March 2014 - Page 2 of 2 - FREE CONSULTATION

NEW bill protects renters from foreclosure-related evictions

Posted on March 11, 2014by Admin

Receiving a foreclosure notice as a homeowner is devastating. But imagine losing your home or apartment to foreclosure as a renter, when you paid your rent on time every month. Congress is pushing for permanent protections for renters who find themselves in this very situation.

U.S. Senator Sherrod Brown is a cosponsor of a bill that would permanently extend the Protecting Tenants at Foreclosure Act of 2009, which gives temporary protection against eviction to families renting houses that go into foreclosure.

Tenants who work hard and are responsible rent payers each month deserve protections for themselves and their families. The problem lies with the landlords, who failed to make mortgage payments on these properties.

Up until 2009, if the houses were foreclosed upon and resold, almost always at a discount, the new owners could evict the tenants, often giving the renters no recourse or very little notice to move. The 2009 law ended that by saying if the tenants had leases and were abiding by their terms, the new owners had to honor those leases. There was an exemption if the new owners intended to occupy the properties, but it required giving the tenants 90 days’ notice before eviction.

Tenants would gain a new protection in the latest legislation that they currently do not have: the explicit right to sue the new owners if they believed the owners violated the law. Tenants would have what is called a “right of action,” giving them a clear right to sue.

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Choosing the right attorney can make the difference between whether or not you can keep your home. A well-qualified Miami foreclosure defense attorney will not only help you keep your home, but they will be able to negotiate a loan that has payments you can afford. Miami foreclosure defense attorney Timothy Kingcade has helped many facing foreclosure alleviate their stress by letting them stay in their homes for at least another year, allowing them to re-organize their lives. If you have any questions on the topic of foreclosure please feel free to contact me at (305) 285-9100. You can also find useful consumer information on the Kingcade & Garcia website at www.miamibankruptcy.com.

Wells Fargo Pays the Consequences in “Shocking” Foreclosure Case

Posted on March 10, 2014by Admin

A New Mexico judge issued a $3.2 million judgment against Wells Fargo & Co. for foreclosing on a man’s home after his death, even though he had a purchased insurance policy through the bank that would have covered the remaining balance on the mortgage. The judge called the bank’s conduct “shocking” and so reprehensible that in addition to damages, attorney’s fees and court costs; she awarded James Dollens’s estate $2.7 million in punitive damages.

Dollens had purchased an accidental death mortgage insurance policy for his Rio Rancho home that was marketed by Wells Fargo and issued by Minnesota Life. His death was reported immediately to Minnesota Life and to Wells Fargo to make a claim under the insurance policy.

However, instead of collecting funds from the insurance policy, Wells Fargo sent notices about the loan being in default and sent the loan to foreclosure. There was $125,000 owed on the mortgage.

When the bank received a $133,559 check from the insurance company in May 2011, it collected delinquent payments, late fees, and fees for lawyers and for 18 property inspections, leaving only $4,400 for Dollens’s estate ‘‘because of misapplication of the insurance proceeds,’’ the judge said.

Wells Fargo argues the family should have continued making payments regardless of the insurance policy. The judge called this case “a breach of the covenant of good faith and fair dealing- The bank’s unwillingness and failure to hold off on the foreclosure even when requested to do so by the insurance company was shocking.”

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Credit, Foreclosures, Timothy Kingcade Posts

Foreclosure Nightmare Far from Over

Posted on March 7, 2014by Admin

The revival of the U.S. housing market has produced a sigh of relief for much of the economy, as home prices and construction have finally rebounded. However, for some homeowners the foreclosure crisis has never ended. The worst of the foreclosure crisis passed years ago, but it has continued to cast a shadow over homeowners in places like Maryland, where many old cases have yet to work their way through the system.

Last year, Florida’s foreclosure rate was the third-highest in the country, behind Nevada and Illinois, according to RealtyTrac. Nationally, it is estimated that 5.2 million foreclosures have been completed since 2007. But the vast majority happened in the early years of the recession, with 2013’s foreclosures making up just 9% of the U.S. total.

Maryland’s high foreclosure rate is actually linked to the state’s attempt to remedy the process for underwater homeowners. In 2010, the state passed a law requiring mediation if homeowners requested it, and some foreclosure cases from early in the housing crisis are now going through the program.

Consumer advocates believe that these reforms are an important preventative measure against abusive practices that abruptly forced people out of their homes. Mortgage servicers have continued to employ abusive practices, which plague underwater homeowners and prolong the pain.

The Moody family, for example, missed one payment in February 2009 after Paul Moody suffered a back injury and lost his job. Five years later, after dealing with three different mortgage servicers, two foreclosure attempts and more than a dozen different applications for loan modifications, there is still no resolution in site. Attempts to seek relief from state and federally backed programs have gotten the family nowhere.

The major rules for mortgage servicers only went into effect in January 2014, allowing many abuses to continue despite intense scrutiny and demands for reform at the height of the housing meltdown. For instance: servicers are now prohibited from “dual-tracking” homeowners by offering them a loan modification while moving forward with a foreclosure at the same time. Mortgage companies are now required to ensure their customer representatives can actually answer question and access relevant documents to eliminate red tape issues, mixed messages and unreturned phone calls.

The good news is, the Moody’s have been able to stay in their home while negotiating with their lenders. A quicker resolution could be far worse- at least from the homeowner’s perspective- Legislative attempts to fast-track foreclosures have denied homeowners their rights and took their properties away before they could save them.

The end is slowly coming into sight for others as well. Nationally, foreclosures have hit a six-year low. Though many Maryland homeowners are still underwater, the delinquency rate for loans that aren’t yet in foreclosure is dropping, falling from about 11% of all mortgages in 2009 to 8% by the end of 2013, according to the Mortgage Bankers Association. Rising property values in the area means that fewer foreclosed houses remain vacant for long.

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Bankruptcy Law, Credit, Timothy Kingcade Posts

Man who Faked Bankruptcy Faces 17 Years in Prison

Posted on March 6, 2014by Admin

A Sacramento businessman who asked the FBI to investigate his ex-wife ended up with the Feds investigating him. Steven K. Zinnel, now 50, and his wife split in 1999. They had two sons. Zinnel, a successful Gold River businessman declared bankruptcy during the proceedings. However, his bankruptcy, which was finalized in 2005 was fake. He had put money in accounts with other people’s names on it and hid assets. As the case proceeded through family court, he continued to hide assets and disguised his wealth so he could pay less in child support.

Zinnel was in the clear until he asked the FBI to investigate his ex-wife, Michele, for trying to get illegal access to his private health insurance information. However, when the authorities heard her side of the story, they were more interested in Zinnel’s bankruptcy than her alleged offense.

The president of the electric substations company that was paying Zinnel off the books agreed to cooperate with the Feds and participated in taped interviews with undercover agents. Far from being bankrupt, Zinnel was found to be worth several million dollars. He was convicted on 15 counts of bankruptcy fraud and money laundering. This week he was ordered to forfeit $2.8 million of his assets, pay a half million dollar fine and serve more than 17 years in prison.

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If you are in a financial crisis and are considering filing bankruptcy, contact an experienced Miami bankruptcy attorney who can advise you of all of your options. As an experienced CPA as well as a proven bankruptcy lawyer, Timothy Kingcade knows how to help clients take full advantage of the bankruptcy laws to protect their assets and get successful results. Since 1996 Kingcade & Garcia, P.A. has been helping people from all walks of life build a better tomorrow. Our attorneys’ help thousands of people every year take advantage of their rights under bankruptcy protection to restart, rebuild and recover. The day you hire our firm, we will contact your creditors to stop the harassment. You can also find useful consumer information on the Kingcade & Garcia website at www.miamibankruptcy.com.

Bankruptcy Law, Credit, Foreclosures, Timothy Kingcade Posts

Two “Real Housewives of New Jersey” cast members admit to mortgage and bankruptcy fraud

Posted on March 5, 2014by Admin

Teresa and Giuseppe “Joe” Giudice, the couple on Bravo’s hit reality TV show, “Real Housewives of New Jersey” both pleaded guilty this week to mortgage and bankruptcy fraud. The popular reality show featured a handful of “supposedly” wealthy cast mates flaunting their lavish lifestyles for five seasons. The Giudices, in particular, flaunted cash freely on the show.

Teresa, 41, and Joe, 43, admitted to conspiring for years to defraud banks and other lending institutions while seeking nearly $5 million in construction loans home equity loans and mortgages. They also admitted to misleading a federal bankruptcy court. After applying for Chapter 7 bankruptcy protection in 2009, the Giudice’s failed to disclose Teresa’s true income from the “Real Housewives” show and personal and magazine appearances. They also concealed businesses they owned and money made from rental income.

Under federal sentencing guidelines, Joe Giudice is facing a recommended prison sentence of 37 to 46 months. Teresa’s lawyer is pushing for a much lesser sentence of only probation, saying she bears less responsibility than Joe for their decade of fraud and noting that the couple has four daughters who need to be cared for. Under the sentencing guidelines, it is recommended that Teresa receive less than 2 ¼ years in prison.

During the 75-minute hearing, before U.S. District Judge Esther Salas, both of the Giudices admitted to one count of conspiracy to commit mail and wire fraud, one count of bankruptcy fraud by concealment of assets, one count of bankruptcy fraud by false oaths, and one count of bankruptcy fraud by false declarations.

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Bankruptcy Law, Credit, Timothy Kingcade Posts

Best Credit Cards of 2014

Posted on March 4, 2014by Admin

The list is finally here! After an in-depth, independent investigation NextAdvisor.com has revealed its Best Credit Cards of 2014 list. This list can help you determine the best credit card for your financial situation and spending habits.

Best Travel & Rewards Card: Barclay Arrival World Mastercard. If you like to travel, this card is for you. This travel credit card earns 2 miles per dollar (equivalent to 2% cash back) spent on all purchases with no mileage caps or foreign transaction fees. In addition, consumers will earn 40,000 bonus miles after spending $3,000 in the first 90 days- equal to $400 worth of travel. The points are easy to redeem. Simply use the credit card to book the travel and then redeem your miles for a statement credit against the cost.

Lowest APR Card: Citi Simplicity Card. This card allows you to pay 0% interest for 18 months- the longest interest-free period for both purchases and balance transfers available. Think about using this card if you are looking to make a big purchase soon and plan on carrying the balance for a while or if you are looking to transfer a balance from another credit card. There are no late fees or penalty fees associated with this car.

Best Cash Back Card. BankAmericard Cash Rewards TM Credit Card. If you are looking for the best money-making cash back credit card, look no further. This card offers consumers 2% cash back at grocery stores and 3% on gas (for up to $1,500 in combined gas and grocery purchases each quarter) and 1% cash back on everything else. In addition, there is a $100 online cash rewards bonus after spending $500 in the first 3 months, and a 12-month 0% intro APR on purchases and balance transfers.

Best Balance Transfer Card: Slate from Chase. If you have been stuck paying high interest rates on your credit card balances this card is for you. You can transfer your balances from other credit cards free of charge and start enjoying 15-month 0% intro APR on all purchases and balance transfers. This will allow you time to pay down the balances and will save you money on interest charges in the interim.

Best Card to Help Rebuild your Credit: Capital One Secured Mastercard. If your credit rating has taken a hit recently or you are simply trying to rebuild your credit following bankruptcy, the Capital One Secured Mastercard is a smart choice. This card is available to those with poor or no credit and can help consumers rebuild their credit history, if they use the card responsibly.The Capital One Secured Mastercard requires that you provide a cash collateral deposit to help secure the account. This deposit is usually equal to the line of credit on the card, and will help pay the balance in case of default. By making timely payments each month you can help boost your credit history. This card also reports to all three major credit bureaus on a monthly basis.

Best Student Credit Card. Citi Dividend Card for College Students. This card offers 5% cash back in quarterly rotating categories, 1% cash back on everything else and no annual fee. There is a 0% intro APR for 7 months, allowing you to use the card to purchase books tuition costs and pay no interest for 7 months.

Best Business Credit Card: Chase Ink Cash Business Card. Business credit cards are a great way to fund your business and keep your personal and business expenses separate. This card is oriented more towards business spending. You will earn 5% cash back on office supplies, on mobile phones, landline, Internet and cable TV expenses. You will also earn 2% cash back on the first $25,000 spent each year at restaurants and gas stations. This card also has 0% APR for 12 months on balance transfers and purchases and no annual fee.

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