Consumer complaint received 2020-11-10
Product: Debt collection — Mortgage debt
Issue: Attempts to collect debt not owed — Debt was result of identity theft
Company: PENNYMAC LOAN SERVICES, LLC. (MI)

Dear CFPB, Please find my complaint against XXXX XXXX XXXX XXXX ( aka XXXX XXXX XXXX ), the ORIGINATOR of my loan ; PennyMac Loan SERvices , LLC ( PennyMac ) a sham conduit for its concealed owners XXXX, XXXX XXXX, XXXX XXXX and XXXX who reinstated XXXX XXXX , XXXX ( XXXX ) under a different name XXXX XXXX XXXX, XXXX ( XXXX ) via XXXX XXXX XXXX, and PennyMac Loan SERvicing via XXXX XXXX, XXXX ( XXXX ) fictitious buyers of non-existing default debt which XXXX XXXX sell to investors as bets for IMAGES about someones DATA. ( identity theft ) On XX/XX/XXXX I submitted an application for mortgage with an XXXX XXXX XXXX  XXXX XXXX XXXX XXXX who posed as XXXX XXXX, who never was a Lender, passed my information via chain of intermediaries such as XXXXXXXX XXXX ( actual originators ) to Big Investment Banks, particularly XXXX XXXX, one of owners of Federal Reserve Bank who is the actual Lender behind the scene, along with other Big Banks ( read : Federal Reserve XXXX who operates {$1.00} XXXX Ponzi Scheme with derivatives via XXXX XXXX XXXX and its branch XXXX XXXX XXXX ( which is Big Banks version of a fictitious mortgagee XXXX, XXXX XXXX My application was processed by XXXX XXXX XXXX XXXX XXXX owned by XXXX XXXX XXXX XXXX and XXXX, XXXX XXXX owned by XXXX XXXX XXXX ) who instantly and fraudulently placed me under undue hardship by intentionally assigning my property into Flood Zone where it never was. 

As the result of this machination, I had to pay additional {$100.00} to FEMA, who allowed XXXX XXXX and XXXX to use their forms to defraud borrowers solely to extort more money and push them in foreclosures. While FEMA agreed to refund me a part of stolen money, they pocketed the rest, at least {$1200.00} plus proceeds from trades on my identity, undisclosed to me. 

XXXX at all times posed as a Lender ( while it was not ) and forged RESPA documents to conceal information where I actually singed disclosures - which was in Pacific Time zone, on the cloud server owned by XXXX XXXX XXXX XXXX. 

Closing on as I believed Mortgage ( aka payment to me for financial services by XXXX XXXX and its piers each of whom operate a separate securitization scheme based on same data about same mortgages ) was conducted by XXXX XXXX, who falsely posed as an Issuer of my XXXX XXXX - which is a lie. XXXX XXXX is a sham conduit for XXXX XXXX XXXX and XXXX XXXX XXXX who are the actual Issuers of bogs Title Insurance Policies - which do not cover purported mortgages with designated Lenders - while XXXX and XXXX branches XXXX XXXX XXXX XXXX and XXXX, XXXX are the ACTUAL originators and servicers of 100 % of ALL so-called loans and who intentionally destroy property Titles to serve interests of XXXX XXXX Banks. 

XXXX XXXX deceptively sold me Title Insurance Policy from XXXX XXXX ( who was the actual Issuer ) - and who refuses to cover for my damages and broken by XXXX subsidiary XXXX, XXXX XXXX. XXXX XXXX pretend they dont know about this fraud - and also refuse to fulfill their obligation under the Policy they lied XXXX XXXX issued XXXX continued to act as a Lender and purported Servicer : of my loan - which I was led to believe was sold to someone ( XXXX XXXX ) who appointed XXXX as a new Servicer on XX/XX/XXXX. It was all lies. 

XXXX never lent any money to anyone ; and never serviced any loans. No need to say, XXXX never sold any loans to anyone. XXXX XXXX never purchased anyones loans and never pooled them in any Trusts. This fiction is promoted by XXXX  and media to defraud borrowers and investors. 

According to XXXX XXXX XXXX ( which is fully based on forward looking statements WILL but never DID ) says as following : XXXX XXXX Guaranteed Stripped Mortgage-Backed Securities, which WILL be sold from time to time in one or more series, represent interests in separate XXXX XXXX XXXX Trusts ESTABLISHED from time to time.Each Trust WILL be comprised primarily of ( i ) fully modified pass-through mortgage-backed certificates. Each Series WILL be issued in two or more Classes. 

Each Class of Securities of a Series WILL evidence an interest in future principal payments and/or an interest in future interest payments on the Trust Assets included in the related Trust. The Trust created for each issue of XXXX XXXX  WILL be classified as a grantor trust. 

Each XXXX XXXX WILL be issued and maintained in book-entry form through the book-entry system of the U.S. Federal Reserve Banks ( the XXXX Book-Entry System ). Each XXXX XXXX initially will be registered in the name of the Federal Reserve Bank of New York ( together with any successor or other depository selected by XXXX XXXX, the Book-Entry Depository ). The XXXX Book-Entry System is an electronic facility operated by the U.S. Federal Reserve Banks for maintaining securities accounts and for effecting transfers. The XXXX Book-Entry system is a real-time, deliveryversus-payment, gross settlement system that allows for the simultaneous transfer of securities against payment. The XXXX Book-Entry System is used to clear, settle and pay not only XXXX XXXX XXXX, but also all U.S. Treasury marketable debt instruments, the majority of book-entry securities issued by other government agencies and government sponsored enterprises and the mortgage-backed securities issued by the XXXX XXXX XXXX XXXX and the XXXX XXXX XXXX XXXX  XXXX. Beneficial ownership of an XXXX XXXX will be subject to the rules and procedures governing the BookEntry Depository and its participants as in effect from time to time. The Book-Entry Depository will maintain evidence of the interests of its participants in any XXXX XXXX by appropriate entries in the Book-Entry Depositorys books and records. Only participants of the XXXX Book-Entry XXXX are eligible to maintain bookentry accounts directly with the Book-Entry Depository. A Beneficial Owner that is not a participant of the XXXX Book-Entry System generally will evidence its interest in an XXXX Security by appropriate entries in the books and records of one or more financial intermediaries. A Beneficial Owner of an XXXX XXXX must rely upon these procedures to evidence its beneficial ownership, and may transfer its beneficial ownership only if it complies with the procedures of the appropriate financial intermediaries. Correspondingly, a Beneficial Owner of an XXXX Security must depend upon its financial intermediaries ( including the Book-Entry Depository, as Holder ) to enforce its rights with respect to an XXXX XXXX. XXXX XXXX will not be issued in certificated form. Unless otherwise noted in the applicable Offering Circular Supplement, each Trust will issue In other words, XXXX XXXX WILL perform something IF someone sell them some mortgages. Which never happened. 

People still dont believe it. Loans were not securitized but are being treated as though they were securitized. 

Securitization means selling off an asset in pro rata shares to investors who get a piece of paper telling them that they own X % of the asset. 

if you read Prospectuses - all of the securitization documents are forward statements meaning they are referencing a future event. And none of the securitization documents convey any ownership, equitable or legal interest in any debt, note, or mortgage. And the future event never occurs. Thats the point for the XXXX XXXX bankers. 

Since they never retain any interest in any debt, note or mortgage they face no exposure to any risk of loss, and no liability for violations of federal and state statutes as issuers or lenders even though they are both. When they foreclose through various intermediaries ( usually a bank appearing solely as trustee of a nonexistent trust ) they still receive the net money proceeds but they have no loan account receivable to credit when they receive those sales proceeds. 

As soon as I signed a Promissory Note, it was scanned, converted into images and passed to XXXX XXXX XXXX ( member of Federal Reserve XXXX who placed them with XXXX XXXX XXXX. 

IMAGES of my personal ; data was placed into XXXX XXXX XXXX XXXX and XXXX, XXXX who provide passwords to various sham, conduits like XXXX and later fake Servicer PennyMac whose sole duties are to pose as window dressers for Federal Reserve members, XXXX XXXX, XXXX and other actual players who operate this giant scam with thin-air IMAGES based on XXXX about performance of someones DATA about a mortgages.

MI public employees fund invested over {$2.00} XXXX of its pensioners money into this fraud ; and received only electronic IMAGE on someones computer screen about performance of someones loan which is sold as performing and defaulted at the same time by different players. 

ALL my mortgage payments, along with escrow money are pocketed by XXXX XXXX brokers as tax-free revenue since here is no one who has my loan as an asset on account receivable. 

ALL taxes and insurances are paid by Investors money from operating funds held by Federal Reserve banks. Similarly, fake Servicers do not make any Servicers advances for non-existing Trusts. Big Banks merely return investors a part of their own capital masqueraded as Servicer advance, which is a Ponzi Scheme at its finest. 

According to XXXX, they became XXXX on XX/XX/XXXX - which is a lie. On XX/XX/XXXX XXXX XXXX XXXX prepared Allonge for my Note purportedly to XXXX - which was never placed on any accounts with XXXX. 

During all time in question DATA about my loan was held on XXXX XXXX XXXX and transferred to various parties multiply times, without any disclosures to me. 

On XX/XX/XXXX I was approached by another branch of XXXX, PennyMac who was brough to action in XXXX by XXXX XXXX, XXXX XXXX branch of of XXXX  ) whose founder Mr. XXXX is now XXXX XXXX  Presdient XXXX PennyMac pretended to be a new servicer and a buyer of my loan. When I asked who SOLD PennMac my loan and when it was sold, XXXX and PennyMac exploded in absurd and contradicting lies. 

After I requested help from Sen XXXX office, XXXX XXXX XXXX VP XXXX XXXX, a seasoned securities fraudster whose XXXX XXXX  robbed insurers and investors from {$5.00} XXXX, lied the the Issuer of Securities backed by my loan is XXXX. 

PennyMac lied that the Issuer is PennyMac - but refuses to provide me the name of the Seller of my loan ; and lied about XXXX XXXX XXXX which holds my loan as a securities. 

Because no such Trust was ever formed. 

The securitization of loans never happened. This means that all claims of rights or authority to administer, collect, or enforce any debt, note or mortgage are completely and utterly false if they are based upon securitization of the subject loan. 

XXXX XXXX like other XXXX  merely agreed to cover for Federal Reserve and its owners XXXX XXXX, XXXX, XXXX XXXX, XXXX XXXX, XXXX, XXXX XXXX, XXXX, etc - crimes. 

But the XXXX XXXX PR machine has convinced virtually everyone including borrowers that the loans were securitized. And there are hundreds of appellate decisions referring to loan portfolios that do not exist but are treated as real nonetheless. 

So, now XXXX  bulletins and announcements are -re phrased. In order to avoid indictments and civil liability for outright lying to investors and the public, they are now referring to loan portfolios as reference pools, which were never formed since nobody sold any loans to XXXX. 

Because everything is done by other parties : Big Banks ( aka Federal Reserve XXXX, XXXX and its branch XXXX and XXXX XXXX  and XXXX. who never appeared in any RESPA or TILE and who must be kept hidden from the homeowners. 

Investors are not even allowed to have any proof of their investment. 
All that investor pay for is a nice-looking IMAGE on someones computer screen. 

Regarding XXXX XXXX, it states : If issued in book-entry form, the classes of a series of certificates will be initially issued through the book-entry facilities of XXXX XXXX XXXX XXXX, or XXXX. No global security representing book-entry certificates may be transferred except as a whole by XXXX  to a nominee of XXXX, or by a nominee of XXXX  to another nominee of XXXX. Thus, XXXX  or its nominee will be the only registered holder of the certificates and will be considered the sole representative of the beneficial owners of certificates for all purposes.In other words, only the XXXX and XXXX XXXX XXXX may distribute Beneficial Ownership Rights.Therefore, the only Beneficial Owners, in all cases, will be the Direct or Indirect Participants in the DTC that are completely managed, controlled and regulated by the DTC for its own benefit. 

Neither XXXX or XXXX or PennyMac NEVER owned anyones debt simply because nobody allow them to own it ; NEVER initiated any loans because they dont have money to loan ; and NEVER serviced any mortgages since Big Banks are well aware about PennyMacs executives XXXXXXXX and PennyMac are merely a foreclosure and Title laundering vehicle for Big Banks/ Federal Reserve whose sole purpose to pretend to be a buyer from XXXX XXXX read XXXX  who passed data about my loan to a new player via new password to XXXX XXXX  database XXXX and PennyMac relentlessly lie to borrowers and massively commit fraud upon the Court - promoted and enabled by Judges and the Government who of course are familiar with this crime and who exactly operates it - Federal Reserve members ; XXXX  XXXX XXXX  XXXX XXXX XXXX XXXX XXXX XXXX XXXX XXXX XXXX XXXX and XXXX XXXX XXXX via its branch XXXX - who initiate illegal foreclosures by non-existing Trusts with forged documents. 


According to XXXX, XXXX XXXX XXXX, also known as XXXX and XXXX or XXXX XXXX XXXX, is a specialist United States financial institution that processes transfers of stock certificates on behalf of XXXX XXXX XXXX, the central securities depository used by the United States National Market System, which includes the New York Stock Exchange, Nasdaq, and other exchanges together with associated clearinghouses such as XXXX, XXXX, XXXX, and others. 

XXXX  technically owns substantially all of the publicly issued stock in the United States. Thus, investors do not themselves hold direct property rights in stock, but rather have contractual rights that are part of a chain of contractual rights involving XXXX.Founded in XXXX, XXXX was formed for the purpose of efficiently processing transfers of stock certificates on behalf of the XXXX XXXX XXXX. [ 3 ] The company is at XXXX XXXX XXXX, XXXX XXXX, XXXX  XXXX, New York XXXX is a XXXX XXXX XXXXbased partnership of certain employees of XXXX. 

Yes, there were securities created, issued, sold, and traded. And in fact, the indenture did indeed have references to groups of data derived from announcements by investment banks referring to the performance of those loans. But that is not securitization of loans. It is the securitization of proprietary data relating to the performance of the loans not the ownership of loans ( which is what is required to speak of securitization of loans ).

SO WHERE DID THE LOAN GO? This could be a reasonable basis for dispute i.e., whether the loan was extinguished or simply became inchoate ( sleeping ) pending a reformation of the transaction such that a designated virtual creditor was replaced with a real one as required by law. 
DOESNT THAT GIVE AN UNFAIR WINDFALL TO HOMEOWNERS WHO RENEGED ON A PROMISE TO PAY? Absolutely not. 
In fact, it reveals exactly the opposite. 
The lender ( securities brokerage firm doing business as an investment bank ) is actually an issuer of securities that can not be sold without the cooperative signature of the homeowner together with detailed personal information of the homeowner. 

The resulting sale of securities produces a windfall to the investment bank equal on average to 12 ( XXXX  : 27 times to XXXX  and XXXX times to XXXX XXXX times the principal paid, thus far, to the homeowner. 

In other words, XXXX XXXX who owns XXXX, received at least {$20.00} XXXX revenue from trades on DATA about my loan, while merely contributed into {$130000.00} one time payment to me to bear all risks of their transactions. XXXX XXXX received at least 27 times profits trading the SAME date about my loan. XXXX  XXXX XXXX about 12 times. 

The homeowner is required under the disclosed part of the deal to repay the principal paid to him which means that the homeowner did not receive any consideration for the concealed part of the securitization deal. 

In addition, the homeowner has unknowingly taken on the risk that the investment bank has dumped. 

As a putative lender ( not really ) its sole business reason for the transaction is the issuance of securities without which it would not near lending to individual homeowners. 
The more securities the merrier and the larger the windfall to the investment bank all without giving any conveyance of any debt, note or mortgage. ( You never see the investment bank as the grantee on any recorded conveyance ). 

Since the investment bank has no risk of loss, it does not care about the future performance of the alleged loan transaction. 

This one fact removes the basic balance between any person who is characterized as a borrower and any person who is characterized as a lender. 
According to federal and state lending laws and basic common sense, the lender, as a sophisticated financial enterprise, is charged legally with determining the viability of the loan because it has a risk of loss. 

Without that risk of loss, the only interest remaining is getting the borrower to submit personal data and to have the homeowner sign documentation promising to pay back the consideration ( plus interest! ) received for the concealed, involuntary participation in the securitization scheme. 

In contract law, this is a classic example of a failure of an element of enforceable contract no meeting of the minds. Borrower intent + NO lending intent = no contract. 

The homeowner is deprived of the opportunity to receive the benefit of bargaining for a share of the securitization scheme or not to participate at all. 
Therefore my conclusion is that ( a ) the homeowner owes nothing because of contract failure and ( b ) is entitled to quantum meruit under quasi-contract law to reasonable compensation for the concealed securitization scheme that could never have existed but for the homeowners signature and personal data. 

What does this mean? It means that NONE of the investors who bought or traded swaps, certificates, or other securities ever acquired any interest in any loan. None of them acquired the ownership of any debt, note, or mortgage. None of them ever acquired the legal right to administer, collect, or enforce any debt, note, or mortgage. And it means that all documents suggesting the contrary are fabricated and false. 

Thus under such circumstances no servicer, trustee, trust or investor Including XXXX and XXXX XXXX possesses any right, title or interest in administration, collection or enforcement of any loan. 

DUMP THE RISK : The theory behind securitization is perfectly sound, legal, moral, and politically expedient. It is intended to attract investment by reducing risk. 

But XXXX XXXX took this one step further. They completely eliminated the risk. In order to do that they had to completely eliminate the loan account from the general ledger of any company that was involved in the securitization process. 

The loan account was a cover for fraud. It doesnt exist. 
Nobody loses money when a homeowner stops paying. And when a homeowner does pay they are contributing to bonuses and largely untaxed profit of investment banks and that is an apt description of what happens to the money when a homestead is forced into sale. NO entry is ever made decreasing the amount of a receivable because there is no receivable. 

And that is the part that is completely counterintuitive to nearly everyone. It is also the reason that XXXX  XXXX consistently XXXX any attempts to get discovery of information that would obviously lead to admissible evidence in court. 

There are thousands of Foreclosure cases that have been pushed to the back burner for 10 years or more ( I have one that is 12 years old ) as a result of lawyers and pro se litigants experimenting with this concept. 

The concept is simple. The claim brought against the homeowner either directly or indirectly asserts that the designated claimant exists in the real world and possesses a claim against the Homeowner. The homeowner says OK, tell me how you exist and how you acquired a claim against me. The Foreclosure Mail refuses to answer because it knows that the truth will XXXX  the claim. 
BUT by sheer force of will and perseverance and infinitely deep pockets, the investment bank continues litigating a claim that has absolutely no merit. And in most cases, because our government regulators are sleeping the cost of defending the baseless claims falls onto the homeowner who lacks the resources of time, money and energy to preserve the largest asset he/she owns. 

I demand FULL DISCLOSURES from XXXX XXXX/XXXX  and PennyMac WHO SOLD them my LOAN and WHOM they serviced from XX/XX/XXXX ; who are the REAL LENDERS behind my transaction with XXXX ( which based on all evidence is Federal Reserves table pool operated by XXXX XXXX, XXXX, XXXX XXXX, XXXX XXXX and other OWNERS of XXXX and PennyMac. 

I demand compensation for fraud ; 20 % royalties from all trades, and punitive damages at least XXXX XXXX.