This is the dirty little secret of the banks.....
My loans on my homes were through BoA....in late 2000, they sold my mortgage to another bank, they informed me and BoA remained the servicing bank. The notes have been re-sold several times since. In short, my payments still went to BoA.
The entity I now owe the money to is the entity that physically has possesion of the original note I signed.
That entity is the one that can foreclose on my homes. I no longer know who that is....
In theory, I could continue to pay BoA yet have another bank institute legal claim....I’d be screwed....
What’s really interesting is that the original loan documents may no longer exist, lost with only copies existing.
In that case, I now legally own the homes since no bank can exert a original unsatisfied loan......
This is a real mess even for homeowners who pay their mortagages on time due to shoddy bank pratices....
This is a very important point. Many people think that because they are still sending payments to the same servicing agent, that servicing agent still owns the mortgage.
This is often not the case.
Unfortunately so many laws have been broken that congress is most likely going to pass a law to wave a magic wand and make everything right.
Foreign countries will sign agreements to handle international mortgages. Banks will get together behind closed doors and do the deals necessary to assign all of the mortgages.
And once again we will be told by the media that it was all done for our own good.
You understand this precisely. That is exactly the problem.