Anyone affected by the Chase/BoA/Ally foreclosure halt?

[tridim]

http://articles.sun-sentinel.com/2010-10-01/business/fl-chase-foreclosure-1001-20100930_1_foreclosure-cases-gmac-mortgage-bailout-money

I am, but I'm completely clueless, and so was Chase when I called them.

My house is in foreclosure due to job loss and I'm in the middle of a short sale (zero buyer interest so far), but now my foreclosure date is in question. I have no idea what to do, and no money for an attorney. What's next?

We need to talk about this and keep in contact. I can't be the only DU'er who this is affecting. This crazy ride is driving me nuts.

[glowing]

1. How does one even find out?

[tridim]

2. I figured calling the bank would work, but it didn't

I've read some forums where people say it'll be decided in the next few weeks. Which of course doesn't do me a bit of good. I'm up against the clock here, and every day counts.

I'm looking for answers too.

[grasswire]

3. what a frustrating position you are in

I don't think anyone knows what is going to happen. It appears that criminal charges may be filed against the banks -- they truly engaged in fraud and forgery, it appears. God knows what else. I hope the courts decide that mortgages be forgiven and properties revert to the homeowners. A sort of "jubilee" for homeowners. Let the banks carry the losses; they are the ones who broke laws and stole.

[the redcoat]

4. You may have to FIND the money for an attorney

The reason for all these moratoriums is that governments are realizing banks are essentially just foreclosing on people's homes "in good faith" that they'll leave, without actually having any legitimate paperwork or even the mortgages to these houses (this is also touched upon in that article you linked to). Bottom line: if the bank can't show you your mortgage is in their possession, then they can't make you leave.

[lunatica]

5. Last week I wrote my mortgage company and asked for the Note

GMAC is one of the big mortgage companies that's in trouble.

I wrote them and asked for a copy of the Mortgage Note. If they don't have it that means they've been collecting my mortgage payment illegally. It means trouble if I want to sell the Condo because without the Note there is no telling who owns the mortgage.

It also means I've been paying into a black hole garbage heap to a company that is illegally taking it.

[tridim]

6. I'm pretty sure Chase doesn't have my note..

Just a hunch because I've noticed over these past months that they are completely disorganized and clueless about almost everything. My mortgage was sold 4 times in 7 years. The only entity I trusted was the lender I chose initially. After that, who knows?

My realtor said to wait on the "produce the note" letter until they tell me to get out.

[lunatica]

7. Evidently they can't make you leave if they can't produce the note.

Because without the note there is no telling who owns your mortgage. Without the Note Chase doesn't own it.

http://www.bloggingstocks.com/2009/02/27/three-words-to-stall-foreclosure-produce-the-note/

Three words to stall foreclosure: 'Produce the note'

Posted Feb 27th 2009 1:50PM by Peter CohanPeter Cohan RSS Feed
Filed under: Housing

Are you in foreclosure proceedings? If so, you can stay in your house longer than you might have thought. All you have to do is tell the bank to hand you a copy of the mortgage contract that proves you are on the hook to pay and specifies the terms of the foreclosure. As long as the bank cannot deliver you that contract, you can stay in the house.

I am not a lawyer; nor am I going to play one here. But if you tell the bank to "produce the note," it must deliver you the paper copy of the contract. And thanks to the way the mortgage market has changed in the last few decades, that simple request could be difficult to fulfill. That's because most mortgages used to get sold to investment banks who packaged them into mortgage-backed securities and sold them to investors around the world.

The punch line is that your mortgage contract is very unlikely to be sitting in the offices of the person who got you to fill out the paperwork. It could take some time to find out exactly who has the contract. And while the bank is searching, you can stay in the home. The produce-the-note movement started in 2007 when a federal judge in Cleveland threw out 14 foreclosures by Deutsche Bank National Trust Co. because the bank failed to produce the original notes.

It may be an effective delaying tactic, though it won't stop the process unless the paperwork has disappeared. If you've used produce the note, please comment on your experiences.

[lunatica]

8. A site that tells you what to do

http://commonlaw.findlaw.com/2009/02/produce-the-note-foreclosure-delay-tactic-can-encourage-lenders-to-negotiate.html

(snip)

Along with others, the Consumer Warning Network is actively pushing the "produce the note" strategy as an effective means of delaying foreclosure and creating additional incentive for lenders to renegotiate payment terms.

As described in Consumer Warning Network's How-To, the strategy works as follows:

1. After you receive notice of a foreclosure suit from a lender who claims to own your mortgage, you file a request, with the court, for production of the original promissory note.
2. If the lender does not respond in 30 days, you file a motion to compel production of the note. This is a request that the judge order the other side to produce the note.
3. Most often there will then be a hearing where the judge will decide whether to force them to produce the note or not. Should you win, the lender can't foreclose until they produce the note (which could prove very difficult for them). Should you lose, you would still have had the extra time in the home and perhaps the opportunity to negotiate with the lender.

Consumer Warning Network's How-To includes free forms for requesting production of the promissory note, and also for filing a motion to compel. The group warns against scams offering "produce the note" forms for a fee.

[pnwmom]

9. Wouldn't this only apply to the states that require courts to approve foreclosures?

I understand that not all of them do.

[flvegan]

10. Are you in Florida?

What was the last action on your case's docket?