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Wednesday ‘American Greed’ episode focuses on Lee Farkas, gay mortgage insider with Atlanta ties

Lee Farkas

Lee Farkas, a gay man who once had ties to one of Atlanta's most popular gay bars, will be the subject of a documentary in the "American Greed" series that airs tomorrow night on CNBC.

Titled "Financial Home Invasion," the episode debuts at 10 p.m. on Wednesday, July 11. Other upcoming showings include 1 a.m. on Thursday, July 12; 10 p.m. on Sunday, July 15; and 1 a.m. and 3 a.m. on Monday, July 16, according to TVGuide.com.

Lee Farkas was found guilty in April 2011 of being the mastermind of a $2.9 billion fraud trial that officials said was "one of the largest bank frauds in history."

The Justice Department's criminal division chief, Lanny Breuer, said Farkas's actions "poured fuel on the fire of the financial crisis," according to a report by the Associated Press.

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Finance: What do low interest rates mean for you?

The debt ceiling ... the U.S. Loses its triple A credit rating ... Earthquakes on the East Coast  is the world coming to an end? Probably ... (not) but with all these recent anomalies it certainly feels like we are in the Twilight Zone. It has been almost 3 years since the Fed cut its key rate to almost zero. August 9th, the central bank said rates are likely to remain there until at least mid 2013. Even though that doesn’t bode well for the stock market’s prognosis in the future, there are some pros and cons.

The benefits may not flow so easily. Consumers are showing few signs of wanting to borrow, bank and insurance companies profits are most likely going to suffer and with the stock market sliding, pensions and 401ks face years of low returns. For consumers, low rates mean cheap loans for everything from a new home to a new car. For the many baby boomers nearing the end of their working lives, low rates also deliver meager returns on fixed income investments. With the stock market well below it’s 2007 highs, that is going to be particularly painful.

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Finance: Documentation is crucial for sound lending

The U.S. economic news and projections are front and center in everyone’s mind these days. Though the markets are nervously reacting to the ever changing news, investors are still buying. Investors rushed to bu...
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Finance: The U-Haul is coming!

Okay, it is week three and the U-haul is loaded and almost to your drive-way. The house is in your name only and your new partner wants to be added to title. What does this mean for you from a tax perspective? If the mortgage is in your name only, but the house is titled to both parties, then the mortgage interest would be 100% deductible for only the person with the legal liability for the mortgage.

If you purchase a home together and both people are on the mortgage and the title, then the interest could be used for the best tax benefit. It is important to note that IRS knows EVERYTHING about you. Properly executing the interest deduction on Schedule A is imperative, or it is likely that you will receive a love letter from IRS.

Before obtaining joint assets it is extremely important to consult with a tax advisor and an attorney for a partnership agreement. There are pros and cons to major life decisions that should be explored while you still like each other!