Smart Borrower Blog

Archive for May, 2010

SBA Stimulus Funding Runs Out Again

May 31st, 2010 @ 5:01 AM by Debbie Dragon

Stimulus funding for two SBA loans has run out once again. Starting in February of 2009, the SBA has received funding through the American Reinvestment and Recovery Act to enhance SBA loans. Since then, due to stimulus funding,SBA7(a) loans have come with a higher 90% guarantee rate and 7(a) and 504 SBA loans have been funded without borrower fees. SBA 7(a) loans are meant for small business needs while the 504 loans are real estate loans or major capital asset loans.

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TransUnion: America’s Debt is Diminishing…A Little

May 26th, 2010 @ 9:23 PM by Amber Nelson

In a report released yesterday, credit reporting bureau TransUnion found that delinquency rates on auto and home loans, as well as on credit cards, fell in the first quarter – a sign that the economy is improving, however slowly that may be. The auto loan delinquency rate of those who are 60 days or more […]

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Wells Fargo Introduces New Student Loan Options

May 24th, 2010 @ 3:20 PM by Debbie Dragon

In response to the new regulations signed into law by the Obama administration governing student loans, Wells Fargo is rolling out a new student loan program. Private Banks starting July first of this year will no longer be able to issue federal backed student loans. Instead, the federal government will now directly loan to students. Private Banks that have been in the student loan lending business are estimated to be out approximately 2 billion a year in profits. Private Banks are now scrambling to stay in the business by offering their own loans for students.

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Mortgage Delinquencies – Which Way is Up?

May 19th, 2010 @ 12:14 PM by Amber Nelson

The latest set of mortgage delinquency data from the Mortgage Banker Association, has everyone scratching their heads, including the MBA itself. According to the MBA, the delinquency rate on mortgage loans that are at least one payment behind but not yet in foreclosure, rose on a seasonally adjusted basis to 10.06 percent of all loans […]

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Obama’s Small Business Lending Plan is Criticized

May 17th, 2010 @ 5:00 AM by Debbie Dragon

So far all of Obama’s attempts to increase lending to small businesses have not seen the success that was hoped for. Recently, the congressional oversight panel, the group that is deemed the bailout watchdog, released a report detailing the pitfalls of small business lending attempts.

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Should Auto Lenders Get an Exemption from Oversight?

May 12th, 2010 @ 11:00 PM by Amber Nelson

The recent financial crisis has spurred Congress on to tighten their oversight of America’s banks and credit unions with a new piece of legislation currently before the House. Last week, as a similar bill was considered by the Senate, Republican Senator Sam Brownback of Kansas proposed that auto lenders be excluded from the new regulations […]

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Student Loan Holders: Are You Aware of Federal Income Based Repayment Programs?

May 10th, 2010 @ 5:24 AM by Debbie Dragon

It is that time of year, college graduation time. Students across the country are being handed their diplomas. While it is a time of great accomplishment, it is also a time to start thinking about paying back the student loan debt that you have accumulated during your college years. What many student loan holders do not realize is that there are programs available to help ease the burden of paying back student loan debt. This year’s grads as well as other student loan holders can qualify.

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Trial Loan Modifications Spur Lawsuit Against JPMorgan Chase

May 5th, 2010 @ 7:44 PM by Amber Nelson

JPMorgan Chase is being sued again by angry homeowners. Three Queens, New York residents, who were recipients of trial mortgage modifications under Obama’s Home Affordable Modification Program, have filed a suit against Chase for reneging on its promises to convert those loans into permanent payment modifications. Alex Lam, 35, Shanaz Begum, 40, and Tamara Williams, […]

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Student Loan Defaults Drop in 4th Quarter

May 3rd, 2010 @ 8:18 AM by Debbie Dragon

Trans Union just released figures that show student loan deficiencies finally dropped fourth quarter last year. For five previous quarters, starting in the second quarter of 2008 deficiencies had been on the rise. Lenders are being cautiously optimistic that this trend will continue.

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