Consumer complaint received 2018-05-03
Company: FIRST AMERICAN FINANCIAL CORPORATION
State: CA
Product: Debt collection
Sub-product: Mortgage debt
Issue: Took or threatened to take negative or legal action
Sub-issue: Seized or attempted to seize your property

Complaint:
This complaint contains NEW information. According to the notice, First American has scheduled a foreclosure sale for my home for XX/XX/XXXX and recorded this with the XXXX XXXX County Recorder 's Office. ( See attached file : Trustee Sale Recorded With County Recorder ). However on XX/XX/XXXX a notice of Trustee Sale was posted to my door with this same date. According to CA Civil Code 2924f/g,  only 21 days is required for the notice to be posted. In every other instance the notice was posted only 21 days prior to the sale. XXXX ( XXXX ) /XXXX  XXXX has violated civil code 2924f/g in the past and not published the sale date. I have personal knowledge of other people in California with XXXX XXXX loans serviced by XXXX ( XXXX ) /XXXX XXXX who have had their home foreclosed BEFORE the scheduled date. I am unable to confirm the sale date has been published as required by CA Civil Code 2924f/g and it is very possible First American will sell the home on XX/XX/XXXX. 


The foreclosure is illegal debt collection and a total and complete violation of federal consumer financial law. As per the letter from First American dated XX/XX/XXXX, I disputed the debt in the third sentence of my Notice to Cease and Desist Communication dated XX/XX/XXXX. ( See attached file : Dispute The Debt ). The letter from First American dated XX/XX/XXXX stated : " The law requires First American to suspend its efforts to collect the debt ( through litigation or otherwise ) until First American Title Insurance Company mails the requested information to you. '' ( See attached file : Trustee-First American ). First American did not mail me anything to validate the debt as the letter stated. Instead, First American forwarded the dispute to XXXX XXXX XXXX , XXXX. which is a debt collection agency disguised as a mortgage loan servicer and a complete and total violation the Dodd-Frank Wall Street Reform and Consumer Protection Act of XX/XX/XXXX. XXXX then provided documentation that did not conform with the legal standards to validate the debt. ( See attached file : Improper Debt Validation ). 


When a consumer disputes a debt, the debt collector may not continue to collect the debt or contact the consumer again until the debt has been properly validated in accordance with legal standards. In this case foreclosure is debt collection because the debt was obtained after it was already in default. In fact I went into default in XX/XX/XXXX and have remained in default the entire time. I have not made a mortgage payment since XX/XX/XXXX which means the statute of limitations has run as well. ( See attached file : XXXX CREDITOR ). Also when the loan is sold to a new creditor, the new creditor must prove the loan was assigned to it with documentation from the previous creditor. 


This is the purpose for the California Assignments of Deed of trust and they are totally fraudulent. I refinanced my mortgage with XXXX XXXX in XX/XX/XXXX. The FDIC then sold XXXX to XXXX. XXXX and First American both contend XXXX XXXX is the new creditor. However the Assignments of Deed of Trust do not hold up in court as it is a well established fact XXXX never acquired any XXXX loans. This was one of the issues involved in my dispute. ( See attached file : Dispute ). I have now obtained the actual Assignments of Deed of Trust recorded with the XXXX XXXX County Recorder 's Office. ( See attached file : Fraudulent Assignment of Deed of Trust ). As part of my dispute I reference a law suit agsint First American in which the court explained that in XXXX v. XXXXXXXX XXXX, XXXX, XXXX XXXX at pp. XXXX, the appeals court reversed the trial court 's decision and concluded : The recitation that XXXX XXXX XXXX is the successor in interest to XXXX XXXX XXXX  XXXX, through XXXX XXXX, is hearsay. Defendants offered no evidence to establish that XXXX XXXXXXXX XXXX had the beneficial interest under the XX/XX/XXXX deed of trust to assign to the Bank. The truthfulness of the contents of the Assignment of Deed of Trust remains subject to dispute ( XXXX, XXXX, XXXX XXXX at p. XXXX, fn. XXXX ), and plaintiffs dispute the truthfulness of the contents of all of the recorded documents. 
( See attached file : XXXX XXXX v First American ). 

The attached California Assignments of Deed of Trust are consistent with the courts decision in this case. As a result there is nothing to prove XXXX XXXX or XXXX was assigned the Deed of Trust from the previous creditor. Notice First American was the defendant in the case when the court referenced XXXX v. XXXX XXXX. This decision was filed on XX/XX/XXXX so the CA Appeals court maintained this position and informed First American of it. Also enclosed is deposition testimony from another case that proves these Assignments of Deed of Trust are fraud. This is a violation of 15 U.S.C. 1692f ( 1 ), Taking or threatening to take any non-judicial action to effect disposition or disablement of property if, e.g., there is no present right of possession of the property claimed as collateral through an enforceable security interest is prohibited under the FDCPA. 

Furthermore in XXXX XXXX, XXXX XXXX that pp. 1094-1097 the court held that a plaintiff may properly allege a valid cause of action for wrongful foreclosure by stating facts showing the defendant who invoked the power of sale was not the true holder of the deed of trust. The same holds true with this foreclosure. The attached CA Declaration of Compliance proves XXXX invoked the power of sale because at the bottom it says XXXX instructs the trustee to proceed with non-judicial foreclosure proceedings as the authorized agent of the beneficiary which is XXXX XXXX. However the true beneficiary are the certificate holders and neither XXXX XXXX nor XXXX are truly acting on their behalf. 

According to First American XXXX XXXX have invoked the power of sale. ( See attached file : Trustee-First American ). In lines 3-5 it states : " First American Title Insurance company has been authorized by the Servicer/Creditor to initiate foreclosure proceedings in conjunction with the foreclosure of a Deed of Trust associated with your real estate loan. '' Notice how First American states the Servicer/Creditor authorized the foreclosure. This is because First American can not determine who the true holder of the Deed of Trust is. This is because neither XXXX nor XXXX XXXX want to take responsibility for this because the truth is neither are the true holders of the Deed of Trust. In addition the letter from First American dated XX/XX/XXXX states in the first paragraph : " The current creditor to whom the debt is owed is XXXX XXXX ... The loan is serviced by XXXX XXXX XXXX XXXX '' Now Read the two attached California Assignments of Deed of Trust. As the CA Appeals court ruled in XXXX v. XXXX XXXX, even though the document recited that the bank was assigned all beneficial interest under the deed of trust by a predecessor bank, its RECITAL that the predecessor bank was successor to the original beneficiary was HEARSAY, so the overall truthfulness of the assignment of the deed of trust remained subject to dispute as well. 

Compare the second California Assignments of Deed of Trust to the attached California Declaration of Compliance and you will see how neither XXXXXXXX XXXX nor XXXX are the true holder of the Deed of Trust. The California Declaration of Compliance says XXXX is the authorized agent for XXXXXXXX XXXX and the California Assignment of Deed of Trust assigns the Deed of Trust to XXXXXXXX XXXX CARE OF XXXX. According to this XXXX   would be the authorized agent for XXXX XXXX  who was assigned the Deed of Trust CARE Of XXXX. However in the attached letter from XXXX XXXX, which admits : " XXXXXXXX XXXX is merely the trustee for the trust that owns the mortgage and note on this property. Please note the Trust is the owner of your mortgage and note, not the trustee. '' " The servicer is the party to the Trust that has the authority and responsibility to make decisions and take actin regarding individual mortgages in the Trust. '' ( See attached file : XXXX XXXX XXXX and XXXX XXXX ). Compare this to the letter from XXXX dated XX/XX/XXXX enclosed in the same file. This names XXXX XXXX  ON BEHALF OF THE HOLDERS OF THE XXXX MORTGAGE PASS-THROUGH CERTIFICATES, SERIES XXXX as the " owner, investor, creditor, and note holder. '' Underneath this it says : Attention : XXXX XXXX and XXXX XXXX - XXXX Series XXXX. Underneath that it states : " The above named entity is the owner of the account, and XXXX is the servicer of the account. '' The " above named entity '' is NOT the true owner of the account or the true holder of the Deed of Trust. XXXX and XXXXXXXX XXXX consider the trust to be the entity that owns the mortgage and note. As XXXXXXXX XXXX states in paragraph two : Please note the Trust is the owner of your mortgage and note, not the trustee. This letter from XXXX XXXX dated XX/XX/XXXX is not consistent with the letter from XXXX dated XX/XX/XXXX enclosed in the same attached file. The true holder of Deed of Trust would be the certificate holders who are the investors and, collectively, the original creditors who sued XXXXXXXX XXXX  in a class action law suit which was settled ; rendering the debt satisfied. ( See attached file : Investors Class Action ). In addition the letter from First American dated XX/XX/XXXX states in the first paragraph : " The current creditor to whom the debt is owed is XXXX XXXX ... The loan is serviced by XXXX XXXX XXXX XXXX. '' ( See attached file : Trustee-First American ). The law says the trustee may initiate a non-judicial foreclosure sale only at the direction of the person or entity that currently holds the note and the beneficial interest under the deed of trust -- the original beneficiary or its assignee -- or that entity 's agent. This is why XXXX claims to be the authorized agent for the beneficiary. However the Assignments of Deed of Trust are fraudulent and the debt is no longer valid. 

As a result First American has no excuse for scheduling a foreclosure sale for my home. XXXX never had any right of possession so XXXXXXXX XXXX  XXXX has no present right of possession and neither does XXXX or First American. First American has ignored this and scheduled a foreclosure sale for my home on XX/XX/XXXX. This is a total violation of federal consumer financial law. The CFPB published an announcement that it would partner with the FTC to combat illegal debt collection. ( See attached file : CFPB and FTC Combat Illegal Debt Collection ). Evidently neither XXXX not First American have any regard for these government agencies. 


On XX/XX/XXXX First American stated the file was suspended and no date has been set for the subject property. ( See attached file : Foreclosure Suspended ). Three months have passed without any communication from either First American or XXXX and now suddenly without providing any further documentation to validate the debt, First American has schedule a trustee sale for XX/XX/XXXX. On XX/XX/XXXX First American mailed me a notice that was backdated to XX/XX/XXXX and told me unless I take legal action to protect my property it may be sold at public auction and if I want an explanation to contact a lawyer. ( See attached file : Mail fraud ). 


Given on XX/XX/XXXX First American already informed me the file was suspended, it is not possible for First American to inform me on XX/XX/XXXX, my property may be sold at public auction. On XX/XX/XXXX First American also informed me it received my notice to cease and desist. ( See attached file : ( Cease and Desist ). In addition to 15 U.S.C. 1692f ( 1 ), First American has also violated 807. False or misleading representations ( 5 ) The threat to take any action that can not legally be taken or that is not intended to be taken. 806. Harassment or abuse. A debt collector may not engage in any conduct the natural consequence of which is to harass, oppress, or abuse any person in connection with the collection of a debt. 808. Unfair practices. A debt collector may not use unfair or unconscionable means to collect or attempt to collect any debt.

Company response to consumer: Closed with explanation