Saturday, May 25, 2013

Are Debt Collectors and Credit Card Companies licking their chops waiting for 2013 Oklahoma Tornado Victims to Default, most likely, yes.

Hopefully some savvy Oklahoma Tornado Victims will realize they can make a difference by recording the phone calls made by debt collectors demanding timely credit card payments otherwise they will be declared in default.

Without affordable debt suspension insurance premiums, the 99% are just a tragedy not of their own doing away from losing wealth to rich elite who set the unfair rules in our society.

Hi, Your comments matter greatly. If you post anonymously you can still tell everyone who are you, example..."I work in the ...industry.... and...", or some other historical relevant fact about yourselt....and... etc. Please no link ads unless you contact me first.

Saturday, May 18, 2013

Thursday, May 16, 2013

My Consumer Financial Protection Bureau Los Angeles Second Day Comments about Seniors and Reverse Mortgages.


Seniors and Reverse Mortgages

One group of homeowners with the highest probability of having paid off a home are Senior Citizens. Seniors who reached adulthood in the 1940's, 1950's, 1960's, and 1970's had the opportunity to purchase a home for a relatively low cost, and over the course of 30 years pay off that home.

When Dodd Frank came into law, it seemed to miss a very important point regarding seniors and reverse mortgages. Many Seniors have already paid off their home, to treat them like they were in their 30's and 40's again and needing to prove they can completely pay off any home equity loan they take out seems daft.

Lets apply Dodd Frank logic regarding Seniors to Sports and the Hall of Fame. Do we expect Hall of Famers to every 10 years reprove they can hit a home run, strike out a batter, score 30 points in a basketball game, turn a hat trick in hockey, or they will lose their hall of fame status?  No.

Yet, the Dodd Frank Homeowners Hall of Fame forces seniors who responsibly paid their mortgage in full already, to prove once again at an advanced age that they can once again pay off any COLLATERALIZED loan that is now taken out against their home.

This "prove yourself again" mentality is obtuse thinking at best, and paper violence at worst against generations of people that were forced to fight through World War II, the Korean War, and Viet Nam, yet proceeded to also work a steady job their entire adulthood until their home was paid off.

The snatching and grabbing of a senior's home in small increments by the following yearly costs, Property tax, Fire insurance, Home Insurance, Flood Insurance, interest rate charges on a reverse mortgage, and Mortgage Interest Insurance has grown too large and burdensome.

Cannot we not do better than forcing Mortgage Interest Insurance premiums on our seniors? Yes, we can. Here are some suggestions / Solutions I would like the CFPB to consider.

Alessandro Machi   Page 1 of 2       www.alexlogic.com


Safe, Effective and Responsible 
Senior Citizen Mortgage Insurance  Alternatives.

Monthly Draw Limits.

A Senior agrees to a monthly draw not to exceed 800 dollars on a paid off home worth 150,000 dollars. In exchange for this monthly draw, no mortgage insurance premium is charged. Why should there be? It would take 10 years for the senior to pull 96,000 dollars out. By then, it is possible the home will have increased in value to 200,000 dollars, basically limiting the potential for the draw to be worth anywhere near the present value of the home, therefore no real overpayment risk exists that would justify forcing the senior to carry Mortgage Insurance Premiums.

    Ongoing CareGiving Services

If a son or daughter wishes to provide Caregiving Services for their parent or parents, a monthly home equity draw of a modest amount, say $1,000 a month, could be transferred to the son or daughter in exchange for living with the parent and being their primary CareGiver. The son or daughter's draw could be taxed like regular income if they choose. The government could even kick in $500 a month as an additional incentive. If the son or daughter is already on the deed, they should not be forced off.

Why pay the son or daughter out of the home to provide CareGiving Services AND provide them a small governmental stipend as well? The elder population is about to explode and 1,500 dollars a month is a LOT cheaper than the government paying out 4 to 5 times more per month to keep a senior in an assisted living situation. The quality of life would be greatly enhanced as well if the senior could remain in their own home.

Daily Reorientation is more easily achieved if a senior lives in the same home that they have lived in for the past 10, 20, or 30 years, and this might drive down health care costs as well. Other savings ensue as well regarding conservation of resources. The son or daughter significantly lowers their own cost of living, not necessarily a bad thing as populations increase and scarcity of resources continues to grow.

Alessandro Machi   Page 2 of 2       www.alexlogic.com


Hi, Your comments matter greatly. If you post anonymously you can still tell everyone who are you, example..."I work for...." etc. Please no link ads unless you contact me first.

Wednesday, May 15, 2013

My Consumer Financial Protection Bureau Los Angeles speech for May 15, 2013.




CLICK ON IMAGE TO ENLARGE.

Credit Card Default Reparations for Consumers 2000 to 2013.

The following is a Timeline of Events that stripped Americans of fairly priced Credit Card Debt Suspension Insurance and subsequently made them fodder for Credit Card Default Verdicts with no plausible way to defend themselves in court.


1998
Unregulated and overpriced Credit Card Debt Suspension Insurance explodes as consumer credit card debt grows.

2002  
Comptroller of the Currency slaps down the Insurance Industries desire to offer competing Debt Suspension Insurance for Credit Card Customers. The CC basically gives the credit card companies a monopoly over their own customers and offers no pricing guidelines other than suggesting the premiums cover the cost of inflicting the Credit Card Debt Suspension Insurance Program. The CC absolves the credit card companies from federal regulations for Credit Card Debt Suspension Insurance ratios of costs vs payouts. Many Credit Card Debt Suspension Insurance Policies retain 85% to 95% of every dollar collected, an obscenely large percentage that meant Credit Card Debt Suspension Insurance premiums were overpriced and unrealistic long term investments for consumers.

April 20, 2005 
After removing the most logical method for protecting a consumer's credit rating, affordable credit card debt suspension insurance, tougher Bankruptcy rules are signed into law. Americans who could not afford the monopolistic, unregulated and overpriced Credit Card Debt Suspension Insurance now have even less avenues to protect themselves from credit card defaults in times of crisis. Credit card defaults can create a cascading affect of higher and higher associated payments on a defaulted account. The penalties, fees, and interest rate hikes engulf the unprotected consumer and can eventually lead to both the loss of job opportunities based on a poor credit score and foreclosures as well.

Alessandro Machi   Page 1 of 4             DebtSuspensionRights.com

June 8th, 2005 
The Comptroller of the Currency encourages The Fed, FDIC, The Office of Thrift Supervision, and some national banks to raise monthly minimum Credit Card payments from 2% to 4% of the total due, an excellent idea but an unattainable one as it would create instant defaults for millions of americans. Offering credit card customers affordable Credit Card Debt Suspension Insurance does not appear to be a priority for the CC.

2008
Banks get a bailout, consumers get screwed via Parallel Foreclosure.

2008 to 2011 
Chase Bank raises monthly minimum payments from 2% of the total due to 5% of the total due on over a million, low interest rate, life of the loan credit card customers, and Chase Bank offers no opt out option. The huge raise in the monthly minimum payment causes untold thousands of Chase Bank Customers with perfect payment histories to default. Chase Bank then robo signs these ambushed customers through the court system, tarnishing and then garnishing customers wages who formerly had perfect payment histories and stellar credit ratings as well.

2009 
Federal Trade Commission Annual Report: Fair Debt Collection Practices Act makes…
No mention is made that millions of credit card defaulters can't afford ridiculously overpriced debt suspension insurance. 
No mention is made that credit card companies universally refuse to accept a customer's debt instrument offering before a hardship account actually goes into default. 
No mention is made that Credit Card Companies do not reasonably disclose that a default must first be declared before any change in terms will be discussed
No mention is made that robo servers falsely report they served or subserved an alleged credit card default defendant and how this simply encourages debt collectors to shirk service law statutes knowing the judge will allow the case to go forward with a fraudulent service.

Alessandro Machi   Page 2 of 4             DebtSuspensionRights.com

No mention is made that when judges look the other way over false service practices, it reduces a defendants negotiating position against a debt collection service since the debt collector knows they can get a false service at any time. 
No mention is made that what happens BEFORE a default is declared by a credit card company should be considered by the courts. Instead judges simply ignore the credit card companies questionable tactics and policies and solely focus on whether a default actually occurred. Overwhelmingly one sided verdicts favor the credit card companies and encourage the flawed judicial process to perpetuate as is.

2010
The Credit Card Reform Bill Act is signed into law and the Consumer Financial Protection Bureau is created to balance the Comptroller of the Currencies penchant for supporting banking interests over consumer welfare. A much needed checks and balance has been created.

2012
The Consumer Financial Protection Bureau assesses a billion dollars in fines over Credit Card Debt Suspension Insurance Marketing Practices. The fines have nothing to do with how unfairly priced Debt Suspension Insurance premiums are, but rather how aggressively the Debt Suspension Insurance is marketed, and how difficult it is to opt out once the credit card companies have enrolled their prey.

2013
Parallel Foreclosure is declared illegal in California.

2013
Kamala Harris initiates a class action lawsuit against Chase Bank for their financial terrorist activities against Californians from 2008 to 2011. Chase Bank allegedly robo-signed their default cases, garnishing and levying bank accounts of formerly excellent credit rating customers. The actual monthly minimum payment increase from 2% to 5% with no opt out option is not part of the lawsuit, even though it most likely was what spurred the rash of robo signings by Chase Bank.

Alessandro Machi   Page 3 of 4             DebtSuspensionRights.com
 
Conclusion

Americans have been without affordably priced credit card debt suspension insurance for the past 15 years. Credit Card Customers have not been properly advised at the time they sign their agreements that no change in terms will occur without a default first being declared. Customers accused of a Default are routinely falsely served and subserved, and the court judges look the other way, damping the defendants negotiating position with their debt collectors. Unsecured credit card debts are routinely converted to secured debts by the courts even when the defendant has already agreed the debt is owed and agrees to pay a portion of their income to pay down the debt. Debt collectors and judges view defaulters as irresponsible deadbeats when they show up in court without an attorney to represent them, when the opposite is true. The defendants have arrived in court without an attorney because they chose to keep making credit card payments until all of their money was gone, including the money that would have gone to an attorney.

The credit card default system is not just broken, it's been fixed against americans for the past 15 years and reparations are in order. Perhaps as many as 90% of all credit card defaulters since the year 2000 should have their default verdicts overturned. Lump sum payment  restitution is in order for all the penalties, fines and fees that were assessed against alleged credit card defaulters, along with the loss of credit standing and having to pay higher interest rates on any new debt.

When totaled up, there could be 10's of millions of credit card default victims, and the total owed to them could be a trillion dollars. In lieu of a trillion dollar payout, all present credit card customers should summarily have their total credit card debt reduced by 65%, and upon this across the board reduction, the monthly minimum payment going forward should be increased from 2% to  5%, as the Comptroller requested back in 2005.

Much good would come from Consumer Credit Card Default Reparations  as described above, but it would take more time to explain them all.
Alessandro Machi   Page 4 of 4             DebtSuspensionRights.com

Monday, May 13, 2013

JPMorgan Chase & Co. (JPM): What Should You Do? - Insider Monkey

While Kamala Harris is almost on the right track regarding suing Chase Bank over robo credit card default lawsuits, she is a long way off the one trillion dollars in consumer default awards that I believe is required to right the wrongs over the past 15 years.

I, Alessandro Machi, am the first linking fraudulent debt suspension insurance that was way too overpriced to be affordable, and consumers being unable to defend themselves in court against credit card default judgements.  

There has been a trillion dollars of damage done to the american people because of Debt Suspension Insurance abuse, and this lawsuit unfortunately does not address the Debt Suspension Fraud issue.

Sunday, May 12, 2013

Forum Post: Vicious Cycle: Thousands in Ohio too poor to pay debts, jailed with no trial | OccupyWallSt.org


This is exactly why we need Debt Suspension Rights in the United States, and in the world as well. 

Meanwhile, our gun loving friends cling to gun rights while progressive liberals scream about gun control. All the while both group's neighbors lose their homes via paper violence and others go to debtors prison because they have no Debt Suspension Rights.

Saturday, May 11, 2013

Elizabeth Warren Bill, S 987 inches the student load debt discussion in between too high interest rates and Debt Suspension Rights, aka, a compromise.


However, I wonder what percent of the loan needs to paid back every month. Should it be a higher amount since the interest rate will be so low?

If the monthly minimum payment rises because the interest rate is so low, than the number of defaults may remain the same, and that could result in a backfire in which the financial section says..."See, I told you they (the students) would default anyways!"


Of course, if the student has no way to suspend this loan, than it may probably backfire.




Thursday, May 9, 2013

Awesome "Googlewhack" quote by Anthony Clark..."Bullies don’t win fights; they win defaults".

I saw an Anthony Clark article about Darryl Issa in Salon Magazine and found a particularly intriguing quote..."Bullies don’t win fights; they win defaults". I googled the phrase (in quotes of course), and only Anthony Clark's entry came up, making it a googlewhack!

Although now that I am writing and re-quoting his phrase, it won't necessarily be a googlewhack anymore, but that is a good thing. Some GoogleWhack's need to sprout wings and legs and travel into the minds of others for contemplation.

"Bullies don’t win fights; they win defaults", and that explains how main street is being screwed over by Wall Street, the banks, and politicians too afraid to say and or do something about it.

We still have no debt suspension rights of any kind in the United States, unless one is wall street or the big banks and they need a bailout.

Tuesday, May 7, 2013

Welcome to Debt Suspension Rights blog.

There is a HUGE DIFFERENCE between Debt Suspension and Debt Forgiveness. Debt Suspension IS NOT Debt Forgiveness. 

Debt Suspension simply protects consumers from default by giving them more time to get back on their feet as a result of a legitimate and unexpected life changing event. Debt Suspension suspends interest rate charges, penalties and fees on existing credit card and student loans so that every payment that is made actually reduces the debt owed by the same amount as the payment being made.

Debt Suspension should be allowed to anyone that wants to pay down their debt load and could if the interest rates, penalties and fees were waived.

Debt Suspension Rights DOES NOT advocate running up larger amounts of new debt while old debt is being paid down without interest rate charges, penalties and fees.

Debt Suspension Rights is simply a method that allows people to pay down their debts who otherwise would never see their debt load reduce because of the ongoing interest rate charges, penalties and fees being charged on their credit card and student loan debts.

Please SIGN the Debt Neutrality Petition if you agree.