Banks lost the paperwork and checks of a Maryland taxi driver who never missed a mortgage payment, and now, his his fourth appeal and stands to still lose his house to foreclosure. His lawyers have vowed to file more appeals. [Baltimore Sun]

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  1. The_Truth says:

    grammar much?

  2. jnews says:

    Does anyone know more about the particulars in this case (a url)? As a consumerist, if one of my prior mortgage companies initiated foreclosure based on non-payoff after a refi, I would send them my closing papers and have an attorney send a nasty letter to the title company.

    Since this gentleman has an attorney, and attorneys are no dummies, I have to assume that they tried this already, and now I’m wondering why that didn’t satisfy the problem. Someone, somewhere, has to have that money, right? Money doesn’t just vanish into thin air.

    Of course, if the backstory is that the original mortgage company did receive their money but due to their error still sought and were awarded foreclosure then I don’t see how that isn’t fraud (when brought to their attention) and it would be inequitable not to vacate the foreclosure on appeal. Appeals court judges aren’t dummies either, so I’m not sure what to think.

  3. rjhiggins says:

    Meg, did you get any sleep last night? Recent posts include lines like:

    “…his his fourth appeal and stands to still lose his house…”

    “Researches Claim To Reverse Netflix’s Anonymization”

    “Dreamhost would like you to know that its very very sorry…”

    Hope you had a great night!

  4. JohnMc says:

    I feel for this guy! He’s done everything right so to speak. But I figure he forgot one essential — filing for closure on the mortgage.You have to file with the records dept of the county clerk for a satisfaction of lien. A copy of which, thru the clerks office is forwarded to the then current mortgagor. Most States have a certain number of days for challenge by the mortgagor. The day after the period the lien is considered satisfied and recorded as free and clear.

    But you have to do it. Otherwise your property is still considered under lien by the Courts. Get a lawyer who can do the legwork right. Its simple but if you worked as hard as this family did it makes sense to do it right.

  5. madanthony says:

    @jnews

    original baltimore sun article is here:

    [www.baltimoresun.com],0,5804230.story

    It seems like it’s a perfect storm of bad luck (and at least one bad decision as far as his choice of lawyers)- he didn’t get a notice of foreclosure until it was too late, the original bank has no record that it was paid off, the title company went out of business, the copy of the check that the bank has is missing the back that proves it was cashed, and the first lawyer the guy hired wasn’t licensed to practice in Maryland

  6. ceejeemcbeegee is not here says:

    He should have made triplicate copies of every canceled check, kept one copy in a safe deposit box at his bank, one in a fire-proof box, and the last copy in an orderly file at home.

    Kidding.

  7. Tracy Ham and Eggs says:

    On the positive side, this has lead to what will probably be a couple solid new laws in the state. They are talking about requiring confirmation that the notice was received by the homeowner, and extending the time frame between foreclosure filing and actually losing a home.

  8. Boberto says:

    This is absolutely the worst thing I’ve ever read.

    There has to be a special place in hell for WAMU and their lawyers.

  9. NoWin says:

    In reading the Sun excerpts, my bet is on the schiester Title Company owner who falsified the check; I bet there no payoff check was ever tendered.

    “If” payoff was (and let’s say the original check was lost after tendered), there are still 2 reconcilable tracings: the debit of the payee bank on that Title account (and the subsequent bank general ledger balance account), AND the itemized deposit(s) of the receiving bank/mortgage co account.

    I think the poor guy is up the proverbial creek. I do feel sorry for him and the family.

  10. NoWin says:

    @NoWin: me englush bad todai: I bet there no payoff check was ever tendered.

    s/b: I bet no payoff check was ever tendered.

  11. ladycrumpet says:

    This is appalling.

  12. savdavid says:

    In Bush’s Amurica, the rich and powerful get the help, consideration and forgiveness. The poor and middle class have to wing it on their own.

  13. MrEvil says:

    This same thing happened to my dad. Fairbanks Capital was his mortgage servicer. He was on-time with EVERY payment and carried no debt other than the mortgage. Suddenly his payments started disappearing. The checks would get cashed, but the payment got counted as late and not credited to the account. Soon they were essentially blackmailing him to send them more money which they would conveniently lose yet again. Finally after some clever lawyering and my dad’s impeccable record keeping Chapter 13 proceedings let him keep the house.

    That’s another side effect of the housing boom, the mortgage servicer saw all the equity my dad had in the house and how property values were going up in our area. So they figured they’d rig their books so they could foreclose and STEAL the house and make MORE money.

    My dad is out tens of thousands and has two chapter 13 filings on his credit. We could try to get the money back, but that would require hiring a forensic accountant on our dime which might cost more than what we’re owed. At least we no longer have the wolves at the door trying to steal the house.

    It’s terrible getting bothered at all times of the day and night by these shitbag “we buy houses” assholes.