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In recent months federal regulators have been speaking out on the risks that extreme weather events pose to the financial system, something their European counterparts have been doing for some time.

Read More from: BankThink

19 hours 27 min ago

Bryce VanDiver and Daniela Hawkins at Capco make the case that offering easy-to-use payment rewards is the way to win the loyalty of digital-only customers.

Read More from: BankThink

19 hours 28 min ago

United Bankshares in West Virginia was willing to pay a healthy premium for Carolina Financial, one of a dwindling number of available banks with more than $4 billion in assets.

Read More from: BankThink

19 hours 57 min ago

Stephen Calk, who faces a bribery charge in connection with loans his bank made to former Trump campaign chair Paul Manafort, is asking a judge to suppress evidence that prosecutors obtained from his mobile phone.

Read More from: BankThink

20 hours 6 min ago

COLLEGE TUITION CLAWBACKS

Hoosiers struggling with debt often continue to fund college tuition payments for adult children attending a college or university. Unfortunately, if the parents subsequently file bankruptcy, a bankruptcy trustee (“usually a Chapter 7 Trustee”) has the power to try and recover the pre-petition tuition already paid to the college from the parent debtors’ assets. This is called a “clawback”. In Indiana, this can occur within four years of filing under bankruptcy law which incorporates the longer limitations period under Indiana. The goal of the “clawback” is commonly is to recover the tuition payments to a Chapter 7 bankruptcy trustee for distribution to creditors.

RESULTING ISSUES

While there has been a split of results in the underlying bankruptcy courts supporting the parents or Chapter 7 Trustee, recently the 1st Circuit has found that because the parents do not receive a direct economic benefit that was reasonably equivalent to the tuition payments, there is a basis for recovery of the funds. The problems that then arise are (1) Is the tuition liability part of the debts that get distribution from the trustee, (2) Does the college expect to repay the amount taken by the Trustee, (3) If not received already, how does it impact received your degree or transcript?

23 hours 47 min ago
The Trump administration has just proposed a rule that declares open season on consumers for subprime lenders. The Office of Comptroller of the Currency and the Federal Deposit Insurance Corporation (on whose board the CFPB Director serves) have released parallel proposed rulemakings that will effectively allowing subprime consumer lending that is not subject to any interest rate regulation, including by unlicensed lenders.

The proposed rule provides that nonbank assignees of loans from banks may charge whatever interest rate the bank may charge. This is a regulatory implementation of the so-called “valid-when-made” doctrine, a spurious modern invention that has been rejected by the only federal court of appeals to address it

The rulemaking green lights unregulated subprime lending nationwide. In particular, allows unregulated payday lending (although it also applies to title lending, installment lending, etc.). Currently payday loans are allowed in only about half of the states, and the other half all strictly regulate it, including through restrictions on finance charges. 

Read More from: Credit Slips

1 day 2 hours ago

The 2015 decision posed new legal challenges for institutions trying to sell loans to third parties, but the federal regulatory agency proposed Monday steps for banks and debt parties to evade state interest rate caps.

Read More from: BankThink

1 day 3 hours ago

The remote deposit capture tech at the center of the dispute is used by 6,500 institutions. That may mean other institutions will have to pay licensing fees to USAA.

Read More from: BankThink

1 day 4 hours ago

Upcoming Committee Formation Meeting: Friday, November 22, 2019

Case Name: 19-12415 (MFW)

Location: Delaware State Bar Association 405 King Street, 2nd Floor Wilmington, DE 19801

Notice of Formation Meeting for Official Committee of Unsecured Creditors can be found here. See the petition for relief.

Cole Schotz does not represent the Debtor in this case. We are posting this for informational purposes only. If you have received a notice and have any questions, you should contact Debtor counsel.

1 day 6 hours ago

Upcoming Committee Formation Meeting: Friday, November 22, 2019

Case Name: 19-12415 (MFW)

Location: Delaware State Bar Association 405 King Street, 2nd Floor Wilmington, DE 19801

Notice of Formation Meeting for Official Committee of Unsecured Creditors can be found here. See the petition for relief.

Cole Schotz does not represent the Debtor in this case. We are posting this for informational purposes only. If you have received a notice and have any questions, you should contact Debtor counsel.

1 day 6 hours ago

Upcoming Committee Formation Meeting: Wednesday, November 20, 2019

Case Name: 19-12269 (KBO)

Location: Sheraton Suites 422 Delaware Avenue Wilmington, DE 19801

Notice of Formation Meeting for Official Committee of Unsecured Creditors can be found here. See the petition for relief.

Cole Schotz does not represent the Debtor in this case. We are posting this for informational purposes only. If you have received a notice and have any questions, you should contact Debtor counsel.

1 day 6 hours ago

Upcoming Committee Formation Meeting: Wednesday, November 20, 2019

Case Name: 19-12269 (KBO)

Location: Sheraton Suites 422 Delaware Avenue Wilmington, DE 19801

Notice of Formation Meeting for Official Committee of Unsecured Creditors can be found here. See the petition for relief.

Cole Schotz does not represent the Debtor in this case. We are posting this for informational purposes only. If you have received a notice and have any questions, you should contact Debtor counsel.

1 day 6 hours ago

The company will pay $1.1 billion for Carolina Financial in Charleston, S.C., in a deal that will add nearly $5 billion in assets.

Read More from: BankThink

1 day 6 hours ago

On Jun. 30, 2019. Dollars in thousands.

Read More from: BankThink

1 day 6 hours ago

On Jun. 30, 2019. Dollars in thousands.

Read More from: BankThink

1 day 6 hours ago

On Jun. 30, 2019. Dollars in thousands.

Read More from: BankThink

1 day 7 hours ago

Sometimes declaring bankruptcy is the only way to deal with crippling debt, but some people may wonder which stage in their life would be best for declaring bankruptcy. Bankruptcy, although it can be a solution, does have some consequences that can affect personal finances, such as a lower credit score. While there is no ideal […]

The post When Is the Best Age to File for Bankruptcy in Pennsylvania? appeared first on .

Read More from: Young, Marr & Associates

1 day 7 hours ago

How to foster an innovative and proactive approach to digital engagement that educates and guides members while minimizing friction

Read More from: BankThink

1 day 7 hours ago

Former Comptroller Thomas Curry, who initially proposed the special charter now blocked by a judge, calls on policymakers to find another way to regulate financial tech startups.

Read More from: BankThink

1 day 7 hours ago

It’s only a matter of time before Silicon Valley “overturns more complex banking functions”; banks would have to help FinCEN identify suspicious firearms sales.

Read More from: BankThink

1 day 8 hours ago

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