Fellow Patriots,
It seems, from the research I've been doing, that any mortgagor can turn a chattel mortgage into a pledge. If you fail to abide by the mortgage agreement, the mortgagee can take possession of the res, but the mortgagor (now pledgee) may redeem his property at any time by fulfilling the pledge! And furthermore, interest cannot accrue during this time, for the mortgagee has control of the property!
I don't have much case law on the subject yet, but I did a quick google search for "
Mortgage into a Pledge" and found a few cases and law journals dealing with this subject.
The Virginia Law Review's publication entitled "The Chattel Mortgage as a Statutory Security" states that:
"Now some courts have held, as we have seen, that a creditor cannot object to the mortgagor turning a chattel mortgage into a pledge"
If anyone has an account with
JSTOR, or any other source for this publication, the rest of this document would be appreciated.
A few years ago we lost our family home because we couldn't pay the mortgage after our assets has been liened, our bank accounts levied, and our business license was suspended by Labor and Industries (over frivolous charges). Had we known what we now know, we might have been able to prevent that from happening. Our home sold on the courthouse steps for about $170,000, and now, 2 years later, it is on the market for $459,000.
Anyhow, this would be a great argument to keep up our sleeve. If you can't make your mortgage payments, try to convert it into a pledge. You will still loose possession of the property for a time, but you will be able to redeem the property at a later date, should you so desire!
Thomas Jefferson once said that "If the American people ever allow private banks to control the issue of their currency, first by inflation and then by deflation, the banks and corporations that will grow up around them will deprive the people of all property until their children wake up homeless on the continent their fathers conquered." Well, we have done it, we have allowed the private banks to control the issuance of our currency. But this may be the way to beat the bankers at their own game!
All comments, suggestions, questions, and other input is welcome. Lets do some research here and stop/reverse these foreclosures!
Sincerely,
Zach Doty
www.FightingForLiberty.org