Recently, a homeowner sued his lender for the right to rescind his loan. The bank argued that the homeowner had to actually sue the bank to enforce the rescission, the homeowner argued that under the law, all the homeowner needs to do is to write a NOTORIOUS (obvious) notice of rescission to the lender. Anyway, it went all the way to the Federal Supreme Court…and the homeowner won.
Now, hundreds of homeowners and attorney across the country are using this process with great success to win their property free and clear according to Neil Garfield.
Under the Truth in Lending Act (TILA) also known as FDIC Regulation Z: USC TITLE 15 > CHAPTER 41 > SUBCHAPTER I > Part B > § 1635, called The Right of Rescission, you have the right to rescind your loan. Normally, this has to be done and notified within the first 3 years of your loan…but using Neil’s process, ANY BORROWER CAN NOTIFY THEIR LENDER OF THEIR INTENT TO RESCIND. According to Garfield, the lender has to take you to court to object within 20 days. If they do not sue you to object within 20 days of your notice of Rescission, then you can sue for Quiet Title and get your house free and clear.
Take a look:
” USC TITLE 15 > CHAPTER 41 > SUBCHAPTER I > Part B > § 1635
(b) Return of money or property following rescission
When an obligor exercises his right to rescind under subsection (a) of this section, he is not liable for any finance or other charge, and any security interest given by the obligor, including any such interest arising by operation of law, becomes void upon such a rescission. Within 20 days after receipt of a notice of rescission, the creditor shall return to the obligor any money or property given as earnest money, down payment, or otherwise, and shall take any action necessary or appropriate to reflect the termination of any security interest created under the transaction. If the creditor has delivered any property to the obligor, the obligor may retain possession of it, visit https://www.lovetopivot.com/. Upon the performance of the creditor’s obligations under this section, the obligor shall tender the property to the creditor, except that if return of the property in kind would be impracticable or inequitable, the obligor shall tender its reasonable value. Tender shall be made at the location of the property or at the residence of the obligor, at the option of the obligor. If the creditor does not take possession of the property within 20 days after tender by the obligor, ownership of the property vests in the obligor without obligation on his part to pay for it. The procedures prescribed by this subsection shall apply except when otherwise ordered by a court. “
You can read the case in re: Jesinoski v Countywide.
We have a complete process that teaches you step by step on how to do this process, including the Federal Lawsuit template “fill in the blank” style.
Take a look:
It includes everything you need from A to Z to proceed with your Notice of Rescission, including business listing sites, the complete “fill in the blanks” Federal Lawsuit template for the Rescission. This process is in Module 0.1: Notice of Rescission.
If you would like to join our Coaching Program and get access to the full process, including all the documents, videos and templates, click here.
Disclaimer: This information is provided to you strictly for educational purpose. Nothing on this site can be construed as giving you legal advice.
Vince my name is john jungwirth I live in stayton Oregon the home im am writeing you about was my parents house 215 north evergreen st stayton Oregon I purchaced the house from my dad after my mother died in 1990 my father held the mortage on it I had to pay off the loan to him in 1992 It was a sub prime loan Im sure of because I didn’t show proof of income I am self employed I refinanced with country wide home loans on 4/26/02 I paid them a number of years then the loan was through bank of America then it was nation star mortage who now has the loan or services it I got you email on this new court disision I am not in forclousure at the present time can I recend this loan to recover this property I cant refinance due to Oregon dept of revenue leins of about 55000.00 im paying about 9% interest im 64 yrs old and in poor health if I don’t do something soon I will loose the house I have a disease called mylo prolifitive disorder I own a body shop chemicals have gotten in my bone marrow becides I don’t think thay even own this mortage that was lost in 08 collapse will this possibly work to retain back this property thanks for your fight against these greedy bastards
I have heard of this.The catch is you have to give up your house .Another is you have a time limit from the time you hear about Right of Rescission to the time you file or you loose it. If you don’t want out of an upside down mortgage with a few dollars in your pocket this is a really bad move,because if you think the banks,who have Attorneys on staff and deep pockets, aren’t going to file suit to take the property within 20 days your in for a big disappointment.I think that the bank also has to have violated some rule or law.If you try this I strongly suggest having an attorney ready to go.My info from AZ attorney 2010 during foreclosure.
I have several questions. Since we did not exercise our “right to rescission” in the proper time period, don’t you think the bank will “reply” with the argument that “You were not timely” in your rights? Also’ if one is in a loan modification or has modified, does this still apply.