Gold - Man denied access to his gold at Swiss bank: "The gold was not there": "A client of a major Swiss bank was recently refused access to his physical gold and had to hire attorneys and threaten to expose the bank publicly before finally getting it back in his own hands, according to Jim Rickards of Omnis.
'My inference is that the gold was not there,' Rickards told King World News. 'The bank had to scramble, go out and find it somewhere before they could make good delivery.'"
___________________________________________________________________________________________
Oooops!
Looks like this bank was "Spoofing Gold." The illegal, fraudulent practice of selling gold on paper, with the gold allegedly stored in bank's vault, when actually, bank does not buy the gold, instead invests it for own use. Usually, the gold buyer never asks for delivery and sells at some point in the future, which sends buyer his profit or loss, without ever having purchased any gold. The same practice is prevalent in the silver market.
Another shady practice is "Gold Leasing" where the bank takes some portion of the buyer's money and rents or leases gold from a broker for pennies, without taking possession, with a contract to purchase the gold or silver sometime in the future. Again, if the buyer requests delivery, the bank has to scramble and try to get a hold of the gold from the holder.
Friday, March 4, 2011
Tuesday, March 1, 2011
Network Marketing, Back to the Future!
Success in applying word of mouth marketing in "traditional" businesses.
Even sellers of large purchases, now, are benefiting from word of mouth . When you consider what kind of car to buy, where to live, how to choose a physician or a general contractor or a piano teacher--all of those decisions are heavily influenced by people you know and trust, friend, relatives, colleagues.
In fact, in many ways, the search paradigm isn’t the way people do things. [Part of that is because] most of the information on the Internet has an agenda, so it’s very difficult to get truly objective data.
So the best research is from people you know who’ve experienced it. You know their only agenda is to help you because they’re your friend. Social media helps make that process really efficient.
Althernative health products and procedures stand to be big gainers from this phenomenom
Unlike products that are commodities and price-sensitive, like potatoes and onions, which everyone knows well and can instantly determine what is a good deal and what is not; health care product consumers need a more extensive education and price justification. This education is best provided by trusted friends, relatives and co-workers as opposed to traditional, impersonal marketing methods.
However, the average person who wants to sell innovative, effective alternative medical devices, supplements and therapies and is not a nurse, doctor or other recognized health professional; would do best with a personal introduction to his prospects by a health professional.
How is this to be accomplished? Via a membership website for sufferers of diseases best handled with new alternative therapies, with a professional discussing or introducing alternative health measures.
It could also be handled by a third party newsletter or newspaper, with the marketer following up and facilitating the education of the prospects, who will buy or not buy based on how well the educational process had worked.
Network marketers have an advantage in this new world of social marketing, this is what they do.
However, they must aspire to a new level of professional salesmanship, becoming a health coach, familiar with the diseases her product helps and becoming an educational guide, assisting in the education of her prospects.
If you would like to be introduced to marketing aids that assist in marketing health products, please feel free to contact me for more info.
Bill Young, Publisher, Apple Health News\
646-961-3818
Even sellers of large purchases, now, are benefiting from word of mouth . When you consider what kind of car to buy, where to live, how to choose a physician or a general contractor or a piano teacher--all of those decisions are heavily influenced by people you know and trust, friend, relatives, colleagues.
In fact, in many ways, the search paradigm isn’t the way people do things. [Part of that is because] most of the information on the Internet has an agenda, so it’s very difficult to get truly objective data.
So the best research is from people you know who’ve experienced it. You know their only agenda is to help you because they’re your friend. Social media helps make that process really efficient.
Althernative health products and procedures stand to be big gainers from this phenomenom
Unlike products that are commodities and price-sensitive, like potatoes and onions, which everyone knows well and can instantly determine what is a good deal and what is not; health care product consumers need a more extensive education and price justification. This education is best provided by trusted friends, relatives and co-workers as opposed to traditional, impersonal marketing methods.
However, the average person who wants to sell innovative, effective alternative medical devices, supplements and therapies and is not a nurse, doctor or other recognized health professional; would do best with a personal introduction to his prospects by a health professional.
How is this to be accomplished? Via a membership website for sufferers of diseases best handled with new alternative therapies, with a professional discussing or introducing alternative health measures.
It could also be handled by a third party newsletter or newspaper, with the marketer following up and facilitating the education of the prospects, who will buy or not buy based on how well the educational process had worked.
Network marketers have an advantage in this new world of social marketing, this is what they do.
However, they must aspire to a new level of professional salesmanship, becoming a health coach, familiar with the diseases her product helps and becoming an educational guide, assisting in the education of her prospects.
If you would like to be introduced to marketing aids that assist in marketing health products, please feel free to contact me for more info.
Bill Young, Publisher, Apple Health News\
646-961-3818
Housing Disaster 2.0
If you thought the housing debacle was bad, wait till you see what 2.0 has in store!
The intransigence of Wall st to help homeowners resolve their problems is now coming back to bite them, HARD!
The mortgage backed securities that are the touchstone of the Trillion dollar securitization scam are mainly worthless, despite the industry's obfuscation. The reason is that most of the mortgages underlying the securities are underwater, worth less than the housing backing them up.
No one is willing to acknowledge this devastating fact. But remember the real estate boom? Property values were rising at 10-20% annually, but all the while, home equity was actually falling. Historically, the average home had 50% equity, but during the boom, because of the low-no down payment purchases and the cash out refi frenzy, the average home had only 25% equity by the peak of the boom in 2005-6.
Up to now, home prices have fallen 25-30%, with no end in sight, which means that the average home at this point has negative equity!
Home prices will continue to fall for the foreseeable future because of the humongous number of homes in the foreclosure pipeline. Unemployment is now driving even good credit, 30 year fixed mortgage holders to default on their mortgage payments. Experience has shown that anyone who is 3 months or more behind in their mortgage payments, will never catch up and will become a foreclosure statistic.
To that number you have to add a substantial number of people who are current on their payments, but are significantly underwater. If you paid $425,000 for your home 4 years ago, with 10% down, meaning you have a $383,500 mortgage, but the value of your home is now only $295,000, you, like many similarly situated homeowners, will seriously consider walking away, or "Strategically Default" on your mortgage. Others would not consider it on moral grounds.
Think about it. Could you buy a similar home or even a better one for the same or smaller mortgage payment? How much would it cost to rent a similar or better home? Do you really want to throw good money, your retirement, your child's educational account, into a home that may not recover its value for years and years?
As of this writing, up to 40% of foreclosure sales are the result of home owners walking away from their mortgages.
Finally, the pool of potential home buyers shrinks by the day. Unemployed people are automatically excluded from the ranks of home buyers. More and more people's credit scores are dropping because of financial hardship, while at the same time banks are demanding higher and higher credit scores, with 750-780 not uncommon. Another thing the banks are demanding are bigger down payments, with many demanding 20% down, which with total acquisition costs bring the required cash to buy a house up to 25% or more. Not many first time buyers have that and trade up buyers are few because either they cannot sell their homes because they are under water or their credit has been dinged because of missed mortgage payments.
And, of course just over the horizon are higher interest rates as the Fed QE2's inflationary impact spreads from stocks and commodities to the broader economy. Higher mortgage interest rates will be just another nail in the housing market's coffin.
The intransigence of Wall st to help homeowners resolve their problems is now coming back to bite them, HARD!
The mortgage backed securities that are the touchstone of the Trillion dollar securitization scam are mainly worthless, despite the industry's obfuscation. The reason is that most of the mortgages underlying the securities are underwater, worth less than the housing backing them up.
No one is willing to acknowledge this devastating fact. But remember the real estate boom? Property values were rising at 10-20% annually, but all the while, home equity was actually falling. Historically, the average home had 50% equity, but during the boom, because of the low-no down payment purchases and the cash out refi frenzy, the average home had only 25% equity by the peak of the boom in 2005-6.
Up to now, home prices have fallen 25-30%, with no end in sight, which means that the average home at this point has negative equity!
Home prices will continue to fall for the foreseeable future because of the humongous number of homes in the foreclosure pipeline. Unemployment is now driving even good credit, 30 year fixed mortgage holders to default on their mortgage payments. Experience has shown that anyone who is 3 months or more behind in their mortgage payments, will never catch up and will become a foreclosure statistic.
To that number you have to add a substantial number of people who are current on their payments, but are significantly underwater. If you paid $425,000 for your home 4 years ago, with 10% down, meaning you have a $383,500 mortgage, but the value of your home is now only $295,000, you, like many similarly situated homeowners, will seriously consider walking away, or "Strategically Default" on your mortgage. Others would not consider it on moral grounds.
Think about it. Could you buy a similar home or even a better one for the same or smaller mortgage payment? How much would it cost to rent a similar or better home? Do you really want to throw good money, your retirement, your child's educational account, into a home that may not recover its value for years and years?
As of this writing, up to 40% of foreclosure sales are the result of home owners walking away from their mortgages.
Finally, the pool of potential home buyers shrinks by the day. Unemployed people are automatically excluded from the ranks of home buyers. More and more people's credit scores are dropping because of financial hardship, while at the same time banks are demanding higher and higher credit scores, with 750-780 not uncommon. Another thing the banks are demanding are bigger down payments, with many demanding 20% down, which with total acquisition costs bring the required cash to buy a house up to 25% or more. Not many first time buyers have that and trade up buyers are few because either they cannot sell their homes because they are under water or their credit has been dinged because of missed mortgage payments.
And, of course just over the horizon are higher interest rates as the Fed QE2's inflationary impact spreads from stocks and commodities to the broader economy. Higher mortgage interest rates will be just another nail in the housing market's coffin.
Monday, December 13, 2010
John L. Lewis, Plaintiff/appellant, v. United States of America, Defendant/appellee - 680 F.2d 1239 - Justia US Court of Appeals Cases and Opinions
John L. Lewis, Plaintiff/appellant, v. United States of America, Defendant/appellee - 680 F.2d 1239 - Justia US Court of Appeals Cases and Opinions: "On July 27, 1979, appellant John Lewis was injured by a vehicle owned and operated by the Los Angeles branch of the Federal Reserve Bank of San Francisco. Lewis brought this action in district court alleging jurisdiction under the Federal Tort Claims Act (the Act), 28 U.S.C. § 1346(b). The United States moved to dismiss for lack of subject matter jurisdiction. The district court dismissed, holding that the Federal Reserve Bank is not a federal agency within the meaning of the Act and that the court therefore lacked subject matter jurisdiction. We affirm. dismissed, holding that the Federal Reserve Bank is not a federal agency within the meaning of the Act and that the court therefore lacked subject matter jurisdiction. We affirm."
Further... Examining the organization and function of the Federal Reserve Banks, and applying the relevant factors, we conclude that the Reserve Banks are not federal instrumentalities for purposes of the FTCA, but are independent, privately owned and locally controlled corporations
Further... Examining the organization and function of the Federal Reserve Banks, and applying the relevant factors, we conclude that the Reserve Banks are not federal instrumentalities for purposes of the FTCA, but are independent, privately owned and locally controlled corporations
Friday, December 10, 2010
Video--Insider Blows The Whistle on Wall St Financial Industry Fraud
Janet Tavakoli, Wall St insider, spills the beans on her greedy colleagues. http://www.youtube.com/watch?v=WA20Am0pwtA
_________________________________________________________________________________
Bill's Comments
_________________________________________________________________________________
We are well in the grasp of the Oligarchs who own the FED and control our money and therefore Every facet of our country.
_________________________________________________________________________________
Bill's Comments
_________________________________________________________________________________
We are well in the grasp of the Oligarchs who own the FED and control our money and therefore Every facet of our country.
Tuesday, October 12, 2010
Housing prices to take another huge dive
As I wrote back in 2006, the impending collapse of the housing market was imminent. I predicted that it would brink down the entire economy, considering housings importance to the whole financial system.
Well the housing market did collapse, but the financial system did not collapse, yet.
Back then in 2006, I had no idea of the drastic, immoral and probably illegal methods the Fed would continence by the banks to avert such an event.
The Fed has printed Trillions of dollars to prop up the financial system. Wall st is inflated with government money used to purchase stocks. Bank's balance sheets are top heavy with funny money. The Fed and their cronies in the Obama administration have allowed the banks to hide the true, imploded value of their assets, especially the toxic mortgage backed securities.
I had said in my 2006 article that Joe and Mary Sixpack's ability to pay their mortgage payments were the key to the house of cards the fraudsters in Wall st and the banks had built and it still is.
However, with the drastic decline in the value of their homes, Joe and Mary have little to no incentive to pay their mortgages if the value of their homes is less than the mortgage amounts.
This is a problem I believe has been disquised and lied about. Ten years ago, the average homeowner had 50% equity in their home. At the height of the insanity, average equity had fallen to 30%.
As a result of the housing crash so far, home prices have fallen by 30% and more in certain hard hit areas. Tell me that only 25% of homeowners in Nevada, Arizona, Florida and California are underwater. Perhaps 25% at most are Above water!
The Banksters have been successful in blocking investigations into the rampant fraud that underlined so much of the housing markets, on originations and now of the foreclosure side.
But now it is all coming to light with the investigations into who owns the mortgages and therefore has the legal right to foreclose the mortgage.
Here are a look at some of the possible scenarios:
Investors in securities may demand Put Backs, refunds of the investors money paid for the security based on their fraudulent representations on the underlying securities;
Homeowners suing to get their money back who have made years of mortgage payments to an entity that had no right to those payments
Successful home owner defenses against foreclosure of their homes because of the bank's inability to prove their ownership of mortgage
Title companies refusing to guarantee title to new lenders and borrowers
A collapse of the Trillion dollar securitization game.
Short to medium term, look for housing prices to nosedive as the market grinds to a halt and deflation in the broader financial markets takes over, despite another Trillion or so of QE2, ("Qualitative easing" by the Fed in 2011.)
However, look for gold and silver to sky rocket in the face of the resulting financial chaos. In fact, I expect that you will be able to buy a home with a 1,000 OZ bar of silver, during this period, just like you could in 1982!
Long term, look for ginormous inflation when the Fed figures out how to beat deflation. Then the complete collapse of the financial economy!
Well the housing market did collapse, but the financial system did not collapse, yet.
Back then in 2006, I had no idea of the drastic, immoral and probably illegal methods the Fed would continence by the banks to avert such an event.
The Fed has printed Trillions of dollars to prop up the financial system. Wall st is inflated with government money used to purchase stocks. Bank's balance sheets are top heavy with funny money. The Fed and their cronies in the Obama administration have allowed the banks to hide the true, imploded value of their assets, especially the toxic mortgage backed securities.
I had said in my 2006 article that Joe and Mary Sixpack's ability to pay their mortgage payments were the key to the house of cards the fraudsters in Wall st and the banks had built and it still is.
However, with the drastic decline in the value of their homes, Joe and Mary have little to no incentive to pay their mortgages if the value of their homes is less than the mortgage amounts.
This is a problem I believe has been disquised and lied about. Ten years ago, the average homeowner had 50% equity in their home. At the height of the insanity, average equity had fallen to 30%.
As a result of the housing crash so far, home prices have fallen by 30% and more in certain hard hit areas. Tell me that only 25% of homeowners in Nevada, Arizona, Florida and California are underwater. Perhaps 25% at most are Above water!
The Banksters have been successful in blocking investigations into the rampant fraud that underlined so much of the housing markets, on originations and now of the foreclosure side.
But now it is all coming to light with the investigations into who owns the mortgages and therefore has the legal right to foreclose the mortgage.
Here are a look at some of the possible scenarios:
Investors in securities may demand Put Backs, refunds of the investors money paid for the security based on their fraudulent representations on the underlying securities;
Homeowners suing to get their money back who have made years of mortgage payments to an entity that had no right to those payments
Successful home owner defenses against foreclosure of their homes because of the bank's inability to prove their ownership of mortgage
Title companies refusing to guarantee title to new lenders and borrowers
A collapse of the Trillion dollar securitization game.
Short to medium term, look for housing prices to nosedive as the market grinds to a halt and deflation in the broader financial markets takes over, despite another Trillion or so of QE2, ("Qualitative easing" by the Fed in 2011.)
However, look for gold and silver to sky rocket in the face of the resulting financial chaos. In fact, I expect that you will be able to buy a home with a 1,000 OZ bar of silver, during this period, just like you could in 1982!
Long term, look for ginormous inflation when the Fed figures out how to beat deflation. Then the complete collapse of the financial economy!
Friday, April 2, 2010
It Pays to Fight Your Creditors!
Take the following two cases of debtors being sued by creditors:
Second Case: Ruth M. Owens, a disabled Cleveland woman, was sued by Discover Bank in 2004 for an unpaid credit card. Ms. Owens offered a defense, sending a handwritten note to the court.
“After paying my monthly utilities, there is no money left except a little food money and sometimes it isn’t enough,” she wrote.
Robert Triozzi, a judge at the time, heard the case. He found that over a period of several years, Ms. Owens had paid nearly $3,500 on an original balance of $1,900.
But Discover was suing her for $5,564, mostly for late fees, compound interest, penalties and other charges. He called Discover’s actions “unconscionable” and threw the case out.
Going to court is no guarantee of victory, of course. Consumers who do go are sometimes intercepted by collection lawyers, who press them to sign papers settling without a trial.
These settlements may be against the interests of debtors, but they sign anyway.
“We’re signing off on a lot of settlement agreements where we shake our heads and ask, ‘Why is this person settling to this?’ ” Judge Lipman said.
Second Case:
For the working poor, losing a lawsuit can mean disaster.
The case of Sidney Jones shows how punishing the system can be. In January 2001, Mr. Jones, 45, a maintenance worker from California Crossroads, Va., took out a $4,097 personal loan from Beneficial Virginia, a subprime lender now owned by HSBC, the big bank.
He fell behind, and Beneficial sued. Mr. Jones did not appear in court.
“I just thought they were going to take what I owed,” he said.
By default, Beneficial won a judgment of $4,750, plus $900 in lawyers’ fees, with the debt accruing interest at 27.55 percent until paid in full. The bank started garnishing his wages in March 2003.
Over the next six years, the bank deducted more than $10,000 from Mr. Jones’s paychecks, but he made little headway on his debt.
According to a court order secured by Beneficial’s lawyers last spring, he still owed the company $3,965, a sum nearly equal to the original loan amount. Mr. Jones, who did not graduate from high school, was baffled.
“Where did all this money go that I paid them?” he said. Dale Pittman, a consumer law lawyer in Petersburg, Va., took Mr. Jones’s case without charge, and found that all but $134 of his payments had gone toward interest, fees and court costs.
“It’s a perfectly legal result under Virginia law,” Mr.Pittman said.
***********************************************************************************
So, which way will you go? Lay down like a dog and get run over or stand up and defend yourself?
If you need help, contact me, Bill Young. I am a former bank loan officer and have many clients who have been able to Beat the Banks!
Call for a free consultation on your situation.
Bill Young, Personal Financial Consultant
646-961-3818
MORE FROM NYTIMES.COM
Current DateTime: 09:22:23 02 Apr 2010
LinksList Documentid: 22528754
BusinessDealBook BlogSmall Business News
A 1968 federal law exempts 75 percent of a worker’s wages, or 30 times the minimum wage per week, from being taken in garnishment — whichever is less. But increases in the minimum wage have failed to keep up with inflation.
As federal law stands now, just $217.50 a week is exempt from seizure. (A few states set higher cutoffs.)
The working poor “have difficulties maintaining payments on life’s necessities with their full paycheck,” said Angela Riccetti, a lawyer with Atlanta Legal Aid who represents indigent clients whose wages are being garnished.
“You lose 25 percent of it and everything folds.” For Leann Weaver, the woman at the grocery store, Capital One’s lawsuit made a bad situation worse.
After being evicted from her apartment, she moved in with her grandparents. Without them, she might have ended up on the street or in a shelter, she said.
Capital One declined to comment on Ms. Weaver’s case.
“We encourage anyone facing difficulties meeting their financial obligations to contact us right away,” Tatiana Stead, a bank spokeswoman, said in an e-mail message.
Ms. Weaver said she repeatedly asked Capital One for more time to pay her $2,470 debt, but last year the bank filed suit.
She failed to show up in court, and a judgment was entered against her, swollen by $1,800 in interest and lawyers’ fees.
Then the garnishment began, almost $500 a month, or a quarter of her pay.
“I can’t even look at my paychecks any more,” she said.
This story originally appeared in the The New York Times
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12 Comments TotalCOMMENTSRadical_1 | Apr 2, 2010 12:37 PM ET
Just proves the point "at least show up for Court". While you might not win at least you'll leave knowing how bad you're going to get screwed, where if you don't go at all, you have NO IDEA what happened, or how bad the Court ruled against you. One thing is guaranteed in a Court of Law, if you don't show up you'll NEVER WIN.
Report Abuse
mcleert | Apr 2, 2010 01:05 PM ET
But it is ok for the same banks to not pay down their toxic debts and get a free % loan from the government to do as they please !!!!
Time for a national consumer law suit against all
the too big to fail banks.
Report Abuse
WaitForTheRevision | Apr 2, 2010 02:37 PM ET
Over the next six years, the bank deducted more than $10,000 from Mr. Jones’s paychecks, but he made little headway on his debt.
According to a court order secured by Beneficial’s lawyers last spring, he still owed the company $3,965, a sum nearly equal to the original loan amount. Mr. Jones, who did not graduate from high school, was baffled
LOL "who did not graduate from high school" Why throw that in here? Reporter "So Mr. Jones you seem to be uneducated would it be safe for me to ASS-U.M.E. that you didn't finish H.S.? Ahhh.. Haaa I knew it! LOL. It sounds like a simple BK filing would have saved these people cash. But yet here they are paying 500 percent more than they should and still have balances and bad credit. Credit is a scam that is sold to us and used for control. Pay cash it's better.
Report Abuse
magnets | Apr 2, 2010 02:52 PM ET
Laws have been written to declare what is owed and to demand interest and fees as well. Then people can be harassed as long as possible and perhaps additional monies can be obtained.
Unfortunately during the process a lose-lose situation is turned into a lose-lose-win situation. The debtor still loses, the original creditor still loses and the only possible winner is a third-party that wears the debtor and the system down just to collect as much as possible on their original small bet - paid to the original creditor by the third-party.
Report Abuse
magnets | Apr 2, 2010 03:18 PM ET
Let's see, the ADULT in the room should be the judge. Neither Democratic nor Republican judges seem to understand that. (Yes, politics is unfortunately now well embedded in the court system.)
People have no respect for the system. And why should they? They know they owe the debt. They would love to pay off the debt if they could. The reason they have the debt in the first place is because it was easy - not because they could afford it. They assume the judge will be fair. Unfortunately they do not know that the judge demands respect in order to be fair. You have to show up. No wonder people have no respect for the system.
Credit Card companies should raise and lower limits on a monthly basis. 20% usage is OK. 80% usage and the card gets rejected the next time use is attempted. Fixing the problem early might mean the third-party never needs to get involved.
Which would creditors rather have in the economy, people buying things or people paying penalties and fees they can not afford? Politicians should prefer consumers over debt collectors.
Report Abuse
curlqgurl | Apr 2, 2010 04:52 PM ET
I lost my job and offered Captial One 15 percent and $100 per month on a bill of $1300.
THEY REFUSED.
Report Abuse
RayRock. | Apr 2, 2010 04:56 PM ET
Show up and ask to see the original documents that prove a debt exists and that they’re authorized to collect on it. If they cannot do that then ask the judge to order them to compensate you for your time and to find in your favor and order them to cease pursuing the claim and to prohibit them from selling the debt to anyone else. It may or may not work, but it never hurts to ask.
On another note though I see this as just the beginning as soon we’ll see lenders with foreclosed homes on their hands suing those who defaulted. The lenders will scrutinize the loan documents and if there are any lies I expect lenders to sue for fraud and probably file criminal complaints as well in the very near future.
It’s about to get ugly for debtors and it’ll take years for the cases to work their way through the courts.
Report Abuse
RUOK2 | Apr 2, 2010 05:40 PM ET
Very Very Sad, that Banks were bailed out, rescued by the Taxpayers...while the banks then increased interest rates on credit, stop making loans, and play all types of accounting games to make their book look good....and what does the consumer and small business person get....SCREWED......revolt against monster banks like Citi Group , Bank of America, JP Morgan Chase.....Put your money in a local community bank that cares for the community, and WAll Street and stock prices.......Its all very sad...
Report Abuse
gliding | Apr 2, 2010 06:02 PM ET
No court should ever allow usurious interest rates in such cases, whether the defendant shows up or not. More than 10% is questionable. More than 18% is outrageous.
And if the defendant doesn't show up, then the plaintiff should pay the legal and court fees of bringing the suit, for it poses a disincentive for abuse.
Report Abuse
HLJ63 | Apr 2, 2010 06:35 PM ET
Some people think that ignoring the problem will make it all go away, like there is this kind fairy out there who waves a wand and poof! All of your debt is gone. Sorry but that fairy only appears for the Big banks who are able to tuck away their toxic assets and debt as if they don't exist.
Report Abuse
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Second Case: Ruth M. Owens, a disabled Cleveland woman, was sued by Discover Bank in 2004 for an unpaid credit card. Ms. Owens offered a defense, sending a handwritten note to the court.
“After paying my monthly utilities, there is no money left except a little food money and sometimes it isn’t enough,” she wrote.
Robert Triozzi, a judge at the time, heard the case. He found that over a period of several years, Ms. Owens had paid nearly $3,500 on an original balance of $1,900.
But Discover was suing her for $5,564, mostly for late fees, compound interest, penalties and other charges. He called Discover’s actions “unconscionable” and threw the case out.
Going to court is no guarantee of victory, of course. Consumers who do go are sometimes intercepted by collection lawyers, who press them to sign papers settling without a trial.
These settlements may be against the interests of debtors, but they sign anyway.
“We’re signing off on a lot of settlement agreements where we shake our heads and ask, ‘Why is this person settling to this?’ ” Judge Lipman said.
Second Case:
For the working poor, losing a lawsuit can mean disaster.
The case of Sidney Jones shows how punishing the system can be. In January 2001, Mr. Jones, 45, a maintenance worker from California Crossroads, Va., took out a $4,097 personal loan from Beneficial Virginia, a subprime lender now owned by HSBC, the big bank.
He fell behind, and Beneficial sued. Mr. Jones did not appear in court.
“I just thought they were going to take what I owed,” he said.
By default, Beneficial won a judgment of $4,750, plus $900 in lawyers’ fees, with the debt accruing interest at 27.55 percent until paid in full. The bank started garnishing his wages in March 2003.
Over the next six years, the bank deducted more than $10,000 from Mr. Jones’s paychecks, but he made little headway on his debt.
According to a court order secured by Beneficial’s lawyers last spring, he still owed the company $3,965, a sum nearly equal to the original loan amount. Mr. Jones, who did not graduate from high school, was baffled.
“Where did all this money go that I paid them?” he said. Dale Pittman, a consumer law lawyer in Petersburg, Va., took Mr. Jones’s case without charge, and found that all but $134 of his payments had gone toward interest, fees and court costs.
“It’s a perfectly legal result under Virginia law,” Mr.Pittman said.
***********************************************************************************
So, which way will you go? Lay down like a dog and get run over or stand up and defend yourself?
If you need help, contact me, Bill Young. I am a former bank loan officer and have many clients who have been able to Beat the Banks!
Call for a free consultation on your situation.
Bill Young, Personal Financial Consultant
646-961-3818
MORE FROM NYTIMES.COM
Current DateTime: 09:22:23 02 Apr 2010
LinksList Documentid: 22528754
BusinessDealBook BlogSmall Business News
A 1968 federal law exempts 75 percent of a worker’s wages, or 30 times the minimum wage per week, from being taken in garnishment — whichever is less. But increases in the minimum wage have failed to keep up with inflation.
As federal law stands now, just $217.50 a week is exempt from seizure. (A few states set higher cutoffs.)
The working poor “have difficulties maintaining payments on life’s necessities with their full paycheck,” said Angela Riccetti, a lawyer with Atlanta Legal Aid who represents indigent clients whose wages are being garnished.
“You lose 25 percent of it and everything folds.” For Leann Weaver, the woman at the grocery store, Capital One’s lawsuit made a bad situation worse.
After being evicted from her apartment, she moved in with her grandparents. Without them, she might have ended up on the street or in a shelter, she said.
Capital One declined to comment on Ms. Weaver’s case.
“We encourage anyone facing difficulties meeting their financial obligations to contact us right away,” Tatiana Stead, a bank spokeswoman, said in an e-mail message.
Ms. Weaver said she repeatedly asked Capital One for more time to pay her $2,470 debt, but last year the bank filed suit.
She failed to show up in court, and a judgment was entered against her, swollen by $1,800 in interest and lawyers’ fees.
Then the garnishment began, almost $500 a month, or a quarter of her pay.
“I can’t even look at my paychecks any more,” she said.
This story originally appeared in the The New York Times
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12 Comments TotalCOMMENTSRadical_1 | Apr 2, 2010 12:37 PM ET
Just proves the point "at least show up for Court". While you might not win at least you'll leave knowing how bad you're going to get screwed, where if you don't go at all, you have NO IDEA what happened, or how bad the Court ruled against you. One thing is guaranteed in a Court of Law, if you don't show up you'll NEVER WIN.
Report Abuse
mcleert | Apr 2, 2010 01:05 PM ET
But it is ok for the same banks to not pay down their toxic debts and get a free % loan from the government to do as they please !!!!
Time for a national consumer law suit against all
the too big to fail banks.
Report Abuse
WaitForTheRevision | Apr 2, 2010 02:37 PM ET
Over the next six years, the bank deducted more than $10,000 from Mr. Jones’s paychecks, but he made little headway on his debt.
According to a court order secured by Beneficial’s lawyers last spring, he still owed the company $3,965, a sum nearly equal to the original loan amount. Mr. Jones, who did not graduate from high school, was baffled
LOL "who did not graduate from high school" Why throw that in here? Reporter "So Mr. Jones you seem to be uneducated would it be safe for me to ASS-U.M.E. that you didn't finish H.S.? Ahhh.. Haaa I knew it! LOL. It sounds like a simple BK filing would have saved these people cash. But yet here they are paying 500 percent more than they should and still have balances and bad credit. Credit is a scam that is sold to us and used for control. Pay cash it's better.
Report Abuse
magnets | Apr 2, 2010 02:52 PM ET
Laws have been written to declare what is owed and to demand interest and fees as well. Then people can be harassed as long as possible and perhaps additional monies can be obtained.
Unfortunately during the process a lose-lose situation is turned into a lose-lose-win situation. The debtor still loses, the original creditor still loses and the only possible winner is a third-party that wears the debtor and the system down just to collect as much as possible on their original small bet - paid to the original creditor by the third-party.
Report Abuse
magnets | Apr 2, 2010 03:18 PM ET
Let's see, the ADULT in the room should be the judge. Neither Democratic nor Republican judges seem to understand that. (Yes, politics is unfortunately now well embedded in the court system.)
People have no respect for the system. And why should they? They know they owe the debt. They would love to pay off the debt if they could. The reason they have the debt in the first place is because it was easy - not because they could afford it. They assume the judge will be fair. Unfortunately they do not know that the judge demands respect in order to be fair. You have to show up. No wonder people have no respect for the system.
Credit Card companies should raise and lower limits on a monthly basis. 20% usage is OK. 80% usage and the card gets rejected the next time use is attempted. Fixing the problem early might mean the third-party never needs to get involved.
Which would creditors rather have in the economy, people buying things or people paying penalties and fees they can not afford? Politicians should prefer consumers over debt collectors.
Report Abuse
curlqgurl | Apr 2, 2010 04:52 PM ET
I lost my job and offered Captial One 15 percent and $100 per month on a bill of $1300.
THEY REFUSED.
Report Abuse
RayRock. | Apr 2, 2010 04:56 PM ET
Show up and ask to see the original documents that prove a debt exists and that they’re authorized to collect on it. If they cannot do that then ask the judge to order them to compensate you for your time and to find in your favor and order them to cease pursuing the claim and to prohibit them from selling the debt to anyone else. It may or may not work, but it never hurts to ask.
On another note though I see this as just the beginning as soon we’ll see lenders with foreclosed homes on their hands suing those who defaulted. The lenders will scrutinize the loan documents and if there are any lies I expect lenders to sue for fraud and probably file criminal complaints as well in the very near future.
It’s about to get ugly for debtors and it’ll take years for the cases to work their way through the courts.
Report Abuse
RUOK2 | Apr 2, 2010 05:40 PM ET
Very Very Sad, that Banks were bailed out, rescued by the Taxpayers...while the banks then increased interest rates on credit, stop making loans, and play all types of accounting games to make their book look good....and what does the consumer and small business person get....SCREWED......revolt against monster banks like Citi Group , Bank of America, JP Morgan Chase.....Put your money in a local community bank that cares for the community, and WAll Street and stock prices.......Its all very sad...
Report Abuse
gliding | Apr 2, 2010 06:02 PM ET
No court should ever allow usurious interest rates in such cases, whether the defendant shows up or not. More than 10% is questionable. More than 18% is outrageous.
And if the defendant doesn't show up, then the plaintiff should pay the legal and court fees of bringing the suit, for it poses a disincentive for abuse.
Report Abuse
HLJ63 | Apr 2, 2010 06:35 PM ET
Some people think that ignoring the problem will make it all go away, like there is this kind fairy out there who waves a wand and poof! All of your debt is gone. Sorry but that fairy only appears for the Big banks who are able to tuck away their toxic assets and debt as if they don't exist.
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Thursday, February 11, 2010
MBA Chief Admonishes Underwater Homeowners Against Walking Away From Mortgage...
Mr. Courson, President of the Mortgage Bankers Association said about homeowners who walk away from their underwater homes, sticking the bank with the unpaid mortgage: "What about the message they will send to their family and their kids and their friends?" he asked, about a year before The Mortgage Bankers Association left their lenders holding the bag on about $30 million dollars they did not pay when they left their underwater HQ builing purchased at the height of the RE Boom in Wash DC.
Monday, January 25, 2010
Big N.Y. Housing Complex Is Returned to Creditors! Why Are You Still Struggling to Pay Your Underwater Mortgage!
Quote from the NY Times, 1-25-10: "This month, the partnership headed by Tishman Speyer defaulted on $3 billion in debt on the properties." (Stuyvesant Town) 110 buildings, over 11,000 homes (apartments)
Did you get that? The owners defaulted on #3 Billion dollar mortgage, 110 buildings and "Returned them to creditors", sent the keys to the bank?
But didn't they have a "Moral Obligation" to pay their legally contracted debt?" Are they not "Immoral Speculators" according to former Treasury Sec Paulson? How naughty, seems the loss of money was too important to them.
And how about you? Are you are still struggling to pay off your underwater mortgage, throwing your children's college future, your retirement security, the money you need to maintain your lifestyle under the bus, driven by the craven, greedy, immoral bankers who created your living hell in the first place?
But you love your house and don't want to lose it? You lost it either when you signed the contract that you were never meant to be able to repay or when Lehman Bros went bust, kicking the lid off the rotten financial garbage that was festering under the Wall Streeters who produced it, spewing all over and contaminating the entire financial system.
Oh, your credit rating...? Well, if you want to be one of people with the highest credit scores living under the viaduct when you eventually lose your home, once your 401(k) runs out, I guess you should keep on paying your mortgage.
In reality, your credit rating will rebound, even enabling you to buy another house in a few years. Buy that new car Before you default on your mortgage!
A more serious matter is that in most states, the banks can come after you for the amount of money you owe them that they do not collect from the sale of your home. This is called a deficiency judgment.
If this amount will be great, suggest you declare bankruptcy before defaulting on the mortgage. This will prevent the banks from coming after you as well as the IRS, which, ironically can levy a income tax against you based on the amount of money you Did Not pay your lender. Seems the joke is that the IRS figures since you still have that money in your possesion, they tax it as income to you!
In some, so-called, non- deficiency states, the banks cannot come after you for any deficiency betwen what they collect at the sale of your house and the remaining balance on your mortgage. These states are:
Alaska
Arizona
California
Connecticut
Florida
Idaho
Minnesota
North Carolina
North Dakota
Texas
Utah
Washington
You may still have to deal with the IRS as far as taxes on the unpaid mortgage balance goes, which requires a bankruptcy to avoid.
Think about it. How much could you rent a comparable property for? One half your mortgage payment, one third your mortgage payment?
How much money are you underwater? $50,000, $500,000? Homes will never appreciate the way they did during the boom in our lifetime. It could take decades before the values increase to cover your mortgage.
You may not be aware, but we are in the eye of the mortgage typhoon. The subprime mess was the leading edge, the massive defaults of option arm adjustable mortgage defaults, most of which are prime borrowers; the trailing edge of the storm will hit later this year and blow away another big chunk of your equity!
Another possibility, and one that we suggest all our clients explore, is the possibility of recouping a good part of your down payment, the money from your 401(k) or even amassing a grub stake to start over, by simply stopping your mortgage payments, but remaining in your house!
This will not work in states like Texas, where trust deeds are used. They can have you thrown out of your house in 90 days!
However, most states are mortgage states and the process is far more convoluted and delay prone. We have shown people how to game the system and remain in their homes for up to 3 years, while banking their mortgage payments!
There is also a good possibility, we believe that voluntary defaults will become so common that the banks will have to capitulate and reduce the balances on their mortgages to more realistic market levels. If you are still in your home when this happens, say in 2012, a Presidential reelection year, and you have some money to make a lump sum settlement, you may even be able to keep your home.
Obviously, this is a complicated issue, but the wrong answer can mean financial ruin for you and your family. It, as Tishman Speyer demonstrated to the tune of $3 Billion dollars, not a moral issue, just plain old dollars and sense!
So, you won't get a gold star in your bank book! So what?
If you would like a free consultation to discuss your specific situation, do not hesitate to give me a call.
Bill Young, Personal Financial Coach, Former Bank Loan Officer for the Dime Savings Bank of Brooklyn.
646-961-3818
billyoung222@gmail.com
Did you get that? The owners defaulted on #3 Billion dollar mortgage, 110 buildings and "Returned them to creditors", sent the keys to the bank?
But didn't they have a "Moral Obligation" to pay their legally contracted debt?" Are they not "Immoral Speculators" according to former Treasury Sec Paulson? How naughty, seems the loss of money was too important to them.
And how about you? Are you are still struggling to pay off your underwater mortgage, throwing your children's college future, your retirement security, the money you need to maintain your lifestyle under the bus, driven by the craven, greedy, immoral bankers who created your living hell in the first place?
But you love your house and don't want to lose it? You lost it either when you signed the contract that you were never meant to be able to repay or when Lehman Bros went bust, kicking the lid off the rotten financial garbage that was festering under the Wall Streeters who produced it, spewing all over and contaminating the entire financial system.
Oh, your credit rating...? Well, if you want to be one of people with the highest credit scores living under the viaduct when you eventually lose your home, once your 401(k) runs out, I guess you should keep on paying your mortgage.
In reality, your credit rating will rebound, even enabling you to buy another house in a few years. Buy that new car Before you default on your mortgage!
A more serious matter is that in most states, the banks can come after you for the amount of money you owe them that they do not collect from the sale of your home. This is called a deficiency judgment.
If this amount will be great, suggest you declare bankruptcy before defaulting on the mortgage. This will prevent the banks from coming after you as well as the IRS, which, ironically can levy a income tax against you based on the amount of money you Did Not pay your lender. Seems the joke is that the IRS figures since you still have that money in your possesion, they tax it as income to you!
In some, so-called, non- deficiency states, the banks cannot come after you for any deficiency betwen what they collect at the sale of your house and the remaining balance on your mortgage. These states are:
Alaska
Arizona
California
Connecticut
Florida
Idaho
Minnesota
North Carolina
North Dakota
Texas
Utah
Washington
You may still have to deal with the IRS as far as taxes on the unpaid mortgage balance goes, which requires a bankruptcy to avoid.
Think about it. How much could you rent a comparable property for? One half your mortgage payment, one third your mortgage payment?
How much money are you underwater? $50,000, $500,000? Homes will never appreciate the way they did during the boom in our lifetime. It could take decades before the values increase to cover your mortgage.
You may not be aware, but we are in the eye of the mortgage typhoon. The subprime mess was the leading edge, the massive defaults of option arm adjustable mortgage defaults, most of which are prime borrowers; the trailing edge of the storm will hit later this year and blow away another big chunk of your equity!
Another possibility, and one that we suggest all our clients explore, is the possibility of recouping a good part of your down payment, the money from your 401(k) or even amassing a grub stake to start over, by simply stopping your mortgage payments, but remaining in your house!
This will not work in states like Texas, where trust deeds are used. They can have you thrown out of your house in 90 days!
However, most states are mortgage states and the process is far more convoluted and delay prone. We have shown people how to game the system and remain in their homes for up to 3 years, while banking their mortgage payments!
There is also a good possibility, we believe that voluntary defaults will become so common that the banks will have to capitulate and reduce the balances on their mortgages to more realistic market levels. If you are still in your home when this happens, say in 2012, a Presidential reelection year, and you have some money to make a lump sum settlement, you may even be able to keep your home.
Obviously, this is a complicated issue, but the wrong answer can mean financial ruin for you and your family. It, as Tishman Speyer demonstrated to the tune of $3 Billion dollars, not a moral issue, just plain old dollars and sense!
So, you won't get a gold star in your bank book! So what?
If you would like a free consultation to discuss your specific situation, do not hesitate to give me a call.
Bill Young, Personal Financial Coach, Former Bank Loan Officer for the Dime Savings Bank of Brooklyn.
646-961-3818
billyoung222@gmail.com
Friday, January 8, 2010
Underwater? Stop Paying Your Mortgage, Stupid!
University of Arizona law professor. Brent White agrees with my recommendation to those who owe more money than their home is worth! (Underwater)Stop Paying Your Mortgage, Stupid!
I have been arguing for more than a year as I saw people's lives being destroyed by using their retirement funds, college funds, etc to pay on a mortgage on a house that is worth less than the loan. Invariably, when the funds ran out, they lost the house anyway, leaving them totally destitute. This makes no financial sense. Corporations and businesses don't play by these rules. Case in point: Maguire Properties Inc., one of the largest commercial landlords in California, walked away from seven prime office buildings in Los Angeles and Orange counties last year, defaulting on loans worth more than $1 billion. "The deal no longer made financial sense!"
Tishman Speyer walked away from a $3 Billion mortgage on 110 buildings in NY's Stuyvesant Town after property values fell to half of the purchase price.
Sunshine Properties, a major hotel owner let a string of Hyatt's, Hiltons and other marque properties go back to the lender when their values fell.
Morality? Please! What would Ben Bernanke, or Tim Geitner do if they were in such a dire situation?
We are under no obligation to adhere to any moral standards that are different from the banks who made the immoral loans that brought down the financial system. They knew what they were doing, but only saw the dollar signs generated by the lending frenzy.
Then, when the inevitable defaults happened, will they write down the balance of your underwater mortgage so that you can pay it off? You mean the banks taking a real loss, are you kidding? They even strong armed the government, (you and me) to pay off their paper losses! They have totally forfeited any moral claims on borrowers, in my estimation.
As a former bank loan officer myself, I will show you how to stay in your home for 12-36 months without ever making an additional mortgage payment, allowing you to recoup some of your lost money so you can accumulate a nest egg for your future.
So, if you are underwater in your home, get over it. Think of the money, like a business person. The house has been lost due to the financial schenanigans of the banks. Save your money, prepare to find a cheaper rental. It is even possible that you will be able to buy another, similar or better house in the future at a much better price.
Your credit may be bad for 7 years, so buy that car or whatever before you do this but think about it, do you really want to be the one with the highest credit score among your homeless mates living in a card board box under the viaduct?
If you would like to know how you can stop paying your mortgage and remain in your home for 12-36 months, contact me.
Bill Young, Personal Financial Consultant
I have been arguing for more than a year as I saw people's lives being destroyed by using their retirement funds, college funds, etc to pay on a mortgage on a house that is worth less than the loan. Invariably, when the funds ran out, they lost the house anyway, leaving them totally destitute. This makes no financial sense. Corporations and businesses don't play by these rules. Case in point: Maguire Properties Inc., one of the largest commercial landlords in California, walked away from seven prime office buildings in Los Angeles and Orange counties last year, defaulting on loans worth more than $1 billion. "The deal no longer made financial sense!"
Tishman Speyer walked away from a $3 Billion mortgage on 110 buildings in NY's Stuyvesant Town after property values fell to half of the purchase price.
Sunshine Properties, a major hotel owner let a string of Hyatt's, Hiltons and other marque properties go back to the lender when their values fell.
Morality? Please! What would Ben Bernanke, or Tim Geitner do if they were in such a dire situation?
We are under no obligation to adhere to any moral standards that are different from the banks who made the immoral loans that brought down the financial system. They knew what they were doing, but only saw the dollar signs generated by the lending frenzy.
Then, when the inevitable defaults happened, will they write down the balance of your underwater mortgage so that you can pay it off? You mean the banks taking a real loss, are you kidding? They even strong armed the government, (you and me) to pay off their paper losses! They have totally forfeited any moral claims on borrowers, in my estimation.
As a former bank loan officer myself, I will show you how to stay in your home for 12-36 months without ever making an additional mortgage payment, allowing you to recoup some of your lost money so you can accumulate a nest egg for your future.
So, if you are underwater in your home, get over it. Think of the money, like a business person. The house has been lost due to the financial schenanigans of the banks. Save your money, prepare to find a cheaper rental. It is even possible that you will be able to buy another, similar or better house in the future at a much better price.
Your credit may be bad for 7 years, so buy that car or whatever before you do this but think about it, do you really want to be the one with the highest credit score among your homeless mates living in a card board box under the viaduct?
If you would like to know how you can stop paying your mortgage and remain in your home for 12-36 months, contact me.
Bill Young, Personal Financial Consultant
Sunday, January 3, 2010
What a Farce! The Making Home Affordable Program
The reality?
In Lakeland, Fla., Jaimie S. Smith, 29, called her mortgage company, then Washington Mutual, in October 2008, when she realized she would get a smaller bonus from her employer, a furniture company, threatening her ability to continue the $1,250 monthly mortgage payments on her three-bedroom house.
In April, Chase, which had taken over Washington Mutual, lowered her payment to $1,033.62 in a trial that was supposed to last three months.
Ms. Smith made all three payments on time and submitted required documents, Chase confirms. She called the bank almost weekly to inquire about a permanent loan modification. Each time, she says, Chase told her to continue making trial payments and await word on a permanent modification.
Then, in October, a startling legal notice arrived in the mail: Chase had foreclosed on her house and sold it at auction for $100. (The purchaser? Chase.)
“I cried,” she said. “I was hysterical. I bawled my eyes out.”
Later that week came another letter from Chase: “Congratulations on qualifying for a Making Home Affordable loan modification!”
When Ms. Smith frantically called the bank to try to overturn the sale, she was told that the house was no longer hers. Chase would not tell her how long she could remain there, she says.
+++++++++++++++++++++++++++++++++++++++++++++++++++++++++++++++++++++++++++++++++++++
Bill's Comments
+++++++++++++++++++++++++++++++++++++++++++++++++++++++++++++++++++++++++++++++++++++
The sale of her house was subsequently overturned in court, but not before Jaime had spent her last dime, and she still does not have a modification!
My to my clients is if you can no longer afford your home, especially if you are underwater, to stop throwing good money after bad. Accept the fact that the house is lost, why lose your children's college money, your retirement funds or your savings?
You will probably never see a return on that money. Your home's value will probably not return to its purchase price in your lifetime, especially if you are over 40.
If you are in a mortgage state, such as NY, Michigan, etc. I recommend that you do not move out! I can show you how to stay in your home for at least 1 year, maybe longer. In NY we have helped former homeowners remain in their homes for up to 3 years, allowing them to save thousands and thousands of dollars to use in the future.
Unfortunately, in Trust Deed States, you don't have that option.
If you want a free, private consultation with me concerning your predicament, give me a call.
Bill Young, 646-961-3818
In Lakeland, Fla., Jaimie S. Smith, 29, called her mortgage company, then Washington Mutual, in October 2008, when she realized she would get a smaller bonus from her employer, a furniture company, threatening her ability to continue the $1,250 monthly mortgage payments on her three-bedroom house.
In April, Chase, which had taken over Washington Mutual, lowered her payment to $1,033.62 in a trial that was supposed to last three months.
Ms. Smith made all three payments on time and submitted required documents, Chase confirms. She called the bank almost weekly to inquire about a permanent loan modification. Each time, she says, Chase told her to continue making trial payments and await word on a permanent modification.
Then, in October, a startling legal notice arrived in the mail: Chase had foreclosed on her house and sold it at auction for $100. (The purchaser? Chase.)
“I cried,” she said. “I was hysterical. I bawled my eyes out.”
Later that week came another letter from Chase: “Congratulations on qualifying for a Making Home Affordable loan modification!”
When Ms. Smith frantically called the bank to try to overturn the sale, she was told that the house was no longer hers. Chase would not tell her how long she could remain there, she says.
+++++++++++++++++++++++++++++++++++++++++++++++++++++++++++++++++++++++++++++++++++++
Bill's Comments
+++++++++++++++++++++++++++++++++++++++++++++++++++++++++++++++++++++++++++++++++++++
The sale of her house was subsequently overturned in court, but not before Jaime had spent her last dime, and she still does not have a modification!
My to my clients is if you can no longer afford your home, especially if you are underwater, to stop throwing good money after bad. Accept the fact that the house is lost, why lose your children's college money, your retirement funds or your savings?
You will probably never see a return on that money. Your home's value will probably not return to its purchase price in your lifetime, especially if you are over 40.
If you are in a mortgage state, such as NY, Michigan, etc. I recommend that you do not move out! I can show you how to stay in your home for at least 1 year, maybe longer. In NY we have helped former homeowners remain in their homes for up to 3 years, allowing them to save thousands and thousands of dollars to use in the future.
Unfortunately, in Trust Deed States, you don't have that option.
If you want a free, private consultation with me concerning your predicament, give me a call.
Bill Young, 646-961-3818
Tuesday, November 3, 2009
Let Professionals Clean Up Your Credit, Guaranteed!
We are often contacted by our clients wanting to know how they can clean up their credit. In this day and age, anyone can have negatives on their credit report. It is important to get them cleared up as quickly as possible.
While there are some good credit repair organizations, a lot will
send you into letter writing campaigns that can leave you
frustrated and wondering what happened. I recommend the National Credit Federation to all of our clients.
Here is why:
1. Several senior NCF partners with 25 years of credit experience...EACH!
2. A National Association with members all across the United States
3. Thousands of current members
4. Assigns you a licensed and bonded attorney
5. Attorney can be held accountable
6. NCF has created alliances with Banks, Lenders, Financial
Institutions, attorney networks, accountants, financial planners,
medical discount programs, computer vendors, and others to bring
you our unique member benefit package.
7. MONEY BACK--Membership Protection Warranty
8. Before and after Credit Reports
9. Proof of demonstrated results showing you dozens of testimonials
10. Referrals from satisfied members, mortgage brokers, real estate
agents, car dealerships and others.
Join today to improve your situation....National Credit Federation
Thanks,
Bill Young,
646-961-3818
While there are some good credit repair organizations, a lot will
send you into letter writing campaigns that can leave you
frustrated and wondering what happened. I recommend the National Credit Federation to all of our clients.
Here is why:
1. Several senior NCF partners with 25 years of credit experience...EACH!
2. A National Association with members all across the United States
3. Thousands of current members
4. Assigns you a licensed and bonded attorney
5. Attorney can be held accountable
6. NCF has created alliances with Banks, Lenders, Financial
Institutions, attorney networks, accountants, financial planners,
medical discount programs, computer vendors, and others to bring
you our unique member benefit package.
7. MONEY BACK--Membership Protection Warranty
8. Before and after Credit Reports
9. Proof of demonstrated results showing you dozens of testimonials
10. Referrals from satisfied members, mortgage brokers, real estate
agents, car dealerships and others.
Join today to improve your situation....National Credit Federation
Thanks,
Bill Young,
646-961-3818
Thursday, October 8, 2009
Get Ready For Another 50% Drop in Home Prices!
Just received notice from Amhesrt Security Group that they estimate another 7 Milion homes are in the bank's unsold inventory of foreclosed homes!
We are also at the early stages of a catastrophic wave of new foreclosures as the Option Arms reset and Jumbo loans default at a record pace.
Option Arms were loans made to good credit buyers that employed a microscopic "Teaser" interest rate, is some cases as low as 1% for the first 3-5 years of the loan. These resets will take place between the end of this year and 2011Estimates are that as much as 70% of these loans will default, given the employment picture which is still worsening.
Jumbo loans were large loans given to "Executive" home buyers. So many of these loans have defaulted that Thornburg Mortgage, the larges player in this market just went under. Their avearage Jumbo Loan borrower had a FICO score of 740 and an income of over $200,000!
We predictt that because of the factors mentioned above, the number of "Underwater" mortgages, where the value of the house is less than the mortgage balance will exceed 50% by mid 2010, if not sooner.
This will initiate the real bottoming of the market, the capitulation of millions of sellers who were holding their properties off the market waiting for the market to improve.
As they dump their properties into the ballooning cascade of the bank owned REO's, prices will plummet another 50% from where they are now, bringing the median priced home below $100,000 in many areas.
As far as the governments efforts to shore up housing and prevent this scenario? Puleeze!
Bill Young 646-961-3818
PS If you cannot pay your mortgage, we can show you how to stay in your home for 1-3 years without making any more payments! Call for info
We al Estate Owned
We are also at the early stages of a catastrophic wave of new foreclosures as the Option Arms reset and Jumbo loans default at a record pace.
Option Arms were loans made to good credit buyers that employed a microscopic "Teaser" interest rate, is some cases as low as 1% for the first 3-5 years of the loan. These resets will take place between the end of this year and 2011Estimates are that as much as 70% of these loans will default, given the employment picture which is still worsening.
Jumbo loans were large loans given to "Executive" home buyers. So many of these loans have defaulted that Thornburg Mortgage, the larges player in this market just went under. Their avearage Jumbo Loan borrower had a FICO score of 740 and an income of over $200,000!
We predictt that because of the factors mentioned above, the number of "Underwater" mortgages, where the value of the house is less than the mortgage balance will exceed 50% by mid 2010, if not sooner.
This will initiate the real bottoming of the market, the capitulation of millions of sellers who were holding their properties off the market waiting for the market to improve.
As they dump their properties into the ballooning cascade of the bank owned REO's, prices will plummet another 50% from where they are now, bringing the median priced home below $100,000 in many areas.
As far as the governments efforts to shore up housing and prevent this scenario? Puleeze!
Bill Young 646-961-3818
PS If you cannot pay your mortgage, we can show you how to stay in your home for 1-3 years without making any more payments! Call for info
We al Estate Owned
Tuesday, September 29, 2009
The Latest Kick in the Ass for Housing!
Four out of five builders of single family homes surveyed by the National Association of Home Builders said lenders are lowering the allowable loan-to-value ratios on their construction loans, 76 percent reported that banks are not making new loans, 75 percent said banks are reducing the amount they are willing to lend, and 62 percent said lenders are requiring personal guarantees or collateral not related to construction projects.
In other words, banks are not willing to finance construction of new, single family homes. And why should they?
With record numbers of bank owned foreclosures on the books, some of which are being held off the market, others are being dumped on the market at 25% of their former values and with the coming avalanche of defaults by Option Arm and Jumbo Loan borrowers, more than 50% of mortgaged homes will be under water, in my forecast.
Combine that scenario with the fact that at some point, and I estimate it will be mid 2010, homeowners who have been holding out for a rise in home values will "capitulate" and dump their homes into the middle of the 2nd wave of foreclosures which will begin early next year, for whatever price they can get.
This will signal the true bottom of the market, probably at 60-70% below the bubble peak in 2005-6.
But don't look for a quick rebound. You probably will not see 2005 prices reached again until 2020, barring a huge inflation, which is also a good possibility because of all the Fed "Easing."
In other words, banks are not willing to finance construction of new, single family homes. And why should they?
With record numbers of bank owned foreclosures on the books, some of which are being held off the market, others are being dumped on the market at 25% of their former values and with the coming avalanche of defaults by Option Arm and Jumbo Loan borrowers, more than 50% of mortgaged homes will be under water, in my forecast.
Combine that scenario with the fact that at some point, and I estimate it will be mid 2010, homeowners who have been holding out for a rise in home values will "capitulate" and dump their homes into the middle of the 2nd wave of foreclosures which will begin early next year, for whatever price they can get.
This will signal the true bottom of the market, probably at 60-70% below the bubble peak in 2005-6.
But don't look for a quick rebound. You probably will not see 2005 prices reached again until 2020, barring a huge inflation, which is also a good possibility because of all the Fed "Easing."
Saturday, August 29, 2009
European Bankers Pull Strings In Libyan Release!
As usual, the Fascists (A Corporate Run Government, according to Mussolini) have Duped the public into blaming everyone except them, the real culprits! It is so easy to fool sheep with "Terrorism" or "Patriotic" Bullshit!
Excerpt from Newsmax article by A.De Borchgrave:
"Con Coughlin, British Investigative journalist, says Britain's interest was the same as BP's (British Petroleum)— a bigger share of Libya's untapped oil reserves, estimated at 44 billion barrels.
The larger deal — in exchange for Megrahi's release — was presumably discussed earlier this summer when Seif, says Coughlin, was a house guest at a villa owned by the Rothschild banking family on the Greek island of Corfu. Another house guest was Lord Peter Mandelson, Britain's business secretary and a close ally of Prime Minister Gordon Brown."
The deal was actually worked out in 2004 with Tony Blair's regime!
Full Article here: http://www.newsmax.com/borchgrave/gadhafi_lockerbie_britain/2009/08/28/253721.html
New Update: Aug 30, 2009 Reuters- http://tw9.us/ug
Excerpt from Newsmax article by A.De Borchgrave:
"Con Coughlin, British Investigative journalist, says Britain's interest was the same as BP's (British Petroleum)— a bigger share of Libya's untapped oil reserves, estimated at 44 billion barrels.
The larger deal — in exchange for Megrahi's release — was presumably discussed earlier this summer when Seif, says Coughlin, was a house guest at a villa owned by the Rothschild banking family on the Greek island of Corfu. Another house guest was Lord Peter Mandelson, Britain's business secretary and a close ally of Prime Minister Gordon Brown."
The deal was actually worked out in 2004 with Tony Blair's regime!
Full Article here: http://www.newsmax.com/borchgrave/gadhafi_lockerbie_britain/2009/08/28/253721.html
New Update: Aug 30, 2009 Reuters- http://tw9.us/ug
Saturday, August 22, 2009
Economic Rebound or Dead Cat Bounce?
I don't want to belabor the facts, check out this site for details, but the current economic "Rebound" heralded in today's NYT, 8/22/2009, as well as the "Green Shoots" announced by the same band of thieves, is just more proof of their incompetence! This may be the end of the beginning of the 2nd Great Depression, but it is not the beginning of the end!
The commercial real estate sector is on its way to record defaults and crashing prices, for gods sake, the John Hancock building in Boston just sold for 50% less than the buyer paid for it in 2004!
The second largest owner of shopping malls General Properties, went bankrupt earlier this year, although you probably didn't hear about it, it was so hushed up. Others are similarly choked by debt and will not be able to service the outrageous debt they rang up scooping up properties at astronomical prices during the boom.
As goes commercial real estate, so goes the insurance industry! Look for the collapse of at least 1 major insurance company as its balance sheet and cash flow crumble into dust.
The Level 3 "Toxic Assets" are still their rotting on banker's balance sheets with the Tarp (no put intended) pulled over them with the collusion of the FASB.
Bankers have been lying about their losses and covering them up. Wait until you see what happens to their stocks and all financial sector stocks when one of them runs out of money to pay dividends (which could happen as early as next week!)
The Bond market is set for a melt down almost as big as the original financial melt down, even Buffet is issuing warnings about the coming crash.
The FDIC is out of money! The latest round of bank failures has drained the bank's feeble resources. Surprised? They only had .14 in assets to cover every dollar in liabilities! They have an unlimited line of credit with the US government, you say? When they have to call on the Government to bail itself out, what effect do you think that will have on markets?
Housing is in a total melt down, despite the recent upturn in certain sales numbers. One third of all homes with mortgages on them are underwater! Foreclosures are back to record levels after the pitifully ineffective government moratoria run out in state after state. Unsold inventory is not counting millions of homes that the banks are holding back from putting on the market for fear of gutting whatever is left of the bubble gains. Prices are already back to 2003 levels and falling. We predict housing will at least lose ALL of the imaginary gains from 2000 to 2006 and maybe more. There is no natural floor to support prices. You are beginning to see the other shoe drop in foreclosures as prime mortgages are now leading sub prime mortgages in rates of default. With 30% of homes already underwater, what is going to happen when the Great Capitulation occurs? This is when the mass of homeowners who want to sell realize the market is not going to rebound and dump their homes at any price? Some of the banks are starting to do this. In Atlanta, banks are selling homes at 75% off! What is going to happen when the Majority of mortgaged homes are underwater? Deutsche Bank is already forecasting 50% of homes underwater by next year but again we say there is no natural limit to the price decline. 50% is too optimistic!
Aren't we still a Consumer Based economy? Nearly 70% of all economic activity in this country is related to consumer purchasing. How can the Financial Guys be calling an end to the crash when unemployment is destined to increase for at least the next year, as seen through their own rose tinted glasses? Unemployment compensation is running out in state after state.
Mentioning the states, aren't 48 out of 50 poised to go bankrupt, choked by falling real estate revenues? That means lay off millions of employees, cutting unemployment benefits, retirees pensions, etc. They are going to have to be bailed out by Washington, whether Washington wants to or not.
Finally, what about the cost of health care? While the ignorant, unwashed, gun toting, Nazi filth spewing, conservative rabble; not to be confused with principled, honest citizens who question aspects of the new health reform plan, do the dirty work for Big Pharma and those it owns in the government, Dem and Repub, it is little noticed that health care premiums DOUBLED from 2000-2009, while wages when up 17% Now more than 1 million American families per year are forced to go into bankruptcy, by medical bills they could not pay, the majority of them having health insurance.
That is what is on the table now. What about in the future when the wars in Iran and especially Afganistan demand Trillions more? What happens in the next few years as the unfunded mandates of Medicare and Social Security come due?
What happens when the Chinese say No Mas, no more purchases of US debt? Interest rates will go through the roof, putting a choke hold on what is left of our economy.
What happens if inflation gets away from the FED geniuses and the dollar collapses?
An economic rebound? More like a Dead Cat Bounce!
The answer? How to protect yourself and your money? Buy Silver!
The commercial real estate sector is on its way to record defaults and crashing prices, for gods sake, the John Hancock building in Boston just sold for 50% less than the buyer paid for it in 2004!
The second largest owner of shopping malls General Properties, went bankrupt earlier this year, although you probably didn't hear about it, it was so hushed up. Others are similarly choked by debt and will not be able to service the outrageous debt they rang up scooping up properties at astronomical prices during the boom.
As goes commercial real estate, so goes the insurance industry! Look for the collapse of at least 1 major insurance company as its balance sheet and cash flow crumble into dust.
The Level 3 "Toxic Assets" are still their rotting on banker's balance sheets with the Tarp (no put intended) pulled over them with the collusion of the FASB.
Bankers have been lying about their losses and covering them up. Wait until you see what happens to their stocks and all financial sector stocks when one of them runs out of money to pay dividends (which could happen as early as next week!)
The Bond market is set for a melt down almost as big as the original financial melt down, even Buffet is issuing warnings about the coming crash.
The FDIC is out of money! The latest round of bank failures has drained the bank's feeble resources. Surprised? They only had .14 in assets to cover every dollar in liabilities! They have an unlimited line of credit with the US government, you say? When they have to call on the Government to bail itself out, what effect do you think that will have on markets?
Housing is in a total melt down, despite the recent upturn in certain sales numbers. One third of all homes with mortgages on them are underwater! Foreclosures are back to record levels after the pitifully ineffective government moratoria run out in state after state. Unsold inventory is not counting millions of homes that the banks are holding back from putting on the market for fear of gutting whatever is left of the bubble gains. Prices are already back to 2003 levels and falling. We predict housing will at least lose ALL of the imaginary gains from 2000 to 2006 and maybe more. There is no natural floor to support prices. You are beginning to see the other shoe drop in foreclosures as prime mortgages are now leading sub prime mortgages in rates of default. With 30% of homes already underwater, what is going to happen when the Great Capitulation occurs? This is when the mass of homeowners who want to sell realize the market is not going to rebound and dump their homes at any price? Some of the banks are starting to do this. In Atlanta, banks are selling homes at 75% off! What is going to happen when the Majority of mortgaged homes are underwater? Deutsche Bank is already forecasting 50% of homes underwater by next year but again we say there is no natural limit to the price decline. 50% is too optimistic!
Aren't we still a Consumer Based economy? Nearly 70% of all economic activity in this country is related to consumer purchasing. How can the Financial Guys be calling an end to the crash when unemployment is destined to increase for at least the next year, as seen through their own rose tinted glasses? Unemployment compensation is running out in state after state.
Mentioning the states, aren't 48 out of 50 poised to go bankrupt, choked by falling real estate revenues? That means lay off millions of employees, cutting unemployment benefits, retirees pensions, etc. They are going to have to be bailed out by Washington, whether Washington wants to or not.
Finally, what about the cost of health care? While the ignorant, unwashed, gun toting, Nazi filth spewing, conservative rabble; not to be confused with principled, honest citizens who question aspects of the new health reform plan, do the dirty work for Big Pharma and those it owns in the government, Dem and Repub, it is little noticed that health care premiums DOUBLED from 2000-2009, while wages when up 17% Now more than 1 million American families per year are forced to go into bankruptcy, by medical bills they could not pay, the majority of them having health insurance.
That is what is on the table now. What about in the future when the wars in Iran and especially Afganistan demand Trillions more? What happens in the next few years as the unfunded mandates of Medicare and Social Security come due?
What happens when the Chinese say No Mas, no more purchases of US debt? Interest rates will go through the roof, putting a choke hold on what is left of our economy.
What happens if inflation gets away from the FED geniuses and the dollar collapses?
An economic rebound? More like a Dead Cat Bounce!
The answer? How to protect yourself and your money? Buy Silver!
Thursday, August 20, 2009
Chinese Citizens Urged to Buy Silver!
Excerpt from Sjugerud's Daily Wealth:
The Chinese government is now actively encouraging its citizens to buy gold and silver. (It use to be illegal for them to do so) They recently unveiled silver bullion for investing (you can see the video here). The premise is that gold was 50 times more expensive than silver in 2007... but is now 70 times more expensive.
The government is promoting silver bullion as an investment for regular citizens. And remember, a bunch of Chinese students laughed at U.S. Treasury Secretary Tim Geithner this year when he claimed the dollar was safe. The Chinese know the value of real assets... real money like gold and silver.
What does this mean for silver prices? It's impossible to say. But here's a little math that interests me. According to the Silver Institute, demand for silver in 2008 (for industry, jewelry, and investing) was 832 million ounces. At today's price, that's an $11.5 billion market... or about 1/3 the capital available in China alone.
_____________________________________________________________________________________
My Notes:
Remember also that 20% of the existing silver supply is owned by one man, Warren Buffet!
Note also that 95% of all silver mined is consumed by industrial processes and a brand new use for silver was just announced by a start up medical company that could consume a major portion of the industrial silver supply!
The last time there was a run on silver was 1971-1980. Inflation soared, real estate doubled during the decade. A house bought in 1971 for $20,000 (yes, that is what the median priced house sold for!) was worth $42,000 in 1980.
$20,000 in silver purchased in 1971 was worth $770,000 in 1980, an increased of over 3,000 percent!
Only those holding gold and silver will come out on top after the next, inevitable inflation!
The Chinese government is now actively encouraging its citizens to buy gold and silver. (It use to be illegal for them to do so) They recently unveiled silver bullion for investing (you can see the video here). The premise is that gold was 50 times more expensive than silver in 2007... but is now 70 times more expensive.
The government is promoting silver bullion as an investment for regular citizens. And remember, a bunch of Chinese students laughed at U.S. Treasury Secretary Tim Geithner this year when he claimed the dollar was safe. The Chinese know the value of real assets... real money like gold and silver.
What does this mean for silver prices? It's impossible to say. But here's a little math that interests me. According to the Silver Institute, demand for silver in 2008 (for industry, jewelry, and investing) was 832 million ounces. At today's price, that's an $11.5 billion market... or about 1/3 the capital available in China alone.
_____________________________________________________________________________________
My Notes:
Remember also that 20% of the existing silver supply is owned by one man, Warren Buffet!
Note also that 95% of all silver mined is consumed by industrial processes and a brand new use for silver was just announced by a start up medical company that could consume a major portion of the industrial silver supply!
The last time there was a run on silver was 1971-1980. Inflation soared, real estate doubled during the decade. A house bought in 1971 for $20,000 (yes, that is what the median priced house sold for!) was worth $42,000 in 1980.
$20,000 in silver purchased in 1971 was worth $770,000 in 1980, an increased of over 3,000 percent!
Only those holding gold and silver will come out on top after the next, inevitable inflation!
Tuesday, July 28, 2009
What to Do if You Can't Pay Your Mortgage!
I am a Personal Financial Coach. I got burned in the last housing bubble in the 80's and learned my lesson. I did not participate in this bubble and in fact called the end of this lunatice housing bubble back in June 2005, right at its height, (The Coming Collapse of the Housing Bubble!)
Bush and Obama, and our entire Federal Government, are pawns of the Fed Reserve and the Banks which own it. They are the ones who created and are profiting from the creation and destruction of the housing bubble.
The government cannot or will not do what needs to be done to save millions of homw owners, which is to have the Government buy the criminal loans foisted on homeowners from the banks at today's loan values, not the original amount of the loans and reissue them on terms the homeowners can afford.
This is exactly what was done during the First Great Depression and it saved millions of homes. The Fed refuses to even entertain this idea because it would require the banks to take actual losses they could not hide with accounting tricks.
Their attitude is the Banks are too big to fail and main street is too small to bail! They are not going to offer any meaningful help to desperate home owners.
Therefore, I recommend to my clients and to you if you are in this situation, DON'T waste your retirement money, your children's education money or life savings trying to keep your home which you will then in most cases, lose anyway. I advise you to Stop making payments on your mortgage but do Not move out!
Particularly in mortgage states,as opposed to trust deed states, you will probably be able to stay in your home for 1 1/2 to 3 years before you are forced to move, if you follow our program. We have even had some cases where the bank Paid our clients to move out!
Use this time to replenish your savings and be ready to start anew. Will this hurt your credit rating? Absolutely, but would you really want to be the only family living in the homeless shelter with a 700 FICO?
Contact me for a free,private consultation to se if your situation qualifies for our program.
Bill Young, 646-961-3818
Bush and Obama, and our entire Federal Government, are pawns of the Fed Reserve and the Banks which own it. They are the ones who created and are profiting from the creation and destruction of the housing bubble.
The government cannot or will not do what needs to be done to save millions of homw owners, which is to have the Government buy the criminal loans foisted on homeowners from the banks at today's loan values, not the original amount of the loans and reissue them on terms the homeowners can afford.
This is exactly what was done during the First Great Depression and it saved millions of homes. The Fed refuses to even entertain this idea because it would require the banks to take actual losses they could not hide with accounting tricks.
Their attitude is the Banks are too big to fail and main street is too small to bail! They are not going to offer any meaningful help to desperate home owners.
Therefore, I recommend to my clients and to you if you are in this situation, DON'T waste your retirement money, your children's education money or life savings trying to keep your home which you will then in most cases, lose anyway. I advise you to Stop making payments on your mortgage but do Not move out!
Particularly in mortgage states,as opposed to trust deed states, you will probably be able to stay in your home for 1 1/2 to 3 years before you are forced to move, if you follow our program. We have even had some cases where the bank Paid our clients to move out!
Use this time to replenish your savings and be ready to start anew. Will this hurt your credit rating? Absolutely, but would you really want to be the only family living in the homeless shelter with a 700 FICO?
Contact me for a free,private consultation to se if your situation qualifies for our program.
Bill Young, 646-961-3818
Monday, June 15, 2009
Commercial Mortgage Backed Securities score Record Defaults!
Commercial mortgage-backed securities (CMBS) (securities backed by commercial mortgages) experienced a 2.07% delinquency rate in May as multifamily and retail properties showed weaker performance, driving loan defaults.
It marks the highest CMBS delinquency rate ever recorded by Fitch Ratings since beginning its loan delinquency index in 2001!
“Defaults on larger loans continue to drive delinquency increases because later vintage transactions (closer to the peak of the housing bubble) have larger loans, many underwritten with now unrealized proforma income, as well as now-depleted debt service reserves and high leverage,” says US CMBS group head Susan Merrick in a media statement today.
One of the largest delinquent loans included in the index, Mansions Multifamily Portfolio, was added in the month, accounting for some of the jump from 1.78% at the end of April. The portfolio, worth $160m, consists of four cross-collateralized and cross-defaulted loans, according to the rating agency.
Fitch says declining performance, particularly in oversupplied markets, as well as in secondary and tertiary markets, pushed the multifamily delinquency rate to 4.55%, the highest of all property types. Multifamily properties are highly susceptible to default in CMBS during the current economic downturn, according to the rating agency.
My comments:
This will certainly Not be the all time record of defaults, the worst is yet to come!
I have seen estimates that as many as 1/3 of all commercial mortgages will default in the next few years, which will Decimate the CMBS values and with them, the balance sheets of the banks, insurance companies and pension funds that are the their biggest holders.
I have written previously about the peril these commercial mortgage defaults represent to insurance companies and ultimately to your policies.
It marks the highest CMBS delinquency rate ever recorded by Fitch Ratings since beginning its loan delinquency index in 2001!
“Defaults on larger loans continue to drive delinquency increases because later vintage transactions (closer to the peak of the housing bubble) have larger loans, many underwritten with now unrealized proforma income, as well as now-depleted debt service reserves and high leverage,” says US CMBS group head Susan Merrick in a media statement today.
One of the largest delinquent loans included in the index, Mansions Multifamily Portfolio, was added in the month, accounting for some of the jump from 1.78% at the end of April. The portfolio, worth $160m, consists of four cross-collateralized and cross-defaulted loans, according to the rating agency.
Fitch says declining performance, particularly in oversupplied markets, as well as in secondary and tertiary markets, pushed the multifamily delinquency rate to 4.55%, the highest of all property types. Multifamily properties are highly susceptible to default in CMBS during the current economic downturn, according to the rating agency.
My comments:
This will certainly Not be the all time record of defaults, the worst is yet to come!
I have seen estimates that as many as 1/3 of all commercial mortgages will default in the next few years, which will Decimate the CMBS values and with them, the balance sheets of the banks, insurance companies and pension funds that are the their biggest holders.
I have written previously about the peril these commercial mortgage defaults represent to insurance companies and ultimately to your policies.
Sunday, June 7, 2009
The American ha ha Dream!
The Joke is on Us, even millionaires do not know the truth.
At White and Case, the 107 year old top NY law firm, the managing partner, Mr Hugh Verrier, announced that 200 more lawyers would lose their jobs, nearly 1 in 10 at the firm over all — and not just young associates with everything in front of them, but some million-dollar-a-year ones like himself, the ones with twin mortgages, kids in private school and no Plan B.
In other words, these lawyers, (millionaire wage slaves) were living the American(Banker's) Dream, not realizing the it was all dangling by a paycheck, most of which was being siphoned off by the Bankers. They were Renting their lifestyle. Watch what happens when they can no longer make the rent payments!
Whether you are making $800/mo or $80,000/mo, if you do not understand you are being enslaved by the Bankers, and what you must do to fight back and win, you will never get ahead financially.
At White and Case, the 107 year old top NY law firm, the managing partner, Mr Hugh Verrier, announced that 200 more lawyers would lose their jobs, nearly 1 in 10 at the firm over all — and not just young associates with everything in front of them, but some million-dollar-a-year ones like himself, the ones with twin mortgages, kids in private school and no Plan B.
In other words, these lawyers, (millionaire wage slaves) were living the American(Banker's) Dream, not realizing the it was all dangling by a paycheck, most of which was being siphoned off by the Bankers. They were Renting their lifestyle. Watch what happens when they can no longer make the rent payments!
Whether you are making $800/mo or $80,000/mo, if you do not understand you are being enslaved by the Bankers, and what you must do to fight back and win, you will never get ahead financially.
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