Posted on 08/18/2011 9:52:47 AM PDT by Chunga85
PROVIDENCE, R.I. (WPRI) - Rhode Island's new federal judge makes a decision that could affect dozens of Rhode Islanders facing foreclosure.
Judge John McConnell, Junior has ordered the bulk of mortgage foreclosure cases in before Rhode Island's U.S. District Court to be put on hold, and for banks to try and negotiate with homeowners.
63 foreclosure cases in Rhode Island are affected.
One of the homeowners taking interest in the ruling is Philip Aceto, whose Cranston home is in foreclosure.
"I feel vindicated," Aceto said, "I feel this judge has made a fair decision."
Aceto blames a title issue for landing his home in foreclosure.
"It stops the banks and the services in their tracks," said George Babcock, a Pawtucket attorney who is handling the majority of the foreclosure cases.
"It gives them opportunity to sit with the magistrate," Babcock said, "and with the bank or servicer to try and work out a reasonable deal."
The idea Babcock says is to keep Rhode Islanders in their homes.
(Excerpt) Read more at wpri.com ...
I suppose they can always try to "trick" Babcock...lol.
Good luck with that.
according to the article reasonable deal?
Only borrow what you can payback.. Now all the people who are paying will say screw it.. We don’t have to
Good luck getting a home loan if banks can’t foreclose.
Where did the $20 trillion in direct and indirect bailouts go?
‘Good luck getting a home loan if banks can’t foreclose.”
Lots of people are cheering these types of decisions. I can only see difficult times with the mortgage industry and loan availability. Effectively, individuals living in the homes are squatting, taking the property of the note holders without any compensation for note holders. We have had plenty of economic downturns and housing market slumps. Federal and state governments have never intervened to much extent until the current slump. The housing and mortgage industry face a grave threat of a moral hazzard.
“Effectively, individuals living in the homes are squatting, taking the property of the note holders without any compensation for note holders.”
So show standing and you can foreclose. Else do you think anyone should be able to claim standing without showing proof, and take property from individuals?
There has to be more to this than just ‘lost’ documents, there are legal ways to replace ‘lost’ documents. I have to believe that maybe they don't want to produce the originals and what that reason could be I have no idea, but it must be devastating to the lenders or why would they try so hard not to produce them?
I do not know of any home owners being foreclosed but perhaps there are some mistakes. I see a sea of squatters trying to steal from note holders, using a documentation dispute to claim that they cannot be foreclosed and that they do not need to pay the mortgage. If you want to call individuals upside on their mortgages (many without any equity) home owners, then you should call the flash mobs as store owners.
I think most everyone has seen this by now. It's a "feel good" story for the banking apologists that resonates so well, especially for those whose jobs got the NAFTA.
Perhaps, just perhaps, the banks interest would have been served if they had obeyed the property laws.
Here’s why: The Banks (lenders) don’t want the investors who bought the mortgages to find out that the notes weren’t endorsed to the investors and the mortgage for the note was not assigned sooo..the investors bought a bunch of papers which were secured by nothing, zip, zero!
The banks would rather foreclosure on the property (if they can get away with it) with forged “papers” then fight the investors who are beginning to realize what happened and have started to sue to get their money back.
Bank of America is holding “$14 billion” dollars just in case the investors who are suing them win. And that’s only ONE group of investors. Some analysts say that if every investor sues BofA and wins - BofA will be no more because the amount owned would be in excess of $1.3 trillion. And that’s just ONE of the TBTF banks.
Yup, they've been sold more than once on the secondary market under different descriptions. Each instance was backed by CDS and other "credit enhancements".
This only becomes evident on a contested default or institutional putback but is prevalent...
These banks have just as much right to the homes as those flash mobs have to the store contents.
Ya see the banks were already paid for the mortgage. they sold it.
BTW the law calls them home owners. Funny how people will support the law for banks but not the law for normal everyday people who have been damaged by the actions of the banks, mortgage companies and investment companies.
I would very much like to hear your take on my question in post #8.
We are a country of laws, not men. If you're an adult and sign a note to pay back a debt and can't do it, you lose the house. That is the contract you entered into.
Objections to the mechanics of foreclosure, MERS, robo-signing are all nonsense. While legal and permissible to raise, these tactics only slow down the recovery and do not resolve the underlying issue that the borrower stopped paying months (sometimes years) ago. If people can't afford their homes, I am sorry, but it is time to move out and rent again until things improve. Living mortgage/ rent free is not the American way, I don't care how much you hate your lender. You're all big boys and girls, live with your decisions.
Furthermore, in my view, moratoriums on foreclosures are a “taking”. You are taking a Bank's legal right to foreclose without cause.
Sorry, just how I feel.
Maybe you can answer my Post #8?
Where did the $20 trillion in direct and indirect bailouts go?
The bought two black, armored buses with that money...
It was mainly AIG that peddled all these CDS knowing full well they did not have the capital to cover the bubble. They also knew they could play the TBTF card and fling it at the taxpayers.
There are financial predators out there FRiend, and we — everybody whose net worth is less than eight figures — are their prey. Since they can’t literally eat us alive instead they eat our money, our livelihood, our hopes, and our dreams.
While this group isn’t exclusively bankers, and all bankers don’t fit into this category, predators seem to be more common in consumer banking than elsewhere. Thanks to a combination of corruption, ignorance, and incompetence, their supporters have done a great job keeping them alive.
The US is in a dark place, where the absolutely most reckless, irresponsible bankers — who made the most reckless, irresponsible decisions — are receiving massive government subsidies. The price tag will be picked up by future generations.
That is, we are collectively putting our children into deep hoc lest bankers suffer the sting of a firm slap by the invisible hand, all the while whining that the free market continues to function.
Bankers, along with their supporters in government, tried to portray the interests of Wall St. and Main St. aligned. They aren’t. There hasn’t been a “class war” from the middle class towards the rich, but there’s been a ferocious one the other direction.
They’re fighting you. It’s not because they don’t like you — some are crazed sociopaths, but most aren’t .. it’s just a game to them. They’re playing to win; you don’t even know the game is on, much less the rules.
So it's "game on" babe. I hope this Babcock takes 'em to the cleaners. Following the law will be much better for all involved...except perhaps TBTF.
Let’s see if the judge wants to negotiate on his pay. “Well, you were stupid this month and tried to let people out of their legal obligations which means that all contracts are null and void, so we’re going to pay you nothing and ask for the two cents that you’re worth back.”
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