Structured Settlements 4Real® Blog: Structured Settlements | Settlement Planning News and John Darer Reviews

Is JG Wentworth a Consumer's Friend or an Investor's Friend?

by Structured Settlement Watchdog®

"J.G. Wentworth was founded on a single, yet powerful idea: deferred payment streams can be purchased at a discount to produce superior returns".  J.G. Wentworth corporate brochure 2007  .pdf  page 3

"Produce superior returns" for whom?

A Poem Inspired by J.G. Wentworth Chapter 11 Filing

by John Darer

 

(loosely to the tune of Simon & Garfunkel's Sounds of Silence-)

Hello Patrick, my old friend
Pardon me I must gloat, again 
That JG Wentworth who you once embraced,
Filed Chapter 11 leaving you disgraced,
Despite the mirth swirling 'round our brains 
The "Thought Leader" NOT still remains.

 

In September you bashed AIG

For its financial dealings so we see

Your lack of new comments on J.G.

Simply underscore your hypocrisy

Seems Mr. Wentworth to you can do no wrong

Now they're bust your blog is like... "so long!"

 

Many restless blogs I typed alone
Making points with skill I continue to hone
'Neath the halo of a greater good
I saw that Mr Wentworth was no good,
When my eardrums were violated by the Viking Chorus 
You're on frickin' mute, what are you HO-A-RSE? 
 

And from the Internet I saw
Endless seriata four score and more
JGW hyping without thinking
Pedantic postings, many were stinking
Patrick's blogs of a voice never shared
En Francais they have a word, simply "merd"

"Hear Ye," said I, "ignore thee so
The factor ads that like a cancer grow
Heed my warnings that I might teach you
Read my thoughts that I might reach you"

My posts like silent raindrops fell

These Cash Now Pushers, "ooh that smell"

And NOW your blog is silenced.

 

Why did Pat Hindert bow and pray
To the Viking trojan and now not bray?

What say you in Terrace Park?

Silence unbecoming, be not "Odd Vark"!

 

 

Hindert Mum On JG Wentworth Bust

Pardon me for being sophomoric but can't stop giggling about this headline long enough to write a post. You get the drift.

JG Wentworth in "SEVERELY WEAKENED FINANCIAL POSITION"- Says Standard & Poors "

J.G. Wentworth, LLC was not bestowed with the luck of the Irish on St. Patrick's day as its credit ratings continue to flop over like a sack of potatoes.

Standard & Poors dropped  J.G. Wentworth's long term counterparty rating to a "CC" with a Negative Watch from a "CCC+" where it had resided since November 2008. It's recovery rating was also dropped.

According to Standard & Poors an obligation rated "CC" is currently highly vulnerable to nonpayment.

Said S&P analyst Rian M. Pressman:

"The downgrade reflects the company's severely weakened financial position as the standstill agreement with warehouse lender Deutsche Bank nears expiration (March 20, 2009)" . As an aside Deutsche Bank has been in the news lately for being one of the counterparty finacial institutions that has been a "beneficiary" of the governments payments to AIG.

"Wentworth's ability to continue operations is limited without further financial assistance from private equity owners JLL Partners. Despite a significant reduction in headcount, the cash flow generated from Wentworth's ongoing business does not fully offset operating expenses, including debt service (estimated at more than $6 million due at the end of March)".

Less than a year ago these folks held a structured settlement thought leaders conference and structured settlement commentator and former NSSTA President Patrick Hindert gushed about structured settlement "thought leaders". To others they are merely the nation's leading cash now pusher.

When the witch hunt is over trial attorneys will discover which "trusted" financial advisers have been sashaying around with these folks.

Read more from "Another Financial Portal"

JG Wentworth..."Plus Ca Change Plus La Meme Chose"

Just When You Thought  JG Wentworth Was Turning Over a New Leaf with

"In a Bind? Need Cash? www.jgwentworth.com      Sell your Settlement Payments Now JG Wentworth Pays Cash" then you follow the link and find that "the more it changes the more it stays the same"

J.G. Wentworth... Structured Settlement "Naught Leader" Cash Now Pusher

Structured Settlement Industry Now Turning to Cash Now Pushers Like JG Wentworth For Advice?

by Structured Settlement Watchdog®

Evidence continues to mount that a segment of the structured settlement industry, led by former NSSTA Executive Director Patrick Hindert IS teaming up with the cash now pushers.

• First, Patrick Hindert has long yakked that the growth of the structured settlement industry is through the factoring industry without being able to articulate any justification.
• Second, Patrick Hindert has demonstrated through his writings and actions that he promoter of cash now pusher JG Wentworth
• Third, few structured settlement firms have made any statement one way or another about how they handle factoring of structured settlements. As this author will soon inform every trial lawyer association in the United states, 95% of the industry HAS NOT made a written disclosure, on their website or through the structured settlement transparency initiative declaration. The 95% statistic falls coincidentally in lock step witha published report, by a factoring representative that 90% of structured settlement brokers take referral fees (disclosed or undisclosed?)
• Fourth, a certain number of structured settlement brokers have relied on a factoring broker to speak for them and justify their actions.
• Fifth, given Hindert's writings and JG Wentworth's summary of the Cash Now Pushers Thought Leadership Conference-mislabeled by JG Wentworth and Patrick Hindert as the "structured settlement industry thought leadership conference",it appears that the factoring industry is being prostituted to help push through Treasury guidance on single claimant qualified settlement funds 468B due to 6 years of utter failure and exhaustion of funds of its previous proponents.

Consider some of the points from JG Wentworth's VP Marketing Kenneth Murray taken from the JG Wentworth web site

Note: This author does not recognize the Patrick Hindert delusion of primary and secondary market for structured settlements. The structured settlement industry (what Hindert classifies as the primary market) involves a professional licensing requirement. The factoring industry has no licensing requirement. The only thing in common between the two is that neither primary trade association enforces the code of ethics it and its members use to solicit your business. This author neither subscribes to nor incorporates the ideals of a company that leads its own industry in proven fraudulent cash now advertising. Why should he? WHY SHOULD YOU?

Selected points from the "Cash Now Pushers Thought Leadership Conference"

Education
The ability for the cash now pushers to educate the structured settlement industry on how to grow the structured settlement industry?

The ability for structured settlement industry to capitalizes on lessons learned and competence developed by the cash now pushers (SEO, etc.)

The ability for the structured settlement industry to sell the positive features of the cash now pushers. Should we simply ignore the fraudulent advertising?

Growth

The ability of (cash now pushers) to educate plaintiff attorneys about the resource available through and with settlement planners. Who needs JG Wentworth for that?

The ability to generate market penetration in excess of 7%

The ability of Treasury to approve 468B funds <---------------

The ability of the cash now pushers to co-develop the structured settlement brand with the structured settlement industry

The ability to develop and finance the growth across the entire continuum of the structured settlement industry

Download SSTLC From JG Wentworth website Ken Murray CMO

Neither Word Nor Wiki From Hindert on The JG Wentworth Downgrade to CCC+

3-H Club

• Patrick Hindert won't attack factoring company business practices
• Patrick Hindert will attack structured settlement professionals and their trade association who do not support factoring
• Patrick Hindert has previously characterized JG Wentworth a "structured settlement thought leader"

Neither word nor wiki about the CCC+ (junk status) of JG Wentworth, LLC from Hindert.

Patrick Johann Hindert is a member of the National Structured Settlement Trade Association and the Society of Settlement Planners and a former Executive Director of both. Incredibly he is the only promoter of "cash now pushers" that is permitted to sit on influential committees of the NSSTA by the NSSTA Board of Directors. Factoring companies are not members of NSSTA.

"At JG WENTWORTH, WE need cash now"?

Are the fat Viking opera singers now belting out "We're JG Wentworth and WE need cash now!"?

On November 26, 2008 Standard & Poor's cut counterparty and senior-secured bank loan ratings on J.G. Wentworth LLC, the "cash now pusher" firm that buys structured settlement payment rights, to 'CCC+' from 'B-', and warned it could cut AGAIN. "Wentworth's financial position could deteriorate further unless it receives additional capital to meet margin calls, fund structured settlement/annuity purchases, and pay fixed obligations," due to "severe dislocation of the credit markets" that have "rendered unprofitable" some financing transactions.

A rating in the CCC category is non-investment grade (Wikipedia refers to it as "junk bonds") and indicates a current identifiable vulnerability to default and is dependent upon favorable business, financial and economic conditions to meet timely payment of interest and repayment of principal. In the event of adverse business, financial or economic conditions, it is not likely to have the capacity to pay interest and repay principal

The above action follows one on October 7, 2008  where Standard & Poors placed JG Wentworth's 321 Henderson under review following the Fresno Rulings.

Click here to access commentary in the publication "Philly Deals"

Click here for the Standard and Poors Press Release header

* JG Wentworth is not a "structured settlement" firm. It is a factoring company

 

 

JG Wentworth Structured Settlement Survey IRRELEVANT

The best way to avoid a biased or unrepresentative sample is to select a random sample. A random sample is defined as a sample where the probability that any individual member from the population being selected as part of the sample is exactly the same as any other individual member of the population.

A survey of 115 captive structured settlement recipients by cash now pusher JG Wentworth could hardly be considered a random sample that is representative of the population of structured settlement recipients in the universe. My initial thought is that these simply represent people who are the most gullible to the cheesiest of advertisements.

NSSTA and SSP member and former Executive Director Patrick Hindert continues to lose the respect of his peers  by devoting even a moment to extrapolate from this statistical irrelevancy. Hindert has even stated his intentions to devote more than a single blog post on S2KM to this narashkeit.

NSSTA and SSP member and former Executive Director "Alicamousa" Patrick HIndert continues to suck up to  the cash now pusher now best known for "cash now" screaming idiots and fat Vilking opera singers. It  should be noted that Patrick HIndert is a "non representative sample" of the structured settlement industry. Thankfully it is only a statistical universe of one.