Last month we featured an article on homeowners across the country trying to save their homes from foreclosure by using the Produce the Note strategy.  Read the full article here.

The Consumer Warning Network has expanded the information about this strategy on their website.  This week, their posting titled “What If Your Lender CAN’T Produce The Note?” reiterated the importance of having the company trying to collect, or foreclose, prove that they are the true owners of the debt.

This article gives specific information on Section 3-309 of the “Uniform Commercial Code” or UCC that many states have adopted, regarding the steps that must be taken if the lender cannot produce the original note.  The reason for urgency in getting this information out to consumers is that going through foreclosure without proof of the original note puts the homeowner at risk for the actual note holder to come forward in the future, demanding full payment of the original note.  Even after the property was foreclosed on and the owner know longer lives there.

It is important that all homeowners in the foreclosure process, or who think they may be unable to continue making their mortgage payments, read and understand this legal information.  It just may pertain to you and might make the difference in keeping your home.