FDP MODULE 1 – UNDERSTANDING THE MORTGAGE PROCESS
Welcome to your first step in foreclosure education.
This is a big step and it does take a lot of
1) Courage to move forth with this process
If you are about to face foreclosure, there’s really no other choice. It’s either go down quietly or go down fighting.
It is natural to feel nervous. You will be severely tested over the coming weeks/months or even years. That’s what this group is for. We are here for each other for support. We’re just seeking truth and rightful remedies.
I never said this was easy. There’s a lot of paperwork involved. Once you start this process, there’s no chickening out. You go all the way to the end. We will go through the process as I’ve outlined in my book. This course will go into more detail each step of the process and how you would fill out the forms…and why. I will be making videos to show you how so you can follow along.
Learning steps you can use to defend a foreclosure will take some time. You can not learn how to replace a car engine in just an hour. There is an old saying that “education is power”, however I think it should read “Education, Applied is Power”. Many of the things you learn from this website will go against what many have taught you. But you need to understand we have all been part of a huge scheme by the banks to steal the wealth of this world thru trickery and lack of disclosure. But once a magicians trick is exposed it is no longer a trick, and no longer very impressive.
We will be drip feeding you content so you are not overwhelmed with too much information at once. This coaching system would also teach you/remind you when you need to send what paperwork so that it will help keep you stay on track.
Much of what you will learn even the best foreclosure attorneys do not know or understand, as all they want is to keep the money flowing to them for the longest period of time. Much like Doctors not wanting to cure you, but only to mask your symptoms so you keep coming back for more and more prescription drugs. If you set aside a day to do some research like I have done, you will find that there are already many successful natural cures for almost every disease on the planet, But the Doctors have been brainwashed and trained to believe only drugs cure disease.
Well just like “Big Pharma” The banking institutions too have led people to believe certain things about loans, debt and money, that really are not even true. Once you complete this education course you should have the knowledge to defend your foreclosure better than any attorney in this country and at 1/5 the cost most attorneys would charge to help you defend that foreclosure.
Prior to starting down this path you need to understand that I am nothing more than a writer and a researcher. I am not wealthy and certainly not famous, but I am an awesome researcher. I do not claim to be an expert on anything. All I am doing is sharing with you that which I an others have used to help people stop their foreclosures in their tracks and receive new life at protecting their properties.
You must use your own intelligence to decide whether or not the contents herein are useful and relevant to your own given situation.
As I will repeat throughout this entire education program;
YOU SHOULD DO YOUR OWN RESEARCH TO VERIFY THAT WHICH IS WRITTEN HERE.
There is no GAIN without PAIN.
So that being said lets get started with Module one Understanding the Mortgage Process.
Before you can have any chance of stopping the foreclosure of your home you need to understand the process that forced you to give away your home as collateral on a loan that you never received. Stick with me a little longer for your eyes to be opened.
What do you mean I never received a loan? That’s right, you never received a loan to purchase the home you have been living in since you signed the deed of trust and promissory note.
OK it’s complicated. But I have distilled it down to a few sound bites that more or less captures the basic truth of why you don’t owe the money on that mortgage note, credit card, student loan, auto loan, furniture loan etc. Even small businesses may not be required to pay small business loans.
“When you or I write a check there must be sufficient funds in our account to cover the check, but when the Federal Reserve writes a check there is no bank deposit on which that check is drawn. When the Federal Reserve writes a check, it is creating money.”
— Putting it simply, Boston Federal Reserve Bank
“I believe that banking institutions are more dangerous to our liberties than standing armies. Already they have raised up a monied aristocracy that has set the government at defiance. The issuing power (of money) should be taken away from the banks and restored to the people to whom it properly belongs.”
–Thomas Jefferson, U.S. President.
Now let’s go back to that fateful day when you signed your so called loan documents. Put your thinking cap on and try to remember the process.
After you completed signing the documents, including the deed of trust and the mortgage what did your title officer say while giving you copies of all of your unsigned documents? That’s right they most likely handed you a nice notebook with copies of all of your documents, and unless you were really lucky your copies were most likely delivered prior to your signing of them.
The loan officer most likely told you that you would be contacted later (in 3 to 6 days or so) when your loan had funded. If it was a refinance that meant your new payments would start going to a new lender in about 45 days, and if it was a purchase you would be able to move into your new house after that funding was final.
The fraud that these pretender lenders commit against unwilling borrowers can be found in the words that they use in the agreements and documents.
NOW!!! Go find your loan documents and look for a document that may be titled “Fixed Rate Note”,” Adjustable Rate Note”, or just plain “Note”. Did you find it? Now go to the first paragraph and see if it contains “BORROWER’S PROMISE TO PAY” (usually paragraph 1). Here is what nearly every mortgage promissory note states:
“In return for a loan that I have received, I promise to pay U.S. $192,000.00 (this amount is called “Principal”), plus interest, to the order of Lender. Lender is ABC Mortgage Company .. I will make all payments under this Note in the form of cash, check or money order.
I understand that the Lender may transfer this Note. The Lender or anyone who takes this Note by transfer and who is entitled to receive payments under this Note is called the “Note Holder.”
I have reviewed literally thousands of these notes over the years and it was only about 6 months ago that I looked at that paragraph closely to really understand what it was stating. I have since pulled out hundreds of notes and the same language is in every single one of them.
Now let me ask you the next question, did you receive any Gold, Silver, Cash, Check, or Money Order or any other type of funding prior to signing the Note or Deed of Trust / Mortgage document?
I can tell you right now that your answer is mostly likely NO!!!
Not just no, but HELL NO!!!.
Then why does the language at paragraph 1 say “In return for a loan that I have received”? It is because once you signed the note, that note became a security instrument and was treated as an asset for the bank. Prior to placing your signature on the note the note was nothing more than a worthless piece of paper.
Banks and Legal professionals use language as a basic way to con consumers out of money, and good property.
It is through the constructive use of language in documents, these banksters and even the local judiciary are able to fleece money from consumers without their knowledge or understanding and without disclosing the nature of contracts who are often unwillingly, unwittingly, and unknowingly scammed.
Now let’s look at another part of one of the documents. Let’s look at a copy of a Deed of Trust. A deed of trust is like a Mortgage; however it is used only in Non-Judicial States.
In that document look for Paragraph ( C ) it will say this ( c ) “Lender” is Big Bad Bankster, Inc. Lender is a Banking Corporation organized and existing under the laws of your state.
Now there can only be one party defined as the lender as we see above in the definition of who the lender is. Then why is it that a servicer or supposed investor files a substitution of trustee Document substituting a new trustee of the deed of trust? And in most cases this new trustee is someone the foreclosing party has a close relationship with. Such as Bank of America and ReconTrust.
Let’s look at another paragraph closer.
24. Substitute Trustee. Lender, at its option, may from time to time remove Trustee and appoint a successor trustee to any Trustee appointed hereunder by an instrument recorded in the county in which Security Instrument is recorded. Without conveyance of the Property, the successor trustee shall succeed to all the title, power and duties conferred upon Trustee herein and by Applicable Law.
Does this paragraph above not say LENDER, at its option may appoint a successor trustee? It does not say Servicer, Investor, Creditor, Fannie Mae, Etc. it says LENDER. It does not say LENDER, or lenders assigns.
See what these guys are doing here?, They are changing the meaning of words in the so called agreement. However Servicers, Trustees for Trusts, Investors on a regular basis create, submit and record Substitution of trustee documents daily in order to put on the side of the foreclosing party a trustee that will follow their directions, not protect lender and borrower equally as they are designated to do.
HMMM let us see what other word games are played by the lender in the paperwork.
Many times the foreclosing party when a homeowner tries to challenge the validity of an assignment of deed of trust, tries to claim that the homeowner has no standing to challenge the assignment as they are not a party to that assignment.
Now take a look at the wording in a paragraph of a deed of trust.
Here is why you do not have to assert standing to raise challenges to an assignment of deed of trust or substitution of trustee.
Bassman (previously referenced) informs us of some of the additional difficulties of asserting, and proving, standing to challenge an assignment. “To have standing, a party must have suffered an injury to a legally cognizable interest.” Commercial Credit Loans, Inc. v. Espinoza, 293 Ill.App.3d 923, 929 (1997).” Bank of American Nat’l Assoc. v. Bassman FBT, L.L.C., et al. 981 N.E.2d 1, 7 (Ill. App. Ct. 2012).
Similar is expressed in many state constitutions that have an open courts doctrine. All courts shall be open, and every person for an injury done him in his lands, goods, person or reputation, shall have remedy by due course of law, and right and justice administered without sale, denial or delay’ [emphasis added].
Lets use the State of Kentucky for example:
Implicit in the open courts provision of Kentucky’s Constitution is a restraint upon the courts to the adjudication of actual justiciable controversies. The Kentucky state Constitution reinforces this restraint within §112(5), which states, in relevant part:
The circuit court shall have original jurisdiction of all justiciable causes not vested in some other court [emphasis added].
These provisions limit access to the courts to real parties in interest suffering an “injury.” The open courts provision expresses that courts are to be open for “justiciable causes”. A “justiciable cause” has been defined by the Supreme Court of Kentucky as a “controversy in which a present and fixed claim of right is asserted against one who has an interest in contesting it.” West v. Commonwealth, Ky., 887 S.W.2d 338, 341 (Ky. ).
The Kentucky Constitution places substantial restrictions on the power of judicial intervention by limiting its availability to those real parties in interest who have suffered an “injury” and pled a “justiciable controversy.” The limitation placed upon the power of judicial authority via Section 14 of the Kentucky Constitution is a limitation upon the court’s subject-matter jurisdiction, and as such, it cannot be waived. Cann v. Howard, 850 S.W.2d 57, 59 (Ky. App. ). This is also true with almost every other states constitution.
When presenting a challenge to a void assignment of mortgage or conveyance are these the kinds of arguments you want to force yourself to make, and win? Right from the get go? There is an easier way.
The Contractual Obligation to Defend Generally the Title, or Keep It Simple Silly
The simpler we make this for our courts the more likely we’ll obtain our desired result; a fair proceeding, equal and fair application of the rules of procedure, the rules of evidence, terminating in justice.
Now, pull out, or up, your mortgage or deed of trust. Find the following language, which should be located around page 3 towards the bottom of the page:
“BORROWER COVENANTS that Borrower is lawfully seised of the estate hereby conveyed and has the right to mortgage, grant and convey the Property and that the Property is unencumbered, except for encumbrances of record. Borrower warrants and will defend generally the title to the Property against all claims and demands, subject to any encumbrances of record.”
You don’t need to assert standing to challenge the validity of an assignment after all. Did you see the part that contractually obligates the borrower to “defend generally the title to the Property against all claims and demands?” To this layman it looks to be “Contract Law 101.” And even better it is found in a seminal document; the mortgage or DOT.
READ THE RULES: These banks are trying to get you to play a game with them, yet they refuse to show you how the game is played or what the rules are.
As I will say all throughout this book, don’t believe a single word I say. DO YOUR OWN RESEARCH, and you will find the same answers that I have found.
If you do not believe these things I state about the banking profession, just go read many publications written and created by the different Federal Reserve Banks.
For instance: 1. Modern Money Mechanics” published by the Federal Reserve in Chicago, or “The two faces of debt” or “Hats the Federal Reserve Wear”.
Just “google” Federal Reserve Publications and several will come up. You will have access to all of them as a member of Foreclosure Defense Programs.
What I have talked about so far in this chapter is not something I have made up, it comes from the Federal Reserve Itself and various banking laws.
And to top it off, the sooner you understand that Banks, Lawyers, and even Judges are not your friends, the sooner you can begin to take back control of your life.
Why do you think the title officer gave you unsigned copies of your documents prior to your signing? If you were given signed documents then you were one of the lucky ones as in most cases homeowners were never given signed copies of their documents. I was one of the lucky ones who got signed copies. I recently looked at my document package and quit counting after I saw my name signed on over 62 documents. And many of them I do not even remember signing, nor did I understand them after I read them.
What you need to take away from this module is that many people are deceived thru the use of wording that the deceived person does not understand or is afraid out of ridicule to ask for an explanation. Now when you were at the title table signing those documents, were you given all the time you needed to read, ask questions and understand each and every document that you were asked to sign? Or were you rushed as the title officer flipped from signature page to signature page using little arrows attached to each signature page?
While at the same time the title officer stating “I have another signing coming in soon so we need to get these documents signed”. Having attended dozens upon dozens of loan signings, I tend to believe you were most likely rushed at the signing table. Did you even question the paragraph we discussed above “In return for a loan I have received”? Most likely you did not even notice the way it was written.
This Training Process shows you how to take the initiative after understanding the process that has been forced on you without full disclosure and understanding. Copies of letters and documents to be used as exhibits for your own action will be laid out for easy understanding.
But first your bank and their lawyers will have the privilege of reading all of the material, and if presented properly can have them quaking in their boots.
This information is comprised of thousands of hours of research, as well as trial and error and personal experiences.
Now let me throw in a word you should understand prior to getting educated. RESPONSIBILITY;
Basically, the person who wants a change is responsible for making it happen. It is no skin off my nose if you lose your property. It is up to you to learn the options you have in order to protect your property from thieves. When we wait, we feel passive, and worse, at the mercy of the sensitivity of others, such as friends and relatives stating. “You can’t fight the bank, You can’t expect a free house”. Well what if the bank stole the house thru deception??? and you never even knew it? Would you be in the wrong then? NO. Instead of allowing yourself to be a victim, become a champion.
You need to understand that Banks and even Government lies to get what it wants.
for instance President Nixon at one time kept assuring the people that he did not want price controls, and that he di not want Congress to even give hime the power to have them, and that he would never use them if they did. Then what did he do he used them and froze wages and prices.
and President Lyndon B. Johnson said the following when people in America started to Hoard Silver. “Some have asked whether silver coins will disappear. The answer is definitely NO! Our present coins will not disappear and will not even become rarities” Less than 2 years after making that statement Silver Coins were withdrawn from service and replaced with Nickel-plated ones.
People need to understand that were there is smoke there is fire.
Understand that there is no statute of limitations on Fraud.
Now in the Next Module we will go over your rights as a consumer.