By Matthew M. Young, Attorney While forging paystubs to obtain credit is not a new concept, I have a number of credit unions that have advised me of an alarming increase in the use of these phony documents to support employment and corresponding income. Historically, forged paystubs were more common for indirect automobile loans obtained…
By: Matthew Young, Attorney I want to take a moment to address rights to set off (or “offset”) from a credit union’s account. This issue most commonly arises when the debtor misses a payment or dies. As a general matter, most credit unions should have the right to set off funds in either of these…
By David Wolfe, Attorney Michigan allows judgment creditors to garnish funds owed to a judgment debtor through a periodic garnishment (which is typically sent to an employer), a non-periodic garnishment (which typically seeks to seize funds in a bank account) and a tax garnishment. Recently, Michigan amended its statute governing periodic garnishments, MCL §600.4012, effective…
By Matthew Young, Attorney All Credit Unions are faced with the daunting challenge of providing exceptional member service to its members while keeping its costs low. One of the more frustrating and costly circumstances surrounding this concept involve members or third parties requesting documents from the Credit Union. These could be requests from your members…
By: Matthew M. Young, Attorney As a financial institution, credit unions expect to incur certain losses for members who pass bad checks; however, it is critical to utilize methods available in the law to curb such abuse. In Ohio and most states, such activity qualifies as a criminal act and is compensable with treble damages…
By Matthew Young, Attorney As more and more credit union members move to online banking, credit unions are similarly encouraging members to accept electronic statements in lieu of paper statements as part of their online banking service. The advantages of doing so are several, not the least of which is saving money on paper and…
By Matthew Young, Attorney When your member defaults on his or her loan, your Credit Union is going to want your member to cure the default as quickly as possible or exercise the quickest and most cost effective means to recover the balance. Most commonly, this recovery will occur through offset or (setoff), which is…
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