Fontes

I. FACTS AND PROCEDURE

In relevant part, Fontes alleges as follows: In April 2007, Fontes borrowed

$376,000 from Aegis Wholesale Corporation for the purchase of a home. Under the

terms of the adjustable rate note, May 2012 was the earliest the rate could be adjusted.

Chase, however, accelerated the interest rate hike “as early as June 2011.” Fontes does

not understand how Chase became involved in her loan. Chase is “the latest servicing of

the loan after a series of other companies.” Chase is not, and never was, a holder of the

note and deed of trust, nor was it properly substituted as trustee to be the real party in

interest. Fontes was not in default when Chase initiated foreclosure and failed to render

an accurate accounting. Fontes made her payments of $1,600 per month. Chase

converted her payments by locking them in a certificate of deposit account rather than

applying them to the loan.

Chase requested judicial notice of a number of documents that disclosed the

following: In April 2012, Aegis Wholesale Corporation assigned the note and deed of

trust evidencing the loan to Citibank, N.A., in trust. In June 2012, Citibank caused to be

filed a substitution of…