IN RE DARRELL ROYCE SHERIDAN, SHERRY ANN SHERIDAN, Chapter 7 Debtors.
Sheridan_decision
In this Chapter 7 case, the trustee, Ford Elsaesser (“Trustee”), objects to amotion under § 362(d) for relief from the § 362(a) automatic stay.1 Motions under § 362(d) are common in bankruptcy cases.2 Most stay relief requests proceed promptly to entry of an order, after proper notice, without any objection.
However, changes in mortgage practices over [...]
WHERE’S THE NOTE, WHO’S THE HOLDER
INTRODUCTION
In an era where a very large portion of mortgage obligations have been securitized, by assignment to a trust indenture trustee, with the resulting pool of assets being then sold as mortgage backed securities, foreclosure becomes an interesting exercise, particularly where judicial process is involved. We are all familiar with the securitization process. The [...]
Forensic Loan Audit Uncovered TILA Disclosure Violations
By Lane Houk
The borrower in this case had foreclosure filed against them. After retaining an attorney for the foreclosure, the attorney advised them to have an audit of their loan closing file which revealed a material disclosure violation. It is important to note that a loan can ONLY be rescinded when:
The loan is a refinance [...]
Read Full Post | Make a Comment ( 3 so far )Bankruptcy Act of 2009
Section by Section Summary
Section 1. Short Title. Section 1 sets forth the short title of the bill as the “Helping Families Save Their Homes in Bankruptcy Act of 2009.”
Section 2. Eligibility for Relief. Bankruptcy Code section 109(e) sets forth secured and unsecured debt limits to establish a debtor’s eligibility for relief under chapter 13, currently [...]
Mortgage Industry Balks at Loan Modification Plan
If you want a sign the financial world is changing fast, look no farther than Thursday’s announcement that Citigroup would back legislation allowing judges to modify mortgage terms in bankruptcy.
The bill, championed for more than a year by Sen. Richard Durbin (D-Ill.) — and backed by many Democrats, including President-elect Barack Obama and Sen. Chuck [...]
Cramdown Loan Modification Legislation Approved
Banks and the building industry are purportedly working together with Senators on “cramdown” legislation affecting bankruptcy judges’ powers regarding mortgage loan modifications. The rule change would give bankruptcy judges the power to change repayment terms for certain homeowners who declare bankruptcy.
The Wall Street Journal reports that lenders including Citigroup are cooperating with key Senators on [...]
Loan Rescission In Bankruptcy
In re Jaaskelainen, Case No. 07-12832-WCH (Bankr.Mass. 7/7/2008) (Bankr.Mass., 2008)
Upon the valid exercise of the right of rescission, the security interest becomes void and borrower is not liable for finance or any other charges or interest. Within twenty calendar days of the receipt of the NOR, the creditor shall return all money or property [...]
