Phishing at Blackhawk Bank

Mortgage settlement wipes out $614M in debt in Illinois - Chicago Tribune

February 21, 2013|By Mary Ellen Podmolik | Tribune staff reporter

…People remain confused by the loan modification process, and there are continued stories of dual tracking, working with borrowers on loan modifications while also pursuing foreclosure judgments against them. Borrowers are having to submit the same documentation multiple times. Questionable fees are being added to the total sums due. Different employees are offering conflicting information to borrowers.

"What I had expected, where we're heading, I expected slow and steady improvement," Smith said in an interview while in Chicago Thursday. "These are large and complex enterprises but that is not an excuse."….

In Illinois, of the 20,044 borrowers who received assistance from the nation's five largest servicers between March 1 and Dec. 31, 3,794 received principal writedowns on first or second mortgages while another 5,928 borrowers saw their second lien obligations erased, according to the report. Altogether, those principal writedowns and extinguishments totaled $614.5 million.

Another 5,831 Illinois homeowners sold their homes through short sales and 2,629 completed mortgage refinancings, with an average interest rate reduction of 2.32 percent

Click on the following for more details:  Mortgage settlement wipes out $614M in debt in Illinois - Chicago Tribune

Shake-Up at New York Fed Is Said to Cloud View of JPMorgan's Risk - NYTimes.com

the Federal Reserve Bank of New York in mid-2011 replaced virtually all of its roughly 40 examiners at JPMorgan Chase to bolster the team’s expertise and prevent regulators from forming cozy ties with executives, according to several current and former government officials who spoke on the condition of anonymity.

But those changes left the New York Fed’s front-line examiners without deep knowledge of JPMorgan’s operations for a brief yet critical time

Click on the following to read all of the story:  Shake-Up at New York Fed Is Said to Cloud View of JPMorgan's Risk - NYTimes.com

Chicago bank buys assets of closed Wilmette bank - chicagotribune.com

 

According to the press release, the costs to the Deposit Insurance Fund of the bank's failure was $64.1 million. Premier Bank is the 15^th bank to fail in the country this year, the agency said, and the third in Illinois.

International Bank is located at 5069 N. Broadway in Chicago with branches in Chinatown, Stone Park, Bellwood and Des Plaines.

Click on the following to read the story:  Chicago bank buys assets of closed Wilmette bank - chicagotribune.com

Which KB Farms and Funderburg Farms are being sold?

The following map was published as an advertisement in Friday, October 28, 2011 Boone County Journal.

Click on the photocopy to enlarge.

For other details see these earlier blog postings: 

http://boonecountywatchdog.blogspot.com/2011/09/funderburgs-selling-boone-county.html

http://boonecountywatchdog.blogspot.com/2011/09/schraders-auction-of-funderburg-farm.html

F.D.I.C. Sues Kerry Killinger in Washington Mutual Collapse - NYTimes.com

 

The Federal Deposit Insurance Corporation sued the former chief executive of Washington Mutual and two of his top lieutenants, accusing them of reckless lending before the 2008 collapse of what was the nation’s largest savings bank.

The civil lawsuit, seeking to recover $900 million, is the first against a major bank chief executive by the regulator and follows escalating public pressure to hold bankers accountable for actions leading up to the financial crisis.

Click on the following for more details:  F.D.I.C. Sues Kerry Killinger in Washington Mutual Collapse - NYTimes.com

JPMorgan Testifes Before Congress, Apologizes For Foreclosures and Hiking Interest Rates on Soldiers - ABC News

Servicemembers Civil Relief Act, which provides active duty soldiers, who purchased a home prior to the start of their active duty, a 6 percent cap on their mortgage interest rate and any other fees while they are on active duty and for a year after they are discharged.

Chase is working on making things "whole as soon as possible," vowing to return $2.4 million to servicemembers and their families and has taken care of 12 of the 18 foreclosures.

But as committee members pointed out, the $2.4 million settlement is miniscule compared with the funds at JPMorgan Chase's disposal.

"Morgan Chase got $25 billion in TARP funds, so for them to settle for a mere pittance of $2 million based upon not even providing economic damages to these people

Click on the following for more details:  JPMorgan Testifes Before Congress, Apologizes For Foreclosures and Hiking Interest Rates on Soldiers - ABC News

Bank Issues which received little news coverage

 

Thanks to a recent posting by City Barbs [http://www.citybarbs.com/?p=6007] this business news regarding Castle Bank has just come to light.  Much of this has not been covered by the local news media.

In June 2009 the Comptroller of the Currency [OCC] determined  that the “Bank has engaged in unsafe and unsound banking practices relating to its credit underwriting and administration, commercial real estate risk management, problem loan management, credit risk ratings, allowance for loans and lease losses, and Bank Secrecy Act program.”   OCC’s formal  “written agreement”  with Castle Bank is available at :  .http://www.occ.gov/static/enforcement-actions/ea2009-107.pdf  The various loan review and administration procedures that were required by that agreement are listed in that document.

The written agreement was signed by the Directors of the then Castle Bank, NA, DeKalb, Illinois and included the following notables:  John W. Castle (DeKalb), Jack D. Franks (Woodstock, State Representative of the 63rd District) and Herbert H. Franks (Marengo, attorney, father of Jack D.).  Mr. Castle is a long time Director of First National Bank of Omaha and First National of Nebraska, however currently (2010) he does not serve on either of those boards. The Franks  have been directors at Castle Bank since their family owned bank, First National Bank of Marengo merged with Castle Bank.  Castle Bank was founded in 1856 in Sandwich, Illinois and was owned by the Castle family for generations.

This enforcement action (EA#2009-107) was terminated on 11-1-2010; see:   http://www.occ.gov/news-issuances/news-releases/2010/nr-occ-2010-144.html .  This termination occurred after the merger of Castle Bank into First National Bank of Omaha.

Castle Bank of Illinois (current division name for the bank) has its main office in DeKalb with branches in Belvidere, DeKalb, Harvard, Huntley, Lake in the Hills, Marengo, Oswego, Plano, Sandwich, Sugar Grove, Sycamore, and Yorkville. 

Castle Bank is a division of First National Bank of Omaha, a subsidiary of First National of Nebraska. First National Bank of Omaha has 87 locations in Nebraska, Colorado, Illinois, Iowa, Kansas, South Dakota and Texas (see map), 251 ATMs, 3,500 employees and $13.7 billion in assets.

The largest privately owned banking company in the United States, Lauritzen Corporation, has controlled First National Bank of Omaha and First National of Nebraska for the past decade.   National City Corporation  and Lauritzen Corporation were the  two largest banking organizations denied TARP [Troubled Asset Recovery Program] funds in 2008 from the U.S. Treasury Department.

 

 

 

 

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TARP bailout to cost taxpayers $25 billion: CBO | Reuters

 

The U.S. Troubled Asset Relief Program, which risked up to $700 billion of government funds to bail out troubled banks and automakers, will cost taxpayers a mere $25 billion, according to an estimate released on Monday by the nonpartisan Congressional Budget Office.

Click on the following for more details:  TARP bailout to cost taxpayers $25 billion: CBO | Reuters

Small biz, banks may spurn Obama's $30B program | Seattle Times Newspaper

The $30 billion fund will be run by the Treasury Department, and money will be awarded to banks deemed strong by regulators. Banks that have less than $10 billion in assets are eligible.

"It will provide incentives to invest and create jobs for 4 million small businesses

Community banks will have to pay an annual dividend of 5 percent to the U.S. Treasury. However, when banks increase their lending to small businesses, their dividend rate declines on a sliding scale. So, if a bank increases its small-business lending portfolio by 2.5 percent, the dividend payment goes down to 4 percent and so on, ….The dividend payment increases to 7 percent if banks don't lend to small businesses.

new legislation, the government is taking steps to avoid the tarnish that accompanied TARP. The key part of this effort: Banks can return the money without penalty if rules governing the small business loans change.  But Chase, the bank CEO in Memphis, isn't convinced. "The rules can be changed any time," said Chase.

Business & Technology | Small biz, banks may spurn Obama's $30B program | Seattle Times Newspaper

Regulators close 6 banks in Ga, NJ, Ohio, Wis -

Maritime Savings Bank, based in West Allis, Wis., with assets of $350.5 million.

Click on the following for more details:  Regulators close 6 banks in Ga, NJ, Ohio, Wis - Yahoo! Finance

FDIC shuts Palos Bank and Trust; First Midwest takes over assets, deposits | Finance | Crain's Chicago Business

 

Palos Bank and Trust Co., based in Palos Heights, Ill., with $493.4 million in assets and $467.8 million in deposits. First Midwest Bank, based in Itasca, Ill., agreed to assume the assets and deposits of the failed bank.

The pace has accelerated as banks' losses mount on loans made for commercial property and development. Many companies have shut down in the recession, vacating shopping malls and office buildings financed by the loans. That has brought delinquent loan payments and defaults by commercial developers.

Click on the following for more details:  FDIC shuts Palos Bank and Trust; First Midwest takes over assets, deposits | Finance | Crain's Chicago Business

Ravenswood Bank fails, Wintrust unit is the buyer

Ravenswood Bank on Friday became the 23rd Chicago-area bank to fail since the financial crisis began claiming local banks at the start of 2009.

As of June 30, 40% of its loans were to commercial and residential developers or to investors in commercial real estate.

Ravenswood Bank fails, Wintrust unit is the buyer | Finance | Crain's Chicago Business

Madigan sues Countrywide, alleging discrimination

 

Madigan's office, which subpoenaed Countrywide in 2008, analyzed statistical data from more than 83,000 Countrywide mortgages in Illinois from 2005 to 2007 and interviewed company employees and borrowers.

It found black and Latino borrowers were three times more likely than white borrowers to receive higher-cost subprime mortgages.

The complaint alleges the company violated the Illinois Human Rights Act and the Illinois Fairness in Lending Act. It names Countrywide Financial Corp., Countrywide Home Loans Inc., and Full Spectrum Lending, Inc., a division of Countrywide.

The lawsuit seeks restitution and civil penalties of $25,000 for each violation of the Illinois Human Rights Act

Click on the following for the complete story:  Pantagraph.com | News from Associated Press

Law caps payday, car-title loan interest rates - Galesburg, IL - The Register-Mail

cap interest rates charged by consumer finance companies at 99 percent on loans under $4,000 and 36 percent on loans above that amount.

payday loans will be limited to $15.50 for every $100 borrowed over a two-week period. …will not be allowed to issue pay day loans if monthly payments will exceed 25 percent of a person’s gross monthly income.

Click on the following for more details:   Law caps payday, car-title loan interest rates - Galesburg, IL - The Register-Mail

Geithner pressed on bank losses, homeowner aid; says taxpayers recovering bailout investment - chicagotribune.com

 

Geithner told the Congressional Oversight Panel at a hearing that banks have repaid about 75 percent of the bailout money they received, and the government's investments in aided banks have brought taxpayers $21 billion. He acknowledged there likely will be a partial loss from the rescue of giant insurer American International Group Inc., into which the government plowed $182 billion.

prospects that General Motors and Chrysler will repay the nearly $60 billion in bailout money have improved.

Click on the following for more details: Geithner pressed on bank losses, homeowner aid; says taxpayers recovering bailout investment - chicagotribune.com

Amcore News from The Associated Press: FDIC loses $220 million on Amcore

 

Chicago-based Harris National Association agreed to acquire Amcore Bank's deposits….The failure of AMCORE is expected to cost the FDIC's deposit insurance fund … $220.3 million;

 

Click on the following for details about other bank failures:  News from The Associated Press

Feds seize AMCORE; Chicago’s Harris takes over - - BusinessRockford.com

Federal regulators seized AMCORE Bank at 6 p.m. today and announced that Chicago-based Harris N.A. has taken it over.

AMCORE ATM/debit cards will continue to work as normal, Schmalzer said. Same goes for direct deposit and social security payments.

FDIC's Schmalzer reassured customers that total balances have been transferred to Harris Bank and will be available without disruption.

Click on the following for more details:  Feds seize AMCORE; Chicago’s Harris takes over - - BusinessRockford.com

Harris is bidding on teetering Amcore Bank | Crain's Chicago Business

Harris N.A. has submitted a bid with the Federal Deposit Insurance Corp. to purchase all or part of Amcore Bank, according to people familiar with the matter.

It’s unclear whether Harris, Chicago’s third-largest bank, has been joined by other bidders

Harris is bidding on teetering Amcore Bank | Crain's Chicago Business

Amcore Bank may be on auction block for takeover :: The Courier News :: Local News

The end maybe soon. Many newspapers are talking about it.

Williams-Young did confirm that the FDIC recently rented office space at 200 N. Martingale Road in Schaumburg, where "as many as 500 nonpermanent staff and contractors" will work "to manage receiverships and liquidate assets from failed financial institutions, primarily located in Midwestern states."

FDIC spokeswoman LaJuan Williams-Young said Tuesday that her agency cannot comment on the situation. The comptroller of the currency and FDIC act secretively when a bank is taken over involuntarily, typically not even announcing that to the bank's employees until closing time on a Friday night.

Amcore Bank may be on auction block for takeover :: The Courier News :: Local News