Ellen Brown writes: Using the “produce the note” strategy is something all homeowners
facing foreclosure can do. If you believe you’ve been treated unfairly,
fight back. We have created templates for a legal request, a letter to your lender and a motion to compel to help you through the process.
Your goal is to make certain the institution suing you is, in fact,
the owner of the note (see steps to follow below). There is only one
original note for your mortgage that has your signature on it. This is
the document that proves you owe the debt.
During the lending boom, most mortgages were flipped and sold to
another lender or servicer or sliced up and sold to investors as
securitized packages on Wall Street. In the rush to turn these over as
fast as possible to make the most money, many of the new lenders did
not get the proper paperwork to show they own the note and mortgage.
This is the key to the produce the note strategy. Now, many lenders are
moving to foreclose on homeowners, resulting in part from problems they
created, and don’t have the proper paperwork to prove they have a right
If you don’t challenge your lender, the court will simply allow the
foreclosure to proceed. It’s important to hold lenders accountable for
their carelessness. This is the biggest asset in your life. It’s just a
piece of paper to them, and one they likely either lost or destroyed.
When you get a copy of the foreclosure suit, many lenders now automatically include a count to re-establish the note.
It often reads like this: “Öthe Mortgage note has either been lost or
destroyed and the Plaintiff is unable to state the manner in which this
occurred.” In other words, they are admitting they don’t have the note
that proves they have a right to foreclose.
If the lender is allowed to proceed without that proof, there is a
possibility another institution, which may have bought your note along
the way, will also try to collect the same debt from you again. (08/04/08)