Household HSBC Watch

Sun Feb 20, 2005 10:49 am      

Consumer watchdog organization Household - HSBC Watch witnessed changes in class action legislation with mixed emotion yesterday. Consumers need to know that Household International was, and is, a major supporter of these changes and worked hard through lobbying efforts and personal contact to put this legislation through.
President George W. Bush on Friday signed a landmark bill that makes it easier for defendants to move multimillion-dollar class action lawsuits to federal court.

“The Class Action Fairness Act of 2005 marks a critical step toward ending the lawsuit culture in our country,” Bush said at his first bill signing ceremony this year in the East Room of the White House.

The bill was a victory for the business lobby, which has spent millions of dollars in a seven-year campaign to prevent plaintiffs’ lawyers from shopping among local jurisdictions in search of big awards.

Under the legislation, class-action suits would be removed from state courts if the aggregate claims are more than 5 million dollars.

The procedural change could have substantive implications because federal courts traditionally have been less sympathetic to class-action cases waged by plaintiffs.

The bill was part of a broader White House campaign to impose rules designed to limit class-action suits, which Bush has described as often frivolous.

“We’re making important progress toward a better legal system,"Bush said. “There’s more to do.”

Household - HSBC Watch likens this legislation to the fox in the hen house, where Household International, and now HSBC, abuse Americans through predatory lending tactics, binding arbitration clauses which border on illegal and oppressive, while petitioning the White House, congress, and the senate for permission to get away with it. Household - HSBC Watch is preparing a letter which you can send to your legislators. Although the legislation passed and was signed by President Bush it does not mean that other elected officials should be re-elected after voting for the measure.

Sun Feb 20, 2005 5:40 pm      

When huge corporations like Household and Enron are pocketing money illegally they have all the cash they need to spend on politics. They prey on the people and then wax charming to the greed of our politicians. It does not surprise me that Aldinger has Bush in his pocket along with money stolen from honest hard working people. Bush is a Christian. Give me a break!!!

Sun Feb 20, 2005 10:19 pm      

While federal courts must hear cases which meet certain guidelines the measure also means that State Attorney's General and other regulators must bear the responsibility for doing their jobs. Remember, the $484 million nationwide settlement was not a class action. It was an effort on the part of attorney's general. Now the pressure is on for them to take action again.

Most disturbing are reports that each state has many complaints about HSBC (formerly Household) about predatory lending, delays in payment processing, etc. Another disturbing trend is that people write to their attorney general, but never receive a reply. Also, if you check with the FTC today they will tell you they don't have enough complaints to go forward against Best Buy with an action. Why not?

People complain here, at ripoffreports, and other websites. Consumers report their trends to Household Watch. But they do not take the time to file an FTC complaint against the merchant. The FTC link is at the top of this page, under "Regulators." For five years Household Watch told everyone who submitted a complaint that they should file an FTC complaint against the merchant, an OCC complaint against Household, etc. It is very frustrating. Household, now HSBC Finance Corporation, continues to abuse consumers as they have for over 10 years. Best Buy continues to abuse consumers through Household - HSBC. And the FTC doesn't have enough to go forward. Does the Justice Department have enough? Does the Postal Service have enough for mail fraud? Does the FBI have enough RICO tips?

The bottom line is that the consumer must fight back, take time to file complaints, write a letter or two, contact their attorney general, and ensure that they get a reply and a follow-up. Aldinger knows it is not happening. Bush has a distorted picture of what is happening. Household Watch will write letters and offer them to website visitors. Watch for them soon. Please use them, and use the resources found on this website.

Mon Feb 21, 2005 8:47 pm      

Seems Hoousehold International - HSBC is not the alone in supporting Bush's position on class action suits. Herein lies the rub - HSBC Finance Corporationa and William Aldinger receive the protections afforded to others while perpetrating predatory lending. Here is the statement from the U.S. Chamber of Commerce:

Frivolous lawsuits are on the rise and are having a devastating effect on our small businesses. While small companies take in 25% of America’s business revenue, they bear 68% of business tort costs—a staggering $88 billion!

America's legal crisis is crippling companies, driving down shareholder value, putting employees out of work, raising consumer prices and making a handful of plaintiffs' lawyers millionaires overnight.

Here’s the bottom line: A single frivolous lawsuit can ruin a business, small or large. The good news is that we are fighting back- in Congress, in the states and in the courts. Together we can work to make America's civil justice system simpler, fairer and faster for all by enacting meaningful class action reform.

The Class Action Fairness Act is a moderate, well-measured bill that will ensure a simpler, fairer, and faster legal system by:

Helping move large, multi-state class action lawsuits from state to federal court, preventing widespread "venue shopping" by trial lawyers.

Limit settlements in which class members actually lose money to pay attorneys’ fees.

Ensuring the fair and even distribution of damage awards to all plaintiffs.

Helping protect class members from getting coupons of little or no value while attorneys make millions of dollars.

Wed Oct 26, 2005 8:08 pm      

October 25, 2005

To whom this may concern:

Household Finance (Mortgage, commonly known as HSBC) has effectively ruined the equity in my home, making it impossible for me to refinance. They are what is known as a predatory lender and take advantage of people who are going through rough financial times by selling them outlandish loans by unscrupulous means, knowing full well that the borrowers won't be able to pay them off. They prey on the poor, down-on-their-luck people deliberately. This statement is not only shared with me, but by homeowners across the entire United States.

Although my original mortgage was not with Household Mortgage, my loan was sold to Household Mortgage two months after I had financed my home with Fieldstone Mortgage in July, 2001. I have included my personal statement that was sent to Wells Fargo in hopes of getting my home refinanced. At that time, I financed a principal amount of $87,183.69.

I am attaching my stipulation agreement that was put together for me by Household Mortgage to cure my default (see personal statement). I have paid $27,983.69 from November 5, 2004 to the current date of October 25, 2005. This does not include from July 2001 to November 2004, nor does it include the $19,734.56 I put down on the original loan. I have worked two full time jobs the majority of the year and have had no outside financial resources to draw from.

I was told by two different loan institutions that if I could get my credit score raised and have equity in the home, I could be refinanced. I raised my score in less than one year from 420 to 605. When it got down to (twice) on closing with a new lender, they requested payment and account information from Household of how they arrived at the payoff amount. To this date since May, 2005, this information has not been received. Both underwriters at these two institutions have said they know I am getting taken advantage of and that less than 1,000 out of the $27,983.69 that I have paid has been applied properly. I have hired now three different attorneys that have not been able to help me. The first attorney I went to I made copies of all of my documentation and said my payoff should be around 87,000. The other two attorneys I still have currently, however they can’t seem to get anywhere on getting this straightened out although they at least are trying. To this date, Household still says they show a payoff of 107,000 and refuses to send any proper documentation.

I have told Wells Fargo (the 2nd lender) numerous times at this point, I just want refinanced and to pay Household off so I can at least get out from underneath such an unethical company. I will sue Household after we close.







These are just a few items within the past year that have happened with Household.

Every month I have to overnight and certify check my payments. I have documentation proof that they wait and cash my payments after my due date so that they can charge me every month 2 late fees of $37.68 apiece. I have sent Household the backs of the checks and they have not ever corrected this.

I get called at work when I have been asked not to be called. I explain that I have a stipulation agreement. The majority of the time they can’t find the documentation on it, even though I have asked for it to be documented and have asked not to be called at work.

Household hires door taggers – that is the only way I can describe it. They have shown up on various weeks and put door tags on my door telling me to call into Household Mortgage immediately. I call the Household Mortgage number only to find out that I shouldn’t have received them.

Since I have had an attorney, the door tags have gotten more frequent. I have adhered to all payment arrangements and I am still getting harassed.

3 times in the past year, they haven’t been able to find where my payments have gone to and have wrongfully foreclosed on me. I have had process servers show up at my door. The last one came back a day later and said I shouldn’t have been served and wanted the foreclosure papers back. All three cases have been dismissed without prejudice and I have been told it was a computer error. I have called their attorney firm in Chicago and was told that if they were subpoenaed they would testify on my behalf. They claim that Household just calls them up and says to foreclose without any documentation. Twice now, I have had to provide Household with copies of all of my checks including delivery receipts and who has signed for my check. On top of that, they have charged me for all 3 foreclosures on my account.

I know that I have money in escrow – but yet they show $.90, but they paid my taxes, and charged my account for the taxes for the past two years. The taxes amount of 4,800.00 , however they charged my account for $6,005.98.

Household (twice) in the past year has hired someone to do a property inspection and charges me over $500.00 in fees each time (without my permission). Wells Fargo calls it a drive-by.

They also have listed my house on a foreclosure website when it isn’t in foreclosure that could be purchased for $87,000 but yet I owe $107,000?





I understand totally how mortgage companies should have rights also, however, what about us (myself) that are doing everything that we promised and yet we are being taken advantage of, because we have no choice? No lender wants to touch my loan even though I have been told I have a solid file and that if I wasn’t with Household that I wouldn’t have to go to any great lengths to get this refinanced. Household has refused to correct and update my statements to reflect my current payment status but think about it. Why would they want to? When they have someone averaging paying them $2,543.97 per month, along with over $40,000 worth of equity in the house. That’s a no brainer for them.

I have been given numerous pieces of advice to just try and move forward and get refinanced, get out from underneath Household which is fine but after many sleepless nights, maybe my goal in life is something different so this is what I have decided.

I want Household Mortgage to be held accountable not only to me but the citizens of the state of Illinois along with anywhere that conduct business in. (Documentation is attached of law suits against Household in Illinois and the entire US)

I am pursuing starting in January my law degree. After I graduate one of my goals is to make my specialty in real estate law for consumers, because they are very few attorneys out there that will help people in this situation. I will also not charge for my services if someone is below a certain income level nor is a single parent such as myself. I know for a fact what all of this is like and you have no one to help you. I have been turned down by at least 10 attorneys that didn’t feel equipped to go after this mortgage giant. I also know this information from the many months that I have researched law suits and consumers that have similar war stories to tell about losing their home to Household Mortgage or various stories such as mine. In the meantime I am creating a website so that all consumers can unite as one and fight together against predatory lenders such as HSBC.

I want stricter laws in Illinois and the entire US for Mortgage companies. I want them to be held accountable for their actions. It’s not right that Household Mortgage is continually allowed to do this. What about the people that works for Household? Should they be held criminally and civilly liable for their actions? They are stealing from the consumers and have been allowed to get away with it.

I want you to fight with me against HSBC and help myself and all consumers get justice along with repayment of what has been taken from them. I will keep fighting this fight the rest of my life after what has happened to not only myself but all the people that have dealt with HSBC. The only thing that all homeowners will never get back is the amount of sadness that someone such as HSBC has created for them.

I can be reached at my office at (309) 689-6313 or my cell phone at (309) 231-5931. I will meet with you anytime at your convenience to discuss this in further detail.





Respectfully,




Michelle A. Nelson
2317 W. Pintura Court
Peoria, Il. 61614