Tag Archives: Loans

What Turning 35 Taught Me About Money | The Simple Dollar

A debt-free life is better than the alternative.

For the first few years of our marriage, my husband and I didn’t pay too much attention to our spending or our outstanding debts. We made decent incomes, after all, and didn’t have any children. What difference did it make if we carried credit card debt, student loans, or car loans?

Here’s what I found out — it makes a huge difference. With two kids in school now and the college years fast approaching, I can’t imagine how unstable I would feel if we carried the kind of debt we did early on.

Now that I know a debt-free life is much better (and a lot less stressful) than the alternative, my plan is to avoid debt like the plague if at all possible. For us, that means driving older cars, saving money for splurges so we can pay in cash, and staying put in our reasonable home. If that keeps us debt-free, that’s fine with me.

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Time is of the Essence in Funding Deals | Peter Mehit

timeTime is of the essence’ is a contract clause used when an action must occur by a certain time or the deal is in jeopardy, such as the buying and selling real estate. The reality is, when dealing with funding sources, that time is of the essence for the entire transaction.

I have seen deals that seemed rock solid, collapse. The reasons for their demise didn’t come from any unsolvable disagreement or lack of information. Looking back, I see that many of them just simply took too much time.

When an applicant applies to a bank, there is a flurry of activity. Applications are completed, appraisals ordered, interviews conducted. There is a lot of information gathering as the bank prepares the loan package for underwriting. Once the package goes behind the curtain, the wait begins. Occasionally, requests for information will come from underwriting. If underwriting likes the deal, they’ll defend it to a loan committee and the deal is, or is not, approved.

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The SBA Offers Sweeteners to Encourage More Small Loans | Businessweek

The changes mean small business owners borrowing $150,000 will no longer have to come up with $2,550 in upfront fees at the time the loan closes.

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Get ’em When They’re Young! | OnlineDegrees.org

Guess what?

You can become a debt slave on autopilot as part of your college education. Institutions of higher learning have partnered with banks to dole out Pell grant and student loans through debit cards that double as student identification cards.

Now you can get a degree that you can’t pay off and be nickle and dimed to death doing it.

It up to us to stop this.

Click on image at left to enlarge.

California cities eye plan to seize mortgages | NBC News

Typically, eminent domain has been used to clear property for infrastructure projects like highways, schools and sewage plants. In this case, supporters say, the public purpose is served because communities battered by foreclosures have seen tax rolls decimated and services gutted and have suffered economic blight.

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Homeowners to receive up to $125,000 – money.cnn.com

NEW YORK CNNMoney — Homeowners who were victims of foreclosure abuses during 2009 and 2010 could receive more than $125,000 from lenders as part of an Independent Foreclosure Review that is being overseen by two government agencies.The Office of the Comptroller of the Currency OCC and the Federal Reserve laid out the framework in which borrowers will receive compensation for a wide range of foreclosure abuses and errors that occurred as a result of robo-signing.

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Wine cache rescues those short of cash | Reuters

In an office above a Bank of America Corp branch in Beverly Hills, California, home to some of Hollywood’s biggest stars, the pawnshop for the prosperous regularly lends to hedge-fund managers, bankers, lawyers, doctors – and occasionally to Oscar winners.

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Stop conflating microfinance and entrepreneurship | The Great Debate

Moreno says that it is a mistake to believe that everyone in the developing world is interested in running a small business. “Most people just want a job.” In a country like Colombia, where there are limited educational and employment options, that is hard. Everyone is forced, out of necessity, to create his or her own livelihood.

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Where to get startup cash now | money.cnn.com

Bank credit is scarce and investors are skittish, but that didn’t stop these 6 start ups.  They found creative ways to raise cash during the downturn.

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The SBA Doesn’t Loan Money | Lydia Mehit

Q. Should I get a loan from the SBA?

A. You can’t get a loan from the SBA, but you can get a SBA loan guarantee. Come again?

Well, first off, the SBA does not loan money, so you can’t get a loan from the SBA.

The SBA guarantees a large portion of the loan made by the bank.  This means you have to negotiate two sets of paperwork and get two approvals before you get funded.

Q. What is the benefit of a SBA loan guarantee?

A. An SBA guarantee gives the bank the opportunity to fund a loan that doesn’t meet their commercial requirements. The SBA guarantees the bank will receive their funds even if the borrower, you, defaults on the loan.  The guarantees range from 50 to 90% of the loan amount.

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