Consumer complaint received 2020-07-08 00:00:00
Product: Debt collection — Mortgage debt
Issue: Attempts to collect debt not owed — Debt was result of identity theft
Company: PENNYMAC LOAN SERVICES, LLC.
State: MI

Complaint narrative:
Dear CFPB, Senate, DIFS, AG, DOJ and other authorities Please find my complaint against PennyMac Loan Services , LLC ( XXXX XXXX XXXX , XXXX ) and XXXX XXXX XXXX owner of XXXX/ XXXX XXXX XXXX ; XXXX XXXX who originates and servicers 62 % of ALL transactions related to purchases of securities called " Promissory Note '' and " Mortgage '' from " borrowers '' which are misrepresented to homebuyers as a " loan ''. 

Money for these transactions are coming from Big Investment banks ' ( aka table funding ) pools who are the actual buyers of Promissory Notes to use these instruments manipulated by Mr. XXXX XXXX to initiate a Ponzi scheme with derivatives and hedge contract which are sold by Wall Street brokers to investors as " unsecured Notes ''. The most recent example is XXXX XXXX XXXX XXXX  offering of XXXX XXXX of unsecured notes under 17.95 % annual interest on XX/XX/XXXX. 

These money pools are consist of funds collected by Stockbrokers from Investors and not related to any debt or properties because residential debt is never sold or securitized. And it means that the homeowner transacted was actually funded by a third party ( investment bank ) and what THAT means is that no actual sale ever took place of any debt, note or mortgage. 

That is securitized is borrowers personal information - manipulated by Mr. XXXX XXXX who is the actual party behind originating, servicing and illegally foreclosing millions of homeowners whose identity Big Banks sell on the open market to create a windfall of profits, from {$12.00} ( XXXX ) to {$180.00} ( XXXX XXXX ) - while Mr. XXXX XXXX relentlessly forge and manipulate information about " sales '' of trillions of dollars " loans '' which never happened in the real life. 

That means that the homeowner transactions that were falsely labeled as loans were never securitized. In other words, the whole thing is a lie. 

Surprisingly, this most criminal organization ever existed in the World - Mr. XXXX XXXX XXXX XXXX mob - to this day incredibly remains out of the limelight despite being the only company whose division president, XXXX XXXX, went to jail for falsifying documents. It wasnt really her fault. In fact, XXXX, XXXX was not even her Company because Mr. XXXX created his own XXXX, XXXX where XXXX XXXX was not a party. 

Mr. XXXX XXXX XXXX, XXXX which was originally incorporated in Colorado in XXXX, and registered in GA under XXXX on XX/XX/XXXX was dissolved on XX/XX/XXXX. 

On the same day, XX/XX/XXXX another Company named XXXX, XXXX file XXXX, was registered by XXXX XXXX, lawyer for XXXX XXXX XXXX aka XXXX XXXX XXXX. ( now XXXX XXXX ). On XX/XX/XXXX Mr. XXXX XXXX filed an Amendment which vested all management of XXXX, XXXX on its members - XXXX XXXX XXXX aka XXXX XXXX. This XXXX XXXX is active as of today, but XXXX XXXX had no relationship to its activities since at least XXXX - or even at its formation. 

It is just a small example how Mr. XXXX uses fake actors to defraud homeowners and Courts about the real parties and the real nature of the transaction - purchase of Promissory Note from a home buyer to initiate Securitization scheme based on manipulated by Mr. XXXX XXXX data. 

Companies called themselves " Servicers '' and " Lenders '' do not lend or service anything because they don't have money to fund any mortgages and because here is nothing to service - no Trusts were established - much less purchased anything from so-called " Lenders '' My transaction with XXXX XXXX XXXX was a typical scam operated by Mr. XXXX and an Investment Bank [ s ] via sham conduits. 

XXXX, acting as a " Lender '' merely received a fee for collecting my data and passing it to XXXX XXXX via their sham conduit XXXX XXXX XXXX , XXXX who has a password and login to XXXX XXXX XXXX   system. 

XXXX XXXX, acting under glimpse of " XXXX '' ordered a Flood Determination Map from XXXX  - who uses FEMA 's forms pretending that this Map is coming from FEMA. In fact, FEMA has nothing to do with determination, they merely enjoy free and easy profits from force placed junk flood insurances which help XXXX XXXX to place financial hardship on working families to push them in foreclosures to launder fatally damaged property Titles. 

Most homeowner transactions are established on XXXX. The banks, in their never ending quest to send us down rabbit holes only present the servicers and their business records.Their strategy is to get homeowners and the court to presume that in the absence of payments someone must have suffered a financial loss since the debt was clearly established in a transaction in which the homeowner received money and issued a note and mortgage. In the present securitization era that paradigm is wholly untrue but not obvious because the banks turned lending on its head. The homeowners took what they thought was a loan but the banks were not lenders and had no intention of becoming lenders. 

And it means that the homeowner transaction was actually funded by a third party ( investment bank ) and what THAT means is that no actual sale ever took place of any debt, note or mortgage. 

And THAT brings to the central issue on what basis can a non-creditor appoint a designee or nominee to collect on a debt that they dont own? 

And without a sale to the trustee of the XXXX trust it is the Depositor who owns the homeowner obligation. That means under black letter law that neither the trustee nor the trust can be named as claimant or beneficiary or plaintiff in a foreclosure proceeding because they are not a creditor. 

Which turns XXXX and PennyMac 's statements about their " appointments '' as " Servicers '' or " sales '' of my loan by parties whom they can not identify into blatant lies. 

Which are specially obvious from PennyMac 's false and contradicting statements. 

On XX/XX/XXXX PennyMac, long time a client of XXXX XXXX /XXXX  who never funded or serviced any loans, but merely pretended to be a " Lender '' and " Servicer '' for a fee, sent me a letter informing that " servicing of your loan was transferred '' to PennyMac . 

In other words, an Investment Bank and XXXX XXXX switched XXXX ( who was a prior fake Servicer ) with a new " servicer '' PennyMac by providing them a new login and password to XXXX. 

Or PennyMac stole my information from XXXX XXXX XXXX database to use it in their own system because on XX/XX/XXXX PennyMac sent a letter to XXXX XXXX were they informed XXXX XXXX that they are not going to use their system anymore. 

As the result, XXXX XXXX terminated PennyMac 's contract on XX/XX/XXXX and on XX/XX/XXXX filed a legal action XXXX XXXX v. PennyMac where XXXX  explained in details how exactly they manipulate borrowers data and PennyMac 's and other Servicers ' role as users with a very limited access to XXXX XXXX Data. 

PennyMac ( who was not able to provide me ANY proof of their ownership of my debt, including closing documents which were emailed to PennyMac by XXXX XXXX after I submitted complaint with XXXX XXXX ), responded with antitrust case where PennyMac accused XXXX XXXX in monopolization of servicing industry ; and In addition to XXXX, XXXX XXXXoffers various other XXXX   branded servicing products, including XXXX Foreclosure, XXXX  Bankruptcy Solution, and XXXX XXXX XXXX, as well as XXXX for correspondent loan origination, delivery, and purchasing activities. In other words, 62 % of all loan originations, servicing and foreclosures are conducted by XXXX XXXX who during last 50 years relentlessly forge documents presented to the Courts to steal homes from over 30 million working class Americans as tax-free revenue for Investment Banks - whose pool money aka table funding are used to fund a purchase of Promissory Note from a borrower, or a one-time payment which homeowners are expected to repay with interest. 

PennyMac 's role is to act as a " real party '' who " owns '' the debt by virtue to their ability to print payment history from XXXX XXXX system. Which is a flagrant fraud upon the Court and violation of every single law in the USA, specially UCC art 9 203 which requires a value to be paid for the debt - which PennyMac never did. 

Yet, PennyMac lied to me about their " purchase '' of my loan from someone and their " ownership '' of my loan as a " creditor. 

This is a lie - and PennyMac personally admitted it in their case against XXXX XXXX. 
PM said : There are high barriers to entry in both the Mortgage Servicing Platform Market, and the Platform Software Applications Market, including, among others, XXXX XXXX overly restrictive license terms, regulatory constraints, capital and development entry costs, entrenched buyer preferences or loyalty for existing systems ( including XXXX ). In other words, it is clear WHO is the real party behind all " servicing '' and who place high restrictions on users because XXXX XXXX does not want to be exposed as the main party in the biggest crime ever existed in the World history. 

Next, PennyMac said : In XXXX, when PennyMac was a small startup company, it approacheda XXXX XXXX predecessor, XXXX XXXX XXXX XXXX XXXX ( XXXX ), to servicePennyMacs loans on the MSP system, which was then, and remains, the dominantmortgage servicing platform. Although XXXX was largely an off the shelf productwith limited capabilities, PennyMac, as a start-up company in the mortgage servicing business, had little option but to license XXXX due to the extremely limited options available in the market. 

in other words, PennyMac try to convince the Judge that they had money to originate and fund mortgages but struggle to pay a fee for servicing them via XXXX XXXX platform - while they they suppose to service loans anyway, regardless if they have a contract with XXXX XXXX or not. Which lead to a conclusion that without XXXX XXXX system here is no servicing options for PennyMac at all. 

The reasonable question is - if PennyMac is the real lender and servicer, WHY they have to use XXXX XXXX system? And who appoint PennyMac as a Servicer? XXXX XXXX who never appeared in any transaction with homeowners? The only reasonable answer is - because PennyMac is a fake Servicer. 

PennyMac continued : Shortly thereafter, in or around XX/XX/XXXX, XXXX spun off XXXX and related products to a newly-created entity, XXXX XXXX XXXX XXXX XXXX ( who incorporated their own XXXX, XXXX in GA on XX/XX/XXXX and passed all management functions to themselves on XX/XX/XXXX, thus leaving XXXX XXXX aside as a fake party whom they later exposed as a main forger. XXXX, who had nothing to do with XXXX, XXXX since XXXX, was aware about suicide epidemic among key witnesses after murder of XXXX XXXX, and apparently agreed to serve in jail for the team where she did not belong, either because of fear or for the money. 

PennyMac further said : In XXXX, after XXXX was accused of multiple fraudulent practices andagreed to pay substantial sums to state and federal regulators, XXXX XXXX XXXX XXXX XXXX. ( XXXX ) purchased XXXX and re-branded XXXX as XXXX XXXX XXXX XXXX. In XXXX, XXXX nominally spun off XXXX XXXX as a separate entity, but the two companies continue to share, among other things, multiple common senior officers and directors. 

The truth is - Mr. XXXX never purchased XXXX since it belonged to him from the beginning, they merely changed its corporate name just like XXXX XXXX was renamed as XXXX and PennyMac, under the same leadership and with the same course of business - lie and defraud customers and investors on behalf of Investment Banks, for a fee. 

According to PennyMac 's complaint, VA loans and USDA loans are subject to purchase and securitization by the Government National Mortgage Association, better known as XXXX XXXX. Mortgage servicers, whether as banks or as non-bank servicers, are likewise subject to detailed reporting obligations, as well as examination, by investors, that is, the entities that actually own the loans that are being serviced. In addition to XXXX XXXX, the other significant governmental investors are the XXXX XXXX XXXX   XXXX ( XXXX XXXXXXXX ) and the XXXX XXXX XXXX XXXX  XXXX ( XXXX XXXX ), which collectively own the vast majority of residential mortgages originated in the United States. [. ] In other words, purchaser, Investor, owner and issuer of securities backed by my loan must be XXXX XXXX, who does not sell performing loans ( if they ever had them, which based on XXXX XXXX XXXX testimony were never sold to any investors ) But in every respond to my inquiries, PennyMac relentlessly lie that purchaser, investor, owner and issuer of securities backed by my loan is PennyMac, without any evidence in support. 

Moreover, since PennyMac can ONLY legitimately " service : loans via XXXX XXXX  system and XXXX XXXX terminated its contract with PennyMac, they have absolutely no rights to even claim themseves as Servicers. No need to say as " investors '' or " creditors '' Since my transaction with XXXX was actually funded by a third party ( investment bank ) and no actual sale ever took place of any debt, note or mortgage, here is no legitimate creditor who can appointed ( or appointed ) XXXX, XXXX or PennyMac as " Servicers '' since here are no Trusts were formed, thanks to Mr. XXXX XXXX XXXX. 

Big Banks use PennyMac to defraud borrowers and investors to claim non-existing " damages '' " suffered '' by PennyMac and their " Servicer 's Advances '' to investors ( which PennyMac never did ) to receive another huge bailout from taxpayers - and send PennyMac in bankruptcy to cover for all crimes - just like their sent XXXX XXXX in jail. 

This is the only reason why Investment Banks still allow PennyMac to pose as a " Servicer '' even though they do not have a contract with XXXX XXXX to use their servicing platform. 

I demand to investigate XXXX/XXXX XXXX and PennyMac for fraud nd fraududlent transfer, compensate me for all damages, remove any illegal liens from my Title ; and pay me a restitution and royalties from all trades.

Company response to consumer: Closed with explanation