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The MERS Edifice Quavers.... Karl Denninger

And threatens to crumble into dust....

Yes, this is a draft. But it is coming from a law school's scholarly paper mill - not exactly the sort of place you want to ignore. A few good cites will set the table for those willing to dig into what's really not that hard to understand...

In the mid-1990s mortgage bankers decided they did not want to pay recording fees for assigning mortgages anymore.11 This decision was driven by securitization—a process of pooling many mortgages into a trust and selling income from the trust to investors on Wall Street. Securitization, also sometimes called structured finance, usually required several successive mortgage assignments to different companies. To avoid paying county recording fees, mortgage bankers formed a plan to create one shell company that would pretend to own all the mortgages in the country—that way, the mortgage bankers would never have to record assignments since the same company would always “own” all the mortgages.12

What do you call an artifice designed to evade the payment of taxes - which these fees are?


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The more THEY confuse and abstract the concept ....

of PROPERTY, the less power it has as a legal concept.

It is also a way of centralizing power.

The Virtual Conspiracy

I don't get MERS as a way for

I don't get MERS as a way for the banks to avoid recording fees. I mean, I paid the recording fees, two of them, in fact. They were among dozens of fees that I had to pay up when I closed the mortgage. Then I had to pay again when I paid off the smaller of my two mortgages.

But is this MERS business for when the mortgage get sold and resold and chopped up and hashed and rehashed?

I expect to pay a recording fee when I pay off my mortgage and "burn the deed" (can we still do that?).

"Cowards & idiots can come along for the ride but they gotta sit in the back seat!"

I would recommend burning the paid mortgage

and keeping the deed.

MERS was set up as a way for

MERS was set up as a way for lenders to avoid recording fees of ASSIGNMENTS of mortgages

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Interstate Commerce?

In all of this MERS business, why hasn't the federal gov't taken an active roll on the basis of interstate commerce?

They use interstate commerce as an excuse for everything else, why not the foreclosure business?

Surely these vast amounts of mortgage securitizations have crossed state lines?


fireant's picture

They're looking at mail and wire fraud,

according to an article in the Washington Post this morning.

Undo what Wilson did

Denninger is great! thx for

Denninger is great! thx for sharing bobbyw24. I've been posting his stuff to my facebook wall for sometime.

" Single acts of tyranny may be ascribed to the accidental opinion of they day; but a series of oppresssions...pursued unalterably, through every change of ministers, too plainly proove delibrate, systematical plan of reducing us to slavery..."



Only as a free man shall I perish...