Credit Repair Texas

GE Pays $70.4 Million to Settle Bid Rigging Investigation

2011-12-27T15:01:00.000-08:00

GE Company settles charges in bid rigging scheme. Among other things is was alleged GE colluded with other big banks to rig bids on contracts with local governmental agencies: taxpayers. For example one friendly bank might put in a phony bid to help the other bank win the bid so on and so forth. For the inquiring mind there is more here a the link. Visit fix my credit for a free credit repair evaluation.

Consumer Credit Capital Launches Clean Credit Repair Program

2011-12-08T12:56:00.001-08:00

Consumer Credit Capital Launches their Clean Credit Repair Program.

The Program was developed based on thousands of hours of credit management experience in dealing with creditors, collectors and credit bureaus. Credit Repair: The Company has experience in dealing with creditors, collectors and credit reporting agencies. Visit the Company's website to download their Insiders' Report. In the report, learn how to deal with creditors and credit reporting agencies.Consumer Credit Capital launches their Clean Credit Repair Program. The program was developed based on thousands of hours of credit management experience, and relying on the Fair Credit Reporting Act, the Fair and Accurate Credit Transaction Act and the Fair Debt Collection Practices Act and other consumer protection legislation. Houston, Texas (PRWEB) December 07, 2011 There is much more here at the link

Fraud Foreclosures On Active Duty Military

2011-12-05T12:26:00.001-08:00

Than banks continue to settle suits over fraudulent lending including foreclosing on active duty members across the country.

About 5,000 homes owned by active-duty members of the military and their families may have been foreclosed on by 10 leading lenders in violation of the Servicemembers Civil Relief Act, which aims to protect members of the military from financial distress, according to data released last week by the Office of the Comptroller of the Currency.

There is more here. What is to be sure is the housing recovery is a long way off.

Online Sales Grow

2011-12-04T18:10:00.001-08:00

Online sales continue to grow as cost conscious consumers coupled with increased connectivity to the web results in a record of nearly $6 billion spent during the opening week of the 2012 holiday season.

ComScore says online sales are up 15 percent to $18.7 billion in November and the first two days of December, compared with the same period last year.

There is more here at the link While the numbers are difficult to track it looks like overall spending is up this holiday season over last and spending online is up by more than 10%.

FDCPA Lawsuits Outpace last Year

2011-12-02T12:36:00.001-08:00

Total lawsuits filed in the U.S. this year citing alleged Fair Debt Collection Practices Act (FDCPA) violations reached 10,402 through mid-October, well ahead of last year's pace. The article is here at the link:

For more on the Fair Debt Collection Practice act you can find it here at the link FDCPA.

FDCPA protects consumers as it dictates to debt collectors what they can and can’t do when collecting a debt from a consumer. The United States Congress has found that there is ‘abundant evidence of the abusive deceptive and unfair debt collection practices by many debt collectors. Abusive debt collection practices contribute to the number of personal bankruptcies, to marital instability, to the loss of jobs and to the invasion of individual privacy’s.

For more on the FDCPA to discuss Credit Repair Services. Visit Consumer Credit Capital.at the link.

$7.77 Trillion in Loans made to the Banking System

2011-12-01T11:36:00.001-08:00

While congress and the country were kicking around the $700billion figure (Paulson's bazooka) and the hyperinflation-istas werescreaming the ski is falling--- the dollar toast--- none of them recognize how bigthe dollar is (wait until they get hold of the $7.7 trillion number). Back then the argument was, and to many stillis, the dollar is going to implode and the Euro will become the reservecurrency. There is much more here at theBloomberg article.

Study Finds Link Between Personality And Credit Scores

2011-11-29T13:26:00.001-08:00

A soon to be published study suggest that agreeable people might get themselves into trouble taking out loans that others might not. Conducted by researchers from LSU, Texas Tech University and Northern Illinois University, the study examines credit scores and personalities.

“That suggests easy-going individuals actually have worse credit scores than disagreeable and rude individuals."

There is more to be publishes in the Journal of Applied Psychology in the meantime there is more here at the link. If you have question about your credit score and how to increase credit score click over to Credit Repair Texas.for a free Credit Repair Services evaluation.

Study Finds No Link Between Bad Credit and Employee Theft

2011-11-27T17:14:00.001-08:00

Bad credit can affect your ability to get a job, insurance rates and interest rates you pay, but apparently according to LSU researchers there is no link beteen poor credit and employee theft.

“It was telling that poor credit scores were not correlated to theft and other deviant types of work behaviors,” said Bernerth. “Most companies attempt to justify the use of credit scores because they think such employees will end up stealing, but our research suggests that might not be the case.”

There is much more here at the link. If you have questions about how to fix credit give Credit Repair Services a visit for a free credit repair evaluation.

Alabama Sues Debt Collector for FDCPA Violation

2011-11-26T14:47:00.001-08:00

In another case of a debt collector using deceptive practices, Alabama has accused a debt collection company of falsely claiming a creditor had entered into an agreement to pay. The lawsuit alleges the company was sending letters to consumers claiming the consumer had entered into and agreement with the company and then reneged. In fact, according to the suit, no such agreement was entered into nor had the consumer even had contact with the debt collector. There is much more here for the inquiring mind. The take away here, it is illegal for a debt collector to lie. If you have questions about a debt or a collection practice visit Credit Repair Services for a free credit repair Texas evaluation.

Bankruptcy: Largest Ever Municipal Bankruptcy

2011-11-25T14:00:00.001-08:00

Alabama county filed for bankruptcy over a $3 billion dollar sewer project. The bottom line here is the county over extended itself, borrowed a boat load of money, putting their taxpayers on the hook, to build a sewer system. While those that entered this deal, on the county side, are obviously grossly incompetent local governments across the country are facing similar stresses. While this case can be blamed on a sewer project - -how apt-- the underlying problem is local governments with promises to pay pensions and healthcare obligations that their now stressed out tax base can not afford-----less income and estates to tax, coupled with a substantially lower expectation of ROI on investments, given the FED's zero interest rate policy. Alabama is the largest bankruptcy today, let's see how long they hold the title.

Banks' Foreclosure Agent Argues Against The Need For Accurate Paperwork

2011-11-24T18:03:00.001-08:00

In another, all too familiar, crazy land, court proceeding, the banks and their agents are pushing forward their best interest as they continue to game the housing market. In this case, they are arguing, the paperwork that they are admitting to the court, they shouldn't have to affirm as accurate. It's too much trouble and, they say, unconstitutional.
First they goosed the market up, hot potato-ed bad mortgages to investment funds, and now they are booting their clients out of their houses on the way down. There is much more here for the inquiring mind. If you have questions of the accuracy of your credit report then review the link clean credit, and sign up for Credit repair Services free credit repair evaluation.

Removing A Tax Lien From A Credit Report

2011-11-20T11:30:00.001-08:00

The rules changed in February 2011, with the IRS announcing new policy regarding their credit reporting. Tax liens can now be removed from a credit report. The IRS will "withdraw' the tax lien and the credit reporting agencies will remove the entry like it was never there.

Prior to this policy change the credit bureaus' practice was to update credit reports as to the status of the tax lien. For example updating a credit report to "released". A released tax lien is just as bad as an unpaid tax lien from a credit score perspective.

Is it fair to say this is a sea change for how creditors treat credit reporting? Or, has removal of deragatory items been going on all along? What is clear, for the first time a major credit reporting agency, the federal government, is now as public policy, removing derogatory trade lines from consumers' credit reports.

Give your credit repair Texas specialist a call to discuss credit reporting and how to increase a credit score to lower borrowing costs

Credit Reporting Agency Argues Consumer Protection FCRA is Unconstitutional

2011-11-15T14:37:00.001-08:00

In this case the plaintiff alleges the defendant, a credit reporting agency, disclosed prohibited information to an prospective employer and in defense the credit reporting agency claims that the Fair Credit Reporting Act FCRA is unconstitutional. This ought to be interesting. Apparently, the US Government has now intervened and now involved. We will keep you posted: For more on the case you can find it here. Ans for those with credit related questions, for a free credit repair evaluation, contact Consumer Credit Capital.

Debt Collector with 6,000 Accounts Settles for $4 million

2011-11-13T15:19:00.001-08:00

According to state officials the company repeatedly engaged in bad behavior prohibited by the Fair Debt Collection practices Act.

SNIP

"The main thing is you don't threaten people in terms of their debt," said Bill Cloud, a spokesman for Georgia's office of Consumer Protection. "You don't threaten them physically. You don't threaten them with arrest. You don't act like a law firm if you're not. These people were just doing everything in the book that was wrong." Cloud says since 2008's financial meltdown, abuse by debt collectors has been one of the most frequent complaints his office receives.

SNIP

For more on the FDCPA visit Consumer credit Capital at FDCPA. If you have questions about a collection account give credit repair Texas a visit. For more on the case above you can find it here.

Soda Ban A Bust

2011-11-12T16:15:00.001-08:00

According to a study that looked at the outcome of a soda ban at school it turns out the ban had no appreciable effect on kids sugar intake. The kids just got their sugar elsewhere. Yet another example of trying to legislate behavior by a bunch of misguided school boards. There is much more here. The study looked at thousands of students across 40 states and found removing soda from the vending machines and cafeterias just prompted kids to choose an alternate with the same sugar content.

Credit Reports to Track; Rent, Utility and Payday Loans

2011-11-11T14:21:00.001-08:00

According to FICO -- the most used credit report and credit score provider -- they will stat providing more information to their clients about consumers. FICO announced it will provide more information to mortgage lenders including payday loans, evictions and child support payments. And, in the future information on the status of utility, rent and cellphone payments may be included. There is more here

Seperately in Septmeber the credit burueas began providing estimates of consumer incomes as a credit reprot option. There is much more here for the inquiring mind.

Of course you credit report and credit score is only as good as the data reported. If you need credit score repair then give credit repair Texas a call at Consumer Credit Capital a call for a free credit repair evaluation.

Citi Settles fraud charges for $285 million But....

2011-11-09T13:59:00.000-08:00

In a nutshell Citi packaged up a bunch of mortagages together and sold them to investors. At the very same time the Citi sales group was selling the mortgage / product another group within Citi was betting against the value of the product. In shorthand; making money coming and going - leaving others holding the bag.

While Citi and its Regualator the SEC have ageed on a $285 million dollar settlement the Judge appears to question the s settlement which he has not yet signed off on. Citi may be getting off far to easy. There is much more here. Stay tuned to see if the settlement sticks.

In the meantime if you have credit related questions we have answers at credit repair texas

Credit Repair Texas - Pay Day Loans

2011-11-08T11:37:00.000-08:00

While I am sure no one likes to pay the high cost associated with borrowing money 'right now' --pay day lending - an interesting study by Dartmouth suggests having the option for such a loan is cheaper than not.

According to a study, by Dartmouth University, with the purpose to determine the effect on borrowers the study suggests restricting access to expensive credit hurt consumers on average. The reason given is the expensive loans were used for things needed, like a car repair, and without the loan the consumer's financial situation was worse in the long run.

The study looked at Oregon legislation that restricted Pay day loans -- capped the rate lenders could charge --which put hundreds of pay day lenders out of business and reduced the overall number of in state loans.

Of course no one wants to pay high interest rates on a payday loan, or any purchase for that matter. To discuss how to improve access to lenders by raising your credit score give Consumer Credit Capital credit repair Texas a call for a free credit repair evaluation.

Fix Credit - Auto Dealer Complaints

2011-11-07T11:01:00.000-08:00

Second quarter results are in for the Northwest Better Business Bureau and Auto Dealers - New Cars edges out Auto Dealers - Used Cars for a first place finish for Top Complaints for an Industry.
This according to the bureau's website (where the latest data is posted) - it looks like Payment Processors might be able to edge out car dealers this quarter---as they are now in the lead. To round out the list for last quarter: Payment Processing Service, Auto Repair, and Collection agencies made it into the top 5.

For more on dealing with financing a vehicle purchase you can check out our fix credit program at our fix credit houston website.

Credit Repair Texas - Car Financing

2011-11-06T10:03:00.000-08:00

Buy-Here Pay-Here used car lots booming in down economy. The LA Times is highlighting a profitable nich in the auto business known as Buy Here Pay Here. "These dealerships focus on people who need cars to get to work, but can't qualify for conventional loans. "They sell aging, high-mileage vehicles at prices well above Kelley Blue Book value and provide their own financing. As lenders of last resort, they can charge interest at three times or more the going rate for regular used-car loans." There is much more here at the link

Credit Repair Texas is here to help you fix credit rather than use Buy-Here Pay-Here with an industry repossession rates at nearly 1 out of every 4 cars sold. If you have credit issues give Consumer Credit Capital a call for a free evaluation to see if you qualify for their 5 red flags program.

Groupon: Fizzle or Sizzle?

2011-11-04T19:23:00.001-07:00

Groupon goes IPO and raises $700 million or so after raising nearly that much privatly a year or so ago. In the meantime the company is going to lose about $200-$250 million this year and as of september it owes it customers more than it has in cash. So if I have the numbers right; roughly, they have about $250 million in cash and owe their clients around $400 million and sales around $1.2 billion.

Groupon works like this: You cut a deal with them to sell a coupon they sell it, hold the cash for a bit, as you provide the product/service (usually at a deep discout-as you have to bid against other businesslike offerings at discounts) then later the company pays you your cut of the coupon sale.

Sounds good if you can take the hit to cash, which might be minimal if you are filling an extra seat on a raft trip, or hotel room - so no fixed cost increase and minimal variable. But if you are providing a product it might be a bigger hit to cash and less of a winner. I guess it all depends upon a percent of the coupon clipper coming back coupled with the exposure they may provide your business. We shall see, and with the kinda numbers Groupon is dealing in we shall see sooner than later.

Bloomberg has a write up on the IPO here. And over at Techcrunch at least one writer is not impressed here.

If you have been caught in the economic downturn, that Groupon appears to thrive in, the folks at credit repair Texas are available to conduct a free evaluation to review your credit needs.

B of A Employees Jumping Ship / Freddie Sinking Ship

2011-11-03T21:02:00.001-07:00

Bank of America has said they plan to cut 30,000 jobs as competitors see an influx of resumes and phone calls out of B of A. There is much more here (B of A says they have 288k employees).

It looks to me B of A is headed to the chopping block; probably to result in a good bank/bad bank with wall street favorites picking up the good pieces and the tax payers picking up the rest.

In the meantime, the other bad bank, is looking for another $6 billion from the taxpayer as they report a stunning $4.4 billion quarterly loss. That brings their tab to about $50 billion--which doesn't include big sister Fannie.

If you have been caught in the housing downturn give credit repair houston texas a visit for a free credit repair plan.

72% of loans in foreclosure Not Paid in over 1year

2011-11-02T21:50:00.001-07:00

The guys over at LPS Monitor have an interesting report out that will disabuse anyone of the notion that the housing market is significantly better now even more than 5 years after the first cracks started to show. According to their report, more than 4 million loans are more than 90 days late.

This report coupled with foreclosures picking up pace--- now that legal hurdles have been cleared--- spell trouble for the housing market for years to come. By some counts, there are nearly 12 million homes in trouble--- characterized by either being underwater or at some level of current or past default.

If you have credit issues related to the downturn in the economy give the folks at Consumer Credit capital, credit repair houston, a call for a free credit repair evaluation.

Broker Goes Bust: Again

2011-11-01T13:21:00.000-07:00

Another wheeler and dealer on Wall Street goes belly up making bets at 40 to 1 leverage. That is right 40 to 1. Imagine going into a Casino with your net worth of say 1/2 million and trading it for $20 million in chips. You loose 1 or 2 hands and you don't make it out of the casino with anything but the shirt on your back.

This snip tells it all.

snip

The balance sheet reached 40 times the firm’s equity, Egan said.

“They should have been levered in the area of maybe about six-to-one,” he said. “Having only 2.5 percent equity to assets is ridiculous. That means if you have a 2.5 percent downdraft in the balance sheet, which is very likely, then they’re bankrupt.”

snip.

There is much more here at the link

You would think with Lehman and Bear Stearns going belly up (years ago) these guys would take risk off the table. If you had credit problems and could benefit from a free credit repair evaluation give Consumer Credit Capital a visit at: credit repair Houston or credit repair Texas for a quick and easy sign up.

Credit Repair Houston - How We Help

2011-10-31T20:23:00.000-07:00

HOW WE HELP At Credit Repair Houston: We start with a free evaluation and create a credit repair plan. A good credit repair plan is more than just filing credit disputes. Good credit requires income above expenses, proper budgeting, on time bill paying, and if required, a negotiation of payment plans with creditors. A credit repair plan starts with a review of your credit report to look for questionable, inaccurate, incomplete, untimely, and biased information. The law requires an investigation into a, non frivolous, credit dispute within 30 days. When the credit report investigation is complete, the credit bureau must provide the results of the credit report dispute in writing. Inaccurate, unverifiable, deleted, items are not allowed back into your credit report. The credit bureau must also provide the name, address and phone number of the furnisher of information. Credit repair doesn't begin and end with the credit bureau. Often times it is more effective to work with the original creditor and/or collection agent depending upon the circumstances and goals.

The credit repair Houston process begins with a free evaluation. Give us a call when you are ready to get started.

Debt Collector Threatens to "dig up daughter" over funeral debt.

2011-10-30T18:43:00.000-07:00

You really can't make this stuff up. Seems credit repair houston is fighting the good fight with stories like these. In this case, the FTC is cracking down on debt collectors that are making threats that are absurd.

For more on the story here:

Debt collectors generate more complaints to the FTC than any other industry, according to government agency. Last year, there were 144,159 filings against collection companies, the second largest category of complaints to the FTC. There were 250,854 identity theft related complaints last year, or 19 percent of all complaints.

Credit Repair Houston Texas

2011-10-30T12:49:00.000-07:00

Credit repair Houston Texas: Many people reflexively believe credit repair begins and ends with a dispute to the credit bureau. At Credit Repair Houston, Texas, many times the first step is to contact the creditor, validate the debt, if proven ( to the standard required by the FDCPA, FCRA, FACTA ) negotiate a reasonable, timely, best, outcome. It's not rocket science but it can be timely, expensive going about it the wrong way.

Free Evaluation:
We provide free Credit Repair evaluation. We act as the diagnostician. We perform an exhaustive qualitative, as well as quantitative, analysis of a credit report. There is no obligation. However we have an obligation. That is we must identify the problems on the credit report. How are the problems effecting the credit score and what it will take to get the score where it needs to be.

No setup fee:
Most of our clients charge some sort of automatic payment that includes a setup fee. Unique to consumer credit capital we do not charge any type of set up fee or require any type of long term contract for our services.

No long term contract:
Unique to Consumer Credit Capital we do not have a long term contract. There is no long term obligation. A client can cancel at any time. Credit repair Houston pay as you go after services are completed.

Credit Repair Houston

2011-10-30T11:12:00.000-07:00

Who is Credit Repair Houston?

A registered, bonded - No Upfront Fee - credit repair company staffed with dedicated professionals with experience dealing with credit bureaus, debt collectors and original creditors, who can assist you in addressing any credit repair need.

HOW WE HELP: A credit repair plan begins with a review of your personal finances, credit reports and credit scores. Once you have been assigned a credit repair specialist together you will create a credit repair plan. Finally, you will execute the credit repair plan agreed upon and monitor the credit score improvement.

Give Consumer Credit Capital a call for your free credit repair evaluation!

Shake-Down: Debt Collection Company unjustly collects $9.4 million according to District Court

2011-10-29T10:44:00.000-07:00

The company called nationwide and threatened people who picked up the phone a lawsuite was on the way. The company was recently What many pressured by debt and debt collectors do not know is a debt collector can not legally threaten any action they do not intend to take. Doing so is a clear violation of the Federal Debt Collection Practices Act- FDCPA. Moreover, this violation is easy to prove. Simply put, if the company's normal practice is not to sue in similar cases a threat to sue is against the law. For the inquiring mind, the FDCPA legislation is here FDCPA. If you have questions about a credit account visit Credit Repair Houston a visit for a free evaluation.

For more on the court action you can find it here

Texas Foreclosure Fraud

2010-10-26T10:32:00.000-07:00

let's take a look

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Bank of America, JPMorgan Get Texas Subpoenas on Foreclosures

Bank of America Corp., JPMorgan Chase & Co. and seven other banks or loan servicers were subpoenaed by Texas Attorney General Greg Abbott for information about their foreclosure practices, a spokesman said.

“The state is subpoenaing information and documents,” Jerry Strickland, the spokesman, said yesterday in an interview. He didn’t elaborate. The state also subpoenaed Ally Financial Inc., CitiMortgage Inc. and Wells Fargo & Co.

Abbott began investigating foreclosure practices in Texas following the disclosure of a December deposition in which an employee of Ally’s GMAC Mortgage unit testified that his team signed about 10,000 documents a month without verifying their accuracy. On Oct. 13, all 50 state attorneys general announced a joint investigation of foreclosures.

http://www.bloomberg.com/news/2010-10-25/jpmorgan-bank-of-america-subpoenaed-by-texas-attorney-general.html

Interest Rates Continue Lower

2010-10-23T16:46:00.000-07:00

let's take a look

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Plunging Rates for Refinancing Aid the Thrifty

For those sober souls who were thrifty long before it became fashionable, the last few years have been intensely aggravating

They did nothing to cause therecession, but they absorbed the pain. Their stock portfolios languished. The values of their homes skidded. Their savings still do not earn enough interest each month to buy a pack of gum.

Now, at last, the frugal are celebrating. With a leg up on their less creditworthy neighbors, they are qualifying for refinanced home mortgages at interest rates that in any other recent era would have been considered stealing. And unlike in late 2008, when rates started their plunge to historic lows, many lenders say they are rushing to accommodate the influx in applications.

http://www.nytimes.com/2010/10/23/business/23refinance.html?_r=1&src=me&ref=general

Pension Crises Growing

2010-10-23T14:24:00.000-07:00

Pension across the country are coming under pressure with their investment portfolios still counting on rates of return that seem less than likely to materialize over the next decade. Public pension, including state and local governments are especially stressed. With interest rates at record lows where are these pension funds going to gett a return without chasing ris, moving forward?

"California, which has the largest U.S. public-pension fund, faces liabilities that may exceed its annual state-tax revenue fivefold within two years unless lawmakers rein in benefits, according to a study. To keep their promises to retirees, the California Public Employees Retirement System, the biggest plan, the California State Teachers Retirement System, the second-largest, and the University of California Retirement System may have combined liabilities of more than 5.5 times the state’s annual tax revenue by fiscal 2012, according to the study released today by the Milken Institute. Levies are forecast to reach about $89 billion in the year that began July 1."

There is more here for the inquiring mind. If you have has income reduces and it has impacted your credit profile give the folks at Credit Repair Texas a call for a free evaluation.

Middle Class Crises

2010-10-17T21:24:00.000-07:00

27 Signs That The Standard Of Living For America’s Middle Class Is Dropping Like A Rock

Household spending for the middle fifth of all U.S. income earners was down 3.5% in 2009, the steepest decline on record

Read more: http://www.businessinsider.com/standard-of-living-middle-class-2010-10#household-spending-for-the-middle-fifth-of-all-us-income-earners-was-down-35-in-2009-the-steepest-decline-on-record-1#ixzz12gJnf66h

Credit repair Houston works with people having difficulty budgeting within a smaller income as a result of the recent global downturn.

Peak Housing

2010-10-17T21:10:00.000-07:00

let's take a look

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The Mortgage Fraud Scandal Biggest in Human History

L. Randall Wray, Benzinga

We have long known that lender fraud was rampant during the real estate boom. The FBI began warning of an “epidemic” of mortgage fraud as early as 2004. We know that mortgage originators invented “low doc” and “no doc” loans, encouraged borrowers to take out “liar loans”, and promoted “NINJA loans” (no income, no job, no assets, no problem!). All of these schemes were fraudulent from the get-go

Credit lines continue to decline

2010-10-13T15:32:00.000-07:00

Consumer credit falls $3.34 billion in August

(Reuters) - Total consumer credit outstanding declined for the seventh straight month in August as credit card debt continued to fall.

The Federal Reserve said on Thursday total outstanding credit, which covers everything from car loans to credit cards, fell by $3.34 billion after dropping $4.09 billion in July.

Analysts polled by Reuters had forecast consumer credit contracting $3 billion in August.

So-called revolving, or credit-card credit, fell $4.99 billion in August after a $4.98 billion fall the prior month. That marked the 24th consecutive month credit-card debt decreased.

Non-revolving credit, which includes closed-end loans for big-ticket items like cars, boats, college education and vacations, increased $1.65 billion after increasing $888.59 million in July. It was the fourth straight month of gains

http://www.reuters.com/article/idUSTRE6964N420101007

Wall Street Loots Main Street

2010-10-08T22:46:00.000-07:00

Let's take a look: more at the link

____________

Attorneys general in about 40 states may announce a joint investigation into foreclosures at the largest banks and mortgage firms, according to a person with direct knowledge of the matter.

State attorneys general led by Iowa’s Tom Miller are in talks that may lead to the announcement of a coordinated probe as soon as Oct. 12, said the person, who declined to be identified because a final agreement hasn’t been reached. The number of states may change because several are still deciding whether to join the investigation, the person said. New Mexico Attorney General Gary King said today in a statement that his state will join a multi-state effort.

http://www.bloomberg.com/news/2010-10-08/attorneys-general-in-40-states-said-to-join-on-foreclosures.html

If you feel you have been taken advantage of by Wall Street. Call an affordable professional at Consumer Credit Capital. They won’t take a dime unless they can prove their ability to help you raise your credit score.

Improving Your Credit report will improve your credit rating, including your FICO score, with the major credit bureaus, Equifax, Experian, and Trans Union. Repairing bad credit, including late payments, chargeoffs, collection accounts will improve your credit score.

Bank Fraud at the Heart of the Foreclosure Crises

2010-10-08T22:39:00.000-07:00

let's take a look:

_______________

In foreclosure controversy, problems run deeper than flawed paperwork

By Brady Dennis and Ariana Eunjung Cha
Washington Post Staff Writers

SNIP

For struggling homeowners trying to avoid foreclosure, it could mean an opportunity to challenge the banks they argue have been unhelpful at best and deceptive at worst. But it also threatens to leave them in prolonged limbo, stuck in homes they still can't afford and waiting for the foreclosure process to begin anew.

For big banks, "there's a possible nightmare scenario here that no foreclosure is valid," said Nancy Bush, a banking analyst from NAB Research. If millions of foreclosures past and present were invalidated because of the way the hurried securitization process muddied the chain of ownership, banks could face lawsuits from homeowners and from investors who bought stakes in the mortgage securities - an expensive and potentially crippling proposition.

SNIP

http://www.washingtonpost.com/wp-dyn/content/article/2010/10/06/AR2010100607227_pf.html

Foreclosure Crises Steepens With Resets 2011

2010-10-08T22:31:00.000-07:00

The Second Wave of Mortgage Defaults

By Jim Nelson

12/21/09 Baltimore, Maryland – Our economy is about to relapse into the disease that sent us into the Great Depression: Part Deux. Subprime loans caused the initial illness. Option-ARMs will cause the relapse.

In the first half of the past decade, subprime loans were king. They were cheap and easy to get approved. Along with the subprime boom came subprime adjustable-rate mortgages (ARMs), which were equally easy to afford…for a while.

http://dailyreckoning.com/the-second-wave-of-mortgage-defaults/

Credit score is key to refinancing your home. Repairing your credit is more than credit dipute and dispute letters; rather improving your bad credit score requires rebuilding your credit report with good credit accounts, payment history, mix of credit and utilization.

Call an affordable professional at Consumer Credit Capital. They won’t take a dime unless they can prove their ability to help you raise your credit score.

Foreclosure Fraud by Wall Street Banks

2010-10-08T20:40:00.000-07:00

let's take a look

__________

Attorneys general in about 40 states may announce a joint investigation into foreclosures at the largest banks and mortgage firms, according to a person with direct knowledge of the matter.

http://www.bloomberg.com/news/2010-10-08/attorneys-general-in-40-states-said-to-join-on-foreclosures.html

Call Credit Repair. Consumer Credit Capital won’t take a dime unless they can prove their ability to help you raise your credit score.

Stop Paying 2nd Mortgage?

2010-10-05T16:25:00.000-07:00

let's take a look / more at the link

_________________

By Kenneth R. Harney

Saturday, September 25, 2010

Are you delinquent on your first mortgage but still making monthly payments on your home-equity credit line or second mortgage?

If so, a finance and real estate professor from DePaul University has some controversial advice for you: Stop paying on your second immediately.

Rebel Cole believes you are simply throwing good money after bad. If you are seriously delinquent on the first mortgage, you're likely headed for foreclosure unless both of your lenders agree on a modification or principal-reduction plan. But because you continue to make payments on the second, the bank that holds that revenue-producing note might have minimal motivation to participate in a workout, he thinks. Cole estimates that between 1 million and 3 million homeowners are in this position nationwide -- making it a big problem.

http://www.washingtonpost.com/wp-dyn/content/article/2010/09/24/AR2010092400126.html

Banks Commit Mortgage Fraud

2010-10-05T14:13:00.000-07:00

let's take a look. / more a the link

snip

In a letter to Attorney General Eric Holder, Federal Reserve Board Chairman Ben Bernanke and U.S. Comptroller John Dugan, the lawmakers said recent reports that Bank of America,J.P. Morgan Chase and Ally Financial may have improperly approved thousands of foreclosures "amplify our concerns that systemic problems exist."

Banks "have repeatedly misled and obstructed homeowners from receiving the help Congress and the Administration have sought to provide," they wrote. "The excuses we have heard from financial institutions are simply not credible three years into the crisis."

http://www.washingtonpost.com/wp-dyn/content/article/2010/10/05/AR2010100503969.html?hpid=topnews

FED's Sue Credit Card Companies over $35 billion in fees

2010-10-04T12:58:00.001-07:00

let's take a look: more at the link
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(AP) The Justice Department on Monday sued the three largest U.S. credit card companies for anticompetitive practices and reached a proposed settlement with two of them, MasterCard and Visa.

“We want to put more money in consumers' pockets, and by eliminating credit card companies' anticompetitive rule, we will accomplish exactly that,” Attorney General Eric Holder told an afternoon news conference. “The companies put merchants and their customers in a no-win situation” and “consumers are being held hostage.”

In papers filed in federal court in Brooklyn, the department and various state attorneys general sued all three companies, saying they were attempting to insulate themselves from competition.

At the same time, the Justice Department filed a proposed settlement with Visa and MasterCard.

Under the proposed settlement, Visa and MasterCard agree not to prohibit merchants from offering customers discounts or rebates for using a particular kind of card.

The lawsuit says the card companies are impeding merchants from promoting the use of competing credit or charge cards with lower acceptance fees.

Each time consumers use a credit card to make a purchase, the merchant must pay a fee. Such fees brought in $35 billion last year to the three credit card companies and their affiliated banks.

http://www.cbsnews.com/stories/2010/10/04/business/main6926403.shtml

Supreme Court Denies Credit Report Case

2010-10-04T12:52:00.000-07:00

Supreme Court Denies BofA Unit Appeal In Credit Report Case

By Maya Jackson Randall, Of DOW JONES NEWSWIRES

WASHINGTON -(Dow Jones)- The U.S. Supreme Court on Monday rejected a Bank of America Corp. (BAC) unit's appeal of a ruling that allowed a California consumer to sue the company for allegedly reporting inaccurate information to credit bureaus.................................

.....................The case grew out of a consumer's 2002 quarrel over a television purchase. John Gorman bought a satellite TV using a Visa credit card issued by MBNA, the Bank of America subsidiary now known as FIA. But the TV was defective, according to Gorman. He disputed the charges, which amounted to several hundred dollars and, according to court documents, vowed to never pay the disputed charge. In 2004, MBNA reported his delinquencies to the credit bureaus. Later that year, Gorman sued MBNA, alleging violations of the Fair Credit Reporting Act. By not alerting the credit bureaus that the debt was part of an ongoing dispute, the information MBNA provided was inaccurate, Gorman argued.................

........... because the bank still did not point out the dispute even after Gorman challenged the information and the bank conducted its own investigation, Gorman could proceed with a lawsuit, the court said. The Supreme Court let that ruling stand without comment. Read more here at the link: And Here

Credit repair Texas deals with these issues every day. For more on credit repair texas visit them at their website. And for more on the Fair Credit Reporting Act here at the link: FCRA

Verizon Caught Gouging Customers for $90 million

2010-10-03T21:32:00.000-07:00

Verizon agrees to pay up close $90 million dollars for wrongly taking money by unauthorized charges. More and more companies are using phone bills to automatically charge consumers for questionable charges. Check your phone bill for charges!

"Verizon Wireless to Pay Millions in Refunds
By EDWARD WYATT
WASHINGTON — Verizon Wireless said on Sunday that it would pay up to $90 million in refunds to 15 million cellphone customers who were wrongly charged for data sessions or Internet use, one of the largest customer refunds by a telecommunications company.
The announcement came in a statement from Verizon Wireless as the company held talks with the Federal Communications Commission about complaints of unauthorized charges and in response to questions about a possible settlement of an F.C.C. investigation into the issue."

There is more here at the link. If you have a collection account as a result of a contract with Verizon give the folks at credit repair Houston a call to review the account.

Mortgage Fraud by Originators

2010-10-03T21:16:00.001-07:00

4ClosureFraud Posts Lender Processing Services Mortgage Document Fabrication Price Sheet

We’ve said for some time that document fabrication is widespread in foreclosures. The reason is that the note, which is the borrower IOU, is the critical instrument to establishing the right to foreclose in 45 states (in those states, the mortgage, which is the lien on the property, is a mere “accessory” to the note)..................

................Evidence is mounting that for cost reasons, starting in the 2004-2005 time frame, originators like Countrywide simply quit conveying the note. We are told this practice was widespread, probably endemic. The notes are apparently are still in originator warehouses. That means the trust does not have them (the legalese is it is not the real party of interest), therefore it is not in a position to foreclose on behalf of the RMBS investors. So various ruses have been used to finesse this rather large problem.

If you have been caught up in the housing mess give credit repair houston a call for a free evaluation.

foreclosures just keep coming

2010-10-01T14:42:00.000-07:00

let's take a look

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APNewsBreak: BofA delays foreclosures in 23 states

By ALAN ZIBEL (AP) – 31 minutes ago

WASHINGTON — Bank of America says it is delaying foreclosures in 23 states as it examines whether it rushed the foreclosure process for thousands of homeowners without reading the documents.

Bank of America is not yet able to estimate how many homeowners cases will be affected, a spokesman for the nation's largest bank says.

A bank official acknowledged in a legal proceeding in February that she signed up to 8,000 foreclosure documents a month and typically didn't read them. The Associated Press obtained the document Friday.

The executive's admission adds the nation's largest bank to a growing list of mortgage companies whose employees signed documents in foreclosure cases without verifying the information in them.

http://www.google.com/hostednews/ap/article/ALeqM5jKkgz2hAAZZAeRlJNBmM31MPUnhgD9IJ4SP00?docId=D9IJ4SP00

2011 The year of the Re-finance

2010-10-01T14:14:00.000-07:00

let's take a look

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snip

After helping corporations issue over $1 trillion of debt a record-low yields, the Fed is now turning its attention to consumers' balance sheets, says John Lekas, senior portfolio manager at Leader Capital where he runs theLeader Short-Term Bond Fund.

"They're going to continue to buy" Treasuries until the yield on the 30-year bond hits 2.75%, Lekas predicts. That, in turn, will drive 30-year fixed rate mortgages to around 3.75%, which "reloads the consumer with a 30-year stream of income," he says, estimating savings of about $400 per month for the average U.S. household.

snip

http://finance.yahoo.com/tech-ticker/2011-outlook-deflation-and-dow-4200-followed-by-%22wave-of-refinancings%22-535470.html;_ylt=Alsw3.Ta2MT8fZ3L2VFX6JVk7ot4;_ylu=X3oDMTB2ZDUzYTg0BHBvcwMxNQRzZWMDYXJ0aWNsZUxpc3QEc2xrA2hlcmU-?tickers=^DJI,TLT,XHB,UUP,UDN,^VIX,DBC

Housing Crises through 2012

2010-09-30T19:05:00.000-07:00

JPMorgan Suspends Certain Foreclosures As Doubts Grow Over Legality

Even as August saw more Americans lose their homes to foreclosure than in any other month on record, there are growing concerns over the legality of many of those proceedings.

JPMorgan Chase has suspended legal proceedings on 50,000 foreclosures, due to concerns about the validity of the foreclosure documents, a spokesman for the bank toldCNBC Wednesday (hat tip to Zero Hedge).

JPMorgan spokesman Tom Kelly confirmed to the AP Wednesday that "employees signed some affidavits about loan documents without personally verifying the files."

The decision is the latest signal of a potentially massive stall in the nation's foreclosure process. Last week, after GMAC Mortgage halted its foreclosures in 23 states, the Washington Postreported that one of GMAC's employees hadn't read the roughly 10,000 foreclosure documents he approved each month (and now Coloradowants to be added to that list of states). It then turned out that the "robo signer" might not have been alone.

http://www.huffingtonpost.com/2010/09/29/jpmorgan-suspends-foreclosures_n_744289.html

It's your credit score dummy

2010-09-28T12:56:00.000-07:00

le't take a look

Huge Gap in Mortgage Availability: 1/3 of Americans Highly Unlikely to Qualify for a Mortgage Today, While Less Than Half Qualify for the Best Rates

.........................- Nearly one-third of Americans are unlikely to qualify for a mortgage because their credit scores are too low, making homeownership out of reach for many. This is according to an analysis of more than 25,000 loan quotes and purchase requests onZillow Mortgage Marketplace during the first half of September.................

http://www.prnewswire.com/news-releases/huge-gap-in-mortgage-availability-13-of-americans-highly-unlikely-to-qualify-for-a-mortgage-today-while-less-than-half-qualify-for-the-best-rates-103849853.html

Texas Credit Union Fails

2010-09-24T17:45:00.000-07:00

let's take a look

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Credit Unions Bailed Out
U.S. Backs $30 Billion in Bonds to Stabilize Key Institutions; Subprime Legacy

By MARK MAREMONT And VICTORIA MCGRANE

Two years after the peak of the financial crisis, the federal government swooped in to stabilize a crucial part of the credit-union sector battered by losses on subprime mortgages.

Regulators announced Friday a rescue and revamping of the nation's wholesale credit union system, underpinned by a federal guarantee valued at $30 billion or more. Wholesale credit unions don't deal with the general public but provide essential back-office services to thousands of other credit unions across the U.S. The majority of retail credit unions are sound, but they will have to shoulder the losses through special assessments over the next decade.

Friday's moves include the seizure of three wholesale credit unions, plus an unusual plan by government officials to manage $50 billion of troubled assets inherited from failed institutions. To help fund the rescue, the National Credit Union Administration plans to issue $30 billion to $35 billion in government-guaranteed bonds, backed by the shaky mortgage-related assets. More at the link:

http://online.wsj.com/article/SB10001424052748703499604575512254063682236.html?mod=djemalertNEWS#articleTabs%3Darticle

If you are in Texas and didn't get a piece of the billions in bailout you might need to take it upon yourself to improve your credit. Credit Repair Texas offers a free credit repair review of your credit report and credit score. You can visit them at Credit Repair Houston.

foreclosures will continue unabated

2010-09-23T14:06:00.000-07:00

let's take a look

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Obama Homeowner Program Hits 10-Month Low As Prices Drop And Foreclosures Surge

The number of homeowners receiving permanent relief under the Obama administration's primary foreclosure-prevention initiative hit a 10-month low as home prices dropped and repossessions jumped, threatening more homeowners just as the administration's aid program winds down.

Just over 33,000 homeowners had their monthly mortgage payments reduced in August for the next five years as part of the administration's Home Affordable Modification Program, Treasury Department data released Wednesday show. Obama promised in 2009 that some 3 to 4 million homeowners would be helped. About 449,000 borrowers have thus far received mortgage modifications.

The program, sold as a $50-billion effort, is unlikely to spend that much helping delinquent homeowners keep their homes. Nearly one and a half years into the program, only 1 percent of that money has been spent.

http://www.huffingtonpost.com/2010/09/22/hamp-obama-homeowner-program-hits-low_n_735720.html

Bank gets caught lying in court filing.

2010-09-23T14:03:00.000-07:00

let's take a look

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Saving Americans Requires Sticking It to Them: Jonathan Weil

The banks were saved by the American people. Now who will save the people from the banks?

Last week, in a rare and possibly fleeting victory for the little guy, Ally Financial Inc.’s mortgage-servicing unit temporarily halted evictions tied to foreclosures in 23 states. This came after some attorneys for homeowners caught the company saying things that weren’t true in its court filings.

There’s no sense complaining to the federal government about Ally’s conduct, though. That’s because the Treasury Department is the company’s majority shareholder, after spending $17.2 billion of bailout money on Ally under the Troubled Asset Relief Program.

http://www.bloomberg.com/news/2010-09-23/saving-americans-requires-sticking-it-to-them-jonathan-weil.html

Fort Worth Pension "trending toward Insolvency"

2010-09-20T11:01:00.000-07:00

We are all California. let's take a look

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Fort Worth pension bubble will blow up in our faces

By MITCHELL SCHNURMAN

You don't have to be an actuary to know that this pension plan will end badly. The technical phrase is "trending toward insolvency."

Except that the city is on the hook for all the promised benefits. Taxpayers will have to pony up hefty contributions for years, even generations, and the city may have to cut services to afford it. The pension for city employees is currently projected to pay out $432 million more than it brings in over the next 30 years.

And that's the optimistic scenario. If investment returns average 7 percent, rather than the dreamy 8.5 percent in the assumptions, the unfunded liability could approach $1 billion.

The pension will require $60 million in city funds next year, and it's already a drag on a strapped city budget that has to close swimming pools and libraries and impose furloughs. Every year, the pension hole grows, because the benefits keep piling up.

"This is the elephant in the room," Mayor Mike Moncrief told the council in late July. "Not only for this budget, but for all the budgets to come."

http://www.star-telegram.com/2010/09/04/v-print/2445012/fort-worth-pension-bubble-will.html

Shadow Housing Inventory Weighs on Market

2010-09-15T20:35:00.001-07:00

let's take a look

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U.S. Home Prices Face 3-Year Drop as Inventory Surge Looms

The slide in U.S. home prices may have another three years to go as sellers add as many as 12 million more properties to the market.

Shadow inventory -- the supply of homes in default or foreclosure that may be offered for sale -- is preventing prices from bottoming after a 28 percent plunge from 2006, according to analysts from Moody’s Analytics Inc., Fannie Mae, Morgan Stanley and Barclays Plc. Those properties are in addition to houses that are vacant or that may soon be put on the market by owners.

“Whether it’s the sidelined, shadow or current inventory, the issue is there’s more supply than demand,” said Oliver Chang, a U.S. housing strategist with Morgan Stanley in San Francisco. “Once you reach a bottom, it will take three or four years for prices to begin to rise 1 or 2 percent a year.”

http://www.bloomberg.com/news/2010-09-15/u-s-home-prices-face-three-year-drop-as-inventory-surge-looms.html

States cutting Pension benifits

2010-09-15T12:55:00.000-07:00

let's take a look

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States cutting benefits for public-sector retirees

snip

Since 2008, New Jersey and at least 19 other states from Wyoming to Rhode Island have rolled back pension benefits or seriously considered doing do — and not just for new hires, but for current employees and people already retired.

It's not just a U.S. phenomenon. In France on Wednesday, lawmakers voted to raise the retirement age from 62 to 65. If the measure wins final approval, France will become the latest European Union country to require workers to stay on the job longer because of a deficit-plagued pension system.

New Jersey's governor spelled out the details of his proposal Tuesday after telegraphing his intentions for months. They include: repealing an increase in benefits approved years ago; eliminating automatic cost-of-living adjustments; raising the retirement age to 65 from 60 in many cases; reducing pension payouts for many future retirees; and requiring some employees to contribute more to their pensions.

"We must reverse the damage caused by fairy-tale promises that have fattened benefits and pensions to unsustainable levels," Christie said.

snip

http://news.yahoo.com/s/ap/20100915/ap_on_bi_ge/us_pension_headaches

Housing Crisis

2010-09-14T21:27:00.000-07:00

EXCLUSIVE: Fannie and Freddie's Foreclosure Barons

— Illustration: Lou Beach

How the federal housing agencies—and some of the biggest bailed-out banks—are helping shady lawyers make millions by pushing families out of their homes.

http://motherjones.com/politics/2010/07/david-stern-djsp-foreclosure-fannie-freddie?page=1

Really good article. If the housing crises has hit home credit repair Houston has experience working with credit bureaus collectors and original creditors.

Home Buyer tax credit really a loan

2010-09-14T18:47:00.000-07:00

lets take a look:

By Martin Vaughan

Snip......

More than 2.6 million have claimed the first-time home-buyer tax credit since it was enacted in July 2008, for a total of $19 billion in tax breaks.

At first, the credit was structured like a no-interest loan of up to $7,500, and required taxpayers to pay it back over a 15-year period.

Congress later eliminated the repayment requirement for homes purchased after 2008. But taxpayers who claimed the credit for homes purchased in 2008 will still be required to repay it in 15 equal installments, beginning when they file their 2010 income tax return. That will apply to about 950,000 taxpayers, TIGTA said.

snip

http://blogs.wsj.com/economics/2010/09/09/irs-needs-strategy-to-recoup-home-buyer-tax-credit/

New Bank Fees Coming

2010-09-14T18:41:00.000-07:00

let's take a look

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Bank of America will charge clients new monthly fees if their accounts do not meet a minimum balance, the bank's CEO Brian Moynihan said on Tuesday.

"We will increase the account balance minimums or charge monthly fees in lieu thereof, which is the choice of the customer," Moynihan said at a Barclays Capital conference in New York.

These and other measures will allow the bank to compensate for revenue lost due to new regulations put in place following the 2008 financial crisis that led the US government to salvage many bank with massive bailouts, he said.

"Over the next 12 months, we will reset the entire product line."

http://www.breitbart.com/article.php?id=CNG.bb54d137200b27d4f18a20472252604a.10b1&show_article=1

Credit repair houston will work with you to review your credit reports and credit scores to help you maintain and improve your credit score.

Bank Closures Continue to pile up

2010-08-31T12:31:00.000-07:00

Problem bank list climbs to 829

http://money.cnn.com/2010/08/31/news/companies/fdic_problem_bank_list/index.htm?source=cnn_bin&hpt=Sbin

Banks up to their old tricks

2010-08-30T10:07:00.000-07:00

Beware That New Credit-Card Offer

................"Professional cards aren't covered under the Credit Card Accountability and Responsibility and Disclosure Act of 2009, or Card Act for short. Among other things, the law prohibits issuers from controversial billing practices such as hair-trigger interest rate increases, shortened payment cycles and inactivity fees—but it doesn't apply to professional cards........................

http://online.wsj.com/article/SB10001424052748704913704575454003924920386.html?mod=WSJ_hp_mostpop_read

1 in 10 face foreclosure

2010-08-26T10:22:00.000-07:00

le't take a look
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WASHINGTON — One in 10 American households with a mortgage was at risk of foreclosure this summer as the government's efforts to help have had little impact stemming the housing crisis.

About 9.9% of homeowners had missed at least one mortgage payment as of June 30, the Mortgage Bankers Association said Thursday.

That number, which is adjusted for seasonal factors, is down slightly from a record-high of more than 10% as of April 30.

In a worrisome sign, the number of homeowners starting to have problems with their mortgages rose after trending downward last year. The number of homes in the foreclosure process fell slightly, the first drop in four years.

The news comes despite record low mortgage rates. Rates fell to the lowest level in decades for the ninth time in 10 weeks as concerns grow that the economy is weakening.

Mortgage buyer Freddie Mac said Thursday that the average rate for a 30-year fixed loan was 4.36% this week, down from 4.42% last week. That's the lowest since Freddie Mac began tracking rates in 1971.

http://www.usatoday.com/money/economy/housing/2010-08-26-mortgages-foreclosure_N.htm

What's the difference between CA and the titanic?

2010-08-23T17:02:00.000-07:00

Let's take a look:

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LA unveils $578M school, costliest in the nation

LOS ANGELES – Next month's opening of the Robert F. Kennedy Community Schools will be auspicious for a reason other than its both storied and infamous history as the former Ambassador Hotel, where the Democratic presidential contender was assassinated in 1968.

With an eye-popping price tag of $578 million, it will mark the inauguration of the nation's most expensive public school ever.

The K-12 complex to house 4,200 students has raised eyebrows across the country as the creme de la creme of "Taj Mahal" schools, $100 million-plus campuses boasting both architectural panache and deluxe amenities.

"There's no more of the old, windowless cinderblock schools of the '70s where kids felt, 'Oh, back to jail,'" said Joe Agron, editor-in-chief of American School & University, a school construction journal. "Districts want a showpiece for the community, a really impressive environment for learning."

Not everyone is similarly enthusiastic.

"New buildings are nice, but when they're run by the same people who've given us a 50 percent dropout rate, they're a big waste of taxpayer money," said Ben Austin, executive director of Parent Revolution who sits on the California Board of Education. "Parents aren't fooled."

http://news.yahoo.com/s/ap/20100822/ap_on_re_us/us_taj_mahal_schools

Debt Debt Debt!

2010-08-16T11:10:00.000-07:00

let's take a look:

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Debts Rise, and Go Unpaid, as Bust Erodes Home Equity

PHOENIX — During the great housing boom, homeowners nationwide borrowed a trillion dollars from banks, using the soaring value of their houses as security. Now the money has been spent and struggling borrowers are unable or unwilling to pay it back.

The delinquency rate on home equity loans is higher than all other types of consumer loans, including auto loans, boat loans, personal loans and even bank cards like Visa and MasterCard, according to the American Bankers Association.

Lenders say they are trying to recover some of that money but their success has been limited, in part because so many borrowers threaten bankruptcy and because the value of the homes, the collateral backing the loans, has often disappeared.

The result is one of the paradoxes of the recession: the more money you borrowed, the less likely you will have to pay up.

“When houses were doubling in value, mom and pop making $80,000 a year were taking out $300,000 home equity loans for new cars and boats,” said Christopher A. Combs, a real estate lawyer here, where the problem is especially pronounced. “Their chances are pretty good of walking away and not having the bank collect.

http://www.nytimes.com/2010/08/12/business/12debt.html?_r=1

Collectors are buying these debts for pennies on the dollar and many are still waiting for the economy to recover somewhat before they take collection action. If you have questions about your credit report or a collection account give Consumer Credit Capital a call or visit their website at credit-repair-houston.

Housing Crisis

2010-08-13T09:54:00.000-07:00

(Reuters) - More Americans fell into foreclosure in July as a sour job market kept them from making payments, and banks took over homes at a near record pace.

Banks repossessed the second highest monthly number of homes ever last month, working through distressed loans already on their books rather than sharply stepping up new default notices, real estate data company RealtyTrac said on Thursday.

This reflects problem management instead of a fix of the root problem, said the company, which expects more than 1 million homes to be repossessed this year.

"What's driving most of the foreclosure activity is unemployment and other types of economic displacement," RealtyTrac senior vice president Rick Sharga said in an interview.

Banks took over 92,858 properties in July, up 9 percent in the month and 6 percent in the year. This was a shade below the peak of 93,777 homes in May, the largest since RealtyTrac began tracking repossessions in April 2005.

http://www.reuters.com/article/idUSTRE67B0D720100812

Unfortunately there are is no quick fix to the housing crises. Until wages get back in line with housing prices then there will be no return to a normal market; never mind boom times. If you were caught in the housing downturn and are no on the road to rebuilding credit give Consumer Credit Capital a call and visit their website at Credit Repair Texas

Debtors Fight Back

2010-08-04T11:40:00.000-07:00

Debtors in court -- suing collectors

Using legal tactics pioneered by a Minneapolis attorney, debtors are striking back.

By CHRIS SERRES, Star Tribune

Pete Barry, a Minneapolis attorney, has flown all over the country conducting boot camps for lawyers, teaching them how to sue debt collectors under the federal Fair Debt Collection Practices Act (FDCPA).

http://www.startribune.com/investigators/99676349.html?elr=KArks:DCiUHc3E7_V_nDaycUiacyKUHDYaGEP7eyckcUs

Commercial Office space Over supply

2010-07-23T10:12:00.000-07:00

Shadow space haunts office market

Office vacancies, already high, are actually much worse because of untold "shadow" space -- space that's leased but empty.

By JENNIFER BJORHUS, Star Tribune

That section of empty cubicles, the conference rooms collecting cast-off office furniture ... for employees, they're dreary reminders of layoffs, consolidations and shelved expansion plans.

To real estate professionals, it's "shadow" office space -- space that's leased or owned but largely empty and not officially listed anywhere as vacant. And brokers are fretting about the buildup of unprecedented amounts of it around the Twin Cities. All that idle square footage will likely prolong the recovery of the area's hard-hit office sector, already struggling with high vacancy rates. Slow demand for new space will likely mean a dearth of new construction, and all the jobs and building material sales that go with it

http://www.startribune.com/business/98980004.html

Credit Check for Employment

2010-07-22T08:31:00.000-07:00

let's take a look

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NEW YORK (CNNMoney.com) -- Falling behind on your bills? It could cost you a job.

An increasing number of employers are using credit checks to screen potential job applicants. So missed payments on your mortgage, car or credit card could keep you from getting hired.

According to a survey by the Society for Human Resource Management, 60% of employers are using credit checks when filling at least some of their openings. Only 35% reported checking credit in a 2003 survey, and only about 13% did so 1996.

http://money.cnn.com/2010/07/22/news/economy/credit_checks_for_job_applicants/index.htm

Housing Prices out of line with Income

2010-07-21T09:19:00.001-07:00

Excellent article on Housing Prices from a blogger at political calculations

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"When exactly did the U.S. housing bubble begin?

Better yet, can you tell from the Case-Shiller Home Price Index when it began?

Take a look for yourself. Could it have begun in 1997, when house prices, after adjusting for inflation, bottomed? Could it have been in 2000, when these real house prices exceeded rents? Or was it in 2003, when real house prices began growing even faster than they had in the period from 1997 up to that point?

Here's what James R. Hagerty found when he asked the question of two housing and mortgage industry experts in November 2009. First, he asked Edward Pinto:"...........

http://politicalcalculations.blogspot.com/2010/02/better-method-for-detecting-housing.html

Adult Children Co-sign Loans for Parents

2010-07-21T09:11:00.000-07:00

Adult children increasingly co-sign for parents' loans

Financial roles reverse due to rising debts, falling retirement funds

By Michelle Crouch

It's almost an American tradition: Kids in their 20s without a credit history have long turned to their parents to co-sign for them, whether it's for a first credit card, a car or an apartment lease. Now the credit crisis is turning that tradition on its head.

Financial advisers, credit counselors and lenders across the country say they've seen a surge in middle-aged parents who have damaged their credit asking their adult children -- usually in their late 20s or early 30s -- to co-sign loans and leases for them.

"I'm seeing this a lot more now than I did two or three years ago," says Laurie Giles, an elder life planning attorney in Shelton, Conn., and author of the "What Now?" book series. "A lot of times, it's parents who had stable jobs for 20 or 30 years who got used to living on credit, then they're suddenly downsized and they don't have strong savings built up, or their savings went down with the market. And their house isn't worth what they thought."

http://www.creditcards.com/credit-card-news/children-cosign-for-parents-1273.php

Jobs Jobs Jobs

2010-07-21T09:04:00.000-07:00

let's take a look

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Payrolls falls in 27 states, Led by California

Payrolls decreased in 27 U.S. states in June, led by California and New York, signaling the slowdown in hiring is broad-based.

Employers in California cut staff by 27,600 workers last month and those in New York reduced employment by 22,500, the Labor Department said today in Washington. Tennessee, Arizona and New Mexico rounded out the five states with the biggest job losses.

The U.S. lost 125,000 jobs last month as the government cut temporary workers conducting the 2010 census and private payrolls rose a less-than-forecast 83,000, according to Labor Department figures issued July 2. The data signal companies are becoming reticent to hire as the economy cools.

http://noir.bloomberg.com/apps/news?pid=20601087&sid=aCrIFae7VFMg

FHA Tightens Credit Score Requirement

2010-07-17T16:40:00.000-07:00

NEW YORK (CNNMoney.com) -- The once wide-open doorway to homeownership closed a teensy bit more this week when a key government agency announced a proposal to no longer allow mortgages for borrowers with very low credit scores.

The Department of Housing and Urban Development said that it intends to require borrowers to have scores of at least 500 to qualify for FHA-insured loans. The agency has not required a minimum score before.

The practical impact of this move will be extremely limited; during the second quarter of 2010, no FHA-insured loans were issued to borrowers with sub-500 scores. And, in fact, less than 1% of borrowers were below 580; most loans went to borrowers with scores above 620

http://money.cnn.com/2010/07/16/real_estate/tighter_FHA_requirements/index.htm?source=cnn_bin&hpt=Sbin

Debt collection broken

2010-07-16T14:02:00.000-07:00

let's take a look

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Legislators pledge to fix state's 'broken' debt collection system

A day after a federal agency declared America's debt collection system "broken," two Minnesota lawmakers pledged to write legislation to better protect consumers.

By CHRIS SERRES, Star Tribune

A day after a federal agency declared America's debt collection system "broken," two Minnesota lawmakers pledged to write legislation to better protect consumers who are sued or jailed over their debts.

Sen. Ron Latz, DFL-St. Louis Park, and Rep. Joe Mullery, DFL-Minneapolis, said Tuesday that they intend to address a growing public concern -- highlighted in a continuing Star Tribune series, "Hounded" -- that debtors are being sued for money they don't owe and, increasingly, jailed when they fail to appear in court. Latz and Mullery plan to introduce a package of debt-collection reforms when the Legislature reconvenes in January.

The Star Tribune investigation found that the use of arrest warrants against debtors jumped 60 percent in the past four years, with 845 cases in 2009. Some debtors who were arrested said they were unaware they had been sued for their debts and were required to appear in court.

http://www.startribune.com/politics/98380794.html

Bogus Debt

2010-07-16T13:58:00.000-07:00

Phantom debts, real anguish

By CHRIS SERRES and GLENN HOWATT, Star Tribune

Last update: June 30, 2010

The page was mostly blank. It contained only a name, three words and a series of tiny numbers. But in Minnesota's creditor-friendly court system, the page became the sole legal evidence that Darren Sabinske had defaulted on a

Citibank credit card nearly eight years ago.

Sabinske, a security technician from Albertville, was ordered to pay $7,595 to Debt Equities LLC of Golden Valley, whose business is collecting old debts. Sabinske insists he never owned a Citibank card but was soon to learn the frustration of trying to defend himself against a computer database that listed his name near that of the bank.

"All they had was a row of numbers," he said.

In the hands of the new breed of debt collectors, those rows of numbers have become gold mines. Firms with little known names, like LVNV Funding and Unifund CCR Partners, buy massive databases of unpaid debts for cents on the dollar, and then inundate courts with legal actions seeking to collect the full amount, plus interest and fees. These firms, known as debt buyers, base their claims on data up to 15 years old that can be impossible to verify.

http://www.startribune.com/projects/96995289.html

This is another example of debt collection gone awry. Anytime there is an attempt to collect a debt a debt collector is required to produce validation when asked. If they can't properly validate the debt they must cease collection activity. IF you have questions about debt validation contact credit-repair-houston.

Debt Collectors Automate

2010-07-13T10:29:00.000-07:00

let's take a look

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As millions of Americans have fallen behind on paying their bills, debt collection law firms have been clogging courtrooms with lawsuits seeking repayment.

Few have been as prolific as Cohen & Slamowitz, a Woodbury, N.Y., firm that has specialized in debt collection for nearly two decades. The firm has been filing roughly 80,000 lawsuits a year.

With just 14 lawyers on staff, that works out to more than 5,700 cases per lawyer.

http://www.nytimes.com/2010/07/13/business/13collection.html?pagewanted=1&_r=1&hp

Debt Collector Harassment

2010-07-13T10:19:00.000-07:00

Throughout the financial crisis and deepening recession, debt collectors have been harassing Americans, often under false pretenses, in order to scare up a quick buck. Frivolous debt-collection lawsuits have now become so pernicious and prevalent that they're drowning the court system, leading the Federal Trade Commission to call Monday for new state legislation that would staunch the rising tide of baseless debt claims.

Given the current balance of power in debt-collection cases, it's easy to scare people. AsThe New York Times outlines, some firms with a skeleton crew of lawyers now routinely file tens of thousands of debt-collection lawsuits a year via a largely automated process.

These suits are generally filed merely on the basis of Social Security number, address and date of birth, but this can be enough to freeze the defendants' bank accounts -- default judgment are common given that defendants' address information is often outdated or erroneous, and so the complaint doesn't reach them until after their court date -- and they can then be more easily pressured into paying something, anything, to make the problem go away.

Lawsuits are sometimes filed against the wrong people, critics say. Other times, they say, the amount owed is incorrect or includes questionable fees and interest that has been added to the balance.

http://www.huffingtonpost.com/2010/07/12/debt-collection-lawsuits-ftc_n_643920.html

2nd mortgage ticking timebomb

2010-07-12T14:37:00.000-07:00

let's take a look

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Underwater homeowners are jumping onto an unexpected financial life raft that lets them escape crippling second mortgage debts and keep their homes -- Chapter 13 bankruptcy.

It's an unprecedented byproduct of the housing price collapse, says New York City bankruptcy attorney David Shaev of Shaev & Fleischman.

How it works is this: If the home is appraised at less than the value of the first mortgage, the owner can apply for permission in bankruptcy court to reclassify the second mortgage debt. That changes it from a secured debt, which must be repaid, into an unsecured debt, which does not have to be paid in full. The homeowner can then focus on paying off the first mortgage.

"This is the only time where you see such a huge percentage of houses worth less than the first loan, allowing us to basically get rid of the second loan," says Shaev, who estimates that 20 percent of his Chapter 13 clients who own homes qualify for this type of workout. "We're at a unique place in history."

The nation's banks could take a huge hit from the increased use of Chapter 13 protection. The big four banks, Wells Fargo, Citigroup, JP Morgan Chase and Bank of America, hold $435 billion of the $1 trillion in second liens outstanding, according to a new report by Amherst Securities. These banks are also the largest servicers of first mortgage loans.

Borrowers generally prefer loan modifications to bankruptcy. But desperate clients often arrive in Shaev's office after failing to reach agreements with their banks, despite new government efforts to encourage out-of-court deals.

Reclassifying a second lien helped Westchester homeowner Stuart S., who withheld his last name because of embarrassment about filing for bankruptcy, keep the home he bought for his wife and two children.

In 2005, at the height of the real estate frenzy, a professional appraiser valued his home at $850,000. When illness prevented his wife from working, Stuart obtained a $180,000 second mortgage. She planned to return to work, and the couple figured they could sell their home if they ran into financial trouble.

Instead, the financial crisis hit. Stuart's wife has been unable to regain the high salary she once enjoyed, and their house is now worth only $550,000 -- a stunning 35 percent drop in value that leaves them underwater on their $570,000 mortgage.

Before heading to bankruptcy court, Stuart tried to work out a deal with second-lien holder Wells Fargo.

Wells granted a temporary reduction, said Stuart, but then asked for full payments again. Unable to comply, he found a solution in bankruptcy court. Wells Fargo declined to comment.

"It's not a thing you want to do unless you're desperate enough," said Stuart S. "But I couldn't do anything by negotiating directly with the lender."

Second mortgages are dragging borrowers down for several reasons. First, homeowners with second mortgages are more likely to be underwater and to struggle to meet their first mortgage obligations. In addition, second liens average about 20 percent of the loan amount -- a significant chunk -- according to Laurie Goodman, senior managing director at mortgage-bond trader Amherst Securities Group.

The Obama administration has moved to address this crisis with its Second Lien Modification Program, or 2MP, announced with great fanfare earlier this year with a target of helping 1 million to 1.5 million homeowners.

The program, part of Making Home Affordable Program, has been slow to get off the ground.

The four major banks have signed on. But a JP Morgan Chase spokesman gripes that the bank is currently limited to working with borrowers for whom it services both the first and second liens, because the government's loan matching files won't be available until next month. This spring, Chase identified 1,251 accounts that meet the 2MP guidelines. More than 800 of those qualified without a trial period, and 593 sent in completed documents to Chase. Another 224 had worked out three-month trial deals as of late June.

"The housing problem is going to go on for years and years and years, and seconds are a major contributor to the problem," said Amherst's Goodman.

http://www.nypost.com/iphone/story.php?feed=business.xml&id=4.2.3142312766&pos=business_topstories_01

Credit Scores Sinking

2010-07-12T11:48:00.000-07:00

If you have questions about your credit in general or your credit score in particular you are not alone. Give the folks at fix credit houston a call for a free credit repair evaluation. Millions of Americans have credit scores sinking to new lows. Figures provided by FICO Inc. show that 25.5 percent of consumers — nearly 43.4 million people — now have a credit score of 599 or below, marking them as poor risks for lenders. It's unlikely they will be able to get credit cards, auto loans or mortgages under the tighter lending standards banks now use.

ICO's latest analysis is based on consumer credit reports as of April. Its findings represent an increase of about 2.4 million people in the lowest credit score categories in the past two years. Before the Great Recession, scores on FICO's 300-to-850 scale weren't as volatile, said Andrew Jennings, chief research officer for FICO in Minneapolis. Historically, just 15 percent of the 170 million consumers with active credit accounts, or 25.5 million people, fell below 599, according to data posted on Myfico.com.

There is more here at the link: http://m.cnbc.com/us_news/38199287

Credit Repair Houston

2010-06-24T13:16:00.000-07:00

Credit repair does not begin and end with a credit dispute to the credit bureau. At Credit Repair Houston, Texas, many times the first step is to contact the creditor, validate the debt, if proven ( to the standard required by the FDCPA, FCRA, FACTA ) negotiate a reasonable, timely, best, outcome. It's not rocket science but it can be timely, expensive going about it the wrong way.

Withe over 100 million households owe more than $100 thousand in debt credit repair is as much about proper budgeting and bill paying as it is reviewing credit reporting and negotiating with creditors.

Give the folks at Consumer Credit Capital a call for a free evaluation!

credit repair texas

2010-06-23T12:48:00.001-07:00

Here at the Consumer Credit Capital blog we focus on credit repair texas but also cover other repair stories. In this case there is a house in Florida that is in need of a bit of home repair as such it is being offered at a discount $75 million house. If you want it completed with things like carpet and walls that will cost you an extra $25 million.

New Homes DOA

2010-06-23T09:19:00.000-07:00

let's take a look

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New Home Sales Plummet

NEW YORK (CNNMoney.com) -- New home sales plummeted to a record low in May, the first month following the expiration of the homebuyer tax credit. This snapped a two-month streak of gains.

New home sales declined 32.7% to a seasonally adjusted annual rate of 300,000 last month, down from an downwardly revised 446,000 in April, the Commerce Department reported Wednesday. Sales year-over-year fell 18.3%

This is the slowest sales pace since the Commerce Department began tracking data in 1963. The prior record was set in September 1981, when new homes sold at an annual rate of 338,000

http://money.cnn.com/2010/06/23/real_estate/new_home_sales/

GSE's are a sinking ship

2010-06-19T18:55:00.001-07:00

lets take a look

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Fannie and Freddie tab is $146B and rising

By BINYAMIN APPELBAUM

NEW YORK TIMES

Fannie Mae and Freddie Mac took over a foreclosed home roughly every 90 seconds during the first three months of the year. They owned 163,828 houses at the end of March, a virtual city with more houses than Seattle. The mortgage finance companies, created by Congress to help Americans buy homes, have become two of the nation’s largest landlords.

Bill Bridwell, a real estate agent in the desert south of Phoenix, is among the thousands of agents hired nationwide by the companies to sell those foreclosures, recouping some of the money that borrowers failed to repay. In a good week, he sells 20 homes and Fannie sends another 20 listings his way.

http://www.stltoday.com/stltoday/news/stories.nsf/nation/story/E744C01438F6DB698625774700815937?OpenDocument

Bank failures continue unabated

2010-06-19T15:21:00.001-07:00

Regulators shut down a Nevada bank, raising to 83 the number of U.S. bank failures this year.

The Federal Deposit Insurance Corp. took over Nevada Security Bank, based in Reno, with $480.3 million in assets and $479.8 million in deposits. Umpqua Bank, based in Roseburg, Ore., agreed to assume the assets and deposits of the failed bank.

The failure of Nevada Security Bank is expected to cost the deposit insurance fund $80.9 million.

In addition, the FDIC and Umpqua Bank agreed to share losses on $368.2 million of Nevada Security Bank's loans and other assets.

With 83 closures nationwide so far this year, the pace of bank failures is more than double that of 2009, which was already a brisk year for shutdowns. By this time last year, regulators had closed 40 banks. The pace has accelerated as banks' losses mount on loans made for commercial property and development.

The number of bank failures is expected to peak this year and be slightly higher than the 140 that fell in 2009. That was the highest annual tally since 1992, at the height of the savings and loan crisis. The 2009 failures cost the insurance fund more than $30 billion. Twenty-five banks failed in 2008, the year the financial crisis struck with force, and only three succumbed in 2007......

http://www.npr.org/templates/story/story.php?storyId=105712699

Mortgage Market a Mess

2010-06-16T21:46:00.000-07:00

let's take a look

FHA Home-Financing Volume sign of a "very sick System"

May 24 (Bloomberg) -- Loans guaranteed by the Federal Housing Administration, the U.S.-owned mortgage insurer, may be involved in more home-purchase transactions than borrowing financed by Fannie Mae and Freddie Mac.

FHA lending last quarter may have topped the combined volume of government-supported Fannie Mae and Freddie Mac in a home-lending market that’s still a “government-financed market,” David Stevens, the agency’s head, said today at a conference in New York, citing research by consultant Potomac Partners.

“This is a market purely on life support, sustained by the federal government,” he said at the Mortgage Bankers Association conference. “Having FHA do this much volume is a sign of a very sick system.”

The FHA, which backs loans with down payments as low as 3.5 percent, insured $52.5 billion of home-purchase mortgages in the first quarter, compared with $46 billion of purchases of the debt by Fannie Mae and Freddie Mac, according to data compiled by Washington-based Potomac Partners.

The FHA and Fannie Mae and Freddie Mac, which regulators seized in 2008, have been financing more than 90 percent of U.S. home lending after a retreat by banks and the collapse of the market for mortgage bonds without government-backed guarantees.

http://www.businessweek.com/news/2010-05-24/fha-home-financing-volume-sign-of-very-sick-system-update2-.html

Madoff spotted Advising NY State

2010-06-13T23:24:00.000-07:00

let's take a look

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ALBANY — Gov. David A. Paterson and legislative leaders have tentatively agreed to allow the state and municipalities to borrow nearly $6 billion to help them make their required annual payments to the state pension fund.

And, in classic budgetary sleight-of-hand, they will borrow the money to make the payments to the pension fund — from the same pension fund.

As word of the plan spread, some denounced it as a shell game and a blatant effort by state leaders to avoid making difficult decisions, like cutting government spending or reducing pension benefits.

“It’s a classic Albany example of kicking the can down the road,” said Harry Wilson, the Republican candidate for comptroller, who holds an M.B.A. from Harvard.

Pension costs for the state and municipalities are soaring, a result of enhanced retirement benefits for public employees and the decline in the stock market over the past two years. And, given declines in tax revenue and larger budget shortfalls, the governments are struggling to come up with the money to make the contributions.

Under the plan, the state and municipalities would borrow the money to reduce their pension contributions for the next three years, in exchange for higher payments over the following decade. They would begin repaying what they borrowed, with interest, in 2013.

http://www.nytimes.com/2010/06/12/nyregion/12pension.html

Mortgage volume down big-time!

2010-06-13T23:16:00.000-07:00

let us take a look

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WASHINGTON — The number of customers applying for a mortgage to purchase a property fell to the lowest level in 13 years last week, a sign the housing market is struggling without government incentives.

Purchase volume declined 5.7 percent and is at its lowest point since February 1997, the Mortgage Bankers Association said Wednesday.

Overall mortgage application volume, which includes loans for purchases and refinancings, dropped by 12.2 percent during the week ending June 4, compared with the previous week. Refinance volume tumbled 14.3 percent.

"Purchase applications are now 35 percent below their level of four weeks ago, as homebuyers have not yet returned to the market following the expiration of the homebuyer tax credit at the end of April," said Michael Fratantoni, MBA's vice president of research and economics.

http://www.google.com/hostednews/ap/article/ALeqM5iIvqFRg66XEuDVbUOooZbk-FI9lgD9G7SG280

What would Reagan do?

2010-06-07T10:45:00.000-07:00

Tax Hikes and the 2011 Collapse

Today's corporate profits reflect an income shift into 2010. These profits will tumble next year, preceded most likely by the stock market.

http://online.wsj.com/article/SB10001424052748704113504575264513748386610.html

Bank of America Settles with Consumers

2010-06-07T10:22:00.000-07:00

Bank of America to pay $108 million to settle Countrywide case

The agreement with the Federal Trade Commission will create a fund to provide refunds to homeowners who were charged improper fees.

http://www.latimes.com/business/la-fi-countrywide-mortgages-20100608,0,6444494.story

Foreclosure

2010-06-01T10:34:00.001-07:00

http://www.nytimes.com/2010/06/01/business/01nopay.html?src=busln

Mortgage Modification Program Modifying

2010-05-29T13:59:00.000-07:00

let's take a look:

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NEW YORK (CNNMoney.com) -- Attention delinquent borrowers: If you want to get into the Obama administration's mortgage modification program, you'd better have your paperwork ready..............

................................Of the 1.2 million people who've started trial modifications, fewer than 300,000 have received permanent assistance. Another 278,000 have washed out of the program either because they didn't send in timely payments, hand in the required documents or meet the eligibility criteria

http://money.cnn.com/2010/05/28/news/economy/loan_modification_paperwork/index.htm?source=cnn_bin&hpt=Sbin

FHA Loans out pace the rest

2010-05-26T11:10:00.000-07:00

lets take a look:

FHA Home-Financing Volume Sign of ‘Very Sick System’

http://www.businessweek.com/news/2010-05-24/fha-home-financing-volume-sign-of-very-sick-system-update2-.html

Payday Loans In Oregon

2010-04-27T11:53:00.000-07:00

Let us take a look:

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A recent study published in the Journal of Banking and Finance by Dartmouth professor Jonathan Zinman revealed that banning payday loans ended up hurting Oregon households, not helping them.

"Restricting access (to payday loans) caused deterioration in the overall financial condition of Oregon households," Zinman wrote. "Overall the results are consistent with restricted access harming, not helping, consumers on average."

Economists agree: Eliminating payday loans as an option for consumers has disastrous consequences for those who utilize them. We've already seen what happens when other states outlaw these short-term infusions of cash. It remains to be seen whether Colorado will fall into the same trap.

Comparing Oregon, which has placed a rate cap on payday loan that drove three-quarters of the lenders out of business, to Washington, which has no cap, Zinman measured both subjective assessments (i.e., how people felt) and more objective measures like employment status. He found that people fared worse in both regards.

Think of it this way: You're living paycheck to paycheck but have a steady job. One morning, the radiator in your car goes kaput, putting you in a bind. With no savings it will be impossible to get the car repaired. For most Americans, no car means no transportation and no job.

A short-term payday loan, however, gives you access to instant cash allowing you to repair your car and keep commuting to work. Removing that source of credit cuts a lifeline that many families rely upon in crises, a lifeline that, in many cases, keeps them out of the unemployment line.............

http://www.denverpost.com/headlines/ci_14938935

Recovery???

2010-04-25T14:18:00.000-07:00

Another must read by Comstock Partners. Let's take a look

___________________________

Normal Recovery? Don't believe it.

The "Street" and the financial media are portraying a totally misleading impression that the economy is now undergoing a normal recovery as each new piece of economic data is issued. At the same time the stock market has been in the process of pricing in the so-called great news. Let's have a look at the actual numbers.

1) March retail sales were up 8.6% from the low a year earlier. However, this was still 3.6% below the peak sales in May 2008, almost two years ago. Moreover, sales are still slightly below the level reached back in December 2006, over three years earlier. Over the last 43 years retail sales had hardly ever gone down at all, even in recessions.

2) March industrial production (IP) was up 6.1% from the June trough, but was still down 9.1% from the top December 2007. At its current level IP is still where it was over 10 years ago in December 1999. Never since the depression in the 1930s has IP failed to exceed a level established 10 years earlier.

3) New orders for durable goods in February were up 12.8% from the low in March 2009, but were still 22% below the peak in late 2006. In fact orders are back at the same level as in the fall of 1997.

4) Initial weekly unemployment claims for the latest reported week are 456,000. Claims declined from a peak of 643,000 for the week ending March 29, 2009 to 477,000 on November 15. Since then, however, the number of claims has flattened out to a range between 439,000 and 490,000 weekly over the five-month period. This is still a recessionary number.

5) March housing starts were up 31% from the low April 2009, but still down 72% from the peak in January 2006. Except for the current recession the number of starts in March was the lowest in any month over the last 51 years.

6) As reported today, existing home sales were 535,000, up 6.8% from the prior month and 19% from the low in late 2008. However, this was still 27% below the peak in late 2005.

7) New vehicle sales in March were at an annual rate of 11.8 million, up 13.5% from the prior month and 28% from the recession low. This is still well below the average of about 16 million vehicles between in the decade ending in 2007.

8) February personal income was up 11.9% from the trough in July 2009, but still 1.5% below the top in May 2008. At the current level personal income is 2% higher than a year earlier after being down for 12 consecutive months. Prior to the current recession personal income had never been down year-over-year in any month going back to 1960, and the current plus 2% is still at recessionary levels.

9) Payroll employment in March increased 162,000 leaving the total 8.3 million jobs below the peak reached in February 2008 and equal to the number of jobs back in October 1999.

10) February consumer credit was down 4% from a year earlier, the biggest decrease on a year-to-year basis since late in World War ll.

http://www.comstockfunds.com/(X(1)S(obxg3g45jnw2ib45j0ojn045))/default.aspx?act=Newsletter.aspx&category=MarketCommentary&newsletterid=1522&menugroup=Home&AspxAutoDetectCookieSupport=1

Big Banks' Bet against Main Street

2010-04-25T14:14:00.000-07:00

This is a must read article by the Wall Street Journal. Let's take a look

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The Busted Homes Behind a Big Bet

ABERDEEN TOWNSHIP, N.J.—The government's civil-fraud allegation against Goldman SachsGroup Inc. centers on a deal the firm crafted so that hedge-fund king John Paulson could bet on a collapse in U.S. housing prices.

It was a dizzyingly complex transaction, involving 90 bonds and a 65-page deal sheet. But it all boiled down to whether people like Stella Onyeukwu, Gheorghe Bledea and Jack Booket could pay their mortgages.

They couldn't, and Mr. Paulson made $1 billion as a result.

http://online.wsj.com/article/SB10001424052748704133804575198120387721724.html?mod=rss_Today's_Most_Popular

Who coulda knowed?

2010-04-14T20:23:00.000-07:00

let us take a look

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Defaults Rise in Loan Modification Program

The number of homeowners who defaulted on their mortgages even after securing cheaper terms through the government’s modification program nearly doubled in March, continuing a trend that could undermine the entire program.

Data released Wednesday by theTreasury Department and the Housing and Urban Development Departmentshowed that 2,879 modified loans had been ended since the program’s inception in the fall, up from 1,499 in February and 1,005 in January.

The Treasury Department said it could not explain the growing number of what it called cancellations, almost all of which were apparently prompted by the borrower’s being unable to make the new payment. A scant number — 37 — were because the loan had been paid off, presumably because the borrower sold the house.

About seven million households are behind on their mortgage payments.

http://www.nytimes.com/2010/04/15/business/15mortgages.html?src=me

Borrow at 3% Lend at 6% Golf at 4:00pm

2010-04-14T20:19:00.000-07:00

let us take a look

__________________

.................With millions of homeowners losing their homes to foreclosure during this recession, megabank JPMorgan Chase plans to argue against the Obama administration's latest weapon in its fight to stem the problem -- principal cuts for struggling borrowers -- by citing the sanctity of contracts and the borrower's "promise to repay."

In testimony to be delivered Tuesday afternoon, David Lowman, chief executive officer for home lending at the "Too Big To Fail" behemoth, will fight back against the program which calls for lenders and investors to decrease the outstanding debt owed on a home mortgage. While his competitors at Bank of America, Wells Fargo and Citigroup plan to dance around the issue -- judging from their prepared remarks -- Lowman cut right to it: borrowers don't deserve it.

"Like all loans, mortgage contracts are based on a promise to repay money borrowed," Lowman's prepared remarks read. "Importantly, there is no provision in the mortgage contract, express or implied, that the lender will restore equity or reduce the repayment amount if the value of the collateral -- be it a home, a car or a stock market investment -- depreciates.

http://www.huffingtonpost.com/2010/04/12/jpmorgan-chase-argues-aga_n_534898.html

Oregon Wins with New Jobs!

2010-04-13T18:39:00.000-07:00

let us take a look

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Oregon’s officials see Genentech’s presence as integral to the state’s economic future and often cite the 250 jobs already created at the plant. That number is expected to grow to 300 over the next few years.

Meanwhile, Genentech’s management has a much more pragmatic view of why they chose to locate here.

Clark said the search for a new site began in 2003-2005 when introduction of three new products forced the company to increase their manufacturing capacity. A risk assessment drove them to look beyond existing California sites. They didn’t want to do final bottle-fill processing in the middle of a high-risk earthquake zone.

Clark also credited Oregon’s favorable business climate — a surprise given how much criticism the state has received since passage of Measures 66 and 67. He said the economic element of only being taxed once on product production, coupled with the support and encouragement of local and state governments, made the decision to locate in Hillsboro straightforward.

Oregon, though, will probably hold on to the idea that the Genentech plant will ultimately attract other biotechnology firms to the area, even if the company’s expansions remain on its manufacturing side.

When his turn to address the audience came, Sen. Jeff Merkley said, “The future is no longer plastics … the future is biological, a word that was essentially science fiction a few years ago.”

“Many will be touched in the future by this research,” he said, after describing how innovations in the treatment of one disease can lead to new approaches in dealing with others.

http://blog.oregonlive.com/hillsboroargus/2010/04/genentech.html

Mortgage Rates Jump

2010-04-08T10:53:00.000-07:00

Let us take a look:

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April 8 (Bloomberg) -- U.S. mortgage rates jumped to the highest level in almost eight months, increasing borrowing costs for buyers and signaling a threat to the housing market’s recovery as government efforts to spur demand end.

Rates for 30-year fixed loans rose to 5.21 percent for the week ended today from 5.08 percent, mortgage finance company Freddie Mac said in a statement. That’s the highest rate since the week ended Aug. 13. The average 15-year rate was 4.52 percent, according to the McLean, Virginia-based company.

Loan rates are climbing from record lows last year as the economy shows signs of strengthening and after the Federal Reserve completed a program of buying about $1.25 trillion of securities backed by U.S. residential mortgages. Rising borrowing rates and the expiration of homebuyer tax credits this month may reduce demand for homes......................

............................Homes for Sale

The number of existing homes for sale jumped 9.5 percent in February, data from the National Association of Realtors show. Government tax credits for first-time home buyers and some current owners expire April 30.

The Fed’s program of buying mortgage-backed securities, which ended last week, helped reduce rates to a record low of 4.71 percent in December. The average 30-year rate over the past decade is 6.2 percent, with a high of 8.64 percent in May 2000, Freddie Mac data show.

The government bond purchases from Fannie Mae, Freddie Mac and Ginnie Mae, agencies that buy home loans from lenders and package them into securities, brought down yields and allowed lenders to reduce mortgage rates while still selling the bonds at a profit.

The Mortgage Bankers Association’s index of mortgage applications fell 11 percent in the week ended April 2. The portion of refinancings dropped 17 percent. Applications to purchase a home increased 0.2 percent.

http://www.bloomberg.com/apps/news?pid=20601087&sid=aX9YxHf.MpN8&pos=4

Antidepressant's sales Booming!

2010-04-03T17:24:00.000-07:00

Sales of antidepressants rose 3 percent to $9.9 billion, .............That made them the fourth-largest class of medicines by sales, up from fifth in 2008.

http://www.bloomberg.com/apps/news?pid=20601124&sid=aAs2MdK_YIsc

Garnishment on the Rise

2010-04-03T16:34:00.000-07:00

Let us take a look:

__________

PHOENIX — When the bank sued Leann Weaver for not paying her credit card balance, her reaction was typical for someone in that situation. Personal and financial setbacks weighed her down, and she knew she owed the $2,470. So she never went to court to defend herself.

She was startled by what happened next. When she swiped her debit card at the grocery store, it was declined. It turned out Capital One Bank had taken $224.25 from her paycheck, a quarter of her wages for two weeks of work at a retail chain, and her bank account was overdrawn.

“They’re kicking somebody who’s already in the dirt,” she sai

http://www.nytimes.com/2010/04/02/business/economy/02garnish.html?src=me&ref=business

Bankruptcy Biz Booming

2010-04-03T16:31:00.000-07:00

Let us take a look

____________

.............................More Americans filed for bankruptcy protection in March than during any month since the federal personal bankruptcy law was tightened in October 2005, a new report says, a result of high unemployment and the housing crash.

Federal courts reported over 158,000 bankruptcy filings in March, or 6,900 a day, a rise of 35 percent from February, according to a report to be released on Friday by Automated Access to Court Electronic Records, a data collection company known as Aacer. Filings were up 19 percent over March 2009. The previous record over the last five years was 133,000 in October...........

http://www.nytimes.com/2010/04/02/business/economy/02bankruptcy.html

Credit Repair Texas

GE Pays $70.4 Million to Settle Bid Rigging Investigation

Consumer Credit Capital Launches Clean Credit Repair Program

Fraud Foreclosures On Active Duty Military

Online Sales Grow

FDCPA Lawsuits Outpace last Year

$7.77 Trillion in Loans made to the Banking System

Study Finds Link Between Personality And Credit Scores

Study Finds No Link Between Bad Credit and Employee Theft

Alabama Sues Debt Collector for FDCPA Violation

Bankruptcy: Largest Ever Municipal Bankruptcy

Banks' Foreclosure Agent Argues Against The Need For Accurate Paperwork

Removing A Tax Lien From A Credit Report

Credit Reporting Agency Argues Consumer Protection FCRA is Unconstitutional

Debt Collector with 6,000 Accounts Settles for $4 million

Soda Ban A Bust

Credit Reports to Track; Rent, Utility and Payday Loans

Citi Settles fraud charges for $285 million But....

Credit Repair Texas - Pay Day Loans

Fix Credit - Auto Dealer Complaints

Credit Repair Texas - Car Financing

Groupon: Fizzle or Sizzle?

B of A Employees Jumping Ship / Freddie Sinking Ship

72% of loans in foreclosure Not Paid in over 1year

Broker Goes Bust: Again

Credit Repair Houston - How We Help

Debt Collector Threatens to "dig up daughter" over funeral debt.

Credit Repair Houston Texas

Credit Repair Houston

Shake-Down: Debt Collection Company unjustly collects $9.4 million according to District Court

Texas Foreclosure Fraud

Bank of America, JPMorgan Get Texas Subpoenas on Foreclosures

Interest Rates Continue Lower

let's take a look

Plunging Rates for Refinancing Aid the Thrifty

Pension Crises Growing

Middle Class Crises

27 Signs That The Standard Of Living For America’s Middle Class Is Dropping Like A Rock

Peak Housing

Credit lines continue to decline

Consumer credit falls $3.34 billion in August

Wall Street Loots Main Street

Bank Fraud at the Heart of the Foreclosure Crises

Foreclosure Crises Steepens With Resets 2011

The Second Wave of Mortgage Defaults

Foreclosure Fraud by Wall Street Banks

Stop Paying 2nd Mortgage?

Banks Commit Mortgage Fraud

FED's Sue Credit Card Companies over $35 billion in fees

Supreme Court Denies Credit Report Case

Supreme Court Denies BofA Unit Appeal In Credit Report Case

Verizon Caught Gouging Customers for $90 million

Mortgage Fraud by Originators

4ClosureFraud Posts Lender Processing Services Mortgage Document Fabrication Price Sheet

foreclosures just keep coming

2011 The year of the Re-finance

Housing Crises through 2012

JPMorgan Suspends Certain Foreclosures As Doubts Grow Over Legality

It's your credit score dummy

Texas Credit Union Fails

Credit Unions Bailed OutU.S. Backs $30 Billion in Bonds to Stabilize Key Institutions; Subprime Legacy

Credit Unions Bailed Out

U.S. Backs $30 Billion in Bonds to Stabilize Key Institutions; Subprime Legacy

By MARK MAREMONT And VICTORIA MCGRANE

foreclosures will continue unabated

Obama Homeowner Program Hits 10-Month Low As Prices Drop And Foreclosures Surge

Bank gets caught lying in court filing.

Fort Worth Pension "trending toward Insolvency"

We are all California. let's take a look

Fort Worth pension bubble will blow up in our faces

Shadow Housing Inventory Weighs on Market

U.S. Home Prices Face 3-Year Drop as Inventory Surge Looms

States cutting Pension benifits

let's take a look

States cutting benefits for public-sector retirees

Housing Crisis

Home Buyer tax credit really a loan

By Martin Vaughan

Snip......

New Bank Fees Coming

Credit Unions Bailed Out
U.S. Backs $30 Billion in Bonds to Stabilize Key Institutions; Subprime Legacy