What is Securitization?
Over the last decade, Banks and lenders handed out mortgages to thousands of homeowners. They created exotic loans and dropped off underwriting to next to nothing. Many banks knew the loan would never be repaid and didn't care. AIG was betting against those bad loan. Wall Street made a killing. But rest assured, they'd prefer you believe they were just helping you achieve the American dream of owning your own home
What really happened was that Banks got into the "Securitization" business. Wall Street set up complicated contracts to let Banks slice and dice mortgages into huge profits. Their lawyers developed new and untested steps to take your mortgage, bundle it with 15,000 other mortgages, and fill a mortgage pool.
Every loan in that pool was first supposed to be put through a series of transactions. The loans came through "the wash" and became securities (like a stock or bond) that Wall Street could sell to our pension funds, police unions, and life insurance companies.
After the "Robo-signer" scandal of 2010, it is clear many Banks ignored their legal obligations in putting loans through the wash. Banks created phony assignments and affidavits and got caught red handed. This whirlwind of legal questions and problems can only help homeowners with aggressive counsel.
Bruce Jacobs & Associates recently joined a nationwide network of leading foreclosure defense firms armed with cutting edge arguments, sharing information in real time. There is a fight going on and Bruce Jacobs & Associates is on the front lines.
Bruce Jacobs & Associates provides informed, practical advice for homeowners that want to negotiate from a position of strength. Mr. Jacobs is a former bank lawyer and Miami-Dade County prosecutor now fighting for property owners.
Negotiate from a position of strength.
Call Bruce Jacobs & Associates, P.A. for a consultation or send us an e-mail. We can evaluate your case today.