of foreclosures as judges, only in the wake of the foreclosure boom, not before, sought to shore up the ownership of notes by requiring the "chain of title" documentation of the assignment of loan documents from one noteholder to another.  This was merely to avoid any potential criticism from the mortgagor. Ask yourself why this hasnt come up as a major issue to date? This is headline material isn't it? Did banks/servicers just now start forecloseing properties? No. It's these one-off cases where some rookie law firm associate straight out of St. Mary's School for the Blind Law School didn't button up their pleadings before filing them and in turn the notices sent out by the Court Clerks reached the desks of bloggers who, yes, have an end goal of drumming up support for their cause. If MERS was a slam dunk way for your parents to get out of their mortgage, everyone, including your derelict relatives, would be doing it. It's not happening and the blogger who posted this is uneducated in this particular subjec to think it will.  

By the way, if you made it down this far after looking up any words beyond your 9th grade education, your last golden nugget of wisdom proved to everyone you 1) live in your parent's basement and/or 2) you're 13. Congratulatoins tool box!

Fri, 09/30/2011 - 15:31 | 1727083 FreudianSlip
FreudianSlip's picture

MERS was created by Banksters/Lenders and used to defraud borrowers and investors and churn one mortgage into multiple investment grade mortgages placed in multiple investment packages worldwide.

 

MERS was created by Banksters and used by Banksters to defraud.  MERS is just a vehicle created to make defrauding easier and difficult to unravel legally.  

 

What's the penalty?  Banksters did it, they're doing it and they will continue to do it.

 

They will get Congress to make a law for "the people" which will do nothing to help the people but will absolve all Banksters from any legal liability on their past actions. Rewrite your MERS mortage and you wave all rights to litigate the previous fraud.  Many probably own their home free and clear as their mortgage instruments are invalid recordings.

Fri, 09/30/2011 - 09:45 | 1725528 Popo
Popo's picture

Dallas --

Your summary is incorrect:

 "MERS was designed as an electronic database ultimately owned and controlled by the loan originators who wrote the mortgages to help avoid the hassles of recording every mortgage/deed/assignment of leases and rents/assignments from originator to issuer/etc in every County for the thousands of loans they were originating back in the origination hayday. It was well conceived on paper but not practical in the real world of foreclosures as judges, only in the wake of the foreclosure boom, not before, sought to shore up the ownership of notes by requiring the "chain of title" documentation of the assignment of loan documents from one noteholder to another.  This was merely to avoid any potential criticism from the mortgagor. "

 

Your summary makes it seem like preserving Chain of Title is some kind of an 'optional', best practice done to facilitate the sale process.  That's absurd.  It's black-letter law, and without it there was no transfer of ownership.  Period.  There is over a century of legal precedence to support this.   Your 'experience' is with a system that has in recent history been dysfunctional.  Your experience also includes practices that are legally invalid -- despite the commonality of their use.  Just because something has been 'understood' to work by certain industry players -- does not make it legally defensible.   Yours is the "everyone was doing it" defense.  By the same token driving 90mph is also "okay".  

 

To be clear:  The law firmly requires an unbroken chain of title and MERS servered the chain.  There are no if's, and's or but's.   The only reason that this isn't cut-and-dry is because of the cosmic-scale of the legal ramifications of the scam that has been perpetrated by America's largest lenders.  This is yet another example of too big to fail. 

But the "everyone was doing it" argument and the "I've worked in this industry for years, and I know how things work" argument are both idiotic.  The law says otherwise in no uncertain terms,  despite your deep familiarity with the fraud at hand.

Fri, 09/30/2011 - 00:33 | 1724834 anolmec
anolmec's picture

1 problem mr wizard............all the reasons you stated for the creation of MERS are 100% correct. Now, aint it a shame that THOSE REAONS WERE NEVER EVER EVER ESTABLISHED IN LAW. Your statment..... "MERS was designed as an electronic database ultimately owned and controlled by the loan originators who wrote the mortgages to help avoid the hassles blah blah blah is an old,tired, decietful, deflective, distractive line of horseshit that requires one to be a complete idiot to believe.......and judging by the remainder of your verbage, i would say you fit the bill.

Fri, 09/30/2011 - 00:08 | 1724796 Problem Is
Problem Is's picture

The 9th Rule of Fight Club
Newbies have to STFU and read their first 26 weeks...

Mr. 10 weeker...

Tyler: Check this clown's IP address... I think we have a TBTF bankster sock puppet posting from work...  a la BofA...

Thu, 09/29/2011 - 13:48 | 1722656 dallasgringo
dallasgringo's picture

It's well known by now that courts don't consistently rely on Mortgage Electronic Registration Systems (MERS) assignments and therefore standard practice is for the mortgagee to assign the mortgage from MERS to the current holder of the note prior to initiating any court proceedings. There are litterally millions of mortgages held in MERS and this doesnt invalidate the mortgages in any way. Now, I cant attest for Nationwide's policies on the matter but most competent attorneys won't go to court with the mortgage assignments not buttoned up. If they do they're amateur hour.

Could this poster be drumming up support for their cause? Quit trying to invalidate your mortgage so you can stop paying your bills.

Fri, 09/30/2011 - 05:29 | 1725045 FreudianSlip
FreudianSlip's picture

This is about Banksters replicating over and over again a single mortgage to package into multiple investment packages to market worldwide.  You know, the elephant in the room no one will discuss let alone prosecute.

The family making a monthly mortgage payment to a revolving door of Banksters servicing their one mortgage (which could now have been duplicated into 10 different investment packages) could be getting defrauded each time the holder of the note changes.  And now title companies and county clerks are recognizing some of the issues in robo signing and bullshit document recording.

The guy with the elephant inside his family home is not the crook, he's a victim....along with perhaps 9 other investors who also thought they bought his mortgage in an investment package.

The Banksters, being logical crooks, have worked out among themselves compensation for screwing each other.  As for the Justice Department and State Attorney Generals.....well, they are highly paid government employees being politically correct in their responses.  And, the taxpayers......... are taking it in the ass.  

Bonuses to the Banksters and fat raises for government employees.  Let's party!...and do it again.  Remember the 1980s Savings & Loan Crisis?  The Bankster schemes just escalate, they don't quit....what's the penalty?  

 

Fri, 09/30/2011 - 07:58 | 1725246 dallasgringo
dallasgringo's picture

I don't disagree with anything you wrote. I work in the CMBS arena and many of the loan documents are carbon copies of the last with minor changes to make the deal "work". This was to accomodate the volume which in turn facilitated the originate>sell to an issuer>securitize process that got that mortgages off the originators/issuer's books as soon as possible while bringing in the resulting fees. Many times the loan docs flat out suck but that doesn't change the fact that REIT X applied for and took out a loan with Bankster Y. The transaction can't be denied even if the documentation isn't the best. The funniest stories come when REIT X goes in front of a judge with an argument that Bankster Y lent them too much money and that is why their property cash flow cant service the debt. Nevermind the $10M REIT X cashed out at the closing of the loan.

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