Will Washington Mutual Soon Exit Bankruptcy?

Will Washington Mutual Soon Exit Bankruptcy? This has been a question many American consumers have been asking themselves. With many of the financial giants reporting huge profits in the past couple of quarters, most are wondering if those running WaMu are incompetent or just playing a very good game of hide and seek.

What is known is that WaMu filed for bankruptcy protection in September 26, 2008 and it was sold to JP Morgan for $1.9 billion the next day. At that time this financial institution had $188 billion in assets and most thought that JP Morgan’s deal was unfair paying only 10 cents on the dollar.

This past month WaMu has proposed a new strategy to pay off some of the smaller creditors $700 million that are owed them. This will move them one step closer to being solvent.

The reason for the long stall in emerging from bankruptcy is speculation of insider trading involving hedge funds since the 2008 filing.

There are many that believe those listed by the FDIC as possible involvement in insider trading should not be released for liability in the matter, but it looks like it will happen.

For the America consumer the Washington Mutual Online Banking system has never missed a beat and is still widely used by their customers.

What is amazing is that last year the CEO of JP Morgan received the largest bonus in the industry at $17 million. Since the acquisition of WaMu, JP Morgan has reported profits of $11.73 billion in 2009 and $17.37 billion for 2010. Not bad for a company that has one of its main sectors in bankruptcy.

It is not a question of will Washington Mutual soon exit bankruptcy, but how many of its creditors will finally be paid.

Washington Mutual Mortgage Foreclosures

All of the Washington Mutual mortgage foreclosures are now being handled by Chase.  This is due to the failure of Washington Mutual in 2008. At the Chase website, homeowners with a mortgage from WaMu can find the necessary assistance to help them keep their homes. All Washington Mutual Online Banking has also been transferred to the Chase online banking website.

The US government saw that the WaMu bank was failing due to people being unable or unwilling to pay back their loans, mortgages and credit card debt to the point the bank was failing. The US regulators stepped in and seized control of the bank in September of 2008, and forced the sale of this financial institution.

JPMorgan Chase purchased WaMu for $1.9 billion which ended this bank’s 119 years of independence. When this occurred, Washington Mutual had $327 billion in assets and was the largest bank failure in US history.

At the present time, there is a moratorium on foreclosures at Chase. If you still have a WaMu mortgage and are worried about foreclosure, the professionals at Chase have set up a program to assist you.

The problem that caused the downfall of WaMu was their subprime lending. This, in essence, was giving customers larger loans at lower interest rates that could not afford them. This is why so many of them defaulted on their loans.

The ten day run on this bank, where customers withdrew $16.7 billion, was the trigger that required government intervention.  

If you are in need of assistance, all Washington Mutual mortgage foreclosures are being handled by Chase. Please contact them for any further assistance.

Washington Mutual FHA Loan Mortgage Rates

Here at Savings Accounts 411, we keep track of Washington Mutual Online Banking, including mortgage loans and other aspects now that the bank has been bought out by JP Morgan Chase.

First, what is an FHA loan and why would you consider a Washington Mutual FHA loan?

Most Federal Housing Administration loans are made to people who have little equity in their existing home (for refinance) or don’t have much of a down payment, but have good enough credit to qualify for a home mortgage. The FHA doesn’t actually make the loan, but gives insurance on the mortgage to the lender (the bank).

So if you have an existing home you’d like to modify or refinance or are looking to purchase a home, but don’t have a large enough down payment for many lenders, then a Washington Mutual FHA mortgage might be your answer.

Most WaMu FHA loan rates are dependent on your having at least 3.5% in down payment, but the FHA process allows this to come from sources other than your own savings (as a gift or grant, for instance).

If you are already in a home and looking for a Washington Mutual FHA loan to refinance to avoid foreclosure or other problems, there is also help. Those at risk of losing their home to foreclosure can usually use FHA to work with the bank to refinance and avoid negative action.

If you are interested in what WaMu FHA loan rates can do for you, talk to a financial adviser about your situation and see if a Washington Mutual FHA mortgage can help you.

Washington Mutual Bonds

Here at Washington Mutual Online Banking, we really haven’t covered the bond issue, which appeared and became a controversy after the FDIC’s seizure and sale of Washington Mutual to JP Morgan Chase. Bond holders – those who held bond shares in WaMu’s corporation – were seemingly left out to dry after the closure of Washington Mutual by the FDIC.

“JP Morgan Chase acquired the assets, assumed the qualified financial contracts and made payment of $1.9 billion. Claims by equity, subordinated and senior debt holders were not acquired.” This statement by the FDIC upon the seizure and sale of WaMu made it fairly clear that bond holders, as “equity holders,” would not be repaid.

During the proceeding Washington Mutual bonds debates and lawsuits, however, some concessions had to be made. Many questioned the legality of the seizure and sale of Washington Mutual and none more loudly than the WaMu bonds holders who were expected to count their investment as a total loss. Meanwhile, the hollow corporation left behind as Washington Mutual was (or at least felt that they were) still liable to the holders of Washington Mutual bonds.

Earlier this year, in March, money still disputed two years after the seizure was brought to the fore again, totaling about $4 billion. This money is claimed by JP Morgan Chase, by the FDIC, and by the leftover Washington Mutual corporation. WaMu asked the bankruptcy judge to leave the money in their hands so that they could pay off their primary creditors, who are those with bonds with Washington Mutual.

Added to those original bond holders are new ones, mostly lawyers, who are working on this bond issue case and whose WaMu bonds are another very high corporate debt total.

Washington Mutual Platinum Card

Today at Savings Accounts 411, we’re going to look at the Washington Mutual Platinum card.

The WaMu platinum card works just like any other credit card: you charge something, get a bill at the end of your statement and either you pay it off or you pay part of it off. There are quite a few selling points to this card:

No annual fee.

If you’ve got good credit, or even decent credit, there is no reason you should ever pay an annual fee for a credit card. With all the different options today for credit cards, even rewards cards that pay you back and don’t have any annual fees, even with the card moving to Chase Bank, there’s no fee.

Free access to your FICO credit score.

This was by far many people’s favorite aspect of the WaMu Platinum card. Now that Chase Bank has the accounts, this is no longer being offered. Too bad, because if you wanted to check your credit score, all you have to do is jump online at their site, and there your credit score was displayed. They used to also send you alerts if your credit score varies 20 points or more. Chase charges for this.

There are also different perks to this card: a customized spending profile that tells you where you’ve spent money at, report builder that creates a report of your credit card activity within the last 17 months, and a budget calculator. All are complimentary with your online credit card services. All of these things from the old Washington Mutual platinum card are still there with Chase Bank.

Washington Mutual Bankruptcy Plan

After the (much disputed) seizure of Washington Mutual’s assets and selloff to JP Morgan Chase (Chase Bank), what’s left of Washington Mutual has been in legal battles over who gets paid what. The WaMu bankruptcy has been one of the most-contested in the nation following one of the largest bank failures in the U.S.

A new Washington Mutual bankruptcy plan has been offered in which $7 billion would be returned to creditors. The problem now is getting the FDIC to go along with the plan. The FDIC, in turn, must get Chase to agree to a modification of its terms for the buyout and original bankruptcy and Washington Mutual assets trade.

Some blame the whole boondoggle on WaMu, others on Chase for grabbing too fast, and still others on the government for being too hasty in their seizure and forced Washington Mutual bankruptcy. Whoever gets the blame doesn’t matter much since the final outcome is the same: it all needs to finish.

The trouble is, there are billions at stake, so no one is willing to just back off. WaMu’s contention has been that many of the assets taken from them were not part of the banking that the FDIC seized while Chase has said that those assets were part of the buyout deal they penned with the FDIC. So nearly $7 billion sits in limbo and has for more than 18 months.

The FDIC has said they are considering the new plan, but JP Morgan Chase has made it clear that they don’t support the new Washington Mutual bankruptcy plan.

In the end, billions of dollars and creditors who’ve waited almost two years to be repaid hang in the balance.

Washington Mutual Online Review

Washington Mutual was acquired by JPMorgan Chase in 2008. The company now functions as a division of JP Morgan Chase. As WaMu is now JP Morgan, it does not maintain its own website. Washington Mutual online is now JP Morgan online and offers the services of its parent.

JP Morgan has a huge website with great online features. It has a user friendly Graphic User Interface that enables people to find information on all products and services offered by the company. JP Morgan Chase website offers a complete online banking environment and customers can easily scroll through all the details to reach their respective financial solutions.

WaMu online, now working under its parent’s website and under JPMorgan name, offers a diverse range of checking and savings accounts. All of these accounts can be opened on the company website. There is a simple procedure of completing online forms and using credit cards to deposit the minimum balance required for these accounts.

Washington Mutual online banking also collects credit card bill payments and other dues. Customers simply have to enter their pin and passwords to start the payment procedure. Customers can also access their account details, ask for detailed statements and change their preferences, including the way checks are cashed.

There is a large lending section of the website that offers detailed information and services on loans and mortgage. Insurance offers are also included on the website. Brokerage and investment sections of JP Morgan website are great for people that are planning to invest in the stock markets.

Washington Mutual Complaints

Today at Savings Accounts 411, we’re going to take a different approach and look at WaMu complaints.

Washington Mutual failure was the largest in the financial history of the United States. It caused a major stir in the financial industry and was about to disrupt the normal financial dealings when a major disaster was averted by FDIC. The company has been acquired by JP Morgan Chase and has formally ceased to exist. Its schemes and accounts are still active through its parent and customers still have many complaints about the company. Washington Mutual complaints are related to a number of factors from mortgage to malfunctioning accounts and other issues.

Most of these complaints about Washington Mutual were filed before the bankruptcy filing but some have also been filed last year and in recent months. People are filing so many complaints about many issues after the bankruptcy and acquisition of WaMu that it has been taking a while for the new owners to sort out the mess.

WaMu complaints are now dealt by JP Morgan and in some cases, by the judges especially if lawsuits have been brought up against the company. General complaints can be amicably resolved by interacting with the current owner of WaMu. There has been an online feature available on the company website that can be used by customers to register their complaints. They can also use the call center of the company to file complaints and they can also do this on the company website. They will find some way to find solutions to their problems.

Washington Mutual Files Chapter 11 Bankruptcy

Recently, the last of the corporate entities that were Washington Mutual filed for chapter 11 bankruptcy. We here at Savings Accounts 411 knew we should cover this story for you so you’d be appraised of the latest.

Washington Mutual bankruptcy has many new secrets to unveil. The company has recently filed a Chapter 11 reorganization plan with the FDIC. The company has resolved a $4 billion dispute with its parent JPMorgan Chase & Co. The plan, details of which are yet to be revealed in detail and which has to approved by a judge, will create a $7 billion trust fund for paying creditors. JP Morgan Chase has already claimed $4 billion from the trust fund, in deposit accounts.

WaMu files bankruptcy reorganization plan in conjunction with the recent changes at the company. JPMorgan has already agreed to turn over the $4 billion to WaMu under an agreement whereby WaMu will refund up to 70 percent from the tax refunds that are expected from the company’s prior operating losses. The total value is currently estimated at approximately $3 billion.

WaMu will get a 40 percent share of tax refunds from the operating losses incurred during the second round. Total value of the refund is currently estimated to be around $2.6 billion. FDIC will take control of the remaining 60 percent of the refunds.

Chase buys Washington Mutual, this headline shocked the world in 2008 after WaMu filed for Chapter 11 bankruptcy. JPMorgan purchased the company for $1.9 billion from FDIC as the regulator had taken control of WaMu’s assets by then. The failure was the largest in the American banking industry and WaMu has since lost its financial credibility.

Washington Mutual Bank Online

Today, we’re having another fresh look at Washington Mutual Bank online here at Savings Accounts 411.

Washington Mutual has been acquired by JP Morgan Chase and now the online banking services of WaMu are essentially the services offered by the Chase Bank. JP Morgan is a premium bank of the United States and has expanded its business in recent years. The bank now offers a complete online banking services where customers do not need to visit their local branches as they can do all the transactions over the company website.

WaMu Online services can be divided into its banking and loan sections. General banking and saving plans of JP Morgan Chase include a multitude of services. Most popular among these plans are the general checking accounts and the savings accounts. Both of these accounts can be opened on the company website by following the standard procedures.

Washington Mutual online services can be used to open certificates of deposit accounts where customers have the option to benefit from the highest possible profits. Money market accounts with higher yields are also available on the company website. People can open these accounts by following the same procedures that regulate the savings and checking accounts.

The company website has a friendly user interface with well-defined features and customer assistance helpline. An online chat feature is also available that can be used to interact directly with company representatives. The company has started offering mobile services where customers can access their accounts on their cell phones and can complete transactions as well as open new accounts.