issues, things look better. wait. the thing that doesn t touch are incentives of the compensation of the servicer, which is per verse thing that underlies the whole thing, which is necessity make more money off foreclosures because of fees and lose money when you reduce principle on a loan. reducing the principle on a loan is often the thing you need to do to keep someone in their home. what advocates wanted is an affirmative duty to do lost litigation which means force them to work with the home buyers they have to. they are duty-bound. principle reduction, because that s usually in the best interest of the investor, too. the investor doesn t want if to go to foreclosure and they did not do that. investors are grown men and women who know how to look after their best interest. compensation for servicers should be structured in a way you or any of us would look after our own affairs. they sl structured servicer compensation in such a way that it works almost exactly the opp
co-conspirators, what right do they have notwithstanding. they have the right to do it. but i think you ll see interesting issues come out in these cases as it progresses. thank you, sir. okay. let s take our last one. linda, we got a couple seconds. is there a certain length of time that once you get a foreclosure notice, if it goes on for four or five years, that there is an end to it before it kind of is thrown out? we talked a couple weeks ago about zombie foreclosures which we talked about this morning. ultimately it s up to the lender to take that house back. one of the things i m telling people, and i told them this morning, if you want to get out of your house and you can t get any cooperation from the lender, they won t deal with you, get a quick claim deed and deed it back to the servicer of your loan. go record it in a recorder s office and say i m out of here. it only takes your name off the title, not the debt. but that s exactly what we have to do to take control of i
funds plus this offshore money does not go back to congress to the congressional dole again. while they re debating, as i said, the fiscal cliff and debt ceiling, that does not address this vast area of the impact of foreclosed homes. because when you foreclose 100,000 homes in chicago and detroit and people leave, then the local cleaners, the local laundry, the local servicer, the foreclosures drove poverty. the banks got built out. but the people who got drove out are living in poverty and sometimes violence. we want to turn in our final moments here to chicago. and gun control, especially pertaining to the crisis in that city. and one case that just if it doesn t crystallize exactly what we re talking about, i don t know what does. and that is the young girl who was performing little miss pendleton. yeah.
they don t have the employees to do it, trying to staff up, but also incentivize financially to foreclosure. in their interest. that s why you see the attorney general that s why the foreclosure prices is what it is. err . i had a macro economic question which is isn t the big goal at the end of the day to sort of remove some of the uncertainty? it might be emotionally and politically or even legally satisfied to see a crooked servicer get thrown in jail and criminally indicted but at the end of the day, we want to get past this. right? so there will be something resembling housing market so people can get mortgages again. well well, macro economic questions to be directed at jerod. uncertainty i m concerned about are they don t know whether or not they are going to be able to stay in their house and hanging on by their fingernails and not knowing whether or not they will be able to stay in their home and provide for their families.
origination. one of the systemic problems in the segment, one of the problems i had, it is that it does nothing and jerry bernstein talked a lot about this. it does nothing to change the fundamental incentive structure for the servicers. right now servicers are incentivize and to foreclosure. they now that whether or not a borrower is paying them or not, they have to forward the money the investor they are servicing the note for. after three, six months of the servicer not receiving the check from the borrower, they exercise the right to foreclosure because they know for sure they are going to get the first $3,000, $6,000 off of the foreclosure. it is noninterest to the borrowers. not innocent interest of the investor. that s why this is so far out of whack. have not tried to align the interests to leverage the best deal for both investor community and as wells the borrower. that s one of the flaws i have seen and focused on in the settlement. a servicer out there has no skin in the ga