MSNBC:
Not according to Deutsche or other banks. They say they aren't really the owners, despite the fact that their name appears on the property title. They also say they are not responsible for maintenance.
Representatives of Deutsche, as well as U.S. Bank, BNY Mellon and HSBC — three other major lenders that Los Angeles is investigating with an eye to suing, all said that loan servicers are responsible for property upkeep, as well as tasks such as sending default notices, modifying loans, selling homes, and collecting rent and mortgage payments.
"We're there in name only," said Teri Charest, spokeswoman for U.S. Bank. "We're trustees. We have a very limited role."
The real owners, the banks say, are the holders of the mortgage-backed securities — financial instruments comprising a pool of mortgage loans that are held in a trust and sold. The banks maintain they are simply distributors of the proceeds from the securities — the payments of a homeowner's loan principal and interest — to the investors.
Not according to Deutsche or other banks. They say they aren't really the owners, despite the fact that their name appears on the property title. They also say they are not responsible for maintenance.
Representatives of Deutsche, as well as U.S. Bank, BNY Mellon and HSBC — three other major lenders that Los Angeles is investigating with an eye to suing, all said that loan servicers are responsible for property upkeep, as well as tasks such as sending default notices, modifying loans, selling homes, and collecting rent and mortgage payments.
"We're there in name only," said Teri Charest, spokeswoman for U.S. Bank. "We're trustees. We have a very limited role."
The real owners, the banks say, are the holders of the mortgage-backed securities — financial instruments comprising a pool of mortgage loans that are held in a trust and sold. The banks maintain they are simply distributors of the proceeds from the securities — the payments of a homeowner's loan principal and interest — to the investors.
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