Naked Capitalism – JPMorgan Chase Plays Fast and Dirty in Florida Loan Mod Waiver

I received this document the other day as well but haven’t had a chance to get to it until now…

Since Yves over at Naked Capitalism already did a post on it, why recreate the wheel…

JP Morgan Chase Plays Fast and Dirty in Florida Loan Mod Waiver

I’ve harbored the sneaking suspicion that JP Morgan Chase is the worst behaved of the big US retail banks, based on a couple of experiences with them a bit more than two years ago. Not to bore readers with details, but basically, bank staff lied to me persistently regarding the terms of various products. Of course, the real terms, spelled out in difficult to decipher language in itty bitty print in a very long document, were far more unfavorable to me. It was only a credit card and a supposedly fee free checking account, both of which I promptly closed, so all I suffered was a teeny bit of inconvenience and the annoyance of being had. But if a fairly finance savvy person like me can be fooled by Chase, image the field day it has with normal marks.

Further confirmation of Chase’s duplicity comes via an e-mail from Lisa Epstein, who runs ForeclosureHamlet.org in Florida. If I’ve parsed this document correctly (and lawyers are welcome to opine), it’s a doozy…

The critical bit starts in the third paragraph. There JP Morgan Chase points out that it is becoming more common in Florida for judges to require the bank to take action, meaning file a motion, which then leads to a hearing and and order of cancellation, to stop a foreclosure. It also points out that this is a change. In the past, If the bank merely failed to appear at a judicial sale, most courts would cancel it.

Now here’s the sneaky bit. JP Morgan Chase never bothers to say that it regards filing that motion and going to the trouble of attending a hearing is just too much cost and bother to stop foreclosure action when it has started loan mod negotiations. And to add insult to injury, its sneaky wording makes it sound as if it lacks the power to halt the foreclosure process, as opposed to incur more costs (boldface ours):

Because Chase, as a plaintiff or servicer of your loan, is no longer able to unilaterally cancel a judicial sale in many Courts in the State of Florida….

In other words, JP Morgan Chase offers an irrelevant excuse as a pretext for the borrower to make an astonishing concession:

I/we the undersigned Borrower(s), understand and agree that any and all loss mitigation agreements entered into with Chase……..that requires the cancellation of a judicial sale, shall be made expressly conditional upon the Court rendering a valid and final Order cancelling the judicial sale….any and all loss mitigation agreements shall be deemed null, void, and of no further force and effect…..Chase, as plaintiff or as the servicer of your loan, may proceed with the lawsuit to foreclosure your mortgage, including, without limitation, the upholding of any judicial sale and the issuance of certificate of title, as if no loss mitigation agreement was entered into…

So effectively, what the borrower has agreed to is for JP Morgan Chase to proceed with the foreclosure and to waive all rights to using the existence of a loss mitigation negotiation, or even a signed loss mitigation agreement, as a reason for stopping the foreclosure action. The letter has a faux borrower friendly sixth paragraph, that it “may” attempt to cancel a foreclosure sale, but there is no obligation.

Its true stance is blindingly obvious in the first two paragraphs on the second page. In the first paragraph, it
says that all signed loss mitigation agreements will have a paragraph added that the judicial sale has to be canceled for the loss mitigation agreement to be valid, and in the off chance all this isn’t clear, this little two page letter, which gets JP Morgan Chase off the hook as far as doing anything to stop the foreclosure sale, and further asking the chump borrower to waive any rights he might have to protest, controls.

To put it even more bluntly, this has all the appearances that Chase wants to foreclose, and is pressing borrowers to agree to terms that guarantee that loss mitigation negotiations have no force if a foreclosure action is underway.

In other words, it is probably not a good idea to sign this document…

You can check out the rest of the post over at Naked Capitalism…

And you can check out the Waiver below…

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4closureFraud.org


I sure could use some…

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Chase Foreclosure Waiver Request

Comments
9 Responses to “Naked Capitalism – JPMorgan Chase Plays Fast and Dirty in Florida Loan Mod Waiver”
  1. Chase Me says:

    Chase can chase my **** ass they are the biggest pricks out there they need to FAIL! they did not like my offer and i was not going to sign theres so they will lose ! they had a good deal now pissoff!

  2. housemanrob says:

    Chase is the spider……..I am the fly. Chase has been sending me mod offers weekly for 3 months. “COME INTO MY WEB!” Meanwhile, I alreadi\y know my loan is investor owned. I GOADED THE SERVICER INTO ADMITTING THIS. So the spider only wants to suck me dry.

  3. yvonne says:

    But is the federal reserve an american institution or foreign owned? Why should it care if it is then foreign owned? Do you know its history?

    • Larry says:

      Inj order to understand weho the federal reserve is and how it came to power, you need to read the book “The Creature from Jekyll Island”.

  4. PJDJ01 says:

    This “gotcha mitigation agreement” needs to be on the AG’s list of items as well.

    On another item: my research suggests that banks go out of their way to kick the can down the street in commercial real estate foreclosures (all those empty storefronts) with an extend and pretend strategy, while they are quick to capture residential real estate into foreclosure processes. Guess why? It would damage banks balance sheets more if they foreclose commercial real estate than if they extend (mitigate). Message to AG’s: Make residential mortgages more costly to foreclose than to properly mitigate. Judiciaries need to implement damages and legal fee recovery on the residential side.

  5. l vent says:

    GO AND SEE YOU TUBE VIDEOS UNDER FINANCIAL CRISIS 2010.

  6. l vent says:

    FAST AND DIRTY IS THE PERFECT DESCRIPTION FOR THE BANKSTERS, WALL STREET AND THE GOVERNMENT. i AM SURE THAT EVERYONE HAS NOTICED THE WAY OUR DOLLAR POWER IS SHRINKING EVERY DAY . WE GET LESS FOR THE DOLLAR EVERY WEEK. THE FED IS DEVALUEING THE DOLLAR AT A FAST PACE. LET’S CALL IT DELEVARAGING TO MAKE UP FOR ALL OF THE OVERLEVERAGING AND OVERSPECULATING THAT THE BANKSTERS AND WALL STREET WERE ALLOWED TO GET AWAY WITH. HOW ELSE CAN THEY EXPLAIN THE PRICE OF GOLD AT UPWARDS OF $1300.00 an ounce. THERE HAS BEEN A HUGE RUN ON GOLD IN THE PAST MONTHS. THE AMERICAN DOLLAR IS BEING LIQUIDATED DOWN TO ZERO. A ROLL OF TOILET PAPER HAS MORE VALUE THAN THE US DOLLAR DOES. PEOPLE IN THE KNOW (the uberwealthy) HAVE BEEN LIQUIDATING THEIR AMERICAN DOLLARS AT A CRAZY RATE. INVESTING THEIR MONEY IN GOLD, SILVER AND OTHER CURRENCIES AND LEAVING THE COUNTRY. DONT BELIEVE IT? CHECK OUT SOME OF THE U TUBE VIDEOS ABOUT THE FINANCIAL CRISIS OF 2010, CNN, FOX AND OTHER CREDIBLE MAINSTREAM MEDIA REPORTS.IT IS TIME TO FOR THE AMERICAN PEOPLE TO MAKE A RUN ON THE BANKS AND TAKE ALL OF OUR MONEY OUT OF THERE, AND THEN TAKE ALL OF OUR 401K MONEY OUT OF THE MARKET BEFORE THEY STEAL THE REST OF IT. THE COUNTRY IS BANKRUPT AND THE MONEY DOES NOT EXIST. THE MONEY IS AS FAKE AS THE GHOST TARP BAILOUT. THE. FRAUDCLOSURE SCANDAL IS THE BANKS AND WALLSTREET TRYING TO GRAB AS MUCH MONEY AS THEY CAN TO REPLACE WHAT THEY HAVE STOLEN FROM THE AMERICAN PEOPLE IN THE BIGGEST PONZI SCHEME IN AMERICAN HISTORY AND THE GOVERNMENT IS TRYING TO HELP THEM COVER IT UP. THEIR GRAND SCHEME IS BECOMING NOT AS EASY TO CARRY OUT AS THEY THOUGHT IT WOULD BE BECA– USE THE PEOPLE ARE FINDING OUT THE TRUTH IN THE FRAUDULANT FORECLOSE DOCS UNCOVERED BY 4CLOSURE FRAUD , FORECLOSURE HAMLET AND OTHER WONDERFUL PEOPLE LIKE THEM.NOW THEY ARE GOING TO DESPARATELY TRY TO STEAL MONEY FROM THE NEXT LEVEL UP, THE UPPER MIDDLE CLASS. YOU MUST WATCH THE MOVIE CAPITALISM A LOVE STORY BY MICHAEL MOORE AND READ THE BOOK NOW IN PAPERBACK AT YOUR LOCAL BOOKSTORES ENTITLED THE GREAT STICK-UP OF AMERICA BY ROBERT SHEAR. BERNANKE, GEITHNER AND OBAMAS ENTIRE ECONOMIC TEAM ( WHO HIGHTAILED IT OUT OF WASHINGTON BEFORE THE TRUTH WAS REVEALED TO THE PUBLIC TO AVOID THERE OWN LYNCHINGS BY THE PEOPLE)HAVE BEEN TRYING TO HIDE THIS TRUTH.BUT TOO BAD FOR THEM THEY COULDNT PLUG ALL OF THE HOLES IN THE BANKS AND WALL STREETS PIRATE SHIP. SO TO IS CONGRESS SCUMMY AND GUILTY BY TRYING TO SHOVE THROUGH HR 3808,THE OBAMA ADMINISTRATION, THE FEDERAL GOVERNMENT. AND THE JUDICIAL BRANCH ARE ALSO TRYING TO KEEP THE TRUTH FROM US, THE AMERICAN PEOPLE. WE NEED TO WITHDRAW ALL OF OUR MONEY FROM THE BANKS, CASH IN OUR 401K ACCOUNTS AND THE TRUTH WILL BE APPARENT. THERE IS NO MONEY, WE HAVE BEEN BANKRUPTED BY CORPORATE AMERICA.THE OBAMA ADMINISTRATION NEEDS TO COME CLEAN AND START TO MAKE THIS RIGHT FOR THE AMERICAN PEOPLE. PRESIDENT OBAMA CAN START BY PLACING A MORATORIUM ON ALL FORECLOSURES NATIONWIDE FOR STARTERS AND BEGIN TO START TO REPAIR THE DIGNITY OF THIS NATION AND ITS PEOPLE.

  7. JImbojinx1939 says:

    We need a “Banker’s Holiday” to shut down all banks allowing for Federal Regulators to check the holdings and actions of ALL banks. With all MBS marked to market, place into receivership all banks under water, prosecute all violations and return our country to a semblance of justice. And if the laws were violated, let the Borrower keep his/her house !

  8. Pelucheven says:

    We should call the White House and tell them America is fed up with this fraud and that we want the criminals prosecuted not bailed out!!!

    That we are not deadbeats, we are all victims of this ponzy scheme and the country is going bankrupt for this.

    One of the definitions of insanity as I understand is to do the same failed thigs over and over again expecting different results. We have tried the Federl Reseve way for almos a century and it has not worked, we have tried the bail out way and it has not worked. It is the American People who need the help, not the fat cats and felons in Wall Street.

    The onion is being pealed and the stench is just unbearable.

    Will any one from Congress address and demand this fraud to stop.

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