I was talking with a friend the other day abou bankruptcy.
He is a fellow business owner / entrepreneur (the guy behind Hi-Riser, not to be confused with Early Riser).
He thinks the smart thing for me to do is to file bankruptcy and start fresh.
It’s clear my intent was never to defraud any of the lenders. I was borrowing with the intent to pay it back. Because of my inexperience I made some mistakes and got into trouble. This is a typical business startup situation. Most succesful business owners have failed several times before finally succeeding. (Only losers quit after their first failure.)
So why shouldn’t I just bankruptcy out and start fresh? Most people I know and my readers here think I should… if I can qualify for chapter 7.
After talking to a couple of bankruptcy attorneys it looks like I should have no problems qualifying for chapter 7 bankruptcy where my debts will be wiped out / forgiven / discharged.
My credit is already screwed up so a bankruptcy is not going to make it that much worse. Plus, I already know how to buy houses without credit by taking over payments.
And I don’t want to get any new personal credit cards so I can learn to live on cash only. (On the business side I would use corporate credit. Business credit = good credit because it will make me money.)
So since having a bankruptcy on my credit is not going to affect me that much , why would I NOT file bankruptcy right now?
I have only had two reasons holding me back from BK’ing out:
1) Ethical / moral issues covered in my prior entry: To BK or Not BK - the Moral Issues with Bankruptcy
2) The challenge of Paying Back Every Dirty Penny creatively.
I am starting to think though that I am wrong in thinking that filing bankruptcy out of a legitimate need is un-ethical.
and
I also may be a little overly optimistic about being able to pay back this debt creatively.
Sure it would make for a great story to avoid bancruptcy and pay it all back… but… how possible is it really? And how long will it take?
Instead of being cripled by all this debt (potentially for many many years), wouldn’t I be a much better contributor to society if I get a fresh start and build a succesful business that creates jobs and adds value?
Really, WHY should I NOT just declare bankruptcy and start fresh?
Formula For Being Broke
“Mistakes Are Only Sins When Not Admitted” -Robert Kiyosaki
202 Comments
*
sl_mo_jo
December 14th, 2006 at 3:35 pm
because.
if you take the simple route, where will your story be? and your readers, who have come to depend upon you as a source of comic material?
*
Kevin
December 14th, 2006 at 3:40 pm
Casey,
That post was 100% lucid and concise — I think you’ve finally grasped your situation (Ok, maybe you are a little deluded in thinking you can get corporate credit, however…).
I think you have your answer. It will be painful, but really, what else can you do?
–Kevin
*
Dumbfounde
December 14th, 2006 at 3:40 pm
OMG. You really do need to go to jail.
*
Sigh
December 14th, 2006 at 3:51 pm
NO Casey! You can’t declare bankruptcy because then no one would visit your blog and feed your ego. :O Unless you start talking about the Sweet Deals you get at Walmart on your Ramen noodle multipacks after bankruptcy. 3 cents off per 20 pack!
*
Bugmaster
December 14th, 2006 at 3:52 pm
I think I speak for everyone here when I say,
“DO IT ! DO IT ! DO IT !”
But, in that case, your blog revenue will dwindle, and the producers behind this lonelygirl-esque social experiment will be upset. So, we all know you won’t do it. *shrug*
*
Eric
December 14th, 2006 at 3:56 pm
Because if your debt was obtained via fraud, you are not elgible to file.
At least this post isn’t as jumping the shark as the other recent ones.
*
john
December 14th, 2006 at 3:56 pm
Go BK, then seek Jesus (but not for “sweet deals,” OK?)
*
lurker
December 14th, 2006 at 3:56 pm
“Certain activities are red flags to the courts and trustees. If you have engaged in any of them during the past year, your bankruptcy case may be dismissed. These no-nos include:
1) unloading assets to your friends or relatives to hide them from creditors or from the bankruptcy court
2) running up debts for luxury items when you were clearly broke and had no way to pay them off
3) concealing property or money from your spouse during a divorce proceeding, or
4) lying about your income (ding ding ding ding) or debts on a credit application.”
BTW I wonder if Macaroni Grill count as a luxury?
*
beezer
December 14th, 2006 at 3:57 pm
Well, let’s be clear here Casey - you don’t have a legitimate need.
You’ve already started with the grand rationalizations about how all wonderful businesspeople bk and crap but… you didn’t legitimately do anything. You lied, you got in way over your head, and most importantly, you don’t particularly care.
You’re not trying to get out of it, you haven’t taken any steps to remedy it, you’re not doing anything at ALL but accruing MORE debt.
Furthermore, you’re not going to be a productive citizen by building a successful business, you’re going to accrue more debt if you can find any way. And you’re going to end up in the same hole, looking for another bk.
I’ve never said bk out of this, because I’m not paying for your stupidity. It’s a horrid thing to do - you made this mess, now you want to screw over everyone who lent you money not knowing what a massive screwup you are? Nice.
*
ilyka
December 14th, 2006 at 4:00 pm
Instead of being cripled by all this debt (potentially for many many years), wouldn’t I be a much better contributor to society if I get a fresh start and build a succesful business that creates jobs and adds value?
I think so, Casey; plus I’m dying to see what you’ll do next in business. The sooner you clean this up, the sooner you can start having new adventures.
*
You have NO options
December 14th, 2006 at 4:02 pm
Two observations:
First… FINALLY you are seeing that BK may be the ONLY viable option for you. I can’t believe you would sit around twisting for so long, prentending to be working on this or that… there are NO OPTIONS… You can’t pay back the money you owe, it just won’t happen. Congratulations on finally seeing reality, at least that much. Now go meet with an attorney, and good luck to you. I hope you are able to get a clean slate after all this.
Second… Get a CLUE with regards to your so called “Business”. You don’t have a business and you won’t after this bankruptcy. What you have is wild hair-brained schemes that you think will get you rich fast. They won’t. You keep referring to yourself in various posts as an “Investor”, you aren’t. You are a gambler with an addiction to risk and adrenalin (SP).
After you get a clean slate through BK, I hope you will wise up and take a job using your strengths, think web design or marketing. Stay away from real estate until you build up a nest egg of personal wealth…
*
Less than zero.
December 14th, 2006 at 4:06 pm
You will never buy another house again, Casey.
*
star
December 14th, 2006 at 4:07 pm
“It’s clear my intent was never to defraud any of the lenders. I was borrowing with the intent to pay it back. Because of my inexperience I made some mistakes and got into trouble. This is a typical business startup situation.”
Stop playing games Casey. Are you trying to fool yourself because nobody else would believe what you’re saying. If you’re going to b.s. people, at least work on a better excuse.
You intended to defraud your lenders the instant you made the decision to sign those loans owner-occupied. You knew full well at the time that was a lie. Whether or not you intended to pay on those loans makes no difference. Why don’t you read the fine print for once. It’s spelled out very clearly on those loan applications.
No this is not a typical business startup situation. Not in the least little bit. What does it take for you to realize that you weren’t running a biz at all. Rather, you were just blowing borrowed money.
Other than spending money, name one aspect of your venture that resembles a business. I challenge you to do that. Just one aspect. You can’t do it.
You weren’t inc’d. You didn’t even keep simple basic bookeeping. You couldn’t even manage the most basic things like keeping up with mail. Your money management practices consisted of only one point - spending it. You operated without licenses, insurance, permits etc, etc. You didn’t keep up with taxes at all. I could go on and on but it’d be a waste because everyone but you knows you weren’t running a business in any shape or form.
All you were doing was living out a fantasy on borrowed money. Everyone knows that but you.
I don’t think you’ll be able to make a decision on filing bk. It will eventually be forced upon you. I’d say you have less than 8 weeks to keep playing around in your delusions until that hits home.
*
Your Maker
December 14th, 2006 at 4:08 pm
Ethical/Moral Issues?
0/10
*
Fister Hiney
December 14th, 2006 at 4:15 pm
I think your on the right track with this post Cman. See, sleeping in will sometimes clear your head so you can make some smart moves. {Instead of being cripled by all this debt (potentially for many many years), wouldn’t I be a much better contributor to society if I get a fresh start and build a successful business that creates jobs and adds value?} Hell yes, file bk and go out there and start over, this time on the right track with new knowledge on how to make the big deals and make them work!! There are no moral obligations to filling bk, millions do it every year. Its not your fault the market turned right when you were poised to be successful. That is just plain ole bad luck, it’s not as if you went out and irresponsibly just gambled away your money in Vegas. Hell no, You were out there laying it on the line trying to make a go at things that most wage slaves just sit around and dream about. It takes guts to be a player, You know what they say If you can’t run with the BIG DOGS, stay on the porch.
*
star
December 14th, 2006 at 4:16 pm
Where do you get this “fresh start” stuff from? Bankruptcy attorneys? Going BK is hardly a fresh start.
There is no way you’ll be getting any worthwhile corporate credit for several years. Sure, with some work and 6 months to a year you could end up with an 80 Paydex and a couple small tradelines like a Staples LOC. But there is no way anyone will lend you more than a grand or so without a PG and then you’re screwed. Not to mention the obvious such as how can you keep up with running a corporation when you can’t even keep up with mail and a personal checking account?
About the only thing you have correct is that it’s true your credit can’t get any worse at this point. The question of whether you should file or not is a moot point. It’s inevitable.
*
star
December 14th, 2006 at 4:18 pm
Another thing you failed to mention and/or realize;
You can’t BK out of all of your debt. You are going to end up with 10s of 1000s of dollars in debt even if you could go chapter 7. Your situation does not lend to a cut and dried bk filing.
Have you any guess what your tax liability is at the moment?
*
Chris Johnson
December 14th, 2006 at 4:19 pm
I’d say, in your terms, “goforit”! There’s a risk you’ll have to answer requests for non-dischargeability of debt filed by the lenders, which may have less chance of being filed as the months go by and your fame dwindles–ask those attorneys how much they’d charge for answering those (each subsequent answer should cost less, as the answers will be the same), but it may be $5,000 for the first one. Anyway, speaking from experience as a bankruptcy lawyer, I’d say bankruptcy is in your future at some point.
As for being unethical, check out what Christian ministries like www.crown.org have to say about bankruptcy. They note, and I agree, that it’s not unethical, but it shouldn’t stop you from still repaying your creditors what you owe them. I don’t know how many people actually do this, but it would let you pay them back on your terms, and this would be between you and God. I can tell you I negotiate a lot of debts, even for Christians. The bottom line is the bankruptcy would allow for breathing room and certainly wouldn’t prevent you from paying your creditors back. The moral obligation you (hopefully) feel will still be there, but the #)@*$(#@*$ people calling to collect the money will not be.
And, living on cash only would be very helpful for you, I think.
Finally, before your next business failure, pleeeeeeeeeeeeeeeeeeeeeease make a detailed, viable business plan before your next house purchase, and go over it with a successful, seasoned real estate investor. Remember, successful AND seasoned, because their advice is actually worth something. Oh, and don’t bother if they’re selling it in seminar form.
PS: the “successful and seasoned” should apply to the BK attorney you hire too, as their fee shouldn’t be much more, if any, than the ignorant schmo, because that attorney will have to take some care in drafting your petition–any BK case with assets gets special attention from the Chapter 7 and U.S. trustees.
*
The Exalted Wheel Well Waxer
December 14th, 2006 at 4:21 pm
Can a brotha get fitty cent up in this joint?
*
Robert Coté
December 14th, 2006 at 4:21 pm
It’s clear my intent was never to defraud any of the lenders.
Clear is it sport? Let’s see. You did do simultaneous closings on multiple properties because that was the only way they could be approved right? You lied on the income applications right? You lied on the intent to occupy. You still haven’t reported the wrap. On and on. You clearly had naught but fraud in mind.
The advantge of BK is that it blunts any charges of “ongoing criminal enterprise.” Ch 7 doesn’t wipe out debts inccured in illegal behavior nor is it likely that the nice IRS and FTB will overlook your tax liabilities.
Plus, I already know how to buy houses without credit by taking over payments.
LOL. Just when I’m getting jaded a new jewel. Casey, you might as well change your name to “Osama Bin Laden Great Avenger of American Satan Allah’s Sword of Justice” and then pay cash for a last minute one way ticket to Washington, DC. Ever hear of the do not fly list? Trust me, you are on a “do not lend” list. This part of your life is over, never to be revisited again anymore than your teenaged indescretions involving chain letters.
Understand BK is not a way out, it is just a reasonable next step. You’ll still see a whole lot of the insides of courthouses and while I cannot look into everyones hearts it would not surprise me to discover that there are those that will not rest seeking prosecution if it starts to look like you escape unpunished.
The reason to not seek BK is that the court appointed master would almost surely insist on no more blog.
Hmmm, tough choice; do the right thing or do what you want? Heck, why change what’s worked so well so far, eh sport?
*
Jim
December 14th, 2006 at 4:24 pm
Casey, you’re already bankrupt… At this point its just a matter of “when” you file the papers, not “if” (the sooner the better as it stops the inexorable “debt clock” from ticking!).
*
Meirinn
December 14th, 2006 at 4:26 pm
Because you are a criminal and you should be rotting in jail for the lies you told on your loan applications?
“I made some mistakes and got into trouble.”
You lied and committed fraud because you are a greedy idiot with a whacked out sense of entitlement. You are disgusting. No sympathy. None.
*
gf4456
December 14th, 2006 at 4:30 pm
I was wondering when you would come to that conclusion. I filed a year ago and it was the best thing I ever did. Trust me you will just be a little blip on the banks finances. But the effect on yours will be huge. Since I filed I started a new, very successful business. And as far as credit cards go, don’t worry as soon as you file you will get tons more offers for them. Once you file you are actually a very good credit risk.
*
Anon4
December 14th, 2006 at 4:31 pm
“how possible is it really?”
zero possibility
*
Just Another Small Business Owner
December 14th, 2006 at 4:31 pm
Casey,
It sounds like bankruptcy may be your only option for getting out of this mess. As someone with personal experience building a small business (not real estate-related)and corporate credit along with it, I wanted to point out that you may not be seeing the whole picture. When you attempt to get business credit especially credit cards and lines of credit/loans, you will almost certainly have to personally guarantee or PG the credit until your business is sufficiently strong to stand alone on its own merits. That bankruptcy on your record is going to kill you in this regard. You might have to have another corporate officer with clean credit apply on behalf of the business. Beware of any company that promises guaranteed corporate credit, because they are simply repackaging information available elsewhere on the internet for free if you know where to look. Finally, I just wanted to add that although bankruptcy may alleviate your financial pain over these houses, I think that the 10 years a Chapter 7 stays on your credit record is the least you deserve for your greed and shady dealings.
*
Vlad
December 14th, 2006 at 4:31 pm
Casey,
I’m a native of Sacramento and have been reading your blog for quite a while now. I’m exactly your age, exactly your faith, I’m a web developer, and was also recently married. This is the first post from you that I have seen in a long time where you display some inkling of sanity. Although you almost ruin it with your corporate credit plug (c’mon, my 1 year old nephew knows that’s a scam!), I’m glad that you’re finally realizing that bankruptcy is the way out for you.
Do it for your wife … If anything, money issues have a great impact on a relationship, so quit risking it, put up the white flag, tap yourself on the back for trying, and give your wife a stable home. I’m an entrepreneur at heart too (web development, go figure), but I try to work on the business a few hours a day while still having a day job. It’s taking off at a good pace, and there’s no stress on the marriage. In fact, my wife is slowly getting into the business and she gets really excited about calling my website clients and reminding them about outstanding invoices.
Really, stop with the “seminar mentality” - one person’s success (Rich Dad / Poor Dad) is another person’s demise. You need to look at other people and learn from their mistakes instead of trying to imitate their successes exactly. It never works.
Good luck with the bankruptcy. Get it over with, take a heavy burden off your and your wife’s heart, have some kids, and enjoy life. You’ve already been forgiven for your debt by our Maker, so you don’t need to worry about that.
Cheers,
Vlad
*
Jozsibacsi
December 14th, 2006 at 4:32 pm
You wrote, “After talking to a couple of bankruptcy attorneys it looks like I should have no problems qualifying for chapter 7 bankruptcy where my debts will be wiped out / forgiven / discharged.”
The following debts may be declared non-dischargeable by a bankruptcy judge in Chapter 7 if the creditor challenges your request to discharge them.
Debts you incurred on the basis of fraud, such as lying on a credit application; Credit purchases of $1,225 or more for luxury goods or services made within 60 days of filing; Loans or cash advances of $1,225 or more taken within 60 days of filing;
New Bankruptcy Law taking effect on October 17, 2005: Debts you incurred on the basis of fraud, such as lying on a credit application; Credit purchases of $500 or more for luxury goods or services made within 90 days of filing; Loans or cash advances of $750 or more taken within 70 days of filing;
Retrieved from: http://www.bankruptcyaction.com/questions.htm#o
*
gf4456
December 14th, 2006 at 4:33 pm
Oh and one more thing. I live in a state that has a credit report freeze option. So no one knows that I have filed.
*
Dokala
December 14th, 2006 at 4:43 pm
Paying the money back creatively means you need time, energy, and resources… all of which you have very little of.
*
laughing my a$$ off
December 14th, 2006 at 4:44 pm
Yep, payday tomorrow. Which of course is what all of use lowly wage earners wait for. Second payday in a row in which I get a bonus, based on performance. So, how are things over in the big spender, high living, independently wealthy part of town Casey???
*
Spaceman Spiff
December 14th, 2006 at 4:46 pm
Hardy har har!
Now we’re gettin back to vintage Casey!
“On the business side I would use corporate credit. Business credit = good credit because it will make me money”
I just looked in my wallett. I have several pieces of currency and I can’t tell which are business currencey and which are personal. When I look at my credit card or mortgage statements I don’t see where I am aggregated between business and personal. To me it all seems like debt.
Debt is debt is debt.
Assets = positives
Liabilities = negatives
All you are doing is digging your hole deeper using a shovel with a “creative business debt” abel on it.
At this rate of digging you’ll be looking at houses in Shanghai soon
This is a hoot! I don’t give a rip if it’s made up or not, because: A) its back to being stupid funny and B) I have yet to pay attention to the advertisers so they are trying to fill Casey’s hole.
win win = no one looses, wright?
*
Unbelievable
December 14th, 2006 at 4:48 pm
DO SOME RESEARCH
http://research.lawyers.com/Ca.....ornia.html
AND BY ALL MEANS, HAVE AN EXPERIENCED ATTORNEY HANDLE THIS FOR YOU
IN ANSWER TO THIS QUESTION:
“wouldn’t I be a much better contributor to society if I get a fresh start and build a succesful business that creates jobs and adds value”
I HONESTLY DON’T THINK YOU ARE CAPABLE OF BUILDING A SUCCESSFUL BUSINESS, ESPECIALLY IN REAL ESTATE. FRANKLY, SOCIETY WOULD BE MUCH BETTER OFF IF YOU WERE LOCKED UP. IF YOU MANAGE TO STAY OUT OF JAIL, I THINK YOU SHOULD WORK FOR SOMEONE ELSE.
*
Scott McCulloch
December 14th, 2006 at 4:51 pm
“He is a fellow business owner / entrepreneur”
You are not a busisiness owner / entrepreneur. I think a better title is a real estate speculator.
“This is a typical business startup situation.”
Mistakes are typical, illegal activities are not.
“On the business side I would use corporate credit. Business credit = good credit because it will make me money.)”
I honestly don’t think you have the discipline to take on any credit or run a business for a while. You talk about using business credit to pay personal debts, can’t open mail, etc, etc.
If you file bankruptcy, who is going to lend you money through a business? Are you even allowed to be a director in a company after filing backruptcy?
“I am starting to think though that I am wrong in thinking that filing bankruptcy out of a legitimate need is un-ethical.”
I don’t know why you are thinking about ethics now, you didn’t when applying for loans.
“wouldn’t I be a much better contributor to society if I get a fresh start and build a succesful business that creates jobs and adds value”
I wish you luck. Next time it might be wise to hold on to your job and build a business in your spare time. You really need to learn “how to evaluate risk”.
*
Casey is a Genius
December 14th, 2006 at 4:51 pm
You are really running out of material huh? And I like how you promote your “friend.” So how much did your “friend” pay you so that you could advertise for him now? Can I be your “friend”? I’ll pay you too? How much does it cost to be your “friend?” How about promoting my buddy’s fashion line. We can work something out so that he could sport one of your spiffy blue shirts. But just between you and me Casey…If it took your “friend” this long to figure that plan out for you. Maybe you gotta think that he isn’t the sharpest tool in the shed. Because I think you’ve been getting that advice since day 1 by about millions of people. But I guess maybe similar people do tend to stick together huh Casey? Ohhhhh and one more thing…
SHOW ME DA ADSENSE REVENUES!!!! Why are you so scared????
*
FuturesTrader
December 14th, 2006 at 4:53 pm
Why are you 4-5 months behind everyone’s comments? It’s not as if material hasn’t been written to you about this from very competent people.
*
Jason
December 14th, 2006 at 4:55 pm
“Really, WHY should I NOT just declare bankruptcy and start fresh?”
because you have set out to repay your debts and you like to keep your word. Don’t let the haters get to you, everyone has made mistakes. Most people just won’t admit to them…..
*
ILOVE YOU YA LOOSER LOSER
December 14th, 2006 at 4:59 pm
File for friggin’ bankruptcy already ya big goof…it’s the american way. my formula for success: Borrow millions…let it ride…lose..file for bankruptcy…rinse repeat until you get lucky and win. Then you live like a prize winning hog for the rest of your life. HOW CAN YOU NOT LOVE THE AMERICAN WAY?!?!?! WIN WIN WIN situation.
*
microtherion
December 14th, 2006 at 5:02 pm
Halleluia! It seems that your readers are actually starting to get through to you.
I agree that you should file BK now. Legally, this shouldn’t put you in any worse position than you already are.
As for the ethical implications: I’ve seen a certain pattern of you continuing to obtain new credit (from friends, banks, etc.) month after month. Filing for BK would have the distinct ethical advantage of closing the door on this behavior and forcing yourself to live within your means (or, alternatively, making it very clear to your lenders that you’re extremely unlikely to repay any new sums lent to you).
I consider filing for bankruptcy the fiscally and ethically right thing to do, as much as it would deprive everyone here of a source of entertainment.
*
edsel6502
December 14th, 2006 at 5:03 pm
Umm.. that’s people have been saying for the last 4 months.
*
CR Simpson
December 14th, 2006 at 5:05 pm
Casey: Fraud is not dischargeable. You have admitted to fraud. So it would be easy for lender to object to the discharge of your debts because you have proven their case for them. Casey - please stop with the “ethics” red-herring. We all know you lied to get 2.2 million of loans. The IRS can be a problem, and law enforcement can too, what with this on-line confession. Casey, if you ever cheat on your wife, please don’t start a blog about that too. Have some discretion and some dignity and stop putting your whole sordid life on the web.
*
BT98
December 14th, 2006 at 5:08 pm
Casey,
Like you said it’s ok to fail and start fresh. But I am not so sure that you’ve learned your lesson. People who didn’t learn from their mistakes will be doomed to repeat the same mistake.
You think you fail due to your inexperience, that’s the only reason? When I started my job, I didn’t have ant experience, but I succeeded in my job. It does not take me to fail eight jobs in order to get experience.
Your first condo was a sucess without experience either. You are greedy and lazy, want something for nothing and no common sense, no business sense or financial sense. Wasting time and money on none essentials, and no work ethic, dishonest, no organization skill, don’t know your priorities, always want to get rich quick and avoid hard works.
So even though it’s smart to declare bk and wipe out your debt. However, you are still 0 and back to where you started in 2002, except this time you don’t have a job or credit.
BT
ps Are you sure the banks won’t prosecute you? You seem like an easy target to be made example of.
*
Anonymous
December 14th, 2006 at 5:10 pm
There is no reason not to! Do it now! NOW!
*
walt526
December 14th, 2006 at 5:14 pm
“I also may be a little overly optimistic about being able to pay back this debt creatively. Sure it would make for a great story to avoid bancruptcy (sic) and pay it all back… but… how possible is it really? And how long will it take?”
Gee, if only someone had been around to say that to you a few months ago. Or maybe several HUNDRED posters who have looked at your situation and saw that bankruptcy is inevitable…
“On the business side I would use corporate credit. Business credit = good credit because it will make me money.”
No, not really. Credit will not “make you money.” A well designed and executed business plan and LOTS OF HARD WORK can make one money as an entrepreneur. If you learn nothing else from 2006, you need to realize that credit is not cash. In fact, its not an asset–its a liability. It can be used to positive ends, but the mere acquisition of credit is not an end in itself.
Now that said, I don’t quite understand how you expect to acquire corporate credit anytime for the better part of a decade, though. No bank is going to consider giving a small business loan to you given your circumstances (piss poor credit, no track record for success, no collateral or skin in the game). Your only chance would be to hook up with a partner who has strong credit and can offer collateral and/or significant personal capital (ie, skin in the game). Although even then, the lending institution is going to run your credit if you’re listed as an officer of the corporation and would have significant reservations about your involvement.
Declare bankruptcy. There’s no way around it. But be realistic about what your prospects are about getting corporate financing.
*
Aelfscine
December 14th, 2006 at 5:21 pm
A hundred people a day screaming “For the Love of God, Declare Bankruptcy!” for months finally begin to be heard, like Seuss’ Whos shrieking “We are here! We are here!”
The only reason I can think of not to declare is to continue entertaining your blog’s fanbase. Many of us are here just because we like to watch someone suffer and jeer at them, and actually fixing your life would give us less to mock and less reason to visit.
No one is here to get any ‘education’ from you, they’re here to take advantage of you, either by trying to dupe you into horrible deals since they know you’re a sucker, or they just want to make themselves feel better by using you as a punching bag.
Others make themselves feel better by giving good advice, but they’re getting mad because you don’t take it.
The rest, well, they just like to poop. In shoes.
Point is, the only reason not to declare bankruptcy is if you want to keep getting attention from people who blindly hate you.
*
Unbelievable
December 14th, 2006 at 5:23 pm
WHAT HAPPENED TO MY POST CA$EY ????
*
Casey commenters are morons
December 14th, 2006 at 5:28 pm
Just to point out, you do NOT pay tax on debt forgiven as part of a BK settlement.
*
FrugalTrader
December 14th, 2006 at 5:29 pm
If you do qualify for bankruptcy, I think it is the only logical solution for you right now.
FrugalTrader
http://www.MillionDollarJourney.com
*
JonesOhJones
December 14th, 2006 at 5:31 pm
Talk to a good BK lawyer.
In the meantime, get the required credit counseling. ASAP.
*
Arizona Admirer
December 14th, 2006 at 5:32 pm
Casey,
I have been admiring from afar and think that you will do the right thing, as any young entrepreneur in your position. I feel I need to come to your defense since there are so many haters who obviously are big loosers. If it weren’t for you and all the other uneducated flippers in the world the price of a one-bedroom shanty in a sketchy neighborhood wouldn’t be a sweet 495,000. (EDUCATION is BAD, only Loosers get educated).
I also am an admirer/fellow Phoenix dweller of RK and you should follow his example rather than his teachings. The real money to be made in real estate is not in spending any money on real estate, but rather making money telling others how to make money on real estate.
YOU NEED TO WRITE A SWEET BOOK and DO YOUR OWN SWEET SEMINARS!!!!
You need to invent a mystical guru with profound statements that have very little verifiable content… (for example… My Rich Millionaire Neighbor ‘Arnie’ used to say…”Money is SWEET; SWEET things are SWEET for you, its SWEET to have SWEET things” (c) 2006 ) ….And then you need to demonize your parent(s) for not providing the Hilton-esque trust fund to which you are entitled. That’s Hot!
The book shouldn’t sell for less than 39.95, you can also sell tapes of the book for 129.00. Your seminars should be no less than 2900. (three days, lunch on your own, kick back from room rates on sponsoring hotel.) You may even get Jamba Juice, Starbucks and the Macaroni Grille to be corporate sponsors.
(I would be willing to bird-dog a location for the seminar, for a sweet fee…)
What is there to loose?
Lastly, I wouldn’t be too concerned about being (….).
*
paypal sucks
December 14th, 2006 at 5:37 pm
“It’s clear my intent was never to defraud any of the lenders. I was borrowing with the intent to pay it back. Because of my inexperience I made some mistakes and got into trouble. This is a typical business startup situation. Most succesful business owners have failed several times before finally succeeding. (Only losers quit after their first failure.)”
Bullcrap……Your intent was absolutely to defraud your lenders. Your intent was to alter enough facts on your application so that a financial institution would lend YOU money to buy houses, you otherwise would not be able to obtain. Information that if correct, would have made it impossible for you to obtain the loans you did.
Casey, you want to tweak the law and the language so that you will believe that what you did wasn’t really that bad, when in fact, it was. There is a reason that you fill out the information with honest answers, and that is so the bank can analyze the CORRECT information to determine whether you can pay back the money which they are going to lend you. The lending institutions and the investors that eventually buy the packaged loans are the ones who should determine whether your self deluded intent will really work in the real world. Your intent was 100% to defraud these institutions to give you something which you could not have qualified for under the rules. If you steal with the intent to pay back it is still stealing.
I was going to say that in no way was what you did a typical business start up operation, but I guess the statistics would prove me wrong. Considering almost 90% of start up business’s fail, I guess it would be safe to say that most are started up by idiots such as yourself, using poor business planning.
I’m glad that you think your failures are just the cost and risk of your superior spirit, but wait until you are on the receiving end of BK and you don’t get paid because of some other morons poor business decisions. Wait till you feel what its like to provide time and materials to someones start up and get paid nothing for it after some loser has already utilized it, failed, and left you with the bag.
I hope one day you recover and that you have homes creatively leased to some “motivated buyers” and find out your homes have been used as meth labs and you get stuck with the $60,000 clean up costs and 6 month down time, all because some other entrepreneurial genius started up a business ( cooking meth) that ended up failing.
The positive note is that statistics show that the majority of meth cooks are not “losers” and they do not quit after their first failure. So possibly you can recoup your earlier loses by leasing to them down the road. win-win Gilligan…..
*
Homey Da Clown
December 14th, 2006 at 5:41 pm
IT’S HOMEY TIME!!!
You Casey,
When you file BK, which you ain’t gonna do, you will have to list all of your income- including the ADSENSE and other AD revenue. It is all public record. OOPSIE.
Yo Casey man. you gonna let the peeps know about your gig at AABIERes-Com?? Remember JOSE? Cause dat cat sure enough remembers you bro. Man you crazy kids sure scammed alot of people… WHOOOEY!!! Is your old boss Zack in jail?
By da ways, Homey don’t like you deleting his comments. What’s up wit dat?
C’mon Casey. Start telling the truth.
You ain’t gonna put this out there.
Love,
Homey
*
A. Smyth
December 14th, 2006 at 5:59 pm
Casey, as a bankruptcy attorney, I suggest you spend some time finding a decent bankruptcy attorney in your area and have him or her fill you in on what a bankruptcy would be like. You seem misinformed about the process and what you are likely to get out of your bankruptcy. I’m not going to give you legal advice because I definitely am not ready to create any sort of attorney-client relationship with you, but I will suggest you ask your attorney a few questions. Ask your attorney whether it is likely you will be able to discharge your credit card run up and fraudulently incurred mortgage debts from your bankruptcy under Section 523(a)(2) of the Bankruptcy Code. Ask whether your case is likely to be dismissed for abuse under section 707(b). Ask whether you are even entitled to be a Chapter 7 debtor because you earn too much money from adsense or from interest on your wraparound or whatever. (If you don’t qualify for Chapter 7, you will have to file Chapter 11, which is extremely expensive and difficult to make work. No Chapter 13 for you. Your debts are too large.) Ask how long your attorney thinks it will be before the Court grants your mortgage lenders relief from the automatic stay under section 362(d) and are able to continue their foreclosures against your properties with the blessing of the bankruptcy court. Ask whether the Court will grant you a discharge at all under section 727. Casey, you do understand that if your debts are not discharged your creditors can still come after you, right? Your case is much more risky and complex than the typical consumer bankruptcy case, which means you’ll have to come up with a much bigger retainer to get an attorney worth his or her salt. Who knows where you’ll get the money. Also, don’t think for a second that in chapter 7 you’ll be able to sell or refinance your properties. The chapter 7 trustee is in charge. Ask your attorney what that means and how uncomfortable a “hater” chapter 7 trustee can make things for you. Also, I should let you know that a lot of attorneys and judges in the bankruptcy community already know all about you and have followed your blog. Don’t think for a second that you will be able to file bankruptcy without the the judge, your creditors’ attorneys, your chapter 7 trustee and the U.S. Trustee knowing all about you already. Good luck! You’re really, really, really going to need it!
*
tim
December 14th, 2006 at 6:10 pm
Unfortunately you are still living in a delusional world…you are not a business owner nor are you an entrepreneur. Filing chapter 7 may not clear all your debt with the new way the laws are written and you will most certainly owe taxes on any monies pulled from any closings which by the way are not allowed to be discharged in bancrupcy.
Lastly, you keep talking about corporate credit…credit you will never see…they look at the individual/s behind the corporation and they will deny you credit based on your history. Most corporate credit now days has the main member of the corp sign papers saying they will liable if the corp should fail…and thats even when the owners have great credit.
*
blogger
December 14th, 2006 at 6:14 pm
WARNING….WARNING…this site is a fraud, “Casey” is just trolling for hits so he gets money from advertisers…..
*
You are a liar and a cheat
December 14th, 2006 at 6:19 pm
You really make me sick. You willingly borrow money in your elaborate get rich quick scheme and now that the chips are down you are just going to stick your lenders with your mistakes. CASEY, YOU WERE NEVER RUNNING A BUSINESS!!! YOU WERE RUNNING A SCAM!!! BE HONEST WITH YOURSELF, FOR ONCE!!! How would you feel if you were one of the lenders? What, just because your lenders are big corporations it’s okay to rip them off? Please, it’s people like you that explain why America is so screwed up. I truly hope that you end up in prison for your lying cheating ways. Your wages should be garnished for the rest of your life until you pay every cent back to your lenders! Your behavior is no different from executives at Enron, Worldcom and Tyco. And look what happened to those esteemed gentelman! I hope that your wife soon comes to her senses and drops your ass like a bad habit. You deserve everything that comes your way.
*
HungryBear
December 14th, 2006 at 6:20 pm
The alternative to BK is to let the statute of limitations run. In most cases, in CA, this is 4 years from the date of your default. If your creditors have not sued you by then, they lose their right, and you are in the clear. Is anyone suing you now? If you are not being sued, there is no urgency to BK.
On the other hand would BK improve your ability to get new credit faster? This is an interesting question and I am not really sure of the answer, but I think potentially, it could.
*
Honestly Wondering
December 14th, 2006 at 6:29 pm
PUBLIC SERVICE ANNOUNCEMENT: HOW TO ACCURATELY READ THE CASEY CODE.
Casey Serin used to produce original work, but now he seems to have settled into a groove of only about four stock posts. He just keeps rewriting them in different ways, but the themes remain constant. They are:
1. “OMG I got this sweet deal - I think!” This is the one where he stumbles across some long-shot glimmer of false hope that he’s somehow going to talk his way out of all this, but that’s ultimately fated not to happen. Sometimes it’s a job offer that turns out not to be one. Other times, it’s a line on some borrowable money. Anyone with three brain cells to rub together knows that this latest “creative” idea isn’t going to work - the average eleven-year-old would know this - but Casey’s hyping it up anyway. It’s an attention troll.
2. “OMG I’m getting media play!” This one happens when someone in the media notices Casey for the first time and decides to put him on the air. Radio, TV, print, Web, talking to a college class, meeting Tony Robbins, whatever. He’ll link to the story or the interview or the podcast. Forget that it’s a waste of time, or that his media appearance is just making his legal liability problem worse. Shameless, narcissistic attention troll.
3. “OMG that creative idea didn’t work so well, but at least I’m blessed!” This is the post where reality comes beating Casey about the head and shoulders over some dumbass idea he previously described in a Type 1 post. We all knew it wouldn’t work, that it’d be a disaster. Common sense would say so. Problem is, common sense doesn’t seem to have much of a home in Casey’s life, so he is perpetually taken by surprise. He responds by grabbing a Jamba Juice, or buying cheesy self-help crap, or going on a thirty-minute fast, all while assuring himself and others that this is actually a “blessing” in disguise. (He also often rationalizes lying to his wife in these posts.) Apparently God is doing all this intentionally to set him up for great things in the future, or something like that. Delusional attention troll.
4. “OMG.. should I BK?” This post happens when Casey, for the life of him, can’t figure out what the hell to write about that day. He goes back through months of posts, takes one of the top three constantly-repeated advices he’s received, and then asks if he should do it - as though the topic hasn’t been discussed to death on a daily basis since the day his blog went online. Other variations include, “Does my credit suck? How would I know?”, “Should I start being honest with my wife?”, and “Could I be going to JAIL??”. Lazy attention troll.
Today was an overcast Type 4 with a slight chance of Type 1.
The Casey forecast for this week predicts an 80% chance of Type 4 posts for the next day or three, followed by a 50% chance of a Type 3 over the weekend. I’m expecting a 75% chance of another Type 3 within the next week, and an almost 100% chance of a Type 1 within the next ten days. Figure a 30% chance of a Type 2 during that same timeframe; he’s just about played out his media novelty, so it’s doubtful he’ll be above 30% for Type 2 activity unless he robs a bank or kills himself colorfully or something.
If you’re concerned that he’s just using his plight to drum up Adsense revenue - which I think is a real possibility at this point - do your bit for God and country and install Firefox with Adblock. Google it if you’re not sure how. That will keep your browser from loading the Google ads, which will keep you from contributing to his Adsense numbers. I’ve been doing that since day one; I’ve never even seen his ads.
This has been a public service announcement for readers of Casey’s ongoing plea for help. Have a good day.
*
The Guy Next Door
December 14th, 2006 at 6:29 pm
Sound thinking, Casey. You’ve gone through the ‘Denial’ stage and moved on to accepting reality. Now go on the defensive and pick up some gold and silver. The U.S. dollar is every bit as vulnerable as anything you’ve ever owned. More, actually. Nothing supports it except ‘full faith and credit in our government.’ Full faith about what? How about full faith that it won’t be fiscally irresponsible. Well, take a guess what the government will do when 74 million baby boomers retire and start demanding social security and medicare payments. As someone who has been deeply submerged, you should understand the implications.
Dollar crash = hyperinflation = soaring prices for undervalued assets with inherent value. Gold, silver, platinum and farmland come to mine.
NXG has risen 1.3% since I told you about it yesterday. It is at the end (the pointy part) of a descending triangle formation and about to go onto the S&P/TSX Composite Index on Monday, December 18th. And it is one of the very few traded gold mines that actually turns a profit. P/E of 5.4 (not a typo.) I hope you’re paying attention since I’m pointing out something to you that that anyone can easily verify but few have yet noticed.
Good luck to you.
*
Curiosity
December 14th, 2006 at 6:30 pm
What is Hi-Riser? I can’t find any record of it, and your link didn’t work.
*
T
December 14th, 2006 at 6:31 pm
If you can qualify for bankruptcy, do it.
But do not agree to voluntarily pay back any of the debts once they are discharged. You do need to pay back the friends and family who loaned you money, and you should do that first. The other debts can wait.
Also, please post your AdSense revenue for October and November. It was pretty weaselly of you to only disclose the $60 from September. This blog is supposed to be about education and full disclosure, after all.
Plus, I think a lot of us would have more respect for your entrepreneurial endeavours if we could see how efficiently you’re monetizing this site.
*
Random Guy
December 14th, 2006 at 6:31 pm
Casey,
In all seriousness everybody wants you to declare BK. Even the people saying not to - they all need sarcasm tags around their posts because I think you’re having trouble figuring that out. It’s been fun watching this train wreck, but deep down we really don’t want you to go to jail. Even if the courts say you can’t declare BK because you’ve committed fraud, you won’t be in any worse shape then you are at this moment. Just do it!
Everybody else,
I know you’re worried that if Casey declares BK, the party’s over…. Come on guys! This is CASEY SERIN we’re talking about! Even if he wasn’t millions in debt, i’d still get a chuckle from his “I got a Jetta with sweet rims” post to the next day “The car suxs! :( ” post. Pure gold….. And the “12 hour fast” post.. incredible. Neither of those had anything to do with his major debt problem.
I’m sure if he gets out his debt there will be more great posts to come. Imagine if he had started blogging back at age 14 with this email pyramid sceme - “Ok, I admit it, I lied in the email!” The whole nation would be going to this blog by now. Adsense revenue out the ying-yang to fuel even more spectular disasters.
I wish he would talk about his childhood in Uzbekistan because I’m 100% sure there would be more great stories there too - “Ok, I admit it, I lied to the KGB!”
Let’s just sit back and enjoy the ride people. The worst thing that could happen is that Casey goes to jail and can’t blog.
So Casey, go ahead and declare BK. We need your blog.
*
DON'T DO IT
December 14th, 2006 at 6:37 pm
BK is for loosers. Think of the disgrace that would fall on the noble and well-respected Serin name once the disgraceful word circulates that you are a deadbeat unable to pay your bills. It’s a bleak future of no lines of credit for years to come, and then only with usurous interest rates, and awkward difficulties on everything involving modern life, including signing an apartment lease.
And you drag your wife into this pit of ignomy and disgrace.
Face up to the mess you made kid, and work off the past-due debts. America doesn’t like loosers.
*
Rod
December 14th, 2006 at 6:43 pm
You should be going to jail. I hope you do. You deserve it.
*
Dirty Harry
December 14th, 2006 at 7:00 pm
Go ahead and file punk. Do you feel lucky?
http://www.bklaw.com/california_bankruptcy/
Q: Are any and all debts dischargeable in a bankruptcy case?
A: No. There are many debts which Congress has excluded from discharge. A few of these are:
1. Debts incurred by fraud or false pretenses;
2. Debts incurred by a false statement in writing (such as false credit application)
3. Debts incurred by embezzlement or larceny;
4. Spousal support or child support obligations
5. Debts incurred by willful AND malicious injury
6. Debts resulting from death or personal injury by debtor operating a motor vehicle while intoxicated.
7. Criminal fines and restitution.
8. Marital Equalization obligations (Ch. 7 only–these may be discharged in a Ch. 13).
9. Income taxes for tax years less than 3 years ago (see more)
10. Fines and penalties owed to a governmental unit.
11. Student Loans (unless you can prove “undue hardship”–see more)
These are the main types excepted from discharge, although there are others.
I sure hope you didn’t transfer any money or property to any family member in the past year (wink wink). The Trustee will file charges against all of you.
*
Post of the day!!
December 14th, 2006 at 7:09 pm
Thank you A. Smyth. That was definitely worth reading through 50+ other posts to get to. Casey, please, please, please, go ask your BK attorney those questions. And then let us know the answers.
I really don’t know if you should file BK, or what would or would not be discharged. But I do know that whatever choice you make, it should not be one that lets you slide through effortlessly. Under no circumstance, should you be able to buy 6-8 houses as you did and have no ramifications.
*
workedsavedrich
December 14th, 2006 at 7:23 pm
Casey were you involved in the housing inspector scam Homey refers to? Is that the job you quit to become a full time “investor”? Have you ever held a legitimate job? Do you have any formal education? Is your Mom still the registrar at Grant? Please print this or I will be calling her tomorrow to make sure she knows the level of criminality in which you are involved. Let everyone read about all of your schemes. Don’t delete comments that paint you in a less than favorable light.
*
Andrew
December 14th, 2006 at 7:25 pm
Even I know the answer to that puzzle: If you had any shred of common sense in you, you would’ve done that two months ago.
*
workedsavedrich
December 14th, 2006 at 7:26 pm
Homey-
I see you have found the home inspection scheme Mr. Serin was involved in prior to his new occupation of investor. His track record of scams is almost unbelievable. I hope others on this blog will do more research.
*
Bankruptcy Hell
December 14th, 2006 at 7:28 pm
A. Smyth - what a GREAT post! Thank you for that. Casey, you stole more than $2.2 million from ALL of us. And I hope the justice community feels our pain, and serves you accordingly. Starting fresh, my a$%!
*
Wishful Thinker
December 14th, 2006 at 7:31 pm
He is a fellow business owner / entrepreneur
en·tre·pre·neur
–noun
1. a person who organizes and manages any enterprise, esp. a business, usually with considerable initiative and risk.
2. an employer of productive labor; contractor
3. A person who organizes, operates, and assumes the risk for a business venture.
So anyway I shot a round of miniature golf yesterday. Afterwards I talked to fellow golfer Tiger Woods. He said with a little more practice and a couple new clubs I’ll be ready for the pro tour.
*
Jeff
December 14th, 2006 at 7:32 pm
Casey,
I really liked this line from your post: Only losers quit after their first failure.
Whatever other people might say, I believe that this is a very healthy attitude.
*
The Man
December 14th, 2006 at 7:35 pm
I know a Mexican that is working at a local meat packer that can get you a new name and SSN. Then you can do a poor man’s BK - walk away.
*
workedsavedrich
December 14th, 2006 at 7:35 pm
I hope Casey and Mrs. Serin had a great time at the Dole plantation eating pineapple whips and getting Hawaiian tattoos.
I hope and pray it’s the last luxury vacation he’ll dump off on the law abiding, taxpayers who will pick up the bills on the “sweet” bankruptcy of this legend in his own mind “entrepreneur”.
*
Sputnik_the_Cat
December 14th, 2006 at 7:42 pm
aaackk!
Why should I NOT poop in your shoes?
It took you THIS long to realise this?
Thhpptt!
S_t_C
*
DC Troll
December 14th, 2006 at 7:49 pm
Good heavens, Casey touches base with reality briefly before drifting off into la-la land about being an entrepreneur and getting corporate credit. But let’s leave the unrealistic stuff aside for a moment.
Casey, this is a positive step. You will need to determine the answers to the questions many others have posted about whether your debts qualify, and whether to Deed-In-Lieu the remaining houses before filing. You should know whether the Utah buyer might be affected (how’s that payment search going, by the way?) Touching base with a defense attorney who knows fraud cases would be helpful too.
See, we’re not all haters, but you push a lot of buttons when you do dumb things and ignore good advice, or worse, you try to spin dumb or unethical things into virtues. Imagine us screaming “WHY DO YOU MAKE ME HIT YOU?” Keep this in mind when I bash you in my next couple of posts. And I have fetched my club from under the bridge.
*
attorney A
December 14th, 2006 at 8:02 pm
Bugmaster
Rather than saying “I think I speak for everyone here when I say” try speaking for yourself you idiot. Or you could say: “I speak for 1/2 the posters on this blog, the idiots.”
*
Bootstrapping Joe
December 14th, 2006 at 8:05 pm
“Because of my inexperience I made some mistakes and got into trouble. This is a typical business startup situation. Most succesful business owners have failed several times before finally succeeding. (Only losers quit after their first failure.)
And I don’t want to get any new personal credit cards so I can learn to live on cash only. (On the business side I would use corporate credit. Business credit = good credit because it will make me money.)”
You have a fundamental lack of understanding when it comes to entrepreneurship. Most business owners don’t fail! Sure, some big names have bankrupted and bounced back, but certainly not most. I’m not saying to give up, but don’t think what you did was common.
You won’t get business credit. And why do you think there’s a difference with business credit? If you used your personal credit cards for profit making, wouldn’t they become good credit? You are confused. The fundamentals of business aren’t that complicated. Take an accounting course.
*
DC Troll
December 14th, 2006 at 8:06 pm
Back to bashing.
Now, to give away Casey’s post several months from now…
CASEY’S BIG COMEBACK!
He has always stated that he would come back, and here’s how he gets the seed money.
The day his bankruptcy is finalized (or he flees the country and starts blogging from abroad), we see this post at the top of the page:
“HELLO From Mrs. Serin!”, along with her picture. BTW, she looks much better with her hair tied back, so keep that in mind, Casey.
The article will go on to say that “due to our complete lack of financial stability, I’m considering leaving Casey if things don’t improve really soon.” Then some stories about how hard he is to live with, ending with “BTW I have my own ‘tip jar’ if anyone is interested in helping me out. No money goes to Casey.”
This will inspire tons of donations to her, with messages to leave now, pledges to donate if she will leave him, and even counter-donations to Casey from people hoping that this will help them stay together. It’s the dramatic peak of the blog, because really how can you improve on that? And presto, seed money for more SWEET DEALS!
*
Akubi
December 14th, 2006 at 8:09 pm
Fun with a Porpoise.
I’m not exactly sure what ever happened to Highlights for Kids…and can’t be bothered to Wiki it. Anyway, Casey, I’d like to make a few reading list suggestions:
1. Fear and Trembling
2. The Heart Sutra
3. Sickness unto Death
*
Alex
December 14th, 2006 at 8:15 pm
I am curious that if Casey files bankruptcy, what would/could the bankruptcy judge do to his mortgage frauds?
Does it mean that by filing bankruptcy, he is also surrendering himself to the court about his mortgage frauds?
Anyone knows?
*
Lou Minatti
December 14th, 2006 at 8:17 pm
Casey,
In all seriousness, I think bankruptcy is the least of your worries right now. You need to scrounge up any cash you have left and hire a criminal defense attorney. I also think you need to take some personal self-defense classes pronto. Do you understand that you are facing prison? The guy you did the podcast with last week is an expert.
*
Joey Bobo
December 14th, 2006 at 8:23 pm
Casey,
If you choose a lawyer, please make sure he doesn’t have a goatee or lovepatch, and make sure his suit doesn’t come from the $99 section. And ask those questions that the lawyer mentioned earlier.
I can’t believe this. Casey is finally considering taking some real action for a change.
Keep blogging about the bankruptcy experience. This is information that other people can benefit from. There are thousands of other people just like you in this country.
*
TOTAL WASTE OF TIME
December 14th, 2006 at 8:24 pm
- CAN you file bankruptcy? You ‘may’ not have intended to defraud your lenders, but that lack of intent doesn’t change the fact that you did so.
- If so, bankruptcy is hardly a ‘fresh start’
- What makes you think that a ‘fresh start’ would suddenly make you smart enough to build a successful business? Get a job.
- You can still pay back “every dirty penny” even after bankruptcy - so your ethical/moral dilemma is therfore moot.
But, MOST IMPORTANTLY - you spelled ‘losers’ CORRECTLY!!! YEAH CASEY!!!!!!!
*
DC Troll
December 14th, 2006 at 8:24 pm
Hey Casey, if you need money to pay the attorneys and tide you over ’til bankruptcy, I have got the plan for you!
BOBBLEHEAD CASEY!
Yes, “Big Cheese” already suggested the Talking Casey doll (and BC, it was HILARIOUS) but perhaps you didn’t trust that new-fangled voice technology. And yes, someone else mentioned bobbleheads, but just like Casey’s essays, I reserve the right to whole-heartedly steal ideas (Hey I thought of this weeks ago - really, I just wanted another “I’m so broke” post to jump on).
Anyway, here’s the design:
Printed around the base are the words “Wanna make a deal?” The head’s range of motion is restricted to front-to-back (yes) or moving side-to-side (dithering). It is incapable of twisting left and right (no).
But Casey, I do not have enough footage of you to produce the doll. All of your videos so far have shown you from below, and I need an image of the top of your head to complete the doll. So Casey, if you could stop towering over us for a few minutes and kneel down for a picture of the top of your head this would allow the doll to go into production. (….)
Remember, you get a slice of the profit from every doll! (Bubba …..)
*
T
December 14th, 2006 at 8:40 pm
Rut roh. Someone’s threatened to call Casey’s mom and tell her about the level of criminality he’s involved it.
Casey’s so gonna get grounded.
*
T.White
December 14th, 2006 at 8:45 pm
@ homey:
“Remember JOSE? Cause dat cat sure enough remembers you bro. Man you crazy kids sure scammed alot of people…”
Hey, Homey. I think yneone isn’t Casey’s wife anymore.
I think it’s the ‘Jose’ you referred to.
When I googled ‘Casey Serin rescom’
ripoff report showed ‘Jose’ telling someone,”Sorry to disappoint”
I got a “sorry to disappoint” from yneone a few posts back.
Maybe a coincidence?
Either way;
We haters loves ya Homey!!!
*
workedsavedrich
December 14th, 2006 at 8:47 pm
Casey,
Against my better judgment, I am going to make a donation to your tip jar. Maybe it’s the season or maybe you just remind me too much of my son who’s just 2 months older than you. He’s smart and ambitious, just as you are, Casey, but he stuck it out through engineering school and has a well paying job. Engineering school felt like a drag since it seemed everyone else partied all the time and he and the rest of the engineering geeks lived in the lab. He made it through his Masters and likes engineering. But he really likes the money he earns now. It lets him run his other businesses and travel where and when he wishes, at 25 years old. A good university education (not get rich seminars) is something no one can take away from you, Casey and provides a basis for funding your dreams.
I haven’t felt very charitable towards you until you posted my comment because I felt you weren’t being honest about your entire situation. I think you’ll be surprised how many people like me will help with donations and other real help if you stop scamming and tell the truth about everything.
25 years ago I found myself in almost the same position as you with crappy rent houses that took more money and time than they were worth. I was never so depressed or cried so much in my life. But I stuck with my husband, who came up with the whole “bright” idea to “buy rent houses and never work again”.
Swallowing our pride and working through the monetary fiasco took 5 years. But we learned important lessons about running an honest business and now we live off of real, honest to goodness interest income from our efforts. There is no get rich quick, except the lottery (not too likely) but you can get rich by working hard and smart. And if you work hard and smart you’ll find being ethical and honest come with no effort.
Your wife’s a cutie, hope she enjoyed Hawaii and I sincerely hope her educational dreams come true.
.
*
Astro Zombie
December 14th, 2006 at 8:58 pm
Ethical and moral issues? Do you think mortgage fraud is ethical?
What about short sales? Do you think it is ethical or moral to pay back less than you borrowed?
What about Jamba Juice / Macaroni Grill using a credit card when you know that you have no money in the bank? Is that moral / ethical?
You haven’t done one moral or ethical thing yet.
*
Wikifortune.com
December 14th, 2006 at 9:03 pm
Dear Mr. Casey,
I’ve clicked on your adsense 4 times as I now realize you are thinking a bit clearer.
File for bankruptcy.
You are in worse shape than a person who is bankrupt.
Do you finally understand sir?
With my adsense clicks, please buy something nice for yourself.
*
Tonight's Top Ten List
December 14th, 2006 at 9:05 pm
Reasons you should file for bankruptcy:
1. You have crushing debt and no way to repay.
2. You have the business acumen of a crackhead.
3. It will look good on your application to the Future Millionaires of America - Failing Forward Club (FMA FFC)
4. Sputnik will stop pooping in your shoes.
5. Revised Chapter 7 bankruptcy regulations now come in sweet new coloring book format.
6. None of the lenders, trustees, judges, attorneys, or prosecutors use the internet, so they will be completely unaware of this blog.
7. On the Chapter 7 paperwork, when it asks for the sex of the applicant, you can write “yes, pleese.”
8. Great opportunity for networking and making connections with trustees and judges for future sweet deals.
9. Courthouse is three blocks from a Starbucks.
10. It’s the sensible thing to do.
Reasons you should not file for bankruptcy:
1. It’s unclear if your intent was to defraud any of the lenders. BK proceedings will initiate legal inquiry.
2. The Jamba Juice gravy train will come grinding to a halt.
3. This blog will become even more boring than it currently is.
4. Yneone and SacRealtor will be heartbroken.
5. Jesus never filed for bankruptcy.
6. Sweetest of all sweet deals is just around the corner in your inbox. All you have to do is open it.
7. BK could mess up the chances of CaseyCorp getting any corporate credit (that will make you money.)
9. Creditors could reposess your blue balls. (The exercise ones, not the ones due to your wife not giving you any.)
10. You’re too busy birddogging sweet deals for rich dad and fellow business owners / entrepreneurs to trifle with formalities.
8. BK is for loosers and haters, not WIN-WINNERS.
*
Rat
December 14th, 2006 at 9:15 pm
“HungryBear
December 14th, 2006 at 6:20 pm The alternative to BK is to let the statute of limitations run. In most cases, in CA, this is 4 years from the date of your default. If your creditors have not sued you by then, they lose their right, and you are in the clear. Is anyone suing you now? If you are not being sued, there is no urgency to BK.
On the other hand would BK improve your ability to get new credit faster? This is an interesting question and I am not really sure of the answer, but I think potentially, it could.”
One of the few posters on here that has a clue. I am still amazed at the clowns on here coming to the defense of the banks. Do they have any idea how much money these banks spent on lobbyist in order to pass the latest BK laws??? Also, people need to educate themselves about where this “credit” comes from. The federal reserve is a private bank.. or better put a group of private banks with foreign ownership. these guys create money to lend out of thin air then charge us usury (interest) fees. there is no money…. it is fiat currency. look at your “dollars” it is backed by nothing. they recently decided to stop publishing M3 statistics this past spring because they are pumping liquidity into the economy to keep it going. this is part of the reason for the bubble popping. we are in a debt bubble people and the banks will soon be knocking on a lot of doors. bash casey all you want, but what he did pales in comparison to the rape of this once great country via the federal reserve. it is a pyramid scheme, and all you “haters” are on the wrong side. wake up people!!!
*
doitcasey
December 14th, 2006 at 9:39 pm
Do it Casey, if you haven’t realized..take a poll..about 99% of the people who read your blog end up hating you and realizing what a scumbag and conniving weasel you really are. So do it Casey, declare bankruptcy like I predicted almost 2 months ago…what’s going to happen see, is the judge will read your blog and realize what a waste of air you are, then the lenders will read your blog and realize you have been and admitted to scamming them all this time..do you really think anyone will take your side? If this was for 50k ok big deal, but this is for 2.2 million nimrod. So you go on this trip to AZ (credit card or borrowed money I’m sure) and then decide you are going to declare bankruptcy? How about getting that book from your wife for christmas even though the both of you don’t have 2 pennies (that isn’t owned to someone else) to rub between you? You are a first class asshole. You and your wife have this sense of entitlement that you deserve a good christmas, and you deserve a good thanksgiving. Have you paid your friend back the $2200 yet? It’s been months since that first payment to him of his own money hasn’t it? So you and your wife go out and decide to go on a trip and get you a book for christmas while he is left in the wind? I bet he could use that $2200 to get his own christmas presents couldn’t he? No matter how well off he is compared to you (hell who isn’t? even the lowly cubicle workers have a net worth better than you do) he earned that money and I can’t believe you are treating yourself to jamba juice and books and trips and macaroni grill while you still owe your friend $2200. I won’t even go into the 140 K that you owe your creditors nor the 2.2 million you owe the lenders. But do it Casey, you are seriously deluding yourself if you think lenders will just forget about this in a few months or years and then think you are a good risk again…this is peanuts in the grand scheme of things, but 2.2 million lost hurts anyone. Just think, with your job as a programmer making 35K per year, it would take you 62 years to pay it all off, and that’s not including the interest. Hope someone puts you out of your misery soon….
*
Underwear Model
December 14th, 2006 at 9:43 pm
“It’s clear my intent was never to defraud any of the lenders. I was borrowing with the intent to pay it back. Because of my inexperience I made some mistakes and got into trouble.”
- Casey Talk
He means:
“It’s clear my intent was never to GET CAUGHT defraudING any of the lenders. I was borrowing with the intent to pay it back. Because of my inexperience I made some mistakes and got into trouble.”
BTW, I’m looking for a job. Casey, can you send me an application when you startup your new Real Estate Company?
Also, Hopefully for your wife she will get through school and find a good job, or start her own firm (with NO professional help from you). Go to the library and get the movie Mr. Mom. Let her work and you can stay at home with the kids putting up the occasional blog after you serve your 32/33 years, whatever it takes.
*
BelowTheCrowd
December 14th, 2006 at 9:57 pm
I share some of the concerns expressed here about your ability to discharge ALL your debts, but I’ll bet you can discharge most of them, if for no better reason than I don’t think all the banks are going to bother contesting it.
The reality is that unless anybody objects, the trustee and judge aren’t likely to spend a whole lot of time investingating whether or not you were 100% on your applications. A good bankruptcy attorney will know how to present you as best as possible.
Bottom line to me is you’ll be better off after bankruptcy proceedings than before, even if you remain with some debt and a payment plan.
And please stop talking about the “corporate credit” you’re going to get. At this point, you’re not getting any credit. Even long-established corps single owners generally can’t get credit without an owner’s guarantee. I’ve had over $150k per year through my corp for several years running, and still have to guarantee it.
You’re not getting much credit again for a while, by any means. Get used to the idea. That’s true whether you go through bankruptcy or not.
-btc
*
Tim, from Monterey Bay area
December 14th, 2006 at 10:38 pm
Random Guy does not speak for me when he writes:
“In all seriousness everybody wants you to declare BK. Even the people saying not to - they all need sarcasm tags around their posts because I think you’re having trouble figuring that out. It’s been fun watching this train wreck, but deep down we really don’t want you to go to jail.”
No, we are not all wanting Casey to declare bankruptcy. However, Casey is likely to be _forced_ into bankruptcy PDQ (pretty damned quick), given his 4-5 months behind delinquencies on his remaining properties, his $145K credit card debt, his various personal debts to family and friends, and his latest 36% APR “loan.”
And, no, you are not speaking for me when you say “we really don’t want you to go to jail.’
My sister and her husband went bankrupt in 1994 in Sacramento, Rio Linda to be more precise, because they were $30K delinquent (for reasons I will not go into it, except to say it involved some renters who didn’t pay rent for over a year). She and her husband were not allowed to just “skate” on this deficiency. Bankruptcy is not some magical “Get out of debt free” card, the way so many of you commenting here seem to think.
Considering what she faced for a $30K debt, which is about what Casey is running up EACH AND EVERY MONTH THAT THIS CHARADE CONTINUES, then, yes, I hope Casey sees serious prison time. And that he is not given some magical “slate wiped clean” permission slip to start his scams anew.
So don’t you presume to speak for “us” here.
I try to comment constructively, as I see litte point in making the usual crude jokes or insults (most of the time), but this should not be construed as my saying that Casey should be given a “fresh start.” Frankly, he should be put in a debtor’s prison for the next 30 years. Except we traded in those for the welfare state and inner city projects and Ebonics lessons in school.
Casey is just one more reason why we need to reformat America’s hard drive and take out 30 milliion pieces of trash.
–Tim from the Monterey Bay area
*
JLIN
December 14th, 2006 at 10:47 pm
Also, I should let you know that a lot of attorneys and judges in the bankruptcy community already know all about you and have followed your blog.
A. Smyth and the others will be watching you, Private Serin.
*
Eric Cartman
December 14th, 2006 at 10:51 pm
all ur house are belong to us!
*
SCAMMER
December 14th, 2006 at 11:06 pm
“Also Casey Serin, the guy who got hired the same time that I did knows that the FOOLINGS had this aabie caabie inspections thing going before I was ever hired. The old secretary Amber Brame and Donna Mangurian will also testify to the same!!”
Once a scammer, always a scammer!
http://badbusinessbureau.com/r.....187947.htm
*
dumberer and dummererest
December 14th, 2006 at 11:29 pm
So you think that crap was a business opportunity…
wow my resume is on Monster, look at the kind of “JOBS” im getting offers for.
*********
Dear Sir/Madam, Our company, Tao & Wang Associates based in People’s Republic of China, is in need of representatives in Europe and North America to represent its interests with some companies that export products from China to this continents This message is sent in english for universal understanding. Tao & Wang Associates,an arm of the company in Hong Kong has been mandated to seek individuals and corporate bodies in North America for this purpose. We are able to get your email address with the help of marketing research based on your location.Tao and wang associates is in charge of public relations and handles human resource functions for the mother compaby in China. The representatives will act as payment receiving agents and also placing orders for goods and products from customers. You can be compensated with between 7% and 15% for your service. We guarantee you a minimum of$2,000 monthly part time and can reach $20,000 based on the volume and experience as time goes on. All this is possible because of delay in getting approval for oversea branch. If you are interested and for more information, please send an email with your name and address and cell phone number and fax to:Mr Jerry Chow in charge of our North American operation at: taowangassociates@yahoo.com.hk Thank you. Jerry Chow (marketing), for Tao & Wang Associates.
*
Mr. Flipper
December 14th, 2006 at 11:44 pm
@Rat
You make a great observation and comment. As a nation, the ignorant, are being set up for failure financially.
However, Rat, the rest of us can take advantage of these institutions by accepting their treatment of “money” as a commodity, and using it as such.
We know that money today is a commodity because its traded, valued, futured, and otherwise internationalized, for lack of a better description — as never before.
Money has never been easier to buy/rent/acquire I suppose since Nixon took us off the gold standard? Anyway the dollar has now evolved into an international commodity…backed by nothing, as you said.
I’m no expert here, but wouldn’t it seem wiser to borrow as much as we can; invest all we can; and somewhere, somehow create a safeguard against the probable and likely devaluation of this paper tower?
Otherwise we soar on inflation, or sink when all the cards fall, eventually it would appear.
Thanks for that thoughtful post.
*
Jerry
December 15th, 2006 at 12:39 am
You guys really think some judge is going to take the trouble to google Casey and read all his postings on this blog about his liar loans? RIGHT…
Chances are nothing bad is going to happen to Casey if he declares BK. Almost certainly not prison, unless somebody decides to make an example of him.
This is the way the system works. Sucks that people like Casey can get away with this. Maybe why he is so hated - like the guy who cuts in line and gets away with it.
*
Fashion Industry Ceo
December 15th, 2006 at 12:56 am
go ahead and do it…everybody deserves a second chance!!! right?
*
The Sangha
December 15th, 2006 at 1:21 am
There are a lot of haters here who just feed off of others’ vulnerabilities. I hope all goes well for you, Casey. Keep up the good fight with your blog! :D
*
lol
December 15th, 2006 at 1:57 am
I can’t wait for you to answer when the judge asks you, “Casey, how does a guy making $35,000 per year get $2.2 million in credit?”
*
Mind Petals: Young Entrepreneur Network
December 15th, 2006 at 2:17 am
links from Technorati Why Should I NOT File Bankruptcy?
*
The Trailer Park Boys
December 15th, 2006 at 3:38 am
Now you are talking!!!!
Bk is the only way…congratulations, you do have some living brain cells.
*
Dont enhale the Serin Gas
December 15th, 2006 at 4:19 am
wow, someone else found that rescom stuff also. Most of it was completely illegible, but yet another example of Caseys involvement in a shady situation
*
Rat
December 15th, 2006 at 4:47 am
Thanks for the reply Mr Flipper. I agree with you 100%, but might add that timing is not neccessarily the easiest of task. The most important part of this process will be diversification, and I caution against over leveraging as Casey found out the hard way. What you somewhat described is how a Hedge Fund works. I think the most prudent strategy would be one of trying to save purchasing power, not making a killing. Diversify, diversify, diversify…. oh yeah.. and did i say diversify? Pigs get fat hogs get slaughtered, greed is the enemy. Right now keep your powder dry and dont fire till you see the whites of their eyes. Good Luck all !!!
*
JTR
December 15th, 2006 at 4:49 am
Casey, if you’re holding off on BK because you relish the challenge of paying back 2.2 million, give it up!!!
OMG, for you, sticking to your goals for a week is enough of a challenge.
Hell, walking past a Jamba Juice or Starbucks store empty-handed is a challenge.
Get real. The game is over. The question a lot of us have is IF you will have time to file BK before being arrested. That will REALLY force your hand.
By the way, how is that conscience thing going with regard to really taking responsibility and turning yourself into the FBI?
*
Keke
December 15th, 2006 at 5:25 am
Casey, please visit www.daveramsey.com, your story reminds me of his story.. He is a wonderful teacher and maybe he can help you..
*
Law Vibe
December 15th, 2006 at 5:56 am
Casey,
Ok, you’re finally getting it!!!
Is there really any nobility in fighting a battle where you have no chance to win? Save your energy to rebuild yourself after BK.
*
Housing Panic - The Housing Bubble Blog with Attitude: Iamfacingforeclosure.com kid now (finally) considering filing for bankruptcy protection
December 15th, 2006 at 6:05 am
Kramer auto Pingback[…] Iamfacingforeclosure.com kid now (finally) considering filing for bankruptcy protection […]
*
Big Cheese
December 15th, 2006 at 6:09 am
Tim from Monterey,
That last post was pretty harsh.
Mark Karoll,
Why would you post a personal message with a note telling CS not to post it? You know he loves to do the opposite.
—
I’ve been working on the Casey doll project- I can do a run with a supplier here but I don’t have the voice recordings (Casey, you may want to step up here) and it will take some time to get these out. By that time, Casey may be off the air or laying low.
I do think that bringing his wife into this is Casey’s trump card. That’s your money shot Casey, don’t forget that.
Big Cheese
*
Tim
December 15th, 2006 at 6:13 am
Please Casey in all seriousness, do this. And then we can all be spared your next “Chef of the future” idea. For at leat the next few years, unless you happen to come into some money that YOU EARNED, you will not be able to bilk everyone out of a FREE RIDE.
File for BK, go to the FBI, turn yourself in and offer to tear a big freakin hole in this broken system. It’s the only right thing to do.
And please stop listening to gurus. They are rich because there are millions of gullible a-holes out there. This notion of
innocence and naiveity is starting to really make me nuts. Your whole generation is gonna scew up this world QUICK.
*
69mandingo
December 15th, 2006 at 6:13 am
alright casey. i am finally ready to step in here. let’s talk deal. i am an independently wealthy investor who is ready to move NOW. tell me how much you need in cash from me in return for YOU. by that i mean: i will assume all of your properties PLUS i want the rights to a piece of all of your future revenues [realesteate earnings, blogging earnings…any sweet deals]. this is not a joke…your notoriety is worth millions if we just monetize it correctly.
*
Bubble Meter: Bubble Sphere Roundup
December 15th, 2006 at 6:28 am
Kramer auto Pingback[…] The housing bubble’s poster boy of fraud, Casey Serin, ponders whether or not he should file for bankruptcy. The authorities need to charge him for fraud.Paper Money is a wonderful blog. What’s In a Word? in this case the word is ’substantial,’ as the Federal Reserve board opined that there is a ’substantial cooling of the housing market.’Median Sales Prices are down 8% in Sacramento and even more in some of the nearby counties. Sacramento Land(ing) posts that Double-Digit Price Declines for Placer & Yolo; Sacramento Down 8%. And just to cheer you up during this holiday season. Nouriel Roubini posts: Economic downturn is still fully underway. He writes “The housing recession is not bottoming out (see collapsing housing starts and building permits); the housing recession has now led to a total stall of non-residential construction. The auto sector is in a recession; the manufacturing sector is in a recession; inventory adjustment is cutting Q4 growth; and now real investment by the corporate sector is sharply falling (see October durable goods).” A general US recession is most probably coming within 9 months. […]
*
Cow_tipping
December 15th, 2006 at 6:42 am
Yes Bankruptcy, then the lenders will report their loan forgiveness to the IRS. Bingo you now owe taxes on 1 million+. That you will not be able to run from. BK or not. It still is the better solution.
Now here is another small point you seem to conveniently ignore. Most business owners fail a few times, yes. however they dont go huge (like over 2 million into debt just as an example) and then fail saying its their first attempt. They fail small, learn from it and make it big.
Here is another point for you - The real estate gurus preach that everyone should do this crap, so do all gurus. Imagine if that was happening. You go to a seminar, and 100% of them go and buy houses. Then they try to sell them. Of course gurus are holding these every week. Say 500 per week. 10 weeks and we have 5,000, 5 months and you ahve 13,000 houses people have bought and are flipping. This will be in addition to whatever else is on the market as is. I am not even counting anyone who is buying more than 1.
Same with amway or any network marketing.
Now that doesn’t happen, and the gurus know that, in fact that is their main income. People who come to these seminars and never do jack. That is realy what keeps this hocus pocus non sustainable trend from crashing and falling on its face pronto. It took 3-5 years for it to crash and fall on its face.
Cool.
Cow_tipping.
*
Pac Man
December 15th, 2006 at 6:42 am
Casey is doing fine. He’s already at 2.2 million points. If he can accumulate an additional 1.8 million, not only does he get an extra life, but he gets to play the bonus round! Sweet!
*
none
December 15th, 2006 at 7:01 am
Move to a no garnishment state, FL, TX or carolina and do a quasi Bankruptcy. Just stop paying and wait for the Statue of Limitation to expire.
*
Kevin
December 15th, 2006 at 7:01 am
Hey, if The Donald can do it & come back, you can do!
But one thing - you said you have ethical issues re BK - ummm, excuse me? The ethical (& illegal issues) of your fraud (& various get rich quick schemes) didn’t bother you, but getting a fresh start does?
And, AND, even if you declare BK, you can STILL pay back your creditors - there is nothing that stops you from doing so (just pay it back more slowly & on your own time); in fact, that will help you in the long run with them if you ever want to do business with them again prior to your BK getting wiped clean from your reports.
Finally, you say that all businesses make mistakes & get into trouble. Casey, not all businesses commit fraud & partake in illegal activities.
After you get a BK atty, get a criminal atty just in case!
*
you are in serious trouble
December 15th, 2006 at 7:09 am
“Watch your corn hole, man!”
*
Random Guy
December 15th, 2006 at 7:14 am
Sorry Tim,
I should have said “Most of us” or maybe “Some of us” or maybe “Just me” in my statement, but you seem to have a chip on your shoulder - “reformat America’s hard drive and take out 30 million pieces of trash”? Life isn’t Atlas Shugged where if all the super smart people got together it would be heaven on earth. Do you have any empathy for people those whose cultural background, beliefs, or intelligence do not match yours? I’m sorry but taken to it logical conclusion, that kind of thinking is as wrong today as it was back in the 30’s when Germany thought it should get rid of it’s “6 million pieces or trash”.
*
aleish
December 15th, 2006 at 7:34 am
Great post Casey!
I want to share this article I read, Just Say No To Filing Bankruptcy, it is about the things you should know before filing bankruptcy.
*
Unbelievable
December 15th, 2006 at 7:36 am
ZZZZZZZZZZZZZZZZZZZZZZZZ
*
nooneofconsequence
December 15th, 2006 at 7:41 am
“Sure it would make for a great story to avoid bancruptcy and pay it all back… but… how possible is it really? And how long will it take?”
Casey- you had several opportunities where people stepped in to help you months ago, even though it would require some work on your part. It seems you were waiting for a better offer, maybe someone to “save you”. It was possible with a lot of hard work. Your blog may have been your ultimate downfall because you felt you were taking action and you felt that you “had something”, that really isn’t worth much at all. You needed your fifteen minutes of fame to help you, and instead it has hurt you.
*
Leroy
December 15th, 2006 at 7:55 am
FireFox = AdBlock
*
father_JACK
December 15th, 2006 at 8:00 am
@ Jerry :
Fact: If you have over $100,000 in unsecured debt when you file a chapter 7, your case AUTOMATICALLY gets handed over to the Dept of Justice for a mandatory review.
If Casey is telling the truth about his situation and what he’s done, the DOJ will kick back that chapter 7 petition. Should take no time at all - a LEXIS search for “SERIN, CASEY” will turn up many helpful articles thanks to the media coverage of this case.
Start hiding cash to pay your BK and criminal lawyers NOW. Chap. 13 petitions aren’t cheap.
*
z.
December 15th, 2006 at 8:20 am
Casey: if someone asks you to not publish a comment you should honor that request, don’t you think?
Although now I am certain you do not even read the comments so it makes sense you are talking about BK until now.
Also, for fututre reference, you do not post your phone on a blog. You can face a stupid blogger and have your phone published for the world to see.
*
Jagleesh
December 15th, 2006 at 8:39 am
Helloing to all
My name is Jagleesh and I come here from Punjab area India. I have woring on tech supprt for 3 years now for americcan company of technologies. It is saved my money for tickets to plane and I learned much of this website.
My intentioned to as follow Casey in path but without not his mistakes. From my vision on his dialogues, it bacomes clear thet to inordinately not lose moeny or family to be careful with abundance.
I am propose to but 1 house that has 2 houses in it so to rent the other house that I but. I am careful to let new persons rent that have money to pay me. In this manner I am to propose equities on house to be able to live. After years I understand to be able to buy another house with 2 houses in it but to instead have 2 sets paying from income earned. Is it possibly to do this endeavour?
I am reading about the jails and do not want there. I am hard to work and have 2 jobs that pay. I want to very much do this right and not incorrectly. Please respond my if there is a chance successful in my events?
Jagleesh
*
Kasey
December 15th, 2006 at 8:40 am
I am not sure BK is an option since you obtained those house via fraud.
I think this should have been addressed 6 months ago. The first NOD that I received (although you do not open your mail) would have prompted me to visit a BK attorney.
www.mypropermortgage.wordpress.com
*
Sac Realtor
December 15th, 2006 at 8:53 am
Dude, man up and flip your way out of trouble. Homes will go up in value in the Spring and unless you are an idiot you can flip them all for a big profit.
*
ArgenNinja
December 15th, 2006 at 8:57 am
DON’T DO IT
You are close of getting out of this mess, just keep fasting, getting up early, and borrowing money.
YOU WILL BE IN THE CLEAR IN NO TIME!
*
Wow
December 15th, 2006 at 9:13 am
You spelled “losers” right.
Half credit for a coherent line of thought (only half because it doesn’t look like you’ve actually done anything yet—like post your adsense revenue for more than one month).
Negative points for putting up Mark Karoll’s post (and phone numbers) after he expressly asked you not to (even said “please”). I thought you said you read these things.
*
Deb Frisch
December 15th, 2006 at 9:31 am
Yo braw!
Methinks you gots the makings of a purty durn good case for harrassment by these online stalkerazzi types you seems to have attracted.
Tha’s right I talking bout’chu Mr. Robert Coatie (er is that cootie?) and all de other haters from patrick.net and elsewheres in the ether-dome.
Casey dude - seriously ignore de haters yuze on the right path braw!
Listen up pardner even tho you’re a guy and I don’t swing that way maybe we could work out sumptin with your cute lil wifey G-gurl!
Anyways I not only have a P-aitch D I also have tons o experience with prosecuting online hair-azz-ers (emphasis on de second syllable) - e.g. Jeff Todd Goldstain, Mssr Hosedragger, et al. Comprenez-moi!
See you in the funny papers!
Sincerely
Dr. Deborah Frisch
Ph.D. Decision Sciences
*
Aaron
December 15th, 2006 at 10:05 am
good luck on the BK. I don’t think you will qualify b/c of the fraud and even if you do you will still have some sort of a repayment plan. Face it you aren’t walking away from this one scottfree.
you continue to live on fantasy island.
*
Tim, from Monterey Bay area
December 15th, 2006 at 10:10 am
“Tim from Monterey, That last post was pretty harsh.”
I call them as I see them. And I saw what my sister went through on a “measly” $30K forced bankruptcy (forced in that she and her husband could not pay what the lender was requiring, and, in case anyone wonders, lenders are not in the habit of voluntairly “forgiving” loans).
I also see people in jail for shoplifting $100 items. And people in jail for tax fraud/delinquencies of $10,000. And so on.
The notion that Casey can just “declare bankrtuptcy” and then “get on with his life” with a “corporate credit line,” is mendacious.
Bankruptcy regulations have gotten tighter in the past year, and even before these changes it was unlikely that some of Casey’s debt could have been discharged. Others have cited specific bits of the code, including exceptions on discharge for loan obtained fraudulently (which Casey acknowledged was the case in his very first blog entry here, back in September…the simultaneous closes, the money back without lender knowledge, the deception on the loans, and the signing of statements he knew to be false).
Bankruptcy also involves a lengthy process of credit counseling, turning his financia affairs over to an appointed person (appointed by the bankrtuptcy judge, not by Casey), and may involve various repayment plans.
Tax issues also loom. And neither the IRS nor the FTB, nor whatever tax authorities are in Texas, New Mexico, and Utah, accept bankruptcy as a waiver of owed taxes.
I think I’m going to do a separate post on “the danger of positive thinking,” as I see this as a root cause of much of Casey’s continuing fantasies and troubles.
–Tim from Monterey
*
Falcon
December 15th, 2006 at 10:20 am
A few of the previous posters have indicated that Casey is likely to be shielded from any issues regarding the fraud he committed because a Judge will not read his blog. On the contrary, I think that is an error.
Casey has made himself into a bit of a media sensation now. With air time on CNBC and videos posted on youtube, how difficult do you think it would be for any of his creditor’s attorneys (or the presiding judge) to simply perform a quick google search for his name and stumble across copious links explaining the entire situation?
This situation goes far beyond just Casey. The housing bubble is now popping and we are only at the precipice. Like the S&L scandal of the late 80s and the dot com bubble of a few years ago, every bubble or speculative frenzy has yielded numerous cases of fraud and unethical conduct. And this bubble is no different.
Our legal system is not simply about maintaining justice; it is also about setting examples. Look at Martha Stewart. Her conduct, while unethical, still resulted in legal action because of her celebrity status.
Personally, I think Casey has completely shot himself in the foot with this blog because he has essentially made himself into a media sensation. And as the housing bubble continues to deflate, more and more foreclosures and resulting loss in home values (it is going to be nasty folks) will have people screaming for blood. And whom do you think is going to take the brunt of that anger? Answer: not the nobodys; those with media exposure are the most vulnerable.
And how difficult would it be at this stage for any attorney worth his weight in M&Ms to be able to make a substantial case against Casey. I am not an attorney and I can already itemize numerous instances of egregious behavior on his part and multiple instances of fraud.
As a previous poster indicated, filing for BK is not a walk in the park. Especially with the new bankruptcy laws. Oh, and on an aside, it is no coincidence that those laws were changed recently. The government could by then clearly see how dire the housing bubble had become. And they immediately took pre-emptive measures to protect the banking system. As they should. The last time we had these types of bubbles in both stocks and real estate (and people like Casey, wide eyed and bushy tailed with false enthusiasm) was the 1920s, right before the Great Depression.
*
Hater Mike
December 15th, 2006 at 10:25 am
Pondering bankruptcy and spelling loser correctly are steps in the right direction but you’re still delusional.
With all the attention you’ve drawn to yourself you’ll still have debt after bankruptcy and you’ll carry this with you for years. When a corporate lender see a half-assed corporation with one person and no business plan, don’t you think that they’re going to see that’s it’s still dumb old Casey playing games with other peoples’ money?
Also you need to forget about this “Most succesful business owners have failed several times before finally succeeding.” Casey Serin and Mr BS Kiyosaki does not add up to “most”. What about Michael Dell, Warren Buffet and Mike Bloomberg? Where is their history of amazing failures? Alot of failures fail over and over too.
*
T
December 15th, 2006 at 10:42 am
Borrowing
Ex. 22:14; Deut. 15:1-11; Ps. 37:25; Prov. 3:27-28, 22:7; Matt. 5:25-26, 5:40, 18:23-35; Luke12:58-59
Contentment
Ps. 119:14, 119:57, 119:72; Prov. 3:13, 8:18-21, 10:22; Matt. 20:1-16; Phil. 4:11-14; Col. 3:2; 1 Thess. 5:18; 1 Tim. 3:3, 6:6-9: 1 John 2:15
Dishonestly
Ex. 22:9, 23:8; Lev. 6:1-2; Deut. 27:17-19; Ps. 15:5, 37:37, 62:10, 119:113; Prov. 2:15, 10:10, 11:1, 11:18, 11:20, 13:25, 15:27, 16:30, 17:8, 17:23, 20:10, 20:14, 22:28, 23:10, 23:10, 24:8; Jer. 9:4; Luke 16:1-9
Ego
Ps. 75:4, 107:40; Prov. 11:2, 12:9, 15:25, 16:18-19, 18:12, 18:23, 19:1, 28:11, 28:25, 29:23, 30:7-8; Jer. 9:23, 22:21; Matt. 19:27, 23:12; Luke 14:11; Phil. 2:3; 1Tim. 6:17; James 5:1-5
Greed
Prov. 21:17, 22:16, 23:6-7; Ecc. 2:10, 4:8, 5:10, 5:13; Jer. 8:10; Amos 5:11; Mat. 6:19, 6:24, 19:23, 23:14, 25:45; Luke 12:13-15, 12:16-20, 16:14, 16:19-21; Acts 5:1-10; Eph. 5:5; 1 Tin. 6:10; 2 Tim, 3:2; Titus 1:11; Heb. 13:5; James 3:14-16, 4:3
Laziness
Prov. 12:27, 13:4, 14:4, 19:15, 19:24, 20:4, 21:25, 22:13, 24:30, 26:13
Saving
Prov. 6:6-10, 21:20; Ps. 37:25; Matt. 6:19-20
Taxes
Matt. 17:24-25; Mark 12:14; Luke 20:22-25; Rom. 13:6-7
Work
Duet. 24:14-15; Prov 6:6-10, 10:4-5, 12:11, 12:24, 14:23, 16:26, 28:19; Eph. 4:28
*
Robert Coté
December 15th, 2006 at 10:48 am
Tim and I are obviously from California like Casey and experienced in business unlike Casey as we need no explaination of FTB.
I’ve got a meta-question however. I’m wondering if Casey’s situation has deteriorated to one of being able to pick his executioner? The civil obligations are buying time for any penny. The various jurisdictions are probably burning up their hotlines over who best to do the perp walk and then the arraingment and then prosecution. Can’t you just see 4 states AGs and 5(?) DAs offices negotiating? That is one whole lot of “lawyerosterone.” It’s also why sharks don’t eat lawyer; professional courtesy.
Casey doesn’t suffer from boundless optimism but rather selective perception. This is more common than most are willing to accept. The one trait that stands out among all the others is one hasn’t been mentioned in all the thousands of posts; Casey doesn’t laugh. Not at himself, not at some truly epic comments not at the idiots tied to his star. I’ve known many greats of our age. briefly, glancingly, well. To a one they shared their joy. Another trait; sponge. Every one never stopped learning/adsorbing. B Fuller in his later years was still listening to the questions more than listening to himself. Anyone see a divergence here?
*
star
December 15th, 2006 at 10:50 am
re: “Once you file you are actually a very good credit risk.”
That’s a misconception spread by bankruptcy attorneys and deadbeats.
Anyone with bankruptcy on their credit reports will never be a “very good” credit risk. In fact, in the case of most banks, you will be blackballed forever if they were a creditor you defaulted on. Even long after the bk has falled off your report. Did you default on good prime credit cards like Amex, BOA or Citi? Good luck ever getting another card from them.
All those offers? A bunch of subprime junk nobody would take if given a choice.
A person who files bankruptcy is more likely to default on debts again compared to a person who’s never gone bankrupt. You won’t have a chance at A or B credit while you’ve got a bankruptcy reporting. You’ll be excluded from certain careers. In many cases and depending on the state you live in, your auto and property insurance will cost more since data shows bk filers are more likely to have claims. You will lose business from people who don’t want to deal with deadbeats. No sensible person or any bank views a bk filer as “very good” credit.
*
Robert Coté
December 15th, 2006 at 10:53 am
Tha’s right I talking bout’chu Mr. Robert Coatie (er is that cootie?) and all de other haters from patrick.net and elsewheres in the ether-dome.
Yep, it was “cootie” back in the 4th grade. Tell your mommy that someone thinks you should be on computer restriction.
The accent is a common one. “Co-tay” is the easiest equivalent.
*
Tim, from Monterey Bay area
December 15th, 2006 at 10:53 am
The Dangers of Positive Thinking
or, why “The Little Train that Could” has hoodwinked two generations of kids
or, why Norman Vincent Peale’s “power of positive thinking” is misleading
I’ve wanted to write something on this meme about “the power of positive thinking” here on this blog for months now. Every time I see Casey going on about “failing forward” or “win-win” or “attracting success to me,” I cringe.
Success is usually obtained by hard work, by matching talents to jobs, by having achievable goals, and by years of dedication. I won’t get to Carnegie Hall by “having a positive attitude.” I won’t get a Nobel Prize by “attracting success.” I won’t become an astronaut by doing “sweet deals.”
Little kids in America (maybe not in Uzkek or Russian culture, admittedly) are taught the story of the “Little Train that Could,” with the downtrodden little train huffing up the hill saying “I know I can, I know I can,” in tune with the puffing of the smoke. The moral is that having a positive attitude allows success.
Well, no, it doesn’t. Getting through high school algebra takes more than just having a positive attitude. Getting through college-level courses….you get the point.
And succeeding in flipping real estate takes a lot more than going to guru seminars to get pumped up. For example, just to name a few things it requires:
– starting carefully, diligently, learning from the first few years of deals
– keeping accurate records, in forms which show the big picture (and I mean some form of balance sheet, or spreadsheet, not trivia about keeping all the Jamba Juice receipts in a file box!)
– devoting appropriate time EVERY DAY to opening mail, marking bills and tax statements and whatnot for immediate action, etc.
– keeping current on the status of routine maintenance (hiring contractors as needed), being near the house bought (not 1000 miles away), checking on repairs, storm damage, local real estate conditions, etc.
– setting reasonable goals and price points for the sale of the property, etc.
While it is hilarious to picture “Casey bouncing on his blue ball, iistening to guru tapes,” this doesn’t seem so far off. He frequently talks about positive thinking, failing forward, attracting success, listening to more gurus, visualizing success, and even “We are blessed.”
Some think this indicates aspects of manic-depressive behavior (I think the current name is Bipolar Personality Disorder, but I am not current on the Official List). Casey seldom displays true despair, which is I suppose good for his situtation.
(True or deep despair can be paralyzing, so no one should confuse my “dangers of positive thinking” as being advice that Casey should go to the other extreme, dark despair.)
A reasonable compromise between manic enthusiasm (”I can do it if I just _want_ to do it!”) and depressive despair (”My life is over”) is what I would do in Casey’s shoes:
– “Man, I am in a countdown to forced insolvency. The clock is ticking and January looks to be when my last desperate loan from friends will be exhausted, when the 6-month old delinquencies on my 4 remaining properties come home to roost, and when my wife and I truly must face the consequences.”
– “I need to face the fact that there have been no “sweet deals” in the last several months, and none likely to come my way. My apprenticeship with Rich Dad I (Kiyosaki) and Rich Dad II (in Sacramento), and Rich Friend Chris….none have led me to some miraculous deal which will save me.”
– “Nor, given my balance sheet (which I have finally prepared) can any plausible or realistic deals which come my way make more than a $30K dent in my $400K net-net hole I am in. Real estate agents I have talked to point out that making $30K in a deal is highly unlikely in this deteriorating market, and this is for experienced agents.”
– “I need to face reality: I have $400,000 in debts I cannot repay by any means I can realistically accomplish. Thinking some magical deal will come my way has been what got me where I am today.”
– “I cannot fantasize about “sweet deals” or “win-win” situations, or how a new set of guru tapes will tell how to “fail forward.” Even prayer will not help.”
– “I need to do what I need to do.”
This is what I would have done about 4 months ago, actually. Once it became apparent that all of my properties were bought for more than they were worth EVEN AT THE TIME OF PURCHASE!, and that 2006 was seeing Zillow comparables decliningh every month, and that no magical turnaround was in sight for 2007, and that the carrying costs of this $2.2 million set of properties were exceeding a thousand dollars a day, and taxes and balloons and rate adjustments were looming, and buyers were expressing no interest in the properties, and the properties needed repairs, and the winter storms and even slower sales were approaching….”lions and tigers and bears, oh my!”
I would have begun the liquidation process in August at the latest. And not listened to any more seminar tapes, any more “you can do it if you visualize that you can do it! New Age crapola.
“The power of positive thinking” has wrecked a couple of generations in America, in my opinion. It has taught millions of kids that they can be NBA stars if they want it badly enough, that they can become Paris Hilton and Lindsay Lohan if only they want it (and start vomiting up all their meals to stay thin), that “I know I can, I know I can.”
Casey fell for the magic beans, the New Age nonsense, the scams of the gurus who want $3000 for a bunch of cheerleading rallies.
He needs to pull back from the abyss and do a businesslike liquidation of his portfolio. Probably with the heavy involvement of competent lawyers.
(And for the 10th time, why is his accounting-student wife not involved on a daily basis in this mess? Not only is this train wreck already affecting her in ways too numerous to list, but her 3 years of classes in accounting ought to be directly applicable to helping their finances get straightened out, at least to the point of seeing the balance sheet which shows just how deep their hole is. )
Casey, the train is headed off the cliff. Wake up and stop dreaming.
–Tim from Monterey Bay
*
star
December 15th, 2006 at 10:58 am
re: “Oh and one more thing. I live in a state that has a credit report freeze option. So no one knows that I have filed.”
You can’t freeze Nexis-Lexis and several other consumer reporting agencies(non-credit) and it will most likely show on there.
Anyone can search PACER and see your entire bk petition and related filings.
Any current creditor or anyone else with a “permissible purpose” can still see your credit reports through AR or PRM soft pulls. If you apply for credit, you’ll have to unfreeze your reports for them.
A freeze is just another layer of protection over being opt’d-out. Even though I have nothing to hide on my CRs, I’m opt’d out and nobody except my current creditors can look at my CRs without a PP.
*
Erik
December 15th, 2006 at 11:04 am
Casey,
What ever happened to the loan officer(s) that helped you get these loans in the first place? As a loan officer, I have to be extremely careful with stated income and asset mortgage applications. Every borrower signs a 4506-T at closing and if they begin having trouble making payments, the lenders will investigate past IRS tax returns. If it is found they have been lying, I would also be liable if I knew of this at application.
I can’t really believe that these loan officers didn’t know that you were lying. It should have been quite clear to them.
*
sean-sisb
December 15th, 2006 at 11:13 am
You can always turn your houses into communes. Just invite a bunch of human debris from the bay area into your home in Sacramento. Provide a daily dose of Jamba Juice for those malnourished alcoholics. Go to the used musical instrument store and get a sitar, a mandolin, and a couple of castanets.
Provide pot cookies laced with shrooms and it will be HUNGRY FREAKS, DADDY –> WHO ARE THE BRAIN POLICE
*
Jordan
December 15th, 2006 at 11:22 am
Oh, boy. You are shooting yourself in the foot yet again by blogging about all of this. The attorneys representing the creditors who oppose your bankruptcy are going to have a BLAST mining this site for nuggets to put in front of the bankruptcy judge!
Not to mention the fact that you are leaving a nice trail of evidence for any prosecutors who would wish to investigate possibly prosecuting you for fraud!
Think about it! You are shooting yourself in the foot AGAIN!
*
digerati
December 15th, 2006 at 11:26 am
Well you missed the REAL get rich quick scheme by a day. It’s now illegal to melt down pennies and nickels and sell the metal for scrap (about a 70% profit). Oops.
Successful Personal Finance.com
*
SayWhat?
December 15th, 2006 at 11:35 am
Declaring bankruptcy would mean he would have to admit to a real live person (instead of us) that he committed fraud and he doesn’t want to face the consequences of that.
*
Eric Cartman
December 15th, 2006 at 11:44 am
all ur house are belong to us! looser!
*
Sandra Rose
December 15th, 2006 at 11:50 am
File the Bankruptcy and get this whole thing done. The comments to you are destructive as this whole process at this point is to. You WILL end up in Bankruptcy anyway, so why not just do it.
As far as your wifes credit, IF she keeps paying on her charge cards they will not take them away in BK. But it will still effect her credit to since you are legally married.
There is no way this thing is going to turn around. Start fresh for 2007, file in 2006!
Gypsy
*
DC Troll
December 15th, 2006 at 12:01 pm
Casey has removed my Sweet punchlines from the Bobblehead Casey post! At least he did mark their absence with (…) I am stunned.
Was it the prison references? Have you decided to stop working blue? No cussin’ or family member names were used. Maybe the invocation of the dreaded Bub… Bubb… Inmate # 743824?
*
Jerry
December 15th, 2006 at 12:05 pm
@Falcon - I hope you’re right. I still dont think Casey is going to prison for what he did; guess I don’t have as much faith in our justice system as you do.
Someone should set up a poll somewhere so we can vote on what we think Casey will get out of this. I’d love to see what everyone else thinks…
*
cLuStEr_fK
December 15th, 2006 at 12:14 pm
“Fellow business owner?” Eh? What’s the name of YOUR business? OPM Flush?
*
Stkn Realtor
December 15th, 2006 at 12:17 pm
Yo,
Cay-See. Hang in their. I’m a Realtor(sm) in Stockton, about halfway between Sac. and Modesto for those of you out there. I am fairly certain that we have seen the bottom in the n. California (ex-Bay Area) markets. Why? Market analysis.
I just fuond your site on Wensday and I’m trying to get up to speed of your issues.
I spend a LOT of time staying current on market trends and financing issues. What we have hear is a confluence of slow time of the year (duh, who want to move in Dec.?) along with an overbought market that topped last spring. What we are seeing now is a basing pattern in th emarket. It WILL rebound with vigor on the spring.
We are now seeing a basing patternn as median prices hold their pace and are getting ready for the spring 07 push highr. This is normal.
Just hold on until Marh or probably April and you will see SIGNIFICANT gains. I currently have over 35 properties listed and they are showing signs of buyer interest which is remarkable for this time of the year!
Don’t despair. What I would do is take th elisting OFF the market until early next year, then list with a reliable competent real estate professional. If you are priced right, when the surge returns, you will be handed a handsome profit.
This past year was slightly atypical in that we had our slowdown eraly, but it is nearly over. No one likes to see that a property has been on the market for too long, so de-list now and prepare ofr ‘07. You won’t be disapointed.
What I would do after you get your properties sold is to look either at duplex units (cash flow anyone? cha-ching!) or tnants in common where you can purchase investment grade propery and have additional cash flow.
If you need more infor, see my website and enquire!
Cheers!
*
JT
December 15th, 2006 at 12:34 pm
Don’t do it. Keep going, be creative and by god don’t listen to these people, because the odds are very high they all have “regular jobs”.
And successful people do fail; so do failures. The difference is the successful people learn from their mistakes, the other’s don’t. Simple but true.
Before you take advice, ask them what they do for a living and how they’ve made their money, if they have any.
*
TOTAL WASTE OF TIME
December 15th, 2006 at 12:43 pm
lol: “I can’t wait for you to answer when the judge asks you, “Casey, how does a guy making $35,000 per year get $2.2 million in credit?” ”
IIRC, Casey had already quit his day job before acquiring his empire. So, I think the question is:
“Casey, how does a guy WITHOUT A JOB making $0 per year get $2.2 million in credit?”
*
Jim
December 15th, 2006 at 12:49 pm
Casey, what is the update on your progress in selling these properties? You have been reducing your asking prices by $10k per week for the past month. Have any potential buyers or offers emerged from that process?
On another note, completely, perhaps you can enlighten us on why you want to support scammers such as the fraudulent business opportunities and fake “corporate credit” companies you promote on this site? What, in your mind, is the largest potential upside you could obtain by running one of these businesses? A million dollars? Two million?
Compare that to people running legitimate businesses, some of whom are billionaires (Bill Gates being the ultimate example). I would bet money that even the “Bill Gates” of scammers / fraudsters has only 1/10,000th of Bill Gates’ net worth, and has probably spent considerable time in jail as a result of his efforts to rip people off.
*
BT98
December 15th, 2006 at 12:58 pm
Tim - I think I’m going to do a separate post on “the danger of positive thinking,” as I see this as a root cause of much of Casey’s continuing fantasies and troubles.
That’s a good one. I am looking forward to it.
Casey, how is your class? Learning anything positive? Are you becoming more positive now? How is your financial situation? what? can you be a little more positive?
When will you be a master of positive thinker?
BT
*
Josh
December 15th, 2006 at 1:45 pm
It’s hilarious that once again you talk about ethics Casey, don’t you realize that “flipping” isn’t exactly ethical to begin with? You are a part of a social evil that helped price many honest, hardworking families out of a home.
Once this is all over, you need to just get an honest job, you’ve been enough of a drain on society.
BTW, I’m laughing every time you stumble. I’ll save my compassion for those who truly deserve it.
*
Aaron
December 15th, 2006 at 2:08 pm
Tim,
I don’t think anyone could have said it any better. Casey, you need to truely wake up and start REALLY doing something. Not what you have been doing which is absolutely f’n nothing. Time to face reality and “get er’ done”. This week you spent at the seminar was a week you could have made some money so you and your wife could eat or do your inlaws feed you now too? Jeez you’re such a mooch.
*
SerinGas
December 15th, 2006 at 2:13 pm
Sweeeeeeeeet! Dude, thank you. I have lerned so much from your website. When I’m done with high school next year, I’m going to do exactly what you did, but except buy a rover instead of jamba juice and starbux. Bankruptcy is sweeeet free money. Your a genius and I totally look up to you. Can’t wait till you get some more sweet deals. I am looking forward to getting some skin in the game to!!!!
*
Miguel
December 15th, 2006 at 2:23 pm
“You guys really think some judge is going to take the trouble to google Casey and read all his postings on this blog about his liar loans? RIGHT…”
Possibly not the judge.
But if the lawyers representing Casey’s creditors don’t thoroughly investigate his history - which will certainly include the entire contents of his blog - they won’t be doing their jobs properly.
So the judge will definitely get to hear about it, come what may.
*
FuturesTrader
December 15th, 2006 at 2:32 pm
Josh:
Get over yourself. Free markets are what define and allowed for this country to grow. No one is entitled to anything but what their dollar earns them with respect to what the market will bear. There’s nothing unethical about this, unless you believe in some dirty form of socialism. Flipping is as valid as ditch digging.
Casey is a crook, but you’re worse for partaking in schadenfreude.
*
Honestly Wondering
December 15th, 2006 at 2:34 pm
Josh: “You are a part of a social evil that helped price many honest, hardworking families out of a home.”
And don’t forget, it’s not just people getting priced out of buying houses. Plenty of people (like me) actually had to relocate in 2005 because their apartment complexes sold out to condo developers, who were expecting to make flip fortunes based on the insane price driveups caused by house flippers like Casey. Lots of folks got shoved out onto the street on short notice because their homes were sold out from underneath them.
All thanks to folks like Casey who thought they’d get rich fast by pushing paper around.
I’m laughing, too. I’m really hoping he goes down hard.
*
Tim, from Monterey Bay area
December 15th, 2006 at 2:51 pm
“Compare that to people running legitimate businesses, some of whom are billionaires (Bill Gates being the ultimate example). I would bet money that even the “Bill Gates” of scammers / fraudsters has only 1/10,000th of Bill Gates’ net worth, and has probably spent considerable time in jail as a result of his efforts to rip people off.”
Very true. Far more real weath has been created by real businessmen, industrialists, high tech engineers and execs, than in the “real estate guru” industry.
Many people rushed headlong, and without knowledge, into the “tech boom” of the late 90s. Practically ever newspaper and t.v. show about business was talking about “day traders” (what Casey would have been in 2000 had he been a little older than he is), about “JDS Uniphase” and “CMGI” and how they are the “new economy.”
But just as many people overreacted when these tech novas fizzled out. They overreacted by assuming high tech was over and done with.
And yet since the “bubble burst” we have seen brand new industries created with names like Google, NetFlix, Myspace, Facebook, and with roaring successes in the “older” high tech companies such as Oracle, SAP, Apple, and several dozen others.
I moved to Silicon Valley in 1974. Of the various friends and acquaintances I made then, and even some people I know in college and later reconnected with, nearly all of them have done very, very well. Of about 20 of them, I think all but a couple of them are either millionaires or multimillionaires…and not just in house value, either. They worked for a variety of companies, including AMD, National Semiconductor, IBM, Apple, Oracle, EBay, Intel, Altera, Applied Materials, Lam Research, Xidex, Google, H-P, and others. A bunch of them moved to several companies in their careers. Most of my friends from the 70s are now retired, several from the 1980s now are in senior positions at the “newer” generation of companies (mentioned above). And a couple of my acquaintances, including the guy who hired me into my first job as an engineer, are basically billionaires (it gets hard to tell, from 10Ks and all, given how money gets invested in various ways).
Between making good salaries as engineers, scientists, or programmers, they also plowed money into stock plans, into IRAs and 401Ks, and into the ideas of their friends…and some of these start-ups which they either invested in, or worked for, or both, made them many tens of millions of dollars. (One guy I knew was worth $749 million on the day his company went public…alas, the stock fell sharply and then he died while learning to fly helicopters.)
The point is, these friends and acquaintances were doing exciting stuff–some of my friends were the earliest pioneers in hypertext and the Net, others were founders of the earliest personal computer companies, still others were in telecom and fiber optics and parallel computers….
But they weren’t obsessed with “shortcuts” and “sweet deals” and “guru tapes.”
(One of the guys I knew who was was always cutting corners, always looking for “angles.” He left our company around 1980 or so and, I later heard, was a full-time real estate speculator. He probably did very well, given the sharp increases in real estate value around then, and in later years. But getting into real estate as a full-time deal in 1980 is not the same as getting into it at the beginning of 2006!)
I make no apologies for saying that the their are no simple formulas for becoming wealthy. And so people ought to do what they like to do, and are good at (a big gotcha in Casey’s case), and maybe it will lead to success. Oh, and they shouldn’t gamble with money they don’t have. Borrowing $2.2 million on a bet that house prices will go up when one’s assets are already negative (profits from first flip spent, credit card debt mounting…) is just plain foolish.
And, of course, he should not be excused due to his youth. When I was his age, I was making professional presentations before the President and Chairman of our company, then the fastest-growing chip company in the world. Nobody can claim that a 24-year-old is not fully adult in terms of legal or moral responsibilities.
This notion that Casey can borrow $2.2 million and then keep any profits if the gamble pays off but declare bankrutpcy if the profits fail to appear is truly evil.
Evil in a Biblical sense. Casey talks about religion a lot, but he seems to be utterly lacking in this department. By his actions, I mean.
–Tim from Monterey Bay
*
Don't listen to the pushers
December 15th, 2006 at 3:11 pm
Casey,
Everyone has their opinion about what’s going to happen to real estate prices in 2007 and 2008. For your sake, I really hope you don’t listen to the realtor from Stockton that posted above.
“I spend a LOT of time staying current on market trends and financing issues. What we have hear is a confluence of slow time of the year (duh, who want to move in Dec.?) along with an overbought market that topped last spring.”
Ummm… they’re right about the market topping out last spring, which means that you bought your houses at exactly the worst time. And they’re right about the overbought market… check out the vacancy rates around the West.
“We are now seeing a basing patternn as median prices hold their pace and are getting ready for the spring 07 push highr. This is normal.”
Median prices aren’t holding… they’re beginning a slow decline. In the markets that heated up first: San Diego, Orange County, Boston, South Florida, Las Vegas– prices are already 5-20% off their highs. Anecdotal evidence suggests that the much-ballyhooed median prices are inflated, and in any event don’t represent seller concessions and throw-ins.
“Just hold on until Marh or probably April and you will see SIGNIFICANT gains.”
Nonsense. Housing prices are at almost double their historical average. Buyers… real buyers, not speculators like you, Casey… can’t or don’t want to afford these outrageous mortgages, especially if they can rent for much, much less. The market won’t show SIGNIFICANT gains until prices have fallen back to a level that shows some correlation to income and rental prices. That’s 12-18 months away, maybe even longer.
My advice? I’m not convinced you’re really cut out to be a real estate investor– you bought lousy houses at obscenely high prices with frankly, very expensive loans. At least you’re not as dumb as that idiot who wrapped your Utah house– he wants $700,000 for that?
I’d sell your properties, suck up your losses and go get a job. Good night and good luck.
*
Cougar
December 15th, 2006 at 4:43 pm
Tim-
You make some good points, but don’t blame the “Little Engine”! Sure, positive thinking is not a panacea, but believing in yourself is important. Let’s face it, someone who does not believe in himself and as a result does not try, will never succeed.
The Little Engine’s message , “believe in yourself”, is important and very useful, for the 5 year-old audience at which it is aimed. Casey and others like him fail because they ignore the deeper messages, which perhaps you have to be a bit older than 5 to pick up. For example, you’ll notice that the Little Engine took on a task for which he was well equipped, pulling a train. He did not try to build a bridge, dig a mine, or even start a business (or buy real estate). In those cases it would have been silly for him to “think he could”, since he didn’t have the tools, skills, knowledge, or aptitude.
Furthermore the Little Engine followed closely in the “tracks” of wiser, more experienced trains who had been down the same road before. He didn’t attempt to fly the train, float it across a river, or blaze a new trail. Once again that would have been just plain silly and “thinking he could” wouldn’t have cut the mustard.
Finally, the Little Engine succeeded because he persisted even when the going got tough at a task he was capable of accomplishing. The load was heavy, but he continued to progress even though it was difficult. Once again for a 5 year-old, this is a great message, who cares that the book didn’t address the fact that there a some tasks that even a “believer” can’t accomplish? That’s a lesson for another day. Unfortunately, for Casey, that other day is today.
*
Josh
December 15th, 2006 at 4:49 pm
FuturesTrader- There’s a difference between ethical and illegal.
I chose to make my money ethically, rather than hurting or putting financial strain on others in the process.
Flippers don’t provide any value added to society, treating housing like a stock isn’t ethical, especially when its messes with people’s livelihood.
*
Fred Fry
December 15th, 2006 at 5:27 pm
If your going to do something stupid like continue to play in real estate then don’t bother. Other than that, file for bankruptcy and then find a job far away from property.
A regular job would be perfect for you where there are set rules, defined goals and expectations.
*
foobeca
December 15th, 2006 at 7:14 pm
You should declare bankruptcy and pay back the individuals (family and friends) that loaned money to you. It’s one thing to screw a bunch of big, evil corporations out of money. Losing money on bad loans is built into(or should be) their business plans. They are in the business of managing risk while making as much money as possible.
It’s something totally different altogether when you screw a friend or family member. They loaned you money out of sympathy, not to screw you over with interest.
*
Mister B
December 15th, 2006 at 7:44 pm
Tim and Cougar’s points on the “Little Engine that Could” are both interesting. They both agree that people need to pick something they are good at and apply themselves to it. Trying to do something that you aren’t good at, but wishing you were, usually leads to failure.
Casey’s behavior has been more “Ant and the Grasshopper”. He had an initial burst of “productivity” when he bought his six properties. Then he did… nothing. Actually, worse than nothing. He kept dreaming and racking up the debt. He’s the Grasshopper. He should have been the Ant, plodding along and trying to make a real business out of real estate.
*
Homey Da Clown
December 15th, 2006 at 9:23 pm
IT’S HOMEY TIME!!!
YO YO YO… why you keep deletin my posts man? You mus be a “HATER.” I’ jus says the truth,does it hurt your wittle feelings? boo hoo hoo
Oh,, you mus be all pissy and hissy, I bet.
Alls you gots to do is start telling the truth.
Hell, in case you ain’t too swift my man, DA MAN already gots the 411 on your white butt. BWAHAHAHA
You might as well start confessin…
You gots some splainin to do babycakes..
Love,
Homey
*
Don
December 15th, 2006 at 9:43 pm
A lot of jealous, narrow-minded people commenting here, Casey. Big debt focuses you. Getting a “job” won’t get you rich.
*
A. Smyth
December 15th, 2006 at 11:13 pm
One more thing. If you do file chapter 7 and receive a discharge, you cannot receive a discharge again in any future chapter 7 bankruptcy you may file for another 8 years. Your bankruptcy case will not discharge any new debts you incur after you file bankruptcy, and you won’t be able to use a new bankruptcy to get out of those debts for a very long time. Make sure you’re good and ready to file bankruptcy when you do and don’t take on any new debts after you file that you cannot handle. No new “sweet deals.”
*
Miguel
December 16th, 2006 at 2:28 am
Serious question for Casey: has Robert Kiyosaki ever offered you any actual, practical, RELEVANT advice as to how you can climb out of this hole?
Because if he hasn’t, I’m mystified as to why you seem to be favouring his advice over the many, many comments from people who clearly do know what they’re talking about, even to the extent of supplying hard facts and figures directly related to your situation.
Actually, I’m not mystified at all: it’s much easier to listen to “Hey, Casey, you may have screwed up a little, but you’re still better than 99.9% of the rest of humanity” than “These are the figures. This is your situation. You’re in the deepest shit imaginable, and you almost certainly can’t climb out, so forget about trying and look seriously at filing for bankruptcy”. Even though statement 2 is strongly evidence-backed and statement 1 isn’t (to put it mildly).
*
David
December 16th, 2006 at 6:48 am
Good luck!
*
Dork
December 16th, 2006 at 8:48 am
Don said: “A lot of jealous, narrow-minded people commenting here, Casey. Big debt focuses you.”
Read more of Casey’s blog to see how big debt “focuses” him.
*
none
December 16th, 2006 at 9:30 am
The comment on debt ‘focusing you’ is interesting. I was recently in some significant debt (for me) that I took on and commited to paying off within six months. I focused exceptionally hard for that period of time, and all I had on my mind was sorting that debt out.
I’d never put myself in such a position: My easily avoidable credit cards have been acruing for years, because there is not a lot of pressure to deal with them. However ‘under the hammer’ I did something I’ve never done before.
But I do think there is a point where debt doesn’t keep you focused, and it simply drowns you. The intelligent part is knowing your limits and acting accordingly with what you can achieve. I think a smart way to approach it, is to work out what you can deal with, and then add a percentage on top of it. For me, that percentage was roughly 20%. Maybe next time it will be a little more, or maybe it will be a little less: Every scenario takes some consideration.
Human nature will allow us to outperform ourselves to a certain degree, and that extra push can put you ahead of the game… Intelligent risks are repeatable, but anything else is gambling; winning by sheer luck means you are neither smart nor savvy.
*
Time Will Tell (grrrrr)
December 16th, 2006 at 10:02 am
Fraud is not dischargeable. You have admitted to fraud. So it would be easy for lender to object to the discharge of your debts because you have proven their case for them.
Look at reality. CS is bankrupt in all but the legal sense. He has insufficient assets to cover his debts, and cannot make the payments as agreed to. His credit is ruined and will remain so until he gets a job that pays enough to pay his $20,000+ a month nut. These jobs are few and far between for a senior manager with a solid track record of success….for a 24 yo with a track record of failure, dream on.
He can’t get access to credit except as usurious rates, and wihtout access to credit, he can’t turn any SwEeT deals. Without sWeEt deals, he can’t get rid of his boat anchors.
So what’s tha bank gonna do? Take back the house in foreclosure or as a result of BK. Either way they take the house. Unless they want to make a public spectacle of our SWeeT blogger, the banks are going to take their lumps.
Now, if he was fradulent on his CC loans, that might not be dischargable. But we don’t know how ge got in so deep with those.
*
Time Will Tell (grrrrr)
December 16th, 2006 at 10:05 am
@don,
I am certainly not jealous of CS. For me, the prospect of making real money, not paying back debt, focusses me.
*
Time Will Tell (not jealous)
December 16th, 2006 at 10:18 am
I think that CS should file BK. The entertainment value alone will provide 3 months of fodder for this blog.
As for Dr. D Frisch…..HAHAHAHA….moderated public forum asking for comments of which CS has complete control and is gaining material benefits.
Hardly the makings of a solid case, don’t ya think. U B a nitwit, just like CS.
*
Time Will Tell (not jealous)
December 16th, 2006 at 10:30 am
@ Tim & Cougar
The Little Engine’s message…is important and very useful, for the 5 year-old audience at which it is aimed.
A revisiting of the ‘I think I can’ concept by Shel Silverstein:
The little blue engine looked up at the hill.
His light was weak, his whistle was shrill.
He was tired and small, and the hill was tall,
And his face blushed red as he softly said,
“I think I can, I think I can, I think I can.”
So he started up with a chug and a strain,
And he puffed and pulled with might and main.
And slowly he climbed, a foot at a time,
And his engine coughed as he whispered soft,
“I think I can, I think I can, I think I can.”
With a squeak and a creak and a toot and a sigh,
With an extra hope and an extra try,
He would not stop — now he neared the top —
And strong and proud he cried out loud,
“I think I can, I think I can, I think I can!”
He was almost there, when — CRASH! SMASH! BASH!
He slid down and mashed into engine hash
On the rocks below… which goes to show
If the track is tough and the hill is rough,
THINKING you can just ain’t enough!
*
hmmmm
December 16th, 2006 at 11:11 am
Casey,
please declare your BK. This is the best way to tell the bank/lender not to use agressive lending tactics (e.g. option-arm, no-doc loans, and etc). Yeah, you go head and be the first to kill the “american dream” with zero-down, I/O loans. This will wake up the financial system in America. This will remind the next first time home buyer not to use these agressive lending tactics.
*
Tim, from Monterey Bay area
December 16th, 2006 at 11:31 am
Cougar makes a good point that maybe I was too harsh about “The Little Train That Could”:
“You make some good points, but don’t blame the “Little Engine”! Sure, positive thinking is not a panacea, but believing in yourself is important. Let’s face it, someone who does not believe in himself and as a result does not try, will never succeed.
The Little Engine’s message , “believe in yourself”, is important and very useful, for the 5 year-old audience at which it is aimed. Casey and others like him fail because they ignore the deeper messages, which perhaps you have to be a bit older than 5 to pick up.”
I agree that fables and stories such as the Little Train are useful….for young children. There’s a delicate balance between “giving up” because a task is difficult and having unrealistic goals.
The reason I singled out this particular fable is that it’s a touchstone, a metaphor, for the whole “self-esteem” trends in our schools for the past 20 or 30 years. For example, a friend of mine has a son who plays baseball in school. Their team, in the 8th grade, didn’t keep score, because having winners and losers “might hurt their self-esteem.”
On a national scale, we saw this in the “black pride” movement, the “black is beautiful,” where litte Lashawn and little Desiree were praised for merely being black, not for excelling at math or science or writing. Schools became factories for promotiing self-esteem….with no lasting effect.
Meanwhile, Asian kids were not praised in some perverted “yellow is beautiful” or “Chinese pride” nonsense…they simply had to read lots of books, do well in math and science, and concentrate on achievement. And the results are with us today, with about 60 times as many Asian engineers and entrepreneurs, proportionate to their percentage of the U.S. population, as there are black engineers and entrepreneurs.
Not knowing Casey, I don’t know how the education system affected him. Certainly from his terrible grammar and spelling, and his speaking style in the audio and video clips, he doesn’t know English very well. However, he immigrated to the U.S. at age 14, so I’ll cut him a lot of slack on this.
Still, Casey should’ve sought ways to get some real education.
The “motivational” stuff is not education.
And as an aside, all of the real estate training seminars, the guru tapes, the self-esteem hype, the motivational lectures didn’t seem to motivate Casey to “take care of business”–things like opening mail, marking key deadlines on a calendar and then getting them done, keeping track of who had his loans, etc. Maybe he needs to channel the late Chris Farley of “Saturday Night Live” fame, channel “Matt Foley, motivational speaker”!
A lot of the skills Casey sorely lacks are precisely those drummed into people at _jobs_. Meeting deadlnes, keeping a “to do” list, preparing balances sheets, even getting up at a reasonable hour. A normal job means no wandering off to Jamba Juice when deadlines loom, no bouncing on the blue ball and listening to guru tapes, no “I guess I shoulda been openin the mail.”
The “millionaire next door” (an excellent book, by the way) doesn’t need pep talks from “life coaches.” He doesn’t need RK chanting about “jobs are for loosers.”
The mllionaire next door has learned that “the little train that could” was a nice fairy tale for 5-year-olds, but the real world demands real work.
–Tim from Monterey
*
Tim, from Monterey Bay area
December 16th, 2006 at 11:55 am
Mister B makes an excellent point:
“Casey’s behavior has been more “Ant and the Grasshopper”. He had an initial burst of “productivity” when he bought his six properties. Then he did… nothing. Actually, worse than nothing. He kept dreaming and racking up the debt. He’s the Grasshopper. He should have been the Ant, plodding along and trying to make a real business out of real estate.”
Just so. Casey was extraordinarily reckless in buying 6-8 properties in just a single year. And one of them he paid $500K for. And others are basically junkers, bought at the top of the market, if not above the top. The “cash back” scheme (or scam?) made it worse, though Casey deluded himself into thinking he was making money in these “sweet deals.”
Then, as Mister B says, Casey just basically did almost nothing. He put in a new kitchen in one of the junkers, but “ran out of money” to repair the bathrooms and floors. He “staged” another place (and may still be paying rent on the furnishings….he hasn’t mentioned this, but this is what friends of mine have done when they “staged” a place).
What was he doing from April to July? A vacation in Hawaii. Restaurants. Guru tapes.
Still unanswered is this Big Question: the increase in credit card debt to about $145K and his own comments about how much “cash back” he got on the 6-8 deals seems to indicate he got about $120K-150K out of these (admittedly inflated) loans. This implies about $250K to $300K of various kinds of money or expenditures in the past year. Some of it was for the refacing of the Dallas house, some for the kitchen refreshing of of the Sacramento properties, but the “net net” implies a quarter of a million bucks was “spent” by Casey and his wife. How? On what? He has no obligation to tell us, of course, but the “balance sheet” I have sketched out from the figures he reports on his various properties imply a cash flow into Casey (out from lenders and the CC companies) of this magnitude. Only Casey knows the exact figures, if he has in fact done a balance sheet. I have said many times he and his wife need to have a balance sheet, either done manually (ugh) or done with a spreadsheet program. Casey has not responded to these suggestions of myself and others. He has said he’s not sure where the money has gone (!!!), which implies to me very sloppy, very careless accounting.
The important accounting is not the trivial stuff, like sorting out the “box of receipts” he has said he needs to sort out. No, the important accounting is seeing the big picture. A one page listing by columns and rows of the assets and debits (defined in conventional terms, not Planet Kiyosaki make-believe terms!) will keep Casey honest about his actual situation.
He keeps deluding himself by trivia, as when he told us he actually made a “profit” on the Utah house, a profit of $300. Well, no, this was not a profit, as this was swamped in all of the various carrying costs while the house sat empty and unrented. Calling a $300 check (I presume) a profit while ignoring the overall cash flow and balance sheet is just criminally outrageous accounting.
Where is his accounting student wife in all of this?
Why is she apparently “hands-off” on the critical issues?
–Tim from Monterey
*
Cougar
December 16th, 2006 at 2:17 pm
Tim-
I agree that worrying too much about “hurting a child’s self-esteem” is futile at best. Most children are smart enough to realize that if there are no “losers” then “winning” is pretty much meaningless as well. Besides, learning to deal with failure is an important part of life. That’s not to say building self-esteem isn’t important, but it can be accomplished much more effectively by helping children to recognize their strengths and to succeed by acting on those, rather than shielding them from the failure that they will inevitably encounter at some point in their lives anyway.
As for self-esteem and race, I think the overemphasis on preventing failure is a much bigger problem in white suburbia than anywhere else (maybe that’s just where I’ve experienced it), but that’s a discussion for another day.
Getting back to Casey, I don’t think his problems can be blamed on his education. He actually seems pretty intelligent, but he’s delusional. He only sees and hears what he wants to. If something doesn’t quite fit in with his desired worldview he ignores it. Whether this is a symptom of some underlying disease (eg. ADHD or bipolar) or just a sign of immaturity, I don’t know, but basically, he doesn’t want to believe the fact that getting ahead almost always takes careful planning, discipline and lots of hard work. So instead ,he chases after the dream of easy riches through “sweet deals”, sold by the real estate “gurus”.
Finally, in defense of the “gurus” and even RK, it’s not totally their fault that Casey “tunes out” when they get to the part about the hard work. Sure RK advises staying out of the “rat race”, but in Rich Dad/Poor Dad, he spends a whole chapter discussing “working to learn rather than for money”. Had Casey taken this advice and spent a year or two working in the CA real estate market, learning the ropes about home valuation, time on the market, market trends, location, location, location, remodeling costs, rental opportunities, etc… and perhaps another year or so on the business side, learning about things like cash flow and balance sheets, he certainly would have a lot more of my sympathy, and probably he wouldn’t even need it!
*
Little Dude
December 16th, 2006 at 4:11 pm
I too would also like to see a balance sheet for the last year, but I don’t think we’re going to see one, Tim. Casey would be crazy to post something like that considering what he’s up against legally. Maybe not though - it could at least show that most of the money he got was spent on the properties and make him look a little less fraudulent.
It is strange that he apparently has nothing to show for all of that missing money. I think the scary thing is that a large chunk of it probably went to seminars and to paying his and wifey’s credit card payments. On the RK clip, he says that one of the “boot camps” he went to cost him $15K alone. And the calendar he posted under the ‘organizing his receipts’ post showed a lot of travel, about half of it (maybe) for seminars.
He said in that post (and the calendar supports it) that they spent about 3 months on the road. Considering Casey’s spending habits I can easily see him blowing $200 / day between hotel, rental car, meals, etc. Add in the flights and he’s over $20K there on travel expenses easy. Just from April - July I count 9 weeks 2 days “business” travel plus the week in Hawaii. Those months were spent blowing money without doing anything particularly productive. (ha ha, as opposed to the particularly productive months of ???)
Weren’t their minimum credit card payments a couple thousand per month at one point? (Probably still are.) I would wager that this whole time they’ve been making minimum payments (essentially throwing money into the toilet.)
I would also wager that the largest chunk went back into the loans as mortgage payments, the next largest chunk went towards the renovations he did, and the rest toward living expenses, travel expenses, and seminars. Still doesn’t seem like that would add up to 250K though.
I would like to think if I blew through a quarter million in a year I would have more to show for it than an exercise ball and a bunch of blue shirts.
The more I think about it the more I think it wouldn’t be a bad idea for Casey to post a balance sheet. Better to look like an inept businessman than like someone who intentionally defrauds banks for a living. (Getting eight loans in a year while having zero income sure makes it look that way.)
*
Phil
December 16th, 2006 at 5:48 pm
Dude you need to get beat up. You’ll never survive in jail looking like you do now.
I’m really surprised your not considering running at this point.
Run dude run!
*
Phil
December 16th, 2006 at 5:57 pm
My girlfriend just told me I was supporting irresponsible behavior.
I agree the other alternative is to turn yourself in now in the hopes of a more lenient sentence.
If you wait longer you’re going to get caught up in the same sort of lynching the Enron guys got, because people are going to want revenge for the house being worth 1/2 what it was at the peak. And you are a convenient target.
*
Ding Dong-Will someone get the door?
December 16th, 2006 at 9:09 pm
Whew! It smells in here. Did you get a whiff of that? I think that foul odor is the creative bullc–p. I guess it is a new word for scam.
Yup Casey. The end is near. Ditto, about 8 weeks or less and it will all be over for you. You’ll be on a new beginning alright.
Is this Real Estate talk just a diversion from the inevitable? Does all this weird talk about business and success keep you from fainting from the truth of this reality?
‘Better hug your wife a few extra times, and your Mom too. This will be the last Christmas you spend with them in a long while. Don’t bother packing a suitcase. Get a doctor for bi-polar medication before they come for you. You’ll need your meds. Yup. Get someone to continue your blog. There’ll be no notice. They’ll just ring your doorbell and take you away. They don’t want to screw up their year-end books with a deadbeat borrowers property showing in the debit column. They’ll proceed in the coming new year when the current noteholder demands that the note be bought back by the lender who approved your loan. Then let the real games begin. Not hating. Did you smell that? Hey Casey, you only post my blog when I’m supportive but it is getting mighty stinky in here. So please don’t nix my post.
And Casey, why did you go to meet RK? Were you aware that he was smirking and laughing at you while you were speaking? Did he invite you to speak so he didn’t have to take the fall for your actions? I mean, did he invite you so he would be exonerated? Right? After all, you did say you learned from him how to buy real estate. Do you really believe he just opened the paper and saw your story like he said?
RK heard of your failure because you were making references to him. He didn’t want to go down with you or to have his seminar attendees realize he if full of it too. Word gets around.
Better get your life in order as best you can before the doorbell rings and the Feds swarm your in-laws house looking for you. They’ll do a full scale search of the house by dumping out all the drawers. Make the most of your time now. When they come for you, there won’t be anymore time left for you in the free entrepreneur world.
Make a list of anything you need to do before that.
Don’t worry. They’ll be ringing the doorbells of the loan officers doors too. Boy, will the Feds be surprised when they find out they may not even be licensed!
*
NotoriousPSU
December 16th, 2006 at 10:45 pm
Casey, you’re already screwed. You ought to be thinking about how to make this all easiest on your family at this point.
Let’s be real here for a moment. Bankruptcy is your only option. You also have a strong possibility of going to jail. Instead of dealing with your problems like a man, you put them off and find creative ways to ignore them (such as this blog). You need to grow up. No one is going to bail you out of your situation. Your problems aren’t going to go away just because you seem like a nice guy.
You can either face up to this on your own terms, or wait until your creditors decide to drag you and your family through the mud. Your choice.
*
Old Fart
December 17th, 2006 at 4:26 pm
I think you are delusional and have a serious attitude problem. You don’t realize you are a gambler who has a subconscious desire to lose. If you wanted to do some serious soul-searching to extricate yourself from this mess you’d first stop basking in all this attention. That said the financial institutions that lobbied for the recent bankruptcy laws aren’t any more ethical than you so here is some advice from a former high-roller who has managed to survive.
Wait for the seasonal spring jump in home prices to sell your properties. Housing will get hit as more adjustable mortgages reset, but before that you will get a small spring surge. Sell into it as best you can, even if you must do so at losses. Then if you still need to file for bankruptcy do so. It would help your case immensely to try do some right before you face the legal system.
*
Solvent
December 17th, 2006 at 8:08 pm
“It’s clear my intent was never to defraud any of the lenders. ”
B*llocks! You knew exactly what you were doing when you set up those fraudulent loans.
“I was borrowing with the intent to pay it back. ”
Oh, so that would have made it all right?
” (Only losers quit after their first failure.)”
Keep drinking the Koolaid…
“wouldn’t I be a much better contributor to society if I get a fresh start and build a succesful business that creates jobs and adds value?”
Yes.
But all you’ve produced so far is a fraudulent speculative pyramid that’s collapsed on top of you. You don’t know the first thing about creating jobs and adding value.
*
Michael Cooke
December 17th, 2006 at 8:24 pm
“Your body language showed a sad, broken man. Your hands were on your side, or folded, and you kept your head down often. Your voice was unsure, and soft.
Did you feel humiliation during this taping?”
I think when you are speaking at an event and all the focus is on you and you have someone laughing or get a “heckled” you do the best you can. At least he didn’t pull a Michael Richards. I can think of plenty of things Michael Richards might have said going nuts on RK. I mean look at his wife. There is some EASY comedy material with that match. 8)
I was at the Los Angeles RE expo in Feb and Donald Trump mentioned how several people he knows always talk about one of his “friends” wife in completely inappropriate way. I could not help but think he was referring to RK.
Casey let it go “past him” and that takes allot of cool. It’s amazing how people can see the same thing totally differently. Under the circumstances I didn’t see a “sad, broken man” at all. Quite the opposite. Polished. Articulate. Forthright and transparent. Being “humble” can actually be a good quality speaking of RK could use a HUGE slice of pie himself.
*
Michael Cooke
December 17th, 2006 at 8:41 pm
“Rat”
I see someone watched “America: From Freedom to Fascism hm?” 8)
But if there is a dollar crisis, then where does that leave us for an exchange medium (currency)? Wholesale commodities? Seems like the only option to me. Gold is $600+ per once now. That’s out of the realm for 85% of the population to buy in bulk.
However if anyone made money off the sale of their house in this bubble; I would strongly recommend checking out METALS. That’s what I would do.
Actually if you think of it the only thing that would solve this bubble is a dollar crisis. US exports are in shambles. We import everything. Maybe we want a dollar crisis? Maybe that will solve illegal immigration? But it would take massive inflation on a scale never before seen in history to “solve” the upcoming housing crisis (and illegal immigration)? The movie made me think of crazy stuff like this.
And remember people. This is all original information. I don’t want to see any of you plagiarizing my research without including me in your bibliography; after you write your permission letter.
*
CRIMES AND CORRUPTIONS OF THE NEW WORLD ORDER NEWS
December 21st, 2006 at 2:25 pm
links from Technoratiout of it last couple of days.After coming back home to Sacramento on Monday I was feeling very overwhelmed by the “reality” that was/is waiting for me:…* still facing foreclosure on 4 houses…* well over $150K of unsecured debt…* decision to file bankruptcy or not to file bankruptcy…* uncertain job situation… utah mortgage issues…* lack of discipline and lack of progress on December goals…* being too distracted to do any more real estate deals…* serious marriage issues…* oh and on top of all
*
jt
December 23rd, 2006 at 12:55 am
click click click click click click click click click click click click click click click click click click click click…
There. Don’t spend it all in one place Casey.
*
jt
December 23rd, 2006 at 12:49 pm
@Tim
I have to respectfully disagree with you on everything that you said.
A positive attitude didn’t get Casey into trouble. It was Casey’s greed and general naivete firmly attached to his positive attitude that got him into trouble.
His positive attitude may have been the motivator, but greed after that first $30,000 and naivete of basic finances was what destroyed him.
*
TheJudge
December 26th, 2006 at 8:20 am
Well my friend the problem with business credit is that it is granted to companies that have a business history. Your business history is either non existant or negative because of what you have done here.
In the event that a business has no credit, the referance for the green light on extending credit is usually given based on (you guessed it) PERSONAL CREDIT.
*No easy way out by Robert Tepper begins to play*
There are a few companies and orgs out there that help you effectively buy credit for your company by charging for lists of companies who will extend credit and report to all 3 credit agencies positively or will themselves put you into programs that will extend credit for cash deposits, but of course you must have hard cash to secure their services typically.
*
Hosedragger
December 30th, 2006 at 9:29 am
Well as I live and breathe. If it isn’t the wanted fugitive from the law, Mz. Debbie Frisch posting agin a bunch of libelous crap on someone’s blog all the while hiding out from the police in Denver where she is a wanted fugitive.
The only experience you have in prosecution is the fact there are several law suits waiting for you as well as a jail cell. Yup, Debbiekins in a wanted criminal with a warrant out for her arrest in Denver. Why don’t you call your probation officer and arrange to be picked up? You are still making it worse for yourself Debbie. Where are you hiding? What has your lawyer said about it since you screwed him over by not showing up for the hearing? What has your probation officer told you since you are also in violation of item one of your probation Debbie? Give yourself up now. DO IT NOW!!!
*
june
December 31st, 2006 at 10:12 am
I hope that if you file bankruptcy the trustee or a creditor seeks to have your discharge denied for fraud. Lying on a loan application is fraud.
Subscribe to:
Post Comments (Atom)
No comments:
Post a Comment