How to Stall A Foreclosure Process

It is a sad fact that more and more people are losing their homes to foreclosure. The reasons why run the gamut of people borrowing more money than they could afford, to others who have lost their jobs and can't keep up with their payments. Whatever the reason, if you are someone who finds themselves facing the foreclosure process, you may be able to stall the process and buy yourself some time to get back on your feet. And all it takes are three little words: Produce the Note! Read on to find out how.

Difficulty: Moderately Challenging

Instructions

1. As everyone knows, the housing bubble was a time of easy money for lenders. In their goal to make as much money as they could, many original lenders sold mortgages to other lenders for a profit. Because of their hasty maneuverings, oftentimes the original paperwork was lost or misplaced in the shuffle. This is how the "Produce the Note" strategy can work for you.

2. If you are someone facing a foreclosure process, you have every right to make sure that the bank actually has the right to foreclose on your property. They should be able to produce the original documents with your signature that prove you are indeed the one accountable for the mortgage. It is your right to challenge them.

3. What is happening is more often than not, the lenders cannot produce these documents right away. Sometimes it may actually take them months to find the original note. This is a problem for them because they cannot produce the paperwork that proves they have the right to continue with the foreclosure process. While this may not stop foreclosure proceedings, it can buy you time to find your financial footing again.

4. There is a website called the Consumer Warning Network which provides information and templates for "legal requests" and "motions to compel", which you can fill out to help you through the entire foreclosure process. If your lender has already filed a suit against you, you can present them with your “legal request” for them to produce the note. If they do not produce the documentation in 30 days you can file a "motion to compel" with the court and request the court set a hearing on your motion. This results in a judicial order for the lender to produce the note.

5. Because of the predatory lending practices that have run amok in the past, many judges are siding with the homeowners and dismissing foreclosure cases claiming that the lenders have not sufficiently proved that they own the properties they are trying to seize. While following this "produce the note" strategy by no means guarantees that you will be able to save your home, it does give you some recourse if you are going through a foreclosure process.

Resources

• Consumer Warning Network