Lender can’t modify the mortgage without the “mortgagee’s” consent

Stopforeclosurefraud:



This according to Straight Talk by Sharon Horstkamp, MERS Vice President and Corporate Counsel. Below is an excerpt of the newsletter:

The standard modification agreement

is between the Borrower and

the Lender. The agreement amends

and supplements (1) the Mortgage,

Deed of Trust or Deed to Secure

Debt (Security Instrument) and (2)

the Note bearing the same date as,

and secured by, the Security

Instrument. Prior to MERS, the

standard agreement worked

because the Lender was the mortgagee

of record and could modify

the mortgage and also had the

authority to modify the Note.

However, if MERS is the mortgagee

of record, the Lender can’t

modify the mortgage without the

“mortgagee’s” consent. Therefore,

Fannie Mae and Freddie Mac

changed the modification agreements

to reflect MERS as the mortgagee

of record.

Their change states the Agreement

amends and supplements the

Mortgage, Deed of Trust or Deed to

Secure Debt (Security Instrument)

granted or assigned to Mortgage

Electronic Registration Systems,

Inc., as nominee for the Lender.

The change also recommended a

signature line be added for MERS to

sign the agreement in its mortgagee

capacity. A MERS certifying officer

can sign the Agreement. It is important

to note that a MERS signature

doesn’t replace the Lender’s signature,

because MERS isn’t modifying

the note. Therefore, the Lender and

MERS must sign the document.