Author: Admin

Thursday, October 3, 2013

A review this week by Wikinews of US Consumer Financial Protection Bureau (CFPB) complaints about mortgages in the United States shows Bank of America leads all lending institutions in complaints.

Since mortgages complaints were recorded in December 2011, 77,622 total have been added to CFPB’s database. 29.2% of these complaints involved Bank of America, with the second most received by Wells Fargo, accounting for 15.5% of all complaints. JPMorgan Chase ranked third by volume of complaints with 9.8%. Ocwen was fourth with 8.7% and Citibank was fifth with 4.8%. Nationstar Mortgage; Green Tree Servicing, LLC; HSBC; PNC Bank; U.S. Bancorp; OneWest Bank; SunTrust Bank; Flagstar Bank; and Select Portfolio Servicing, Inc. each had between 1.0 and 3.8% of total complaints. The remaining 14.4% of all complaints about consumer mortgages were divided between about 530 other lending institutions.

The Motley Fool reported last month that for the past fiscal quarter, the biggest US based mortgage lenders were from first to fifth Wells Fargo, JPMorgan Chase, Bank of America, Quicken Loans and U.S. Bancorp.

According to the US Federal Reserve, debt for family residences stands at US$10.706 trillion for the second quarter of 2013. As of the end of June of this year, Bank of America is the United States’s second largest commercial bank with US$1.343 trillion in domestic assets. Wells Fargo is the fourth largest commercial bank with US$1.251 trillion in domestic assets. JPMorgan Chase is the largest US commercial bank with US$1.329 trillion in domestic assets and US$1.947 trillion in total assets.

The mortgage complaints in the CFPB report include several subproducts. Conventional fixed mortgages account for 27.1% of all complaints. Conventional adjustable mortgages account for 10.0%. FHA mortgages account for 7.7% of all complaints. Home equity loans or lines of credit account for 3.8% of all complaints. VA mortgages are 1.4% of all complaints. Second mortgages and reverse mortgages each account for 0.6% of complaints. The remaining 48.7% of complaints are about other mortgages or other mortgage issues. A few years ago, FHA loans accounted for about 10% of all US mortgages while VA loans accounted for about 3%. Prime loans accounted for over 75% of the market and the rest were subprime mortgages.

California leads all states by volume of complaints with 14768. It is followed by Florida, New York, Georgia and Texas. When complaints are divided by a state’s total population, New Hampshire leads. The state is followed by Washington D.C., Maryland, Georgia and Florida. Complaints do not correlate with national rankings for August’s foreclosure rate by state where Nevada topped the list, followed by Florida, Ohio, Maryland and Delaware.

Two zip codes account for over 1,000 total complaints between them. 565 complaints originated in the 48382 zip code, which is in Commerce Township, Michigan, located in suburban Detroit. 553 complaints originated in the 33071 zip code, in Coral Springs, Florida. According to real estate website Zillow, there are currently 1,033 properties in foreclosure in Coral Springs while Commerce Township only has 131 properties currently in foreclosure. Four other zip codes have 100 plus complaints originating from them. 91730, in Rancho Cucamonga, California, had 158 complaints. 33409, in West Palm Beach, Florida, had 132. 92626, in Costa Mesa, California, had 125 complaints. 92660, in Newport Beach, California, had 122 complaints. Respectively, the towns had 534, 1,068, 153, and 134 properties currently in foreclosure. These numbers are higher than for the cities of a few sampled zip codes where there was only one complaint, such as Gold Hill, Oregon which has 4 properties in foreclosure, and Decatur, Illinois which has 6 properties in foreclosure.

The CFPB categorizes complaints into six categories: “Loan modification, collection,foreclosure” or problems when a person is unable to pay; “Loan servicing, payments, escrow account” or problems with making a payment; “Application, originator, mortgage broker”; “Credit decision / Underwriting”; “Settlement process and costs”, and “Other”. The CFPB says the complaint types indicate consumers “appear to be driven by a desire to seek agreement with their companies on foreclosure alternatives. The complaints indicate that consumer confusion persists around the process and requirements for obtaining loan modifications and refinancing, especially regarding document submission timeframes, payment trial periods, allocation of payments, treatment of income in eligibility calculations, and credit bureau reporting during the evaluation period.” Currently, 59.6% of all complaints against lenders deal with being unable to pay. 25.1% deal with problems in making a payment. 7.0% have to do with the application process.

Of the complaint-heavy zip codes, for 48382 in Commerce Township, Michigan, 98.9% of all complaints have to deal with being unable to pay. Accounting for 23.4% of all mortgage complaints in Commerce Township, 132 of the complaints for being unable to pay were made regarding Bank of America, accounting for 97.8% or all but 3 complaints against them from the zip. 121 of the Bank of America responses in Commerce Township were closed with explanation and 12 were closed with non-monetary relief. 33071 in Coral Springs is different, with 537 of the 553 complaints being categorized under other. Only 11 complaints relate to foreclosure and issues with being able to pay. 92626 in Costa Mesa, where 32% of the mortgage complaints were about Bank of America and 26.4% were about Wells Fargo, had 93.6% of its complaints dealing with being unable to pay. 5 total complaints dealt with payment issues and 3 dealt with applications.

Beyond regional variance in complaint types lodged, the top five mortgage lenders by volume of complaints all had being unable to pay as their top complaint category, ranging between 55.8% for Citibank and 69.4% for Bank of America. Problems with payment accounted for the second largest area of complaints, with Ocwen having the largest percentage of complaints at 31.9% and Bank of America having the smallest at 18.8%. Foreclosure was the top area of complaints for a number of other lending institutions including 1st Alliance Lending, OneWest Bank, Ally Bank, Banco Popular de Puerto Rico, Bank of the West, BMO Harris, BOK Financial Corp, Caliber Home Loans, Inc, Capital One, Deutsche Bank and EverBank.

Nationally, complaints reached a high of 5,840 for January 2013, 1,107 more than the next highest month of April 2013. The total emerging for September is the second lowest since records were first kept in December 2011. On a state by state level, this pattern largely repeats with a major exception for Florida which saw a peak of 849 complaints in June 2012. Then, as now, Florida was one of the top five states in the nation in its foreclosure rate. The national January spike came as the Qualified Mortgage standard required by the The Dodd-Frank Wall Street Reform and Consumer Protection Act of 2010 came into play. It required mortgage lenders to take steps to insure borrowers could repay their mortgages.

Bank of America’s complaint volume follows the national trend, with a spike in January 2013 with 1,925 total complaints. Unlike nationally, the next month by volume of complaints was February of this year with 1,598 complaints. Prior to that, the highest month was May 2012 with 1,418 complaints. The lowest volume of complaints is September this year with 334.

Wells Fargo matched national trends for volume of complaints by month, with the exception of the current month being the lowest on record for number of complaints with 197 compared to the next lowest month, December 2011, when they had 221. JPMorgan’s complaint volume by month spiked in January and March of this year with 504 complaints. April of this year was the next highest month with 493 complaints, edging out May of last year with 488 complaints. September this year is on track to be the lowest month by complaint volume.

The federal government shutdown is unlikely to impact the current mortgage situation in the United States directly for most consumers, though mortgage processing by the Federal Housing Administration could be slower, resulting in fewer mortgages processed.

Saturday, April 16, 2005

A Paris fire in a hotel killed 22 people, 10 of whom were children, while injuring 53 — 11 seriously. The hotel was an overcrowded, budget accommodation type of housing. Most of the inhabitants were African, many housed by social services, according to an Associated Press report.

The 32 room, six-story Paris Opera hotel, was made to house 61 guests, but 90 were staying at the time of the fire, with 84 of them placed by city or state social services.

The fire is thought to have started in the breakfast room at 2:20 am Friday, local time.

Along with the Africans, who were mostly refugees, others wounded included French, Senegalese, Portuguese, Americans, Ukrainians, and Tunisians, according to a report from Turkish Zaman.com. The hotel is situated near to La Galerie Lafayette, Printemps shopping center, and Paris Opera.

It took nearly 250 fire-fighters to control the fire, and the number of casualties was high because of the single exit.

“It’s hard in that kind of situation to tell people to calm down. They jumped. People on the first floor threw their children out the windows,” Alfred Millot, head of the fire service at the nearby upmarket Galeries Lafayette department store, told Agence France-Presse.

“With our own equipment, we started fighting the fire from the ground floor. I came running and people were already jumping through the windows,” said Millot.

His store warehouse was used as a temporary morgue. Families were counselled and assisted in re-uniting by the Red Cross.

Thursday, September 6, 2007

Four F3 Tornado fighter jets were launched by the United Kingdom‘s Royal Air Force to intercept Russian military planes. The eight Russian jets were flying in airspace patrolled by Nato, officials from the UK claimed. The long-range bombers were initially followed by Norwegian F16 jets, after Russia’s recent decision to reinstate Cold War-style long-range patrols.

14 strategic bombers were flying on long-range patrol, according to Russia’s Defence Ministry. They also confirmed that none had approached a foreign state and had been shadowed by aircraft from Nato countries.

The Ministry of Defence in the United Kingdom released a statement that the Russian Tupolev Tu-95 Bear aircraft, flying in four loosed pairs, were tracked by Norwegian aircraft before entering Nato airspace on Thursday morning. The UK currently holds responsibility for the Nato airspace, and launched four F3 Tornados from RAF Leeming in North Yorkshire, UK, to identify the bombers. The bombers eventually left the Nato zone, under tracking by UK aircraft and RAF radar in Northumberland.

An MoD spokesman confirmed that Russia was entitled to its long-range patrols, adding ‘The motivation behind any Russian military activity is a matter for the Russian government.’ Lt Col John Inge Oegland, spokesman for the Norwegian armed forces, said there had been several similar incidents in recent months, but that the Russian flights were not causing alarm in Norway.

Relations between Britain and Russia have worsened recently, particularly after Russia’s refusal to allow the extradition of a former KGB bodyguard suspected of murdering emigre Alexander Litvinenko in London last year. Relations with Russia would “continue as normal outside the unresolved extradition request”, a UK Foreign Office spokesman said.

Sunday, March 26, 2006

Buffalo, New York —For the second weekend in a row, demonstrators protested the Elmwood Village Hotel proposal on the proposed site.

The Elmwood Village Hotel is a proposed hotel by Savarino Construction Services Corporation and is designed by architect Karl Frizlen of the Frizlen Group. It is to be placed on the corner of Elmwood and Forest Avenues in Buffalo and will require the demolition of at least five properties (1109-1121 Elmwood).

The proposal also required that all five properties, including 605 Forest, be rezoned to a “C-2” zone, or a “special development plan.” The rezoning was passed by Buffalo’s Common Council on March 21, 2006.

Russell Smith, owner of the Six Nation’s Gift Shop at 1121 Elmwood, also participated in the protest.

“I am a Native American and we opened a Native American gift shop and we are just brand new [and just] opened. Having started out a business for the first time, and it the only Native American shop in the city, and I do not see the use of any hotel, especially at this district. The Elmwood Strip is pretty well established. Some of these people have been here a long while you know and they’re [Savarino Construction] disrupting their livelihood,” said Smith to Wikinews.

When Smith was asked if he was going to be in any of the shops in the new hotel he replied, “we don’t have the option of getting into the hotel or any of the shops that are going to be there. We haven’t [had] any idea that they [Savarino] were even planning to tear these buildings down to put a hotel here until we had moved in. I think thats a little unfair.”

Former City of Buffalo Mayor Anthony Masiello was asked to sign the petition to stop the hotel when he walked by, but he declined saying, “I respect what you are doing, but I am for the hotel.”

Despite the cold weather, at least 45 people showed up to walk the picket line.

For the moment, no further protests have been scheduled, pending the final decision on the hotel proposal by the city’s Planning Board which meets Tuesday, March 28, 2006. The meeting begins at 8:00am and will be held in room 902 on the 9th floor of City Hall in downtown Buffalo.

On Saturday morning several individuals attended a meeting with a lawyer to see what could be done, if anything, about the proposal and about Hans Mobius, former Buffalo mayoral candidate and owner of the properties to be demolished at 1109-1121 Elmwood.

One of the attendees, Nancy Pollina, co-owner of Don Apparel with Patty Morris, stated that “there is a case” but that she is likely unable to afford the large attorney’s fees. Pollina reports that she is looking into a “legal fund.”

Some of the affected are considering going to the New York State Supreme Court pro se to seek an injunction.

Some tenants of Mobius’s buildings have accused him of being a “slumlord” and claim that he “intentionally neglected” his properties with the intention of selling. Mobius, who has owned the properties for about 20 years, tried in 1995 to sell them to a developer who wanted to build a Walgreens Drugstore on the same site as the proposed hotel.

Mobius is expected to appear in housing Court on April 11, 2006. He has not returned any phone calls from Wikinews.

Wednesday, February 11, 2009

Citing health reasons, the Mayor of Flint, Michigan, Don Williamson announced Monday at an 11:20 A.M. news conference that he was resigning from office effective Sunday February 15, 2009 at midnight. Williamson, age 75, indicated that he had multiple sinus infections and kidney stones since November 1 and his doctors wanted him to slow down by reducing his schedule.

A number of events has lead to speculation about Williamson’s resignation. His interim Police Chief, David Dicks, has been charged with defrauding the United States government stemming from the Federal investigation into his father’s security company, City Security, and its contract with Career Alliance in January. Further, a recall election was scheduled for February 24. The snap selection of Michael Brown to be the new Flint City Administrator and his current City Administrator Darryl Buchanan to the non-City Charter position of “deputy mayor” last week Wednesday. Last Thursday a press conference, originally announced to explain the switch in City Administrators and the position of “deputy mayor,” was canceled. And finally, on Friday the Interim Police Chief David Forystek was replaced with a new Interim Police Chief, John Keahey. This returned Forystek to department’s traffic bureau.

Over the last weekend, Williamson denied the rumors. Buchanan was at the press conference while Brown did not attend.

Williamson is a multi-millionaire. He is majority stockholder and chairman of the publicly traded The Colonel’s International Inc. (Nasdaq:COLO).

Williamson first stepped onto the political field by running for Mayor of Flint in 1991 but failed to get out the primary. In 1999 he lost to Woodrow Stanley in the general election. In 2003 election — the first full term election after the recall of Stanley — Williamson won the office of Mayor, while the city was still under state financial administration, succeeding Mayor James W. Rutherford into office.

In 2007, Williamson won a narrow re-election over Dayne Walling. He was only drawing a US$1 per year salary. A number of problems have cropped up since then including budget deficits, layoffs, and proposed drag strip.

Some leaders in the community that were surprised at his resignation. The Flint Journal quoted Genesee County Prosecutor David Leyton as stating “I’m shocked.” While County Sheriff Robert Pickell stated to the Journal that he was “absolutely shocked that the mayor resigned.” Pickel added, that “with Darryl Buchanan working with Mr. Brown, it will be a good team.”

City Councilor, and Williamson opponent, Scott Kincaid is quoted by ABC 12 News as stating that this “was a super-fantastic day” for the city of Flint. City Councilor Jackie Poplar said “Hallelujah!” to ABC 12.

According to the City Charter, Michael Brown as the Flint City Administrator will take over as Temporary Mayor, with no veto nor ability to remove mayorial appointees with out City Council approval. A primary will be scheduled for the May election date and the general election in August for a replacement mayor.

The recall was based on charges that Williamson mishandled city funds and misstated the status of the city’s finances. An additional recall charge according to recall supporters was he disregarded public safety by moving to eliminate 59 police officers and nine firefighters.

Tuesday, August 2, 2005

Tom Cruise this week took the delivery service to a whole new level. Celebrating his 43rd birthday with numerous guests at a party in the USA, Cruise decided to call up his three favorite chefs, all living in Italy, to prepare a meal.

Cruise decided to fly all three chefs out to the United States at a cost of €14,500. According to the Daily Mail the chefs cooked the celebrity tagliatelle ragu, veal, and chocolate tiramisu.