A couple in California was about to lose their house when they discovered that Goldman Sachs, a giant on Wall Street, was the key player behind the sub-prime mortgage and was now trying to snap up the house.
Tony Becker and his wife had a jewellery business that was ruined by the wildfires of California. It caused them to fall behind their mortgages. They fought for six years in a desperate bid to keep their modest house in San Jose. This fight landed them up in bankruptcy. The lender with whom they wrestled was not the one with whom they had inked the contract but a humble subsidiary of the giant Goldman Sachs Group.
For many years Goldman had been snapping up sub-prime mortgages by thousands. Many of these had been issued by dubitable lenders in the mortgage sector. These had been bundled in high yielding bonds. With the bottom having fallen out of the market Goldman assumed a different role. It is now taking away houses from folks like the Beckers.
The complaint of the latter is that Goldman did not admit for three years that it had bought the loan from a lender dealing in sub-prime mortgages. The Beckers wrote to the top brass of Goldman at that time Henry Paulson in 2003 but to no avail. Later Paulson became the Treasury Secretary under the Bush government.
Without being able to locate the lender, the Beckers failed to take advantage of the various remedial proposals being launched by the Obama administration. In July the Beckers won a historic victory that can be compared to David taking on Goliath. MTGLQ a subsidiary of Goldman knocked to take over the house.
By that time the couple with the background of a college education lived off canned stuff from flea markets and started selling their ceramic ware. The subsidiaries of Goldman frequently resorted to foreclosing and seizing the property in an effort to contain the losses of the investors. Michael Du Valley, the representative of Goldman did not make any comments on individual cases of foreclosing and evicting borrowers by playing a new role in the bankruptcy courts.
Goldman joined the gang of other firms in Wall Street purchasing innumerable sub-prime mortgages. Their targets were the middle to low-income households in Florida who could not keep pace with the swelling interest rates.
Julie Thompson, has been working on foreclosure1.com studying the foreclosures market, helping buyers on the finer points of foreclosure homes for sale. Try to visit foreclosure1.com and begin your foreclosures by state search.
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