Posted by William Bronchick on October 05, 2003 at 17:58:17:
I’m a lawyer in CO and am aware of no such law.
Colorado law - Posted by saskia
Posted by saskia on October 04, 2003 at 21:26:53:
Does anybody know if Colorado has a law in effect which states that a Bank can only collect what they actually paid for a mortgage note bought from another Bank?
Lets assume Bank A sold mortgage note (defaulted- debtor declared bankruptcy) to Bank B. Bank B, instead of going after debtor in bankruptcy suit (different story), tries to collect by suing current owner of property for the FULL amount of original mortgage plus interest.
Anyway, a real estate lawyer who practiced in Colorado about 10 years ago, says that there used to be a law in effect which stated that Bank B would only be allowed to collect as much as they ACTUALLY paid for the note. Is anybody aware of such a law?
Can you please direct me to a place where I can find out more about this specific law, if it does indeed exist.
Thanks,
Saskia