Figures collated in February show a small but significant improvement in the housing market in Southern California. As compared to February 2009, prices have risen by about 10%. The positive turn is not limited to sale prices alone. Fewer foreclosures were recorded last month, showing that the local homeowners are in better financial situation than they were last year. [Read more…]
Senators Up in Arms against Yuan Manipulation by China
China’s currency policy is likely to come under fire if a bill introduced by a bipartisan group of senators in the US is accepted into the legal framework of the country. The legislation is aimed at prompting Obama’s administration to take effective and immediate action against countries like China, which have been suspected, for some years, of purposely pressuring down its currency to gain an edge in the international trade. [Read more…]
Home Construction Rates Fall But Still Exceed Expectations
Although home construction rates declined in the month of February, they still exceeded the expectation of analysts and economists. The government published the home construction statistics recently, which revealed this trend. [Read more…]
Common Misconceptions about Credit Scores
A number of misconceptions float around about credit scores; most of them are actually propagated by totally profit centered debt settlement companies. It is important to be aware of what is true and what is not, to avoid getting fooled by manipulative people. Here are some of the popular misconceptions about credit scores. [Read more…]
How to Prepare for Health and Medical Expenses
Medical expenses have been rising despite the recession and they have become one of the biggest burdens faced by people in the post retirement phase of their life. Financial experts have tried to educate the public about the need to plan for medical expenses but very few people in the U.S. do any kind of future planning for medical bills that are likely to pile up as they grow older and lose some of the benefits that come with employment. [Read more…]
How to Get Yourself Out of Debt
If you’ve lost your job in the recent economic turmoil or lost money in the stock market, or if the price of your new house has collapsed, you could be looking for a way to get yourself out of debt. It is easy to feel worried and disheartened, but that is exactly what you should not do in this situation. Keep a clear mind and try to find a way out. Here are some things that you should try. [Read more…]
Falling Credit Card Debt Numbers Could Be Because of Charge Offs
It has been reported recently that credit card debt is falling, which we are told is a clear sign that the financial situation of consumers is improving. These reports emerge from the data released by the Fed, showing that revolving credit on the books of financial companies is falling. But these figures could be misleading. [Read more…]
TARP Fraud Involving Bank President Uncovered
An ex- president of a private New York based bank has achieved the dubious distinction of being the first person to be charged with misappropriation of TARP funds. Charles Antonucci, president of Park Avenue Bank between June 2004 and October 2009, was arrested earlier this week, accused of stealing US Government funds. [Read more…]
How to Get the Best Health Insurance Deals
If you are about to apply for health insurance, you might be worried about what rate you will be charged and if you’ll be able to get a good deal. But you need to stop worrying and be proactive about it. Here are a few things that you can do to get a better deal. [Read more…]
Diversify Your Investments Before It’s too Late
Don’t put all eggs in one basket. This adage holds true even in the highly sophisticated world of finance. Investors have always been advised to spread their investments among different baskets of assets that do not depreciate in value at the same time. This diversification is believed to make investments less risky, as even if one asset starts falling in value, your profits from other assets can offset that loss. [Read more…]
Credit Card Charge Offs and Delinquencies Show Positive Trend
Data released by five leading credit card companies in the US has shown a positive trend in delinquency and charge off rates. The rates were found to be either lower than before or stayed at the same level, highlighting the improved financial situation of customers when compared to the last two years. [Read more…]
Credit Card Companies Improve Their Rewards Programs
Credit cardholders will agree that shopping is beginning to pinch with firms charging higher interest rates and fees. However, if you are a frequent spender and a loyal customer of the company, you can benefit from the many reward programs to offset these costs. [Read more…]
If You’re Facing Foreclosure Learn How to Use a Mortgage Audit to Reduce Debt
Borrowers facing foreclosure because of default on payments can use mortgage audit as a means of getting their mortgage terms softened. However, there are drastically differing views on whether this tactic will actually work. [Read more…]
How to Start Saving Now for Retirement Now
Everyone looks forward to putting their briefcase and laptops down for good so they can enjoy the finer things in life. But considering the unpredictable state of the economy, you would need a big enough financial cushion to protect you and your family from any unforeseen circumstances. [Read more…]
The Basics of Debt and How to Identify a Bad from Good Debt
Every person takes debt in his life whenever he acquires an asset or takes the benefit of a service without immediately paying for it in return. When viewed in this perspective, it becomes apparent that debts cannot be avoided completely. However, understanding debt can go a long way in ensuring that you take up more of good debts than bad. [Read more…]
Financial Reform Could Include Legislation on Financial Planners
If a proposal from Democrat Senator Herb Kohl finds its way into the financial reform bill, and if that bill is passed, the financial planning profession could soon be regulated.
Currently there are no restrictions or laws governing people who call themselves financial planners. This is in stark contrast to other financial professions. For example, an investment adviser has to be registered with the SEC, and an insurance agent needs a license to sell insurance policies. There are many laws that govern what these professionals can and cannot do when selling their products or when providing a particular service. [Read more…]
Is Your Inheritance Threatened If Your Spouse Files for Bankruptcy?
Asset protection can be a complicated financial and legal process whether you are married, separated or seeking divorce. It is important to be aware of the possible legal implications in case of a spouse filing for bankruptcy, while the other is due to receive an inheritance. [Read more…]
New Bubbles in the Economy Could Be Forming with Cheap Money
With interest rates close to their historical lows, some economists believe that new bubbles might be forming in some areas of the economy. If this is true, the Fed could be solving the current crisis but giving rise to a similar problem in future. [Read more…]
CARD Act Brings Good News for Credit Card Holders
The Credit Card Accountability Responsibility and Disclosure Act, or the CARD Act, is good news for all credit card holders. The act contains many provisions which are beneficial to card holders, especially pertaining to revision of interest rates by the lender. [Read more…]
IRS to Hold 1,000 Open Houses & Offers Assistance to Taxpayers in Distress
RS Commissioner Douglas Shulman has announced 1000 open houses at various venues across the country to allow distressed taxpayers to meet IRS officials and get a potential resolution to their tax troubles. The list of the venues and time of these open houses is given on the IRS website. [Read more…]
Factors that Affect Your Auto Insurance Cost
Everyone wants to get a low premium on insurance, but it isn’t always possible. Although there are some things that are in your control and can help you reduce your premium, there are many other things, which you can’t do anything about. Either way, it helps to understand which factors are going to impact your premiums so that you can shop smartly around those factors. [Read more…]
Positive Sign for Consumer Spending as Home Equity Loans Set to Rise
Home equity loans, which accounted for almost 2% of all consumer spending in 2001-2005 are all set to rise again. This could be good news for the overall economy as it will give a boost to consumer spending, which further triggers business activity and GDP growth. Home equity lending activity had seen a dip during 2008 and 2009 as house prices fell continuously. [Read more…]
Chinese Premier Disapproves of US Call to Revalue Yuan
Wen Jiabao responded to Obama’s call to revalue the Yuan’s exchange rate by saying that he doesn’t think that the Chinese currency is currently undervalued and there is no need to make any changes with regards to it. Wen’s statement comes in response to Obama’s comments on Mar 11, when he urged China to adopt market driven exchange rates. [Read more…]
How to Improve Your Credit Score
The recent turmoil in the economy has made credit card companies much more selective about who they give a card to. Only those who have good credit record are able to get a credit card with lucrative terms. [Read more…]
Get 200.00 Dollars Cash for Opening a New Bank Account
Many leading banks are trying to lure new customers to open checking accounts by offering them upfront cash incentives. The incentives vary from bank to bank and from state to state, but if you are lucky, you can get up to $200 in cash if you accept the bank’s offer. [Read more…]
Beware of Claims by Debt Settlement Companies
Many people are in huge debts since the housing bubble burst. If you are behind on your mortgage payments or have other debts and interest payments piling up, you might have been lured by advertisements of debt settlement companies that offer to reduce your obligations considerably. Don’t get fooled by these misleading claims as they could do more harm than good to your financial situation. [Read more…]
Lehman Brothers Investigation Causes a Stir
The report on an investigation into wrongdoing at Lehman Brothers before the company collapsed has caused quite a stir among regulators and the financial industry.
The comprehensive report, which was authored by Anton R. Valukas, an examiner appointed by court to investigate the company’s bankruptcy has blamed Lehman’s top management and auditor Ernst and Young of using accounting gimmicks to hide troubled assets. The most controversial was the use of an accounting trick known as Repo 105 that allowed the company to shift a massive $50 billion of toxic assets. [Read more…]
Four Tips to Help Startups Businesses Manage Money Better
Money is not easy to come for startups, and managing what you have becomes very important. Going for investor money may be the easier route to feeling cushioned, but it has its own disadvantages. Seeking investment early on will make you lose significant equity and control. It may not be a desirable situation considering the business is your brain child in the first place.
So if you are on tight budget, running a tight ship is the best way forward. Let’s have a look at a few things that will help you manage money better and give you the cushion to stride ahead with confidence. [Read more…]
How Long Does Negative Information Remain on Your Credit Report?
This question haunts the mind of every person who had to go through a rough credit phase and is now stuck with a blemish on his or her credit report. Negative information or history of your bad credit, affects your credit score adversely. This could mean more expensive insurance premiums, higher interest rates on credit cards, loans and mortgages and in extreme cases even decline of credit line. [Read more…]
Steady Progress on Financial Reform Bill
There has been heightened activity among Democrat lawmakers as they try to give one final push to getting the financial reform bill ready. The contents of the bill are to be made public next week but so far it has faced fierce opposition from the Republicans, and even from some Democrats.
The bill, which is being authored by Senator Christopher Dodd, who is the chairman of the banking committee has attracted controversy and there have already been heated debates on what actions need to be taken to ensure that there is no repeat of the financial crisis.
The latest strategy to secure some bipartisan agreement on the bill has been private consultations with some Republicans to understand their reservations and make appropriate changes to the bill. But this has not gone down well with some Democrats and their supporters as they feel that any major compromises would make the bill ineffective.
Some of the key objectives of the legislation would be to put an end to government bailouts of reckless financial companies. These bailouts cost the taxpayers a huge amount and the policy has attracted a lot of anger from voters. Other proposals that could be included in the bill are restricting private banks from indulging in proprietary trading, where the bank makes investments in hedge funds and private equity funds using its own money. It has been argued that such trading significantly weakens the position of the banks and can lead to accumulation of toxic assets.
The creation of a consumer protection agency to ensure that borrowers do not suffer because of malpractice of large banks could also be one of the proposals in the bill. It would be aimed at preventing another subprime crisis, which was blamed at aggressive lending tactics by banks. Such an agency already exists in some countries, including Canada. These countries remained relatively shielded from the financial crisis. The Republicans have argued that it is the job of the Federal Reserve to oversee the functioning of banks, while Democrats say that the Fed has clearly failed in this duty. A potential compromise could be a new agency that works under the Fed umbrella.
A lot hinges on the success of the financial reform bill and it would be a major test of the Obama administration. Some economists have argued that a weak reform could be worse than no reform, as it would give a false sense of security and make the economy vulnerable to another crisis.
9 Signs That Mean You Need Debt Help
If you are seeing signs of serious debt problem, it’s best to get help in time. Otherwise, chances are you will end up in a situation from where getting back on track may be a long journey uphill.
You know that you getting buried deep in debt, when you see patterns of repeated instances where you are adding more debt and paying less of your bills.
For example, you have been paying minimum or less than that of your credit card bill for a long time, or you are continuously seeking new lines of credit to pay off your current dues – all these are signs that you are heading towards serious debt crisis. [Read more…]
170,000 Get Mortgage Modifications Under Foreclosure Prevention Program
Government’s foreclosure prevention program has been successful in providing permanent aid in the form of mortgage modifications to 170,000 distressed home owners. Another 91,800 homeowners’ permanent modification applications have been approved by lenders and will come in effect upon the borrower’s acceptance. This will up the tally of total number of people receiving permanent aids under the program to more than 250,000. [Read more…]
Pennsylvania Housing Finance Agency Offers Financial Assistance
The economic crisis has affected a large number of people, leaving many unemployed and unable to pay back their mortgage. But the Pennsylvania Housing Finance Agency (PHFA) is showing that with the right assistance, most people can back on their feet and get rid of their liabilities. [Read more…]