TO THIS GUY----THE COCKROACH---- YOUR HOUSE IS JUST A COMMODITY ---$$$
Jamie Dimon, CEO of J.P. Morgan Chase & Co., is reported as saying: “ although the bank didn't foreclose on people who should've been exempted, its mistakes are "embarrassing." AND “Some of the mistakes were egregious, and they're embarrassing”
NOW I WILL TELL YOU WHAT DIMON WON’T SAY?
JP Morgan Chase would like to have everyone believe they did not know of violations of law such as the Servicemenber Relief Act, robo-signers, and false affidavits.
If the people only knew what loan securitization their loan was parked in they would find out that JP Morgan was..... well let me see....up to their eyeballs in everything. They were Originator, Servicer, Master Servicer, Trustee, Depositor, Custodian, Sponsor, Underwriter, etc. Give the trading desk a call MBS Trading Desk (212) 834-2499 and ask them where your loan is!
CHASEFLEX TRUST SERIES 2006-2 CERTIFICATES
CHASE MORTGAGE FINANCE CORPORATION
JPMORGAN CHASE BANK, N.A.
Servicer and Custodian
CHASE HOME FINANCE LLC
Sponsor and Seller
J.P. MORGAN SECURITIES INC.
WHAT DOES ALL THIS MEAN? They controlled every aspect of what happened in the loan transaction from origination through debt collection and foreclosure.
THEY WERE WELL AWARE OF THE LAWS
SERVICEMEMBERS CIVIL RELIEF ACT
Under the terms of the Servicemembers Civil Relief Act of 1940, as amended (the "RELIEF ACT"), a borrower who enters military service after the origination for such borrower's mortgage loan (including a borrower who was in reserve status and is called to active duty after origination of the mortgage loan), may not be charged interest (including fees and charges) above an annual rate of 6% during the period of such borrower's active duty status, unless a court orders otherwise upon application of the lender. The Relief Act applies to borrowers who are members of the Army, Navy, Air Force, Marines, National Guard, Reserves, Coast Guard, and officers of the U.S. Public Health Service ordered to federal duty with the military. Because the Relief Act applies to borrowers who enter military service (including reservists who are called to active duty) after origination of the related Mortgage Loan, no information can be provided as to the number of loans that may be affected by the Relief Act. Application of the Relief Act would adversely affect, for an indeterminate period of time, the ability for the Servicer to collect full amounts of interest on certain of the Mortgage Loans. Any shortfalls in interest collections resulting from the application for the Relief Act will be allocated on a pro rata basis to the Certificates. In addition, the Relief Act imposes limitations that would impair the ability of the Servicer to foreclose on an affected Mortgage Loan during the borrower's period of active duty status, and, under certain circumstances, during an additional three month period thereafter. Thus, in the event that such a Mortgage Loan goes into default, there may be delays and losses occasioned thereby.
SO WHAT IS THE EXCUSE FOR THE ABUSE?
The Mortgage Loans were originated by or for JPMorgan (the
"ORIGINATOR") generally using underwriting guidelines as set forth above. See "Underwriting Guidelines" in this supplemental term sheet. JPMorgan is a wholly owned bank subsidiary of JPMorgan Chase & Co. ("JPMORGAN CHASE"), a Delaware corporation whose principal office is located in New York, New York.
ORIGNATED FOR JP MORGAN….HUMM…..
GET THE PICTURE – THEY SET YOU UP TO FAIL!
THE PAYING AGENT
1.2 TRILLION – WHERE THE HELL ARE ALLTHE LAWYERS - GO GET IT FOR THE BORROWERS!
The Custodian is JPMorgan Chase Bank, N.A. (in such capacity, the "CUSTODIAN"). The Servicer will generally not have responsibility for custody of the Mortgage Loan documents described under "The Pooling and Servicing Agreement--Assignment of Mortgage Loans" above. The Custodian will hold the related Mortgage Loan documents on behalf of the Trustee. The Mortgage Loan documents related to a Mortgage Loan will be held together in an individual file separate from other mortgage loan files held by the custodian. The Custodian will maintain the Mortgage Loan documents in a fireproof facility intended for the safekeeping of mortgage loan files. The Servicer will pay the fees of the Custodian.
WHY THE PROBLEM WITH LOST NOTES- BOGUS ASSIGNMENTS?
CHF (also referred to as the "SPONSOR") acquired the Mortgage Loans immediately after the origination by JPMorgan. CHF is a limited liability company formed in Delaware. CHF is in the business of acquiring, servicing and subservicing residential mortgage loans, selling loans in the secondary market,providing financial and transactional advice to its customers, and assisting in structuring, arranging and completing financial transactions. CHF (or a predecessor in interest) has been originating or acquiring mortgage loans for over 50 years and has been originating or acquiring mortgage loans similar to the Mortgage Loans at least since 1988. CHF originated approximately $173.6 billion, $94.6
billion and $85.4 billion of mortgage loans during 2003, 2004 and 2005,
respectively. As of June 30, 2006, CHF had originated $36.6 billion of mortgage loans during 2006. CHF (or a successor in interest) has been securitizing mortgage loans since 1988.
The Sponsor has an active program of securitizing residential mortgage loans. The Sponsor, through its affiliate, Chase Mortgage Finance Corporation, has been securitizing mortgage loans similar to the Mortgage Loans since 1988. In addition, since 1998 the Sponsor, through its affiliate Chase Funding, Inc., has engaged in a program for securitizing subprime mortgage loans. No such securitization transaction has experienced an event of default or similar difficulty.
In connection with transactions involving Chase Mortgage Finance Corporation, the Sponsor generally has either originated and/or acquired the securitized mortgage loans and been responsible for all representations and warranties made with respect to the mortgage loans. The Sponsor also generally has been responsible for servicing the securitized mortgage loans, acting either directly as servicer or indirectly as subservicer for JPMorgan.
DON’T YOU THINK THEY COULD HAVE GOT IT RIGHT BY NOW? KNOWN BETTER? ARE YOU ONE OF THE 300 BILLION DOLLARS WORTH OF LOANS ORIGINATED AND SECURITIZED BY JP MORGAN BETWEEN 2003-2006.
JPMORGAN CHASE BANK, N.A.
JPMorgan Chase Bank, N.A. ("JPMORGAN"), a national banking association, is a wholly-owned bank subsidiary of JPMorgan Chase & Co., a Delaware corporation whose principal office is located in New York, New York. It is chartered, and its business is subject to examination and regulation, by the Office of the Comptroller of the Currency. JPMorgan's main office is located in Columbus, Ohio. It is a member of the Federal Reserve System and its deposits are insured by the Federal Deposit Insurance Corporation. JPMorgan is an affiliate of JPMorgan Securities, Inc., the underwriter.
Prior to January 1, 2005, JPMorgan formed Chase Home Finance LLC ("CHF"), a wholly-owned, limited liability company. Prior to January 1, 2005, Chase Manhattan Mortgage Corporation ("CMMC") was engaged in the mortgage origination and servicing businesses. On January 1, 2005, CMMC merged with and into CHF with CHF as the surviving entity.
JPMorgan has engaged CHF as its subservicer to perform loan servicing activities for the Mortgage Loans on its behalf. JPMorgan will remain liable for its servicing duties and obligations under its servicing agreement as if JPMorgan alone were servicing the Mortgage Loans
Servicing operations, for "prime" quality mortgage loans are audited internally by JPMorgan's General Audit and Risk groups and subject to external audits by various investors, master servicers and the Office of the Comptroller of the Currency. JPMorgan utilizes committees assembled on a quarterly basis to analyze compliance to Fair Debit Collections and Fair Lending legislation. JPMorgan employs a dual control process to review accounts for fee waivers and loss mitigation rejections in order to monitor compliance with internal procedures.
WHERE THE HELL WERE THE FED RESERVE, OCC, FDIC WHILE JP ABUSED OUR MILITARY FAMILIES?
JPMorgan as a servicer has made numerous changes to its servicing procedures during the past three years in order to improve its servicing processes and to increase efficiencies including the expansion of its customer care operational centers to Manila, Philippines and Costa Rica.
LET’S MOVE JOBS TO THE PHILIPPINES AND COSTA RICA…. YEAH THAT’S HOW MUCH WE LOVE AMERCA!
JPMorgan, through its subsidiary CHF, employs a collections strategy that is based on risk scoring and dialer strategy to make appropriate contact with delinquent customers. There are special service teams to address the specific needs of Spanish-speaking customers and those impacted by natural disasters.
Attempts to assist mortgagors to re-perform under their mortgage commitments are made prior to referring loans to foreclosure. Loss mitigation efforts are run concurrently with the migration of a loan to foreclosure and continue until the foreclosure sale is executed. Loss mitigation solicitation efforts include outbound calling strategies, inbound dedicated loss mitigation analysis teams and targeted assistance letters. In addition to the Chase internet site delivering applications and program overviews, High Risk Property Managers review options during site inspections and local housing association referrals.
CHF has created a legal network where home product loans are referred for bankruptcy, foreclosure, real estate owned (REO) and loss mitigation legal actions. Attorneys are monitored for performance to action initiation requirements, adherence to the timeline set forth by the state or federal jurisdictions and within the boundaries of the mortgage insurer or investor. Status is monitored between operational teams for managing bankruptcy case filings, loss mitigation programs and transfers to REO status. Performance to these timelines is periodically monitored to increase loss mitigation opportunities, billing accuracy, managing data security, and to effectively manage any initiated legal action.
REALLY? ISN’T THE MAIN DEFENSE OF ALL THESE A-HOLES THAT THEY HAD NO IDEA THAT THESE FORECLOSURES MILLS WERE FABRICATING DOCS, OPERATING SWEAT SHOPS SIGN-A-THONS!
Under the terms of the Agreement, the Servicer may agree to modification upon the request of the mortgagor provided either the modification is in lieu of a refinancing and the servicer purchases the related mortgage loan for a price equal to the outstanding principal balance of the Mortgage Loan or such modification meets certain criteria limiting the type of and extent of such modifications.
DO YOU THINK THEY WANT TO PURCHASE YOUR “SHITTY DEAL” AS DESCRIBED BY TRADERS IN SECURITIES, OR YOUR TOXIC ASSET, AS DESCRIBED IN TARP? HELL NO…. THEY ARE UNLOADING THE SHIT!
Under the terms of the Agreement, the Servicer generally will not be liable for any losses on the Mortgage Loans.
The Servicer is required to make advances of delinquent monthlypayments of interest and principal to the extent described in this supplemental term sheet.
Collection Procedures. CHF employs a variety of collection techniques during the various stages of delinquency. The primary purpose of all collection efforts performed by CHF is to bring a delinquent mortgage loan current in as short a time as possible. Phone calls are used as the principal form of contacting a mortgagor. CHF utilizes a combination of predictive and preview dealer strategies to maximize the results of collection calling activity. Prior to initiating foreclosure proceedings, CHF makes every reasonable effort to determine the reason for the default, whether the delinquency is a temporary or permanent condition, and the mortgagor's attitude toward the obligation.
CHF will take action to foreclose a mortgage only once every reasonable effort to cure the default has been made and a projection of the ultimate gain or loss on REO sale is determined. In accordance with accepted servicing practices, foreclosures are processed within individual state guidelines and in accordance with the provisions of the applicable mortgage and applicable state law.
SO FOR ALL YOU IN MODIFICATION HELL, PAY ATTENTION TO THESE PROVISIONS. FIRST JP MORGAN HAS ADVANCED YOUR PAYMENT TO THE TRUST AND UPON FORECLOSURE WILL GET IT ALL BACK-BUT NOT UNTIL FORECLOSURE! NEXT THEY ARE NOW YOUR SHRINK AND WHEN THEY QUESTION YOU THEY ARE DETERMINING YOUR “ATTITUDE” TOWARD YOUR OBLIGATIONS!
Under CHF's "Reduced Documentation Program," Mortgage Loans wereoriginated under the "no ratio" or "no income verification" guidelines. Under the "no ratio" guidelines, no income is stated or verified but source(s) of income are verified; under the "no income verification" guidelines income is stated but not verified; assets are verified in the case of both such guidelines.
Pursuant to CHF's "No Doc" program, no employment information, sources of income, income amount or assets are disclosed. Additionally, employment verification is not required. The underwriting for such mortgage loans are based primarily or entirely on a stronger credit profile (evidenced by a higher minimum FICO credit risk score), a lower maximum product limit and additional due diligence performed on the collateral.
Pursuant to CHF's Stated Income Stated Asset Program (which is sometimes referred to as CHF's "SISA" or "Simply Signature" program),verification of the income and assets, as stated on the application, is not required. The underwriting for such mortgage loans requires AUS approval and is based entirely on stronger credit profile and lower loan-to-value ratio requirements.
From time to time, exceptions and/or variances to CHF Alternative A Underwriting Policies may be made. Such exceptions and/or variances may be made only if specifically approved on a loan-by-loan basis by certain credit personnel of CHF who have the authority to make such exceptions and/or variances. Exceptions and/or variances may be made only after careful consideration of certain mitigating factors such as borrower capacity, liquidity, employment and residential stability and local economic conditions.
The Mortgage Loans originated using CHF Alternative A Underwriting Policies described above may experience greater rates of delinquency, foreclosure and loss than mortgage loans required to satisfy more stringent underwriting standards.
WAIT A MINUTE…. I THOUGHT THEY DIDN’T KNOW THIS COULD END BADLY?
THE ISSUING ENTITY
On the Closing Date, and until its termination pursuant to the Agreement, ChaseFlex Trust Series 2006-2 (the "ISSUING ENTITY") will be a common law trust formed under the laws of the State of New York. The Issuing Entity will be created under the Agreement by the Depositor. The Issuing Entity will not have any liabilities as of the Closing Date.
The Issuing Entity will not have any employees, officers or directors. The Trustee, the Depositor and the Servicer will act on behalf of the Issuing Entity, and may only perform those actions on behalf of the Issuing Entity that are specified in the Agreement.
The Issuing Entity, as a common law trust, is not eligible to be a debtor in a bankruptcy proceeding. In the event of bankruptcy of the Sponsor,the Depositor or the Originator, it is not anticipated that the assets of the Issuing Entity would become part of the bankruptcy estate or subject to the bankruptcy control of a third party.
PAY ATTENTION… YOU NEED TO UNDERSTAND WHO YOU ARE PLAYING WITH! THE TRUST ARE SEPARATE LEGAL ENTITIES AND BANKRUPTCY REMOTE. LAWYERS ARE YOU LISTENING!
ASSIGNMENT OF MORTGAGE LOANS
The Depositor will cause the Mortgage Loans to be assigned to the Trustee, together with the rights to all principal and interest due on or with respect to the Mortgage Loans after the Cut-off Date other than interest accrued on the Mortgage Loans prior to the Cut-off Date. JPMorgan Chase Bank, N. A., as authenticating agent (in such capacity, the "AUTHENTICATING AGENT"), will, concurrently with such assignment, authenticate and deliver the Certificates.
WHAT THE HELL HAPPENED TO THIS AFFIRMATIVE GUARANTEE THAT JP MORGAN WOULD MAKE SURE THE ASSIGNMENT TOOK PLACE AT INCEPTION OF THE TRUST? INVESTORS ARE YOU PAYING ATTENTION?
In addition, the Depositor will, as to each Mortgage Loan (other than a Co-op Loan), deliver or cause to be delivered to the Custodian on behalf of the Trustee the Mortgage Note (together with all amendments and modifications thereto) endorsed without recourse to the Trustee or its designee, the original or a certified copy of the mortgage (together with all amendments and modifications thereto) with evidence of recording indicated thereon and an original or certified copy of an assignment of the mortgage in recordable form.
With the exception of assignments relating to Mortgaged Properties in certain states, the Depositor does not expect to cause the assignments to be recorded.
SO WHERE DID IT ALL GO WRONG? OH YEAH NOW I REMEMBER, I WAS OUT GOLFING THE DAY WE WERE GOING TO TAKE CARE OF THIS….
Under the terms of the Agreement, the Depositor's conveyance of the Mortgage Loans to the Trustee is intended to constitute a purchase and sale and not a loan. However, to the extent that the conveyance of the Mortgage Loans from the Depositor to the Trustee is characterized as a pledge and not a sale, the Agreement will constitute a security agreement such that the Depositor will be deemed to have granted to the Trustee a first priority security interest in all of the Depositor's right, title and interest in, to and under the Mortgage Loans.
OH YEAH, AND WE HAD A BUNCH OF OTHER FUNKY CONTRACTS LIKE REPO 105, REVERSE REPURCHASE, AND OTHER CRAZY STUFF.
JUST TO BE CLEAR WE REALLY DIDN’T THINK THAT IT MATTERED WHAT WE DID AS YOU WOULD NEVER KNOW WHAT THESE AGREEMENTS WERE ALL ABOUT!
NOW WE’RE SCREWED!
JOIN THE ORGY