Credit score – KR2K http://kr2k.com/ Sun, 20 Nov 2022 14:30:11 +0000 en-US hourly 1 https://wordpress.org/?v=5.9.3 https://kr2k.com/wp-content/uploads/2021/08/icon-150x150.png Credit score – KR2K http://kr2k.com/ 32 32 Supreme Court rejects blocking Biden pardon plans, so why is he still on hiatus? https://kr2k.com/supreme-court-rejects-blocking-biden-pardon-plans-so-why-is-he-still-on-hiatus/ Sun, 20 Nov 2022 14:30:11 +0000 https://kr2k.com/supreme-court-rejects-blocking-biden-pardon-plans-so-why-is-he-still-on-hiatus/ Ron Adar/Shutterstock The Supreme Court has now denied another emergency request to block federal student loan forgiveness. Since announcing Biden’s initiative to forgive $10,000 in student loans for most borrowers (and up to $20,000 for those who received Pell Grants), six lawsuits have threatened the plan. Student Loan Repayment: Mark These 4 Dates on Your […]]]>

Ron Adar/Shutterstock

The Supreme Court has now denied another emergency request to block federal student loan forgiveness. Since announcing Biden’s initiative to forgive $10,000 in student loans for most borrowers (and up to $20,000 for those who received Pell Grants), six lawsuits have threatened the plan.

Student Loan Repayment: Mark These 4 Dates on Your Calendar Now
The future of finance: Generation Z and their relationship with money

On Nov. 1, Judge Amy Coney Barrett dismissed an attempt to block the program launched by the Pacific Legal Foundation on behalf of two borrowers in Indiana, CNBC reported. Both plaintiffs claimed they would suffer financial harm if a debt was forgiven because they would incur state taxes on the canceled student loan debt. A similar request was denied on October 20.

Although those attempts had little effect, the student loan forgiveness is still pending due to a challenge by six Republican-led states. The six states — Arkansas, Iowa, Kansas, Missouri, Nebraska and South Carolina — asserted the lack of congressional authorization for the administration’s action. CNBC reported that the Eighth Circuit Court of Appeals issued a stay and suspended the program while it considers the appeal.

About 26 million Americans have applied for student loan forgiveness, and the Biden administration has approved 16 million of those applications, the White House announced Nov. 3. until further notice, according to CNBC.

Take our survey: Do you think student loan debt should be forgiven?
More: 9 bills you should never put on automatic payment

Abby Shafroth, director of the National Consumer Law Center’s Student Loan Borrower Assistance Project, told The Hill that borrowers will “soon have a decision” from the Eighth Circuit. Legal experts have also explained that the court’s decision could be key to whether the Biden administration will be allowed to provide relief to federal borrowers.

More from GOBankingRates

This article originally appeared on GOBankingRates.com: Student loans: Supreme Court rejects blocking Biden pardon plans, so why is he still on hiatus?

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Car owners are struggling with their car loans https://kr2k.com/car-owners-are-struggling-with-their-car-loans/ Wed, 16 Nov 2022 21:28:11 +0000 https://kr2k.com/car-owners-are-struggling-with-their-car-loans/ A recent TransUnion study highlights a potentially concerning trend in the auto loan market: delinquency rates are rising. Nearly 3.5% of customers with a car loan are now in arrears. A rising delinquency rate may indicate that households are struggling with debt, especially since car loan repayment is a high priority for many households. However, […]]]>

A recent TransUnion study highlights a potentially concerning trend in the auto loan market: delinquency rates are rising. Nearly 3.5% of customers with a car loan are now in arrears.

A rising delinquency rate may indicate that households are struggling with debt, especially since car loan repayment is a high priority for many households. However, if you’re struggling to pay off all of your debt, you should consider paying off your most expensive debt first — and for most people, that means credit cards.

  • Nearly 3.5% of customers with a car loan are now in arrears.
  • People who may have missed car loan repayments during the pandemic have been able to meet them thanks to government support and the stimulus package. Now they are falling behind.
  • The total number of auto loans in the United States declined due to rising interest rates.
  • While it’s important to prioritize high-cost debt, typically credit card debt, auto loans are secured by the vehicle and may involve repossession if payments aren’t made.

Nearly 3.5% of car loans are in arrears

TransUnion’s recent study found that in Q2 2022, 3.34% of auto loans were more than 30 days past due and 1.43% were more than 60 days past due on a payment. This is the highest rate in five years and a significant increase over the past two years.

TransUnion suggested a number of reasons for this increase. First, they point out, there was likely a backlog of delinquencies created by the pandemic. Many people who may have fallen behind on car loan repayments during the pandemic have not done so due to government assistance, stimulus programs, or car loan providers offering temporary relief to their customers. .

Second, although the number of delinquent auto loans has reached its highest level in five years, the total number of auto loans has declined since 2018. This is partly due to the limited supply during and immediately after the pandemic, which which means that many customers have had difficulty even finding a car to finance. It’s also linked to the rising cost of new vehicles – the average cost of a new vehicle is over $48,000, a record high.

Car loans are also more expensive due to rising interest rates. Over the past month, the weighted average auto loan rate for all loan types rose 2.8 percentage points to 10.6%. People with low credit ratings are likely to be hardest hit by these price increases. In October, a deep subprime borrower, with a credit score below 580, saw an average rate of 18.2% on a new vehicle loan and 21.8% on a used vehicle loan.

In short: it seems many people who may have fallen behind on their car loans during the pandemic, but were kept solvent by stimulus payments, are now doing so. At the same time, the total number of auto credits decreases. These two factors together mean that the crime rate is at an all time high.

Should I prioritize my car loan?

The TransUnion study also revealed some interesting data on how consumers prioritize their payments. The study found that most people consider their monthly car loan payment to be one of their most important financial commitments – second only to their mortgage payments and far more important than credit card payments.

And, that makes sense. Auto loan repayments are tied to a tangible asset – a vehicle – that you already use. Moreover, the increase in the cost of cars over the past year means that many people are actually in a positive loan-to-value position: that is, their car is actually worth more than the loan. they contracted to buy it. These two factors explain why paying off a car loan is considered a priority in many households.

Consumers should be wary of prioritizing unsecured debt over their car loan. If you’re having trouble staying current with your car loan, your lender may be able to offer flexibility on your payments, so you should contact them before you miss a payment. If you miss a payment, your lender will likely impose a penalty and eventually repossess the vehicle if the loan is in default.

As with all types of debt, being late in your payments can negatively affect credit scores. It is therefore important to establish an appropriate budget in order to meet borrowing obligations.

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PeerBerry repays additional 1.8 million euros in war-affected loans https://kr2k.com/peerberry-repays-additional-1-8-million-euros-in-war-affected-loans/ Tue, 15 Nov 2022 12:45:09 +0000 https://kr2k.com/peerberry-repays-additional-1-8-million-euros-in-war-affected-loans/ European peer-to-peer lending platform PeerBerry has repaid a further €1.8m (£1.58m) in war-affected loans, meaning more than half of all outstanding loans from Ukraine and Russia have now been repaid. In the nine months since Russia invaded Ukraine, PeerBerry has repaid 27.02 million euros to investors. This represents 54% of the total war-affected loans on […]]]>

European peer-to-peer lending platform PeerBerry has repaid a further €1.8m (£1.58m) in war-affected loans, meaning more than half of all outstanding loans from Ukraine and Russia have now been repaid.

In the nine months since Russia invaded Ukraine, PeerBerry has repaid 27.02 million euros to investors. This represents 54% of the total war-affected loans on the platform.

Of this amount, €16.97 million was recovered from its Ukrainian loan partners and €8.25 million was repaid by the platform’s Russian loan partners.

PeerBerry works with a number of loan originators across Europe to offer short-term, long-term, commercial, real estate and leasing finance products.

Nearly €1.5 billion has been lent through the platform to date, with investors earning average returns of 11.1%.

Read more: PeerBerry repays additional 1.4 million euros in war-affected loans

PeerBerry noted that long-term loans from Ukrainian originators AutoMoney and Slon Credit are repaid with accrued interest.

The platform also reported that many commercial, real estate and leasing loans affected by the war have already been fully repaid.

“You can see the progress of repayments of war-affected loans (the total amount repaid, the amount of remaining war-affected bonds, and repayments by separate lenders or groups) on our ‘Statistics’ page on our website. “said PeerBerry, in a note to investors.

“Repayments of war-affected loans are made monthly in the middle of the month.”

Read more: How European P2P lenders are protecting investors from war in Ukraine

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Sean Penn loans Ukrainian President Volodymyr Zelensky an Oscar statuette until the end of the Russian war https://kr2k.com/sean-penn-loans-ukrainian-president-volodymyr-zelensky-an-oscar-statuette-until-the-end-of-the-russian-war/ Mon, 14 Nov 2022 08:57:25 +0000 https://kr2k.com/sean-penn-loans-ukrainian-president-volodymyr-zelensky-an-oscar-statuette-until-the-end-of-the-russian-war/ During a recent visit to Kyiv, actor Sean Penn presented one of his two Oscar statuettes to Volodymyr Zelensky, with Ukraine’s president later identifying him as a ‘symbol of faith’ in the country’s ongoing struggle against the invading Russian forces. “It’s just a stupid symbolic thing,” Penn said during the president’s initial protests as the […]]]>

During a recent visit to Kyiv, actor Sean Penn presented one of his two Oscar statuettes to Volodymyr Zelensky, with Ukraine’s president later identifying him as a ‘symbol of faith’ in the country’s ongoing struggle against the invading Russian forces. “It’s just a stupid symbolic thing,” Penn said during the president’s initial protests as the two sat at a ceremonial table. He later added, “When you win, take it back to Malibu.” (It wasn’t immediately clear whether Penn had given Zelensky his Best Actor award for 2003. the mystical river or 2008 Milk.) Footage of the meeting shared by Zelensky’s office also showed him presenting Penn with an Order of Merit honor for his “significant contribution” to Ukraine’s war effort. Tuesday’s visit was Penn’s third to Ukraine since the invasion began. Before the war, he had worked on a documentary about Ukrainian political endeavors and was in Ukraine on February 24 when Russia launched its assault. Warned by former national security adviser Robert O’Brien to “get the hell out of here,” as he put it, Penn and his crew were forced to cross the Polish border on foot. The 62-year-old has since been sanctioned by Russia in response to his high-profile shows of support for Ukraine.

Read it on BBC

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Everything you need to know about government-backed mortgages and loans – Forbes Advisor https://kr2k.com/everything-you-need-to-know-about-government-backed-mortgages-and-loans-forbes-advisor/ Fri, 11 Nov 2022 09:00:08 +0000 https://kr2k.com/everything-you-need-to-know-about-government-backed-mortgages-and-loans-forbes-advisor/ Editorial Note: We earn a commission on partner links on Forbes Advisor. Commissions do not affect the opinions or ratings of our editors. Government-backed mortgages may be easier to obtain than conventional loans. This may make it a good choice if you have a lower income, don’t have perfect credit, or can’t afford a large […]]]>

Editorial Note: We earn a commission on partner links on Forbes Advisor. Commissions do not affect the opinions or ratings of our editors.

Government-backed mortgages may be easier to obtain than conventional loans. This may make it a good choice if you have a lower income, don’t have perfect credit, or can’t afford a large down payment. Some borrowers might also benefit from a lower interest rate on a government-backed loan than they would get with a conventional mortgage.

There are several government programs to consider if you’re looking for a mortgage, so it’s important to understand how each works when comparing your options. Here’s what you need to know about government-backed mortgages and loans.

What are government loans?

Government home loans are mortgages issued by private mortgage lenders and insured by the federal government. Several government agencies offer mortgage programs, including the Federal Housing Administration (FHA), the United States Department of Agriculture (USDA), and the Department of Veterans Affairs (VA).

Since the federal government guarantees these loans, there is less risk to the lender if a borrower defaults. This is why government guaranteed loans come with more lenient requirements than conventional mortgages. For example, you might qualify with a:

  • Small deposit: Depending on the type of loan you are applying for, down payment requirements can be as low as 0% to 10% of your loan amount. This is far less than the traditional 20% needed for a conventional loan to avoid private mortgage insurance (PMI).
  • Lower credit score: You will generally need a credit score of at least 620 to get approved for a conventional mortgage. Government guaranteed loans, on the other hand, usually have lower credit score requirements. For example, you might qualify for an FHA loan with a credit score as low as 500, although having a score that low may require a higher down payment. USDA and VA loans do not have a specific minimum, although lenders often set their own minimums.
  • Higher debt-to-income ratio (DTI): Your DTI ratio is the amount you owe in monthly debt payments relative to your income. Many mortgage lenders require your DTI ratio to not exceed 43%, but others allow more leeway. For example, government-backed loans typically allow a maximum DTI of 41% for VA loans and 43% for FHA and USDA loans. But you could still qualify for an FHA loan with a DTI ratio as high as 57%, although this is decided on a case-by-case basis.

Also keep in mind that government-backed loans are considered non-conforming loans, meaning they operate outside the standards set by Fannie Mae and Freddie Mac for conventional mortgages. Also, although Fannie Mae and Freddie Mac are both government-sponsored businesses, they are not a source of government-backed loans. Instead, these entities are privately owned and purchase mortgages from lenders so that those lenders have more funds to continue issuing mortgages, which ultimately supports the nation’s residential mortgage system.

How do government backed mortgages work?

The process of getting a government guaranteed mortgage is similar to applying for a conventional loan – you will still work directly with a mortgage lender who will fund the loan if you are approved. However, unlike conventional mortgages where the lender is at risk if a borrower defaults, government guaranteed loans are insured by a federal agency, which protects the lender.

Although government-backed mortgages are generally easier to obtain, you will still need to meet the credit, income, and financing requirements set by the lender as well as the government agency guaranteeing the loan. It is also common for government programs to restrict eligibility to certain backgrounds. For example, VA loans are only available to military households, and USDA loans require you to live in a rural area.

Types of Government Backed Mortgages

There are a few main types of government-backed mortgages, including:

FHA Loans

FHA loans are designed to help low-to-moderate income borrowers qualify for home financing. They also come with a lower credit score and down payment. It is possible to qualify with a median FICO score as low as 500, although most FHA lenders require a score of at least 580.

Another important advantage of FHA loans is the low down payment requirement. The minimum down payment for an FHA loan is generally only 3.5% of the loan amount if you have a credit score of 580 or higher. If you have a score lower than this, you will probably need to deposit at least 10%.

Keep in mind that all FHA loans require you to pay a Mortgage Insurance Premium (MIP). However, if you put at least 10% down payment, you will only have to pay it for the first 11 years of your loan; otherwise, you will pay it for the duration of your refund. Note that mortgage insurance on an FHA loan includes an initial MIP of 1.75% of your total loan amount, plus an annual MIP of 0.45% to 1.05% of the loan amount, depending on the amount of your loan, the repayment term and the loan-to-value ratio. (LTV).

Related: FHA Loan Calculator

USDA Loans

USDA loans are available to low- to middle-income borrowers who live in rural areas, which the USDA defines as small communities with populations under 35,000. To qualify for a USDA-guaranteed loan, i.e. it is financed by a private lender, your income cannot exceed 115% of the median household income in the area. Direct loan limits funded by the USDA itself can be as low as 50% of median income in some areas.

Although USDA loans do not have a specific minimum credit score requirement set by the USDA, you will need a score of at least 640 to qualify with most USDA mortgage lenders. These loans also do not require a down payment.

Note that you will need to purchase two types of mortgage insurance for a USDA loan, which will cover your payments in case you lose your job and cannot pay. These include 1% of your loan amount due at closing as well as 0.35% of your original loan amount per year for the life of the loan.

Related: USDA Mortgage Calculator

VA Loans

VA loans are available for military service members, veterans, and their surviving spouses. Like USDA loans, VA loans do not require a down payment and have no specific minimum credit score, although some VA mortgage lenders may require a score of at least 580.

You also won’t have to worry about mortgage insurance with a VA loan, no matter how big your down payment is. However, a one-time VA financing fee is due at closing and depends on your down payment amount. While this fee may be waived in limited cases, such as for veterans with service-related disabilities, you can expect to pay:

  • 2.3% ($2,300 per $100,000 borrowed) for down payments less than 5%
  • 1.65% ($1,650 for every $100,000 borrowed) for a down payment of 5% to 10%
  • 1.4% ($1,400 for every $100,000 borrowed) for down payments greater than 10%

Note that this fee will increase if you take out additional VA loans.

To participate in the VA Loan Program, you must obtain a Certificate of Eligibility (COE) from the VA. You can apply for it online or by mail, or your VA lender can apply for it for you.

Related: FHA vs. Conventional Loans Vs. VA Loan

Native American Direct Loans (NADL)

The VA also oversees the NADL program, which sponsors loans to help buy, build or improve homes on federal trust land. You may qualify for this type of loan if you are a Native American veteran or a non-Native American veteran who is married to a Native American. You will also need to provide a COE and meet other VA loan requirements.

As with other VA mortgage programs, you will pay a one-time financing fee at closing. This is 1.25% for purchase loans and 0.5% for mortgage refinances.

Faster and easier mortgages

Check your rates today with Better Mortgage.

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30% of adults who took out loans in the last six months used them for emergencies or to pay bills, ScoreSense survey finds https://kr2k.com/30-of-adults-who-took-out-loans-in-the-last-six-months-used-them-for-emergencies-or-to-pay-bills-scoresense-survey-finds/ Fri, 04 Nov 2022 12:03:00 +0000 https://kr2k.com/30-of-adults-who-took-out-loans-in-the-last-six-months-used-them-for-emergencies-or-to-pay-bills-scoresense-survey-finds/ One in four adults surveyed have used loans to pay off credit card debt DALLAS , November 4, 2022 /PRNewswire/ — Thirty percent of consumers who took out loans in the past six months used them for emergencies or to pay bills, and one in four used recent loans to pay off credit card, according […]]]>

One in four adults surveyed have used loans to pay off credit card debt

DALLAS , November 4, 2022 /PRNewswire/ — Thirty percent of consumers who took out loans in the past six months used them for emergencies or to pay bills, and one in four used recent loans to pay off credit card, according to a consumer survey conducted by ScoreSense ®, a credit score monitoring product. The survey results, revealed in the “Survey of Consumers Who Recently Lended and Analyzed Credit Outlook,” focused on consumer lending and credit activity for the third quarter of 2022.

(PRNewsfoto/ScoreSense)

The ScoreSense survey reveals that one in four people have used recent loans to pay off credit card debt.

ScoreSense analysis of consumer credit activity shows budgets are getting tighter for consumers of all ages: Fewer people are interested in getting new loans due to higher interest rates, and those taking loans use them more frequently simply to stay on top of bills. The survey showed continued credit spending, overspending and late payments. Seniors are also experiencing the same increase in delinquencies and Card Over Limit spending, showing the stress this economy can put on a fixed income. The ScoreSense Loans survey found that adults aged 65 or older were more likely to take out an emergency loan than young adults surveyed.

The consumer spending and credit analysis, which compared the third quarter of 2022 to the same period last year, found:

  • Arrears increased by 21% between Q3 2021 and Q3 2022. Over the year, it increased by 14% from Q2 to Q3.

  • Card Over Limit increased by 11% in Q3 compared to Q2 of 2022.
    New Trade, when a consumer opens a new line of credit, is down 18% in Q3 compared to Q2. This figure is consistent with what we see in reduced website traffic for credit and financial services. Consumers are less interested in obtaining new loans due to rising interest rates.

ScoreSense’s consumer survey, focusing on adults with loans (personal, home equity, home equity line of credit, debt consolidation and others), found:

  • One in four adults have used loans to pay off credit card debt.

  • Adults 65 or older were more likely to take out an emergency loan than younger adults surveyed.

  • Nearly a quarter (23%) of survey respondents said they had taken out a loan for personal projects.

  • One in five respondents (19%) used the loan to renovate their home, and 18% of the loans were needed to purchase a vehicle.

  • Adults aged 25 to 34 (23%) were more likely to use loans for new home purchases and related expenses.

“Despite the Federal Reserve’s efforts to rein in inflation, prices remain high or continue to climb, and many Americans continue to struggle,” he said. Carlos Medina, senior vice president at One Technologies, LLC., which offers ScoreSense. “Many adults are using credit to pay for everyday expenses, and rising interest rates are making it harder to pay off their debts. Based on our survey and credit analysis, these issues affect all age groups, including seniors on fixed incomes.

ScoreSense serves as a single digital resource where consumers can access credit scores and reports from the three major credit bureaus—TransUnion®Equifax®and Experian®— and understand what affects their credit the most.

About One Technologies

One Technologies, LLC harnesses the power of technology, analytics and its people to create solutions that empower consumers to make more informed decisions about their financial lives. The Company’s consumer credit products include ScoreSense®, which allows members to seamlessly access, interact and understand their credit profiles from all three major bureaus using a single application. The ScoreSense platform is continually updated to give members deeper insights, personalized tools, and personalized customer service that can help them get the most out of their credit. One Technologies is headquartered in Dallas and was established in October 2000. For more information, please visit onetechnologies.net.

Contact: Scott Timsstims@piercom.com

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Robo.cash attracts €15m loan investment in October https://kr2k.com/robo-cash-attracts-e15m-loan-investment-in-october/ Tue, 01 Nov 2022 13:12:07 +0000 https://kr2k.com/robo-cash-attracts-e15m-loan-investment-in-october/ Croatia-based peer-to-peer lending platform Robo.cash reported that investors bought €15m (£12.9m) worth of loans last month. There were 641 new investors onboarded to Robo.cash in October, and investors saw returns worth €653,000 during the month. Last month, Robo.cash also onboarded a new sender from the Philippines. Digido offers consumer loans of up to 12% per […]]]>

Croatia-based peer-to-peer lending platform Robo.cash reported that investors bought €15m (£12.9m) worth of loans last month.

There were 641 new investors onboarded to Robo.cash in October, and investors saw returns worth €653,000 during the month.

Last month, Robo.cash also onboarded a new sender from the Philippines. Digido offers consumer loans of up to 12% per year. All loans are accompanied by ‘repurchase’ and ‘group’ guarantees.

Read more: Robo.cash adds a loan originator from the Philippines

The results come as parent company Robocash Group last month revealed a 127.8% increase in profit for the first nine months of 2022.

Net profit reached $43.5m (£37.63m) while the group achieved revenue of $346.8m in the same period, an increase 54% year over year.

During the first three quarters of 2022, the Robocash Group issued loans worth $881.7 million, an increase of 61.1% compared to the same period of 2021.

Read more: Robo.cash investors earned 1.3 million euros in the first half of 2022

Robo.cash is currently running a one percent cashback campaign for those who deposit and invest funds by November 7th.

Read more: Robo.cash adds a loan originator from the Philippines

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Getting ‘stuck’ with payday loans https://kr2k.com/getting-stuck-with-payday-loans/ Sat, 29 Oct 2022 11:03:45 +0000 https://kr2k.com/getting-stuck-with-payday-loans/ Image courtesy of Pixabay By JESSICA LOVECourtesy of Indiana Capital Chronicle Have you ever had your car or truck stuck in the mud; and the harder you try to get out, the deeper your tires sink? I have. So, I know from experience: unless you have the luxury of waiting for things to dry, you’re […]]]>
Image courtesy of Pixabay

By JESSICA LOVE
Courtesy of Indiana Capital Chronicle

Have you ever had your car or truck stuck in the mud; and the harder you try to get out, the deeper your tires sink? I have.

So, I know from experience: unless you have the luxury of waiting for things to dry, you’re going to need some help – a push or a pull – to get unstuck.

And you’re probably going to feel a little embarrassed. I mean, technically, even if you had no intention of getting stuck, no one else was driving. Either you didn’t see the danger in front of you, or you thought it wouldn’t be so bad to go through it.

Even if you didn’t have a good way around it, or if you calculated the risk and thought you could get away with it, the fact remains that it happened and you were “at fault”. Thinking back on it, you wish you had done something other than the fix you were looking for – the one that caused your “tires to sink deep in mud and mud” (for others little blue truck fans).

Now imagine that the vehicle you are thinking of represents your family’s financial health and the process of “no longer stuck” as a result of choosing the option to solve your short-term problem yourself – instead of asking for help. or not to think of you had other options – represents a payday loan. The “solution” then becomes a bigger problem to solve than the original problem.

That’s about where the analogy ends, since muddy patches don’t have business models designed to keep you stuck like payday lenders do. It’s by locking people in more that the profits are really made, where the interest rate eventually hits 391% in Indiana. And you really need to find a solution to your solution.

This is why I often refer to the payday loan industry as one of the most subsidized markets in existence – because government and non-profit resources are so often needed to lift people out of disasters caused by payday loans.

What if it didn’t have to be like this?

One way forward is policy change. For now, the onus is largely on Congress, and your legislative action will help make the Fair Credit for Veterans and Consumers Act – which will cap all payday loans at 36% – a reality. You can also ask your state legislators to impose a 36% cap. But until and even after the legislation is passed, many Hoosiers will still need a more responsible way to borrow.

What if there was another route?

What if most of the 88% of Hoosier voters polled who said they would like to see Indiana have a 36% wage rate cap — who are able to provide another way — have paved the way for a solution alternative for their employees and co-workers?

The impact, to reinforce my analogy, would be shattering for Hoosier families who lack the resources to weather a financial shock.

A specific “bypass” – previously available in only 23 counties – recently became available statewide. If you’re a business owner, or an HR representative, or just someone who wants to talk to your boss about providing a financially viable option to those in your workplace, the solution I present to you is the Community Loan Center program.

It is a small, affordable, employer-focused loan program. So what’s the problem ?

Well, as difficult as it may seem, there really isn’t. For companies enrolled in the program, the CLC program is provided as a benefit at no cost to the employer. Employers literally only have to: 1) confirm employment when a loan is requested and 2) set up a payroll deduction in accordance with the employee’s repayment plan. By doing so, they instantly gain employees who are less stressed and more present for their work.

Made available through non-profit organisations, this affordable 12 month loan is designed to get people into or out of debt instead of trapping them. (CLC loans can be used to repay payday loans.) The reason is simple: nonprofit providers offering this program would rather focus their resources on improving a family’s economic trajectory than on bail out from the earthquake that stems from a payday loan.

Just think about how you could bring this alternative to your workplace – and actually help solve a colleague’s short-term financial problem in a way that makes it manageable and gets people out of the mud without getting stuck. .

Jessica Love is Executive Director of Prosperity Indiana, a statewide membership organization for individuals and organizations that strengthen Hoosier communities.

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Relendex sets itself a target for green loans https://kr2k.com/relendex-sets-itself-a-target-for-green-loans/ Wed, 26 Oct 2022 09:29:19 +0000 https://kr2k.com/relendex-sets-itself-a-target-for-green-loans/ Relendex is targeting 60% of its new sustainability loans by the end of next year. Paul Sonabend, executive chairman of the peer-to-peer real estate lending platform, said the company’s green credentials should appeal to retail and institutional investors, amid the growing trend of environmental, social and governance investing ( ESG). Read more: FCA outlines plans […]]]>

Relendex is targeting 60% of its new sustainability loans by the end of next year.

Paul Sonabend, executive chairman of the peer-to-peer real estate lending platform, said the company’s green credentials should appeal to retail and institutional investors, amid the growing trend of environmental, social and governance investing ( ESG).

Read more: FCA outlines plans to tackle greenwashing

“In 2021, 30% of the money we lent went to cradle-to-grave sustainable developments,” Sonabend said. News Peer2Peer Finance.

“To be considered a ‘green’ loan, every part of the construction process must be considered sustainable. We work with the most innovative homebuilders who build the most wonderful housing stock that costs little or nothing to light and heat.

“Our goal is for 60% of new loans to be for sustainable development by the end of 2023 and we want the market to know that we are not afraid to finance innovative and sustainable buildings using new techniques. We see ourselves as part of a much larger eco-environment in an industry that has not always been green.

Read more: Two more months before the Peer2Peer Finance Awards!

Sonabend noted that there are many institutions that want to deploy ESG funds but are afraid of greenwashing. This is when companies claim to do more to protect the environment than they actually do.

“[Our sustainable development loans] should appeal to a large number of retail investors sophisticated enough to qualify to be our lenders,” Sonabend said.

“Our call is for institutions that understand they have a greater purpose in life than just getting a return.”

Read more: Green Evolution: Exclusive interview with Paul Sonabend of Relendex

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German companies struggle to get loans https://kr2k.com/german-companies-struggle-to-get-loans/ Mon, 24 Oct 2022 09:09:50 +0000 https://kr2k.com/german-companies-struggle-to-get-loans/ fast news As many as 28.8% of companies seeking credit in the services sector reported difficulties, around 8.4% of chemical companies and 22.5% of car manufacturers. Smaller businesses and the self-employed have been hit the hardest due to their reliance on bank loans. (AP) Around one in four German businesses seeking new loans report restrictions […]]]>

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As many as 28.8% of companies seeking credit in the services sector reported difficulties, around 8.4% of chemical companies and 22.5% of car manufacturers.

Smaller businesses and the self-employed have been hit the hardest due to their reliance on bank loans. (AP)

Around one in four German businesses seeking new loans report restrictions from lenders as high inflation and concerns over energy supplies rattle Europe’s biggest economy, according to a survey.

“The difficult economic climate is currently making banks more cautious,” said Klaus Wohlrabe, head of investigations at Information ve Forschung (Ifo) on Monday.

“Without new loans, some businesses could struggle for economic survival,” he added.

The figure – 24.3% – is the highest since 2017, said the Ifo institute, which conducted the survey.

As many as 28.8% of companies seeking credit in the services sector reported difficulties, around 8.4% of chemical companies and 22.5% of automakers, Ifo said. In retail, the figure was 15%.

Smaller businesses and solo freelancers have been hit the hardest due to their reliance on bank loans, according to the institute.

Germany heads into recession as energy standoff with Russia, rising prices and supply bottlenecks take their toll, with government predicting 0.4% contraction next year .

READ MORE:
Germany will sink into recession, inflation will soar in 2023, government admits

Source: Reuters

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