Bankruptcy Blogs

Auto Title Lending: Exploding Toasters

05/18/16

The CFPB has a new report out on auto title lending, and the findings are jaw-dropping. If ever there was a consumer financial product that looks like an exploding toaster, it is an auto title loan.  Default rates on auto title loans are one in three, with one in five resulting in a repossession.

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Silver Buyer Facing Sanctions Is One of Many Layers to Mint’s Bankruptcy

05/18/16

The silver that Jeffrey Mark McMeel bought from Northwest Territorial Mint never arrived to his home in Washington, but the unorthodox method he chose to protect his investment has him facing sanctions in a Seattle courtroom on Friday.

Since Northwest Territorial Mint filed for bankruptcy on April 1, Mr. McMeel filed a set of disconnected documents not based on traditional law but on his own, improvised legal theories.

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Older Adults: Still a Quicker Path to Profits than Millennials

05/18/16

For a more immediate payoff, community banks should focus marketing on older customers that are facing a new set of economic pressures.

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Morning Scan: JPMorgan Seals Off Swift Security Holes; Title Lenders Targeted?

05/18/16

Wall Street Journal

JPMorgan Chase is trying to seal off potential gaps in its security system by limiting which employees can access Swift. Unnamed sources said JPMorgan began reducing employee access in recent weeks.

The move comes after two Asian banks were breached through the use of Swift's global interbank messaging service. ...

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McKinsey Disclosures Inadequate, Justice Department Says

05/18/16

[wsj-responsive-image P="//art.wsj.net/api/photos/33346776/smartcrop?height=499&width=749" J="//art.wsj.net/api/photos/33346776/smartcrop?height=639&width=959" M="//art.wsj.net/api/photos/33346776/smartcrop?height=853&width=1280" caption="A Caterpillar Inc. D10R Crawler Tractor bulldozer moves coal at an Alpha Natural Resources Inc. coal preparation plant in Logan County near Yolyn, W.V. The Justice Department says McKinsey can't advise Alpha." credit="Bloomberg News" placement="Inline" suppressEnlarge="false" ]

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Make Camels Ratings Public Already

05/17/16

Requiring the bank regulators to disclose the numerical grades they give for capital, assets and other factors would subject them to the same market discipline they demand for banks.

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Google's Payday Ad Ban: Smart Move, But It Can Do Better

05/17/16

Google should be applauded for deciding to ban payday loan-sponsored ads. But it should tweak some of the details so legitimate lenders can still advertise.

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Morning Scan: Laplanche's Final Days at Lending Club; Treasury Market Watchdog

05/17/16

Receiving Wide Coverage ...

Laplanche's Selective Disclosure: The Justice Department would like to have a few minutes with the founder of LendingClub, and a few of his former colleagues at the online marketplace lender. A DOJ grand jury subpoenaed the company on Monday, LendingClub said in a regulatory filing, without disclosing details of the nature of the subpoena. LendingClub said it's cooperating. LendingClub also said Monday it's looking for additional funding for its loans. ...

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Oil and Gas Company SandRidge Enters Chapter 11

05/17/16

[wsj-responsive-image P="//art.wsj.net/api/photos/37530272/smartcrop?height=499&width=749" J="//art.wsj.net/api/photos/37530272/smartcrop?height=639&width=959" M="//art.wsj.net/api/photos/37530272/smartcrop?height=853&width=1280"credit="Reuters" placement="Inline" suppressEnlarge="false" ]

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Another Wave of Standard Register Company Preference Actions Filed

05/16/16

From May 11 to May 13, 2016, SRC Liquidation, LLC International Holdings, LLC (“Liquidating Debtor”), unleashed yet another wave of preference actions, filing approximately 257 additional complaints seeking the avoidance and recovery of allegedly preferential and fraudulent transfers under Sections 547 and 550 of the Bankruptcy Code.  The Liquidating Debtor also seeks to disallow claims of such preference defendants under Sections 502(d) and (j) of the Bankruptcy Code.

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