Posts Tagged ‘lending’

The Interest Rate Outlook Continues to Improve | Queercents

Former Bear hedge fund managers surrender Ralph Cioffi and Matthew Tannin, who managed Bear Stearns hedge funds before the subprime collapse, charged with lying to investors about mortgage market risk. | CNN Money

Anatomy of a Meltdown: The Credit Crisis | Washington Post

Nathalie Martin at Credit Slips reports that many internet payday loans are illegal and therefore unenforceable. But they can be a big problem, since most automatically deduct their fee from consumers’ bank accounts and roll over without warning.
Since many of these loans are illegal under state payday lending laws, consumers can simply change bank accounts [...]

Apparently it is the reduced availability of credit. Think of it as the natural consequence of the overabundance of credit that tanked our economy in the first place. And it may last for a couple of years.
Consider this a good reason to move your finances to a cash model.
Experts: ‘Credit recession’ could last two years [...]

Countrywide Is About To Foreclose On Ed McMahon | Consumerist

On Monday, Ohio Governor Ted Strickland signed a law capping payday loan interest rates at 28% and limiting borrowers to 4 payday loans per year.
Previously, payday lenders would charge interest rates close to 400%. Under the new law, they will be limited to 28%, which looks more like a (bad) credit card interest rate.
The payday [...]

Tracy Warren was a quality-control consultant for Bear Stearns and other mortgage security purchasers on Wall Street. Her job was to review mortgage loans to determine whether they had merit for investment purposes. (She saw the loans after they were made, but before they were sold to investors and led to the national economy’s crash-and-burn [...]

The Subprime Borrower Relief Act gives borrowers with subprime loans the right to defer a foreclosure sale of their residence for one year after the bill becomes law.

I was amused to read Mark Ireland’s post saying he came under fire by members of a panel on foreclosures at the recent Equal Justice Conference in Minneapolis for suggesting that mortgage loan servicers are not acting in the best interest of either consumers or lenders. I thought that was common knowledge.
Servicers make money from [...]