| Debt management programs help consumers
NEW YORK—Consumers struggling to keep up with higher gas prices and other rising household expenses have been pulling out their credit cards more often—sometimes too often. Credit counselors report a sharp rise in the number of families seeking help, many of whom end up on belt-tightening budgets and debt management programs to pay down their balances. "People are using their credit cards because they don't have enough money to make it day-to-day," said Howard Dvorkin, president of the nonprofit Consolidated Credit Counseling Service in Fort Lauderdale, Fla. "It's driving the American consumer deeper and deeper into debt." What happens, he says, is that "eventually they hit a wall—and then they call me." And they're calling in increasing numbers. Susan C. Keating, president and chief executive of the National Foundation for Credit Counseling, said the nonprofit counseling agencies in her organization dealt with a million consumers in 2005, 2.2 million in 2006 and are on their way toward seeing a record 2.8 million this year.
BMO takes $320M in debt-market writedowns, $185M MasterCard loyalty hit
TORONTO - The Bank of Montreal (TSX:BMO) said Friday it is booking $320 million in writedowns arising from disorder in world credit markets, joining the list of big banks hurt by the collapse of the U.S. subprime mortgage market. BMO said those charges, to be booked in the fourth quarter ended Oct. 31, are expected to amount to $210 million after tax. The "valuation adjustments" at BMO Capital Markets include $170 million on trading and structured credit-related positions and preferred shares, $135 million on Canadian asset-backed commercial paper and $15 million on Links Finance Corp. and Parkland Finance Corp. structured investment vehicles. The SIV writedown represents 21 per cent of BMO's $70-million investment in Links and Parkland.
Reports: $4B in Countrywide debt might be sold
Holders of convertible senior notes issued by Countrywide Financial Corp. worth $4 billion might sell off the debt, according to media reports. Countrywide would not receive any of the proceeds from the potential sale. The debt was issued in May and would be due in 2037. According to Marketwatch, the sellers include the Waterstone Market Neutral Master Fund, the Stark Master Fund and Oz Special Funding. Calabasas-based Countrywide (NYSE: CFC) is the nation's largest mortgage lender. Published November 16, 2007 by Los Angeles Business from bizjournals .
Crime and Courts -- Urbandale
3769 86th St., Nov. 6 - An employee at Appare Japanese Steakhouse was charged with five counts of credit card forgery after he reportedly ran extra charges on customers' credit cards.
6400 block of Madison Avenue, Nov. 6 - A window on a vehicle was reportedly broken out.
7400 block of Plum Drive, Nov. 6 - A car window was reportedly smashed, and a CD player was stolen.
4600 block of Lockner Drive, Nov. 6 - A portable DVD/video player valued at $500 was reported stolen from a vehicle.
7400 block of Plum Drive, Nov. 6 - A driver's side window on a vehicle was reportedly smashed and a CD player and CD case with 60 CDs were stolen.
3500 block of Ashwood Drive, Nov. 6 - Tires were reportedly slashed on a construction trailer.
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