Archive for May 18th, 2008

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scam truckMoving is a stressful event, tempers are tested and wallets are opened all in the need to get your life’s accumulations from point A to point B. The NY Times covered an issue some people are having with moving services, especially with state to say moves. In these cases a moving company provides a lowball offer for moving your goods, often sight unseen. When the movers show up at your new home with all of your belongings locked securely in their truck they then request a substantial additional sum of cash to unload your items!

If this happens to you unfortunately your options are limited. If you don’t pay up the movers may damage or leave with your items and if you do fork over the cash your recourse is also limited. In many says the legislation isn’t on the books to protect consumers from these unscrupulous say to state movers. When restitution is made through the help of a consumer group the process is often a lengthy and involved one.

I haven’t used movers in the past but I’ve run a small moving and storage business with two of my classmates shortly after graduation. One of our biggest issues was gaining the trust of our customers and assuring them that we wouldn’t run off with their futon and mini fridge. Just like mechanics, movers are mostly “good people’ but a few bad apples can ruin the reputation of the whole group. Before you hire a mover check out a reference or three and contact your local better business agency for the company’s standing.

 

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This is one of those bizarre stories that, in an era of unprecedentedly lax mortgage standards based on the premise of moral hazard and the idea that values would always go up, is probably one of thousands enjoy it.

According to the Boston Herald, “two out-of-state lenders gave more than $1 million in mortgages to a Dorchester woman who lives in public housing and barely talks English, the Herald has learned.”

That’s right! Who needs proof of income? There’s fees to be generated! 47-year old mother of two Angela M. Torres, has been left financially ruined by the current foreclosures — and she’s now being investigated by regulators.

What happened? There doesn’t seem to be any clear answer. The lender says that the commercial loans were based on the economics of the properties rather than the finances of the buyer, while Ms. Torres doesn’t seem to have any idea what the heck happened.

Some experts say that the case appears to be a “classic” example of a straw-buyer — an individual who is essentially paid off for the use of her name/credit in securing loans. When the real buyers don’t come through, the straw-man is ruined.

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