Banks Poor Record Keeping Strikes Again


Debt collectors assisted by poor bank record keeping.
Debt collectors assisted by poor bank record keeping.

Banks Poor Record Keeping Strikes Again

Big Banks Face Investigation Into Whether They Helped Debt Collectors Pursue Faulty Judgments

The largest U.S. banks face a multi-state investigation into whether they helped debt collectors pursue faulty judgments against credit card customers, according to people familiar with the matter.
At issue is whether weak record-keeping by banks or a failure to pass accurate information to collection agencies harmed consumers.
The allegations against the banks echo those central to last year’s $25 billion federal-state mortgage settlement to resolve charges that the banks “robo-signed” documents and pursued foreclosures with faulty information.
This latest probe targets the same banks, including Bank of America, JPMorgan Chase, Citigroup and Wells Fargo, said the sources who spoke on condition of anonymity because the investigations are continuing.
As with the mortgage cases, the investigation focuses on the banks’ poor paperwork and their weak tracking of the debts.

Big Banks Face Investigation Into Whether They Helped Debt Collectors Pursue Faulty Judgments

Poor record keeping or phrasing it differently, a reckless indifference to the property rights of mortgage holders, is in the news again.  The banks originally used their record keeping to facilitate seizing properties they lacked proper title to. But that wasn’t the only damage being done. It would appear they sold to debt collectors, debts owed to them by the mortgage holders dependent on the very same records they misused for years. You would think they would have noticed there would be a problem but no, people don’t like to think about their mistakes and crimes. So, we have former bank clients who owe no money being hounded by debt collectors.

Has anything been done to discourage these practices? It seems the profit never ends and no one is penalized? Does that mean that the banks can preserve for use over the next decades? Are these going to become standard bank practices?

These practices of poor record keeping and lying affidavits are illegal but with scarcely any penalty imposed they are undeniably profitable.

Aren’t these what Milton Friedman referred to as the “rules of the game,” and if you play by those, isn’t everything okay, you know – free choice, freedom to choose?

I suppose the feds will follow the usual practice of fining the banks a pittance and then allowing them to choose who should receive monetary relief if anyone at all.

This may not discourage the banks from continuing these kinds of acts.

James Pilant

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A Useful Web Site if You Are Behind on Your Bills

I was asked to put this web site on my blog. I was a little worried because I’ve been asked before and the sites turned out to be less than reputable. However, I have visited this site several times and I find the recommendations to be intelligent and practical. The link to various companies that you might owe money like the major utility companies would be worthwhile even by itself. So, have a look and see what you think. If you like it, let me know. If there are problems, let me know. But I like what I see, and believe the advice and information to be useful to most people with debt problems.

I Cant Pay My Bill Pay | Make Payment or Get Help If You Can’t Pays

Managing overdue bills – So, if you’ve fallen behind, how do you go about paying overdue bills? offers an extensive research database and learning center for how to pay off bills and repair credit. We invite you to browse our library of bill paying tips and guides, and we’re confident that you’ll find a helpful resource that will allow you to get out of debt quickly and efficiently, and to get back to financial stability. Whether it’s credit-lending department stores like a Wal-Mart bill, a grocery store bill, or a Macy’s bill, or a utility bill like your phone bills, heating bills, or electric bills, this website has researched the best ways to pay, the worst possible outcome (creditors calling, repossession), and how other people who couldn’t pay that particular bill have dealt with the problem.

I Cant Pay My Bill Pay | Make Payment or Get Help If You Can’t Pays

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Arizona Humane Society Kills Scruffy

Humane Society; Sparks Outrage By Euthanizing Man’s Kitten Over Money

I was more than a little surprised by this. The Arizona Humane Society was unable to find the money to help Scruffy or take a credit card over the phone but was able to hire a publicist and scrub its Facebook site of all those nasty comments made by people who were obviously unaware of the souless minions running its operations. I went to the Facebook site for the organization and if you want to see professional damage control in action, I recommend it as a model. If it weren’t for their own carefully written remarks suggesting alternate places to write your complaints, you wouldn’t have know known that some poor cat had been wacked.

From the article –

Animal lovers threatened to pull donations to an animal rescue group and the public flooded the agency with scathing comments and calls after a man’s cat was euthanized when he couldn’t afford its medical care, prompting the Arizona Humane Society to go into damage-control mode Wednesday.

The group has hired a publicist, removed dozens of comments on its Facebook page and directed a team of five volunteers to respond to the overwhelming calls and emails it has received since The Arizona Republic published a weekend story about Daniel Dockery and his 9-month-old cat, Scruffy.

Humane Society‎ Sparks Outrage By Euthanizing Man’s Kitten Over Money

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Credit Card Reform?

Credit Card Reform?

The Senate passed a law that will force credit card companies to reduce fees for debit card transactions.

I have often said that these institutions simply cannot be fought by individual card holders. A single human being is but an insignificant statistic to a corporation of this size. Only the government can stand up for you on these kinds of issues.

In a true free market society, credit card companies would have to compete. The competition we see in this field is not price based but based on the successful amount of fine print allowing extra fees and penalties. You win by apparent price advantages when a whole reading of a document many pages in length is necessary to give you an idea of the real costs. This isn’t capitalism, it’s the law of the jungle, it’s the consumer as prey animal like a rabbit to a wolf.

Take a look at what I’m talking about. –

Small Business Needs A Consumer Protection Agency

Small Business Needs A Consumer Protection Agency

!!@@#dddddd444plate21-thConsumers continually suffer under the depredations of banks and credit card companies. But they are not the only sufferers. Margot Dorfman, President of the Women’s Chamber of Commerce, says that banks have cut lending to small business by 14 billion over the last year.

Small business often relies on credit cards, home equity loans and personal loans to finance their businesses. They are just as much as the mercy of the financial institutions as any individual.

Listen to what Ms. Dorfman has to say: