Wells Fargo caught with "how to defraud homeowners" manual.

[ms.smiler]

99. dixiegrrrrl, I'm sure you'll remember this Salon report.

Your Mortgage Documents are Fake

http://www.salon.com/2013/08/12/your_mortgage_documents_are_fake/

From the article:

“A newly unsealed lawsuit, which banks settled in 2012 for $95 million, actually offers a different reason, providing a key answer to one of the persistent riddles of the financial crisis and its aftermath. The lawsuit states that banks resorted to fake documents because they could not legally establish true ownership of the loans when trying to foreclose.”

“This reality, which banks did not contest but instead settled out of court, means that tens of millions of mortgages in America still lack a legitimate chain of ownership, with implications far into the future. And if Congress, supported by the Obama administration, goes back to the same housing finance system, with the same corrupt private entities who broke the nation’s private property system back in business packaging mortgages, then shame on all of us.”

Mr. Papantonio interviewed David Dayen on his article. There's quite a contrast between the reality of securitized mortgages and Fannie's fanciful explanation contained in my previous post.

And this is why I’ve asked homeowners who are dutifully making mortgage payments to pause and consider that if it takes that level of fraud addressed above to simulate ownership of a loan in order to foreclose, what level of fraud is necessary at this moment to simulate ownership of their mortgage loans?