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Wells Fargo in trouble again.
Once again the New York Times reports on Wells Fargo’s fraudulent account scandal. No, this is not the same one from 2016, this is a new one where the bank just “found” more than a million additional unauthorized accounts, raising the total to 3.5 million accounts.
“Every time we get one of these announcements, the pressure rises,” said Nancy Bush, a banking industry analyst who runs NAB Research. “How many customers, and how many employees within Wells Fargo, are coming to the conclusion, ‘I don’t need to be associated with this’?”
Besides the additional accounts announced Thursday, the wider review uncovered a new issue: unauthorized enrollments of customers in the bank’s online bill payment service; a service that is now free.
One of the bank’s fiercest critics, Senator Elizabeth Warren, Democrat of Massachusetts, laid into it with a scathing statement: “Unbelievable. Wells Fargo’s massive fraud is even worse than we thought.”
A coalition of 33 consumer groups sent a letter to congressional leaders urging them to bring Wells Fargo executives back to Capitol Hill — where Mr. Stumpf was roasted last year by unhappy lawmakers, shortly before he stepped down under pressure — to answer new questions about the bank’s abuses. The bank “may have intentionally misled” lawmakers in its previous testimony, they said. Ms. Warren, who is a member of the Senate Banking Committee, also called for the committee to hold a new hearing.
Continue reading the main story
Is Wells Fargo too big to care about threats?
Note from Diane: now I have to ask – how many of you believe the bank’s excuses? Personally, I think that Wells Fargo believes no regulator can reach them and that it can bully anyone – consumer or politician. It has gotten away with this type of behavior for so many decades that it was certain no one could touch them. I support Senator Elizabeth Warren‘s attempt to make Wells Fargo accountable for their outrageous actions. Enough is enough. I moved all our accounts, both personal and business, out of Wells Fargo.
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About the Author:
Diane L. Drain is a well known and respected Arizona bankruptcy attorney. She is an expert in both consumer bankruptcy and Arizona foreclosure. Since 1985 she has been a dedicated advocate for her clients and spokesperson for Arizona citizens. Diane is a retired professor of law teaching bankruptcy for more than 20 years. As a teacher she believes in offering everyone, not just her clients, advice about the Arizona bankruptcy laws. She is also a mentor to hundreds of Arizona attorneys. 
I would be flattered if you connected with me on GOOGLE+
*Important Note from Diane: Nothing on this website should be construed as establishing a lawyer-client relationship between you, me, the author of any page or the website owner (me) who happens to be a lawyer. Everything on this web site is available for educational purposes only, is not intended to provide legal advice nor create an attorney client relationship between you, me, or the author of any article. You may pick up some information about bankruptcy, foreclosure or the practice of law written by myself or others. Any information in this web site should not be used as a substitute for competent legal advice from an attorney familiar with your personal circumstances and licensed to practice law in your state.*
The post Wells Fargo Discloses More Fraudulent Accounts appeared first on Diane L. Drain - Phoenix Bankruptcy & Foreclosure Attorney.
Wells Fargo in trouble again.
Once again the New York Times reports on Wells Fargo’s fraudulent account scandal. No, this is not the same one from 2016, this is a new one where the bank just “found” more than a million additional unauthorized accounts, raising the total to 3.5 million accounts.
“Every time we get one of these announcements, the pressure rises,” said Nancy Bush, a banking industry analyst who runs NAB Research. “How many customers, and how many employees within Wells Fargo, are coming to the conclusion, ‘I don’t need to be associated with this’?”
Besides the additional accounts announced Thursday, the wider review uncovered a new issue: unauthorized enrollments of customers in the bank’s online bill payment service; a service that is now free.
One of the bank’s fiercest critics, Senator Elizabeth Warren, Democrat of Massachusetts, laid into it with a scathing statement: “Unbelievable. Wells Fargo’s massive fraud is even worse than we thought.”
A coalition of 33 consumer groups sent a letter to congressional leaders urging them to bring Wells Fargo executives back to Capitol Hill — where Mr. Stumpf was roasted last year by unhappy lawmakers, shortly before he stepped down under pressure — to answer new questions about the bank’s abuses. The bank “may have intentionally misled” lawmakers in its previous testimony, they said. Ms. Warren, who is a member of the Senate Banking Committee, also called for the committee to hold a new hearing.
Continue reading the main story
Is Wells Fargo too big to care about threats?
Note from Diane: now I have to ask – how many of you believe the bank’s excuses? Personally, I think that Wells Fargo believes no regulator can reach them and that it can bully anyone – consumer or politician. It has gotten away with this type of behavior for so many decades that it was certain no one could touch them. I support Senator Elizabeth Warren‘s attempt to make Wells Fargo accountable for their outrageous actions. Enough is enough. I moved all our accounts, both personal and business, out of Wells Fargo.
Share this entry
About the Author:
Diane L. Drain is a well known and respected Arizona bankruptcy attorney. She is an expert in both consumer bankruptcy and Arizona foreclosure. Since 1985 she has been a dedicated advocate for her clients and spokesperson for Arizona citizens. Diane is a retired professor of law teaching bankruptcy for more than 20 years. As a teacher she believes in offering everyone, not just her clients, advice about the Arizona bankruptcy laws. She is also a mentor to hundreds of Arizona attorneys. 
I would be flattered if you connected with me on GOOGLE+
*Important Note from Diane: Nothing on this website should be construed as establishing a lawyer-client relationship between you, me, the author of any page or the website owner (me) who happens to be a lawyer. Everything on this web site is available for educational purposes only, is not intended to provide legal advice nor create an attorney client relationship between you, me, or the author of any article. You may pick up some information about bankruptcy, foreclosure or the practice of law written by myself or others. Any information in this web site should not be used as a substitute for competent legal advice from an attorney familiar with your personal circumstances and licensed to practice law in your state.*
The post Wells Fargo Discloses More Fraudulent Accounts appeared first on Diane L. Drain - Phoenix Bankruptcy & Foreclosure Attorney.
CFPB Knocks Out Another Scam Yesterday, the Consumer Finance Protection Bureau put another credit repair outfit out of business. This was National Credit Advisors. These folks claimed that you can use them to “free yourself from bad credit.” According to the Consumer Finance Protection Bureau, they collected $20 million from 50,000 consumers over a three […]The post Consumer Finance Protection Bureau Knocks Out A Scam by Robert Weed appeared first on Robert Weed.
CFPB Knocks Out Another Scam Yesterday, the Consumer Finance Protection Bureau put another credit repair outfit out of business. This was National Credit Advisors. These folks claimed that you can use them to “free yourself from bad credit.” According to the Consumer Finance Protection Bureau, they collected $20 million from 50,000 consumers over a three […]
CFPB Knocks Out Another Scam Yesterday, the Consumer Finance Protection Bureau put another credit repair outfit out of business. This was National Credit Advisors. These folks claimed that you can use them to “free yourself from bad credit.” According to the Consumer Finance Protection Bureau, they collected $20 million from 50,000 consumers over a three […]
The post Consumer Finance Protection Bureau Knocks Out A Scam by Robert Weed appeared first on Robert Weed.
Upright Law on trial in Roanoke Bankruptcy court Trial is set on September 25, 2017, for Upright Law, at the bankruptcy courthouse in Roanoke VA. The US Justice Department, through the Office of the United States Trustee, is asking that Upright be banned from accepting cases in Virginia. They are also asking for refunds for […]
Upright Law on trial in Roanoke Bankruptcy court Trial is set on September 25, 2017, for Upright Law, at the bankruptcy courthouse in Roanoke VA. The US Justice Department, through the Office of the United States Trustee, is asking that Upright be banned from accepting cases in Virginia. They are also asking for refunds for […]
The post Upright Law on trial in Roanoke Bankruptcy court by Robert Weed appeared first on Robert Weed.
Upright Law on trial in Roanoke Bankruptcy court Trial is set on September 25, 2017, for Upright Law, at the bankruptcy courthouse in Roanoke VA. The US Justice Department, through the Office of the United States Trustee, is asking that Upright be banned from accepting cases in Virginia. They are also asking for refunds for […]The post Upright Law on trial in Roanoke Bankruptcy court by Robert Weed appeared first on Robert Weed.
Here at Shenwick & Associates, we’ve been paying close attention to developments concerning the plummeting values of New York City taxicab medallions. A client we’ve been working with sent us this AP story last month that describes how the taxicab medallion crash isn’t just affecting owners of medallions and cab drivers, but has spread to lending companies.
According to the article, three credit unions that specialized in loans collateralized by taxicab medallions have been placed into conservatorship with the National Credit Union Administration (NCUA), including LOMTO Federal Credit Union and Melrose Credit Union . The article also alleges that the NCUA is aggressively attempting to collect from borrowers, even those who are current on their loan payments, by demanding payment of the loan in full and threatening foreclosure on the assets pledged as collateral against the loan (which may include not just the medallion, but also motor vehicles and real estate).
In a April 2014 supervisory letter regarding taxi medallion lending , the NCUA advised field staff to “[c]onfirm that a credit union that places more emphasis on the collateral value than on standard cash flow qualifications supports the market premium with other committed sources of repayment to the loan and additional collateral.” Based on this guidance, we can expect that that the management teams hired by the NCUA to administer these credit unions will demand additional collateral to further secure these loans, and if they’re unsuccessful, to commence foreclosure actions against the current collateral.
As we’ve detailed in our initial e-mail on the topic , there are many possible options to consider to address “underwater” taxi medallions, including a workout and several bankruptcy scenarios, but a detailed financial analysis is necessary. Our firm specializes in debtor/creditor relations and bankruptcy, so if you need help with your taxi medallion debt, please contact Jim Shenwick.
The American Bankruptcy Institute ‘ABI’ released a report addressing the astronomically high failure rate of chapter 13 bankruptcy. The findings are not surprising for those of us who work in this world, but are shocking for the rest of the consumer community.
It is likely that many bankruptcy judges have never had a successful chapter 13 pro se case.
Chapter 13 bankruptcy
According to the Report addressing pro se cases (filed without an attorney) Each year 25,000-40,000 debtors decide to file a chapter 13 case without an attorney. In California, one-third of chapter 13 cases have been filed pro se, accounting for nearly 40 percent of all such cases nationwide.
Only about one in 45 pro se chapter 13 cases result in a completed bankruptcy plan.
Regardless of where the cases are filed, the data paints a fairly dismal picture of the consequences of a pro se filing. More than half are dismissed within three months of filing, and more than 80 percent are gone with-in six months.
Chapter 13 bankruptcy – path to success or failure?
Chapter 13 bankruptcy[/caption]
Less than one in 200 pro se debtors who satisfy all three of these criteria below end up with a successfully completed repayment plan.
The pro se success rates are even worse for debtors with:
- only one source of income (only one working debtor),
- debtors with a prior filing and
- debtors who do not pay their filing fees.
The moral is – you would not do your own open heart surgery, why would you do something as complicated as a chapter 13 without an experienced bankruptcy attorney in your corner?
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About the Author:
Diane L. Drain is a well known and respected Arizona bankruptcy attorney. She is an expert in both consumer bankruptcy and Arizona foreclosure. Since 1985 she has been a dedicated advocate for her clients and spokesperson for Arizona citizens. Diane is a retired professor of law teaching bankruptcy for more than 20 years. As a teacher she believes in offering everyone, not just her clients, advice about the Arizona bankruptcy laws. She is also a mentor to hundreds of Arizona attorneys.
I would be flattered if you connected with me on GOOGLE+
*Important Note from Diane: Nothing on this website should be construed as establishing a lawyer-client relationship between you, me, the author of any page or the website owner (me) who happens to be a lawyer. Everything on this web site is available for educational purposes only, is not intended to provide legal advice nor create an attorney client relationship between you, me, or the author of any article. You may pick up some information about bankruptcy, foreclosure or the practice of law written by myself or others. Any information in this web site should not be used as a substitute for competent legal advice from an attorney familiar with your personal circumstances and licensed to practice law in your state.*
The post Why Chapter 13 Bankruptcy Can Be Doomed for Failure appeared first on Diane L. Drain - Phoenix Bankruptcy & Foreclosure Attorney.
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