AARP (and related discussions on Swiss Franc loans) (II)

Thomas Smith2 said:Has anyone here actually "sold" their claims against a bank to some outfit like "Debt Recovery Inc."?
What’s the deal with them? Any horror stories?
Found this ad on their site:

"Did you take out a Swiss Franc Loan from a bank between 2004 and 2008?

You might be entitled to a refund for overpaid interest and the exchange rate difference!

We buy your claims against banks. We take on all the risk of litigation and chasing the bank for payment—IMMEDIATE PAYOUT!

We exclusively purchase claims related to unconvertible, non-litigated, and fully repaid Swiss Franc bank loans!"

I'm curious about this too. :-)

Chris Fowler4 said:I'm curious about this too. :-)

I mean, why would anyone even bother unless they were in a massive rush to get some quick cash, right?
These guys probably buy up debt at a 20-30% discount, just like they pick up assets from big banks like JPMorgan Chase, and then they just drag out the legal battles—the longer it takes, the better for them, since interest keeps piling up and they'll likely win in court eventually.
If that wasn't the plan, I suppose they'd be buying up those converted loans as well.

Back in 2005, I took out an auto loan in Swiss Francs through Porsche Financial Services—direct from the leasing company, which was allowed back then before the Federal Reserve stepped in to ban that kind of lending—and I paid it off in full by 2010. They hiked the interest rate twice, if I recall correctly, though they didn't even bother specifying the new rates in the notices. Do I have any chance here? What kind of paperwork am I going to need?

Peter Palmer said:Look, if $5,000 or $6,000 isn't worth anything to you, then don't bother.

Where did that number come from? My math must be off. We took out a Swiss Franc Loan back in 2007 for $20,000 $0.00. Paid it off over seven years.
The bank sent us the paperwork, and now we're trying to figure out how much we actually overpaid just to see if a lawsuit is even worth it.
Our estimate puts it at roughly $4,000 $0.00. Then there's the lawyer...
What's the right way to calculate this? Are there any decent calculators online?

Look, by the time the court actually hands down a ruling, you’ll probably owe double that initial 20 $0.00 once those variable interest rates kick in—not even counting the legal fees and court costs the bank will be footing. We're pulling the trigger on our own case, too. We hired an attorney who already went after the bank for all the paperwork. She’s got it now, and she’s handed everything over to an expert to nail down the exact figure for the lawsuit.

Susan Patel55 said:Look, by the time the court actually hands down a ruling, you’ll probably owe double that initial 20 $0.00 once those variable interest rates kick in—not even counting the legal fees and court costs the bank will be footing. We're pulling the trigger on our own case, too. We hired an attorney who already went after the bank for all the paperwork. She’s got it now, and she’s handed everything over to an expert to nail down the exact figure for the lawsuit.

Hasn't the statute of limitations on interest expired yet? I saw someone mentioning it in an AARP group on Facebook.

I don't quite get the full picture myself, but from what I gather, you might be able to sue to have the entire contract declared void. AARP mentioned that you can still challenge the interest rates, though you'll need to hash out the specifics with your lawyer. I haven't even reached the stage of filing a lawsuit with my attorney yet, so I don't have all the answers, but I should know more in a few days. But look, let’s say you only sue over the currency aspect—your win is basically a lock, including all those late fees. Even the legal and court costs? The bank will end up footing that bill at the end of the dispute. Plus, you pay your lawyer as you go; it's not like you have to cough up one massive lump sum right out of the gate. Either way, if your loan hasn't been converted, you seriously need to find a lawyer and sue.

Susan Patel55 said:I don't quite get the full picture myself, but from what I gather, you might be able to sue to have the entire contract declared void. AARP mentioned that you can still challenge the interest rates, though you'll need to hash out the specifics with your lawyer. I haven't even reached the stage of filing a lawsuit with my attorney yet, so I don't have all the answers, but I should know more in a few days. But look, let’s say you only sue over the currency aspect—your win is basically a lock, including all those late fees. Even the legal and court costs? The bank will end up footing that bill at the end of the dispute. Plus, you pay your lawyer as you go; it's not like you have to cough up one massive lump sum right out of the gate. Either way, if your loan hasn't been converted, you seriously need to find a lawyer and sue.

Regarding picking a lawyer—how does one actually do that effectively? Just Googling names one by one? It's no secret that some attorneys are practically on the payroll of insurance companies and big banks; you wouldn't want to end up in a situation where they "accidentally" lose your case just to collect a bonus from the bank.
Is there some kind of rating site or something similar out there?

They’ll hook you up with some UF reps and let you grill them about anything, provided you cough up the annual membership fee $10. We just went with a lawyer who's basically a family friend.

Susan Patel55 said:They’ll hook you up with some UF reps and let you grill them about anything, provided you cough up the annual membership fee $10. We just went with a lawyer who's basically a family friend.

I actually looked into that—did some digging on their names online—only to find out one is heavily involved in politics, while the other sits on various banking conferences and platforms.
Maybe I’m just being paranoid, but once you've been burned by the American court system...
Given my track record, I might as well start playing with liquid nitrogen.🕺

I would truly appreciate it if anyone could share their personal experience and recommend a solid attorney in Washington, D.C. I’m looking for someone who might have availability the week after Easter; since I work out of state, I’m only in town occasionally. I want to move forward with a lawsuit regarding those unconverted Swiss Franc Loans. I already have all my documentation from the bank ready to go. As an AARP member, I received a list of attorneys, but honestly, I'm feeling a little lost on where to start. If you have a recommendation, please feel free to send me a private message so we can keep the Forum tidy. Thank you so much in advance to anyone willing to lend a hand with some advice.

boldnomad45 said:Where did that number come from? My math must be off. We took out a Swiss Franc Loan back in 2007 for $20,000 $0.00. Paid it off over seven years.
The bank sent us the paperwork, and now we're trying to figure out how much we actually overpaid just to see if a lawsuit is even worth it.
Our estimate puts it at roughly $4,000 $0.00. Then there's the lawyer...
What's the right way to calculate this? Are there any decent calculators online?

I had a similar situation with an auto loan in Swiss Francs—roughly 20k francs, which was about $35 at the time. It was also a 7-year term, paid off consistently.
Last year, I sued the bank. At that moment, the calculation suggested I should recover about $10 in overpaid exchange rate differences, plus some $30,000 in interest that continues to accrue daily. My attorney's fee is set at 20% of the final settlement. To file the suit, you need to find a lawyer, grant them power of attorney, sign a retainer, and pay for a certified expert to perform the actual calculation of your losses—specifically regarding the exchange rates and interest (your lawyer usually handles those details). Total upfront costs run about $2,000 to $3,000—covering the expert witness fees, court filing fees, and other legal nonsense required to get the case moving. I filed my lawsuit in May of last year, and my first hearing isn't scheduled until mid-May of this year. You should expect the whole process to take at least three years... which isn't necessarily a bad thing, as the longer it drags on, the more the interest grows.

Hi there! Does anyone happen to know what the typical percentage is that attorneys charge for representing clients in lawsuits regarding Swiss Franc Loans? This is specifically if the agreement is for the lawyer to be paid based on a percentage of the final settlement or judgment. Thanks!

10 %

Greetings,

I once held myself hostage with a Swiss Franc Loan, and back when things started spiraling out of control in 2013, I made the decision to shut it down without converting it into Euro—a move that left me completely underwater, and quite frankly, I’m still digging my way out of that hole even today...

Based on these requirements, I need to gather the following documentation:

https://aarp.org/table-docs-banks/

1. AGREEMENT/ADDENDUMS/APPENDICES
The original loan agreement along with all subsequent addendums
to the credit agreement

2. INITIAL REPAYMENT SCHEDULE
The original amortization schedule

3. REPAYMENT SCHEDULE
The portion denominated in Swiss Franc

4. TRANSACTION HISTORY/PAYMENT SPECIFICATIONS
A "transcript of the ledger account," including all interest rate adjustments

5. INTEREST RATE CHANGES
(as recorded in the ledger account)

6. CONVERSION DATA FROM THE DATE OF EXECUTION
An untitled document containing data regarding
the conversion: execution date, principal amount,
overpayment amounts...
(one page)

What is the most elegant way to secure this, and exactly which individual at the bank should I be addressing to get this sorted...

Do any of you banking gurus from the old thread know why the Swiss Franc isn't absolutely skyrocketing right now? I mean, there’s a massive, unprecedented crisis brewing just over the horizon, so why isn't it reacting?
It’s just sitting there, totally stagnant—like maybe it’s lost its status as the ultimate safe haven for cash. Honestly, at this rate, Bitcoin is probably going to swoop in and snatch its spot entirely. 😁
Just the same old crooks and thieves.

Who exactly is R. Dobrobnic, the new head of VS?

Honestly, I have no clue who he is. All I remember is that during those court hearings regarding the Swiss Franc Loans, he was talking about most—if not all—of the stuff I was writing about ten years ago. Back then, I was pretty much the only one documenting certain things, and I actually gave him a bit of credit while the other side was busy betting they’d lose.
Btw, I've never carried any major debt, nor have I ever joined an organization like AARP—I've always been a cash guy. 🙂

Is it even worth trying to sue over an auto loan from back in 2005? Like, does anyone actually win those cases, or am I just throwing money into a black hole? Will I even get my day in court?

Patrick Carter5 said:10 %

Since when has that price list been active?

Down here on the coast, we're looking at 20%. 🙄

coastalmarlin64 said:Is it even worth trying to sue over an auto loan from back in 2005? Like, does anyone actually win those cases, or am I just throwing money into a black hole? Will I even get my day in court?

It’s possible, and it makes sense. You should be able to get a hearing. Given how things work in this country, the easiest route is to find a lawyer through the AARP list who works on contingency. Just give them power of attorney so you don't have to deal with the headache yourself.