I can’t see how/why in this age where most documents are digitized, why the banks don’t have the note.
Loans are sold all the time. This is nothing new.
One of the hallmarks of third world countries and banana republics, is that no one can easily come up with clear titles to property. Incomplete documents, lost documents, contested documents, counter claims, incomplete litigation etc etc. It sounds like we are taking another step down the road to becoming exactly like them.
It sounds like we need some “custody” banks to be repositories of documents for loans...sort of like some banks being the registry for certain stocks and their ownership.
It also sounds like some people will end up owning their houses free and clear, but won’t be able to sell them due to a faulty title.
a promissory note is a legally significant document.
you don’t cash photocopies of checks written to someone else, presented by the alleged 20th person to own them.
no original, no standing as plaintiff.
“Loans are sold all the time. This is nothing new”
Exactly. Lender a originated the loan then sold it to lender B. Lender B kept the note until the payments started coming in late and sold the note in a bundled mortgage security that had 100 other properties in it to lender C. Lender C was on the ropes a year later and was bought by Lender D who was a bigger rival who has since declared bankruptcy and is being sold.
Where is the note and chain of transfer from lender A to lender D?
>>Loans are sold all the time. This is nothing new.<<
Among other things, it is about volume. The issue is not the fact that the loan was sold. I think it is the way it’s done today. And how it is resold, and resold, and resold.