Mortgage rescission

Mortgage rescission

http://www.insurancejournal.com/news/national/2008/07/07/91590.htm

Banksters won round one

http://www.law.com/jsp/article.jsp?id=1202424898392

They are running new laws through congress to avoid this ( I can't find the bill)...it would be a good subject for ZH to look into. You can go back three years, I am guessing a large portion of all mortgages would fall under this.

What Reg. Z says (12 C.F.R. § 226.23(d))  is that when a consumer rescinds a transaction, the security interest giving rise to the right of rescission becomes void and the consumer is not be liable for any amount, including any finance charge (ie. interest or closing costs).

http://ezinearticles.com/?TILA-Mortgage-Rescission-Complete-Defense-to-Foreclosure&id=2319220