US Fed announces $800bn stimulus Nov 26, 2008
In addition to the $600bn effort on mortgages, the Fed also unveiled a separate programme to help unfreeze the consumer debt market. The central bank said it would lend up to $200bn to the holders of securities backed by various types of consumer loans, such as credit cards and student loans. (BBC News -- Americas)
Rupee slightly stronger, stock cues awaited Nov 26, 2008
The Fed, with the backing of the Treasury, on Tuesday outlined an $800 billion lending facility to support the market for consumer debt securities. Asian stocks were mixed. (India Times)
Dow up 36 points in day of mixed trading Nov 26, 2008
Investors were encouraged after the Treasury Department and the Federal Reserve said they planned to provide $800 billion to help unfreeze the market for consumer debt and to make mortgage loans cheaper and more available. The program is aimed at reviving moribund credit markets. (Crain's Chicago Business)
US unveils new $800 billion plan to loosen credit Nov 26, 2008
Under a new Fed program for consumer debt, the US government will lend up to $200 billion to financial institutions that hold securities backed by various types of consumer loans such as credit cards and auto and student loans. The goal is to provide greater demand for these securities, which in turn should make more money available to the consumer loan market, in the end leading to lower consumer interest rates. (Christian Science Monitor -- USA)
Obama To Keep Spending In Check Nov 26, 2008
On Monday and Tuesday alone, Treasury Secretary Henry Paulson announced another $20 billion injection in banking giant Citigroup, along with backing for more than $300 billion in toxic assets, and a new $800 billion program by the Federal Reserve to backstop mortgages, auto loans and other consumer debt. Obama has not put a number yet on his stimulus plan, but it is estimated to be in the $500 billion range. (San Francisco Chronicle -- Politics)
U.S. moves to thaw credit for consumers Nov 26, 2008
The U.S. government introduced a pair of new programs Tuesday that will provide $800 billion to help unfreeze the market for consumer debt ... The programs to buy mortgage-related assets and securities backed by consumer debt have the same aim: to boost demand for those assets. (MSNBC -- Politics)
Gold Prices Fall Flat, Other Commodities Decline Nov 26, 2008
The Treasury Department and the Federal Reserve said Tuesday they planned to provide $800 billion to help unfreeze the market for consumer debt and to make mortgage loans cheaper and more available. The moves by the federal government to pump money into the financial system and increase lending among banks and to consumers could feed inflation, which ultimately bodes well for commodities. (ABC News -- Wire)
Feds unveil plans to unfreeze consumer debt market Nov 26, 2008
Feds unveil 2 programs to provide $800 billion to help unfreeze market for consumer debt ... WASHINGTON -- The government has introduced a pair of new programs that will provide $800 billion to help unfreeze the market for consumer debt which Treasury Secretary Henry Paulson calls vital to supporting the economy ... Paulson says key markets for consumer debt such as credit cards, auto loans and student loans essentially came to a halt in October. (Albany Times Union)
Another $800B?! Feds Take One More Big Swipe at Economic Crisis Nov 26, 2008
ABC News: Feds Unveil Plans to Unfreeze Consumer Debt Market ... Feds Unveil Plans to Unfreeze Consumer Debt Market ... Feds unveil 2 programs to provide $800 billion to help unfreeze market for consumer debt. (ABC News -- Business)
Fed, Treasury Announce Plan to Jumpstart Lending Nov 26, 2008
REALTOR Magazine Online: The real estate professional's business support tool. YOUR INTERACTIVE MAGAZINE REALTOR.ORG/realtormag. (Realtor Magazine Online)
Thanksgiving sky: Jupiter, Venus, moon together Nov 26, 2008
WASHINGTON (AP) -- The federal government has unveiled two new programs to provide $800 billion to try to thaw the freeze in the market for consumer debt from home mortgages to credit cards. CONSUMER INFO. (KGAN)
U.S. providing huge stimulus for borrowers Nov 26, 2008
The new facility would then lend money at low rates to companies that post collateral based on securities backed by consumer debt or business loans. The new program would be allowed to accept only securities with Triple-A ratings, the highest possible, from at least two rating agencies. (International Herald Tribune)
Brawl inaisle 9?Nope Nov 26, 2008
The U.S. government introduced a pair of new programs Tuesday that will provide $800 billion to help unfreeze the market for consumer debt. . (MSNBC -- Business)
Federal deficit could hit $1 trillion this year Nov 26, 2008
On Tuesday the government announced two new programs providing $800 billion to help unfreeze the market for consumer debt and to make mortgage loans cheaper and more available. All that, in the short term, will send the deficit into the stratosphere. (AZCentral -- Business)
Bailout grows to $7 trillion with latest pledges Nov 26, 2008
The programs to buy mortgage-related assets and securities backed by consumer debt have the same aim: to boost demand for those assets. In doing so, the government hopes to lower the costs being charged for consumer loans. (AZCentral -- News)
Gold slips as US dollar bounces Nov 26, 2008
Gold rallied to a six-week high around $US830 on Tuesday after the Federal Reserve announced a new programme to support consumer debt securities, but profit taking erased some of the gains. Other precious metals tracked gold lower. (Sydney Morning Herald -- Business)
US economy shrinks as spending plunges Nov 26, 2008
"We are in the early stages of one of the worst recessions in the post-war period, even factoring in a massive stimulus program,' said Nariman Behravesh, chief economist at IHS Global Insight. The grim reports overshadowed the Fed's announcement that it would use up to $US800 billion to buy mortgage-related debt and consumer debt securities, and stocks on Wall Street surrendered early gains. US government debt prices rose, helped by a safe-haven bid fueled by the worsening outlook. The Commerce... (Sydney Morning Herald -- Business)
Crude oil down nearly 7% on economic woes Nov 26, 2008
The U.S. Federal Reserve and the Treasury Department said on Tuesday that they would provide about 800 billion U.S. dollars to help unfreeze the market for consumer debt from home mortgages to credit cards. NEW YORK, Nov. 25 (Xinhua) -- Wall Street moved back and forth Tuesday, after a two-day rally, as investors digested dismal economic data and the Federal Reserve committed as much as 800 billion U.S. dollars to boost lending. (Xinhuanet, China)
TimeToHelpthe Average Joe Nov 26, 2008
In addition to making loans more readily available, points out that a "secondary effect of the programs" is that into the financial system, which could "help inflate the economy at a time when officials are increasingly worried about possible deflation." The notes that by getting involved in consumer debt, the government is that it's willing to "adopt strategies carrying greater risks." In a sign of just how quickly the financial crisis has progressed, the points out that the new program will to... (Slate)
World stocks close higher despite profit-taking Nov 26, 2008
"The steam's come out of the Dow's opening and inevitably we're seeing some profit-taking,'' said Richard Hunter, a strategist at Hargreaves Lansdown stockbrokers in London. But after European markets closed, U.S. blue chips sneaked higher. The Dow rose 36.08, or 0.43 percent, to 8,479.47. The index was up 164 points earlier in the session but also fell 161. The Dow last put a three-day advance together on Aug. 26-28. Broader indexes were mixed. The Srose 5.58, or 0.66 percent, to 857.39. The... (The Star Online, Malaysia -- Business)
SICK ECONOMY THREATENS AMERICAN EXPRESS Nov 26, 2008
Credit-card companies' ability to offload some of their exposure to consumer debt has been crippled in recent months because the asset securitization market - which enables companies like AmEx to sell receivables in order to finance new loans - has all but shut down. What's more, AmEx's ability to fund itself using the short-term commercial-paper market has unraveled. (New York Post -- Business)
Faber: Global Economy Imploding, Buy Gold Nov 26, 2008
Faber says he disagrees with a government proposal to help bolster banks with consumer debt problems. The bailout of Citigroup this week is a mistake that will only compound the problem and make economic recovery take longer, he said. (Newsmax)
Obama Vows to Slash Wasteful Spending Nov 26, 2008
The Federal Reserve announced two new programs aimed at making it easier for Americans to obtain loans for homes, cars and on credit cards -- a $600 billion program to buy mortgage-related debt and securities, and a $200 billion program to increase the availability of consumer debt. Markets initially cheered the launch of the programs, with the Dow Jones industrial average rising more than 100 points, or about 1. (Newsmax)
Ernie Haire Ford files for Chapter 11 Nov 25, 2008
Ernie Haire also owned a subsidiary called , which sold cars through the buy here pay here financing method, shutting it down this year with a subprime consumer debt of $5 million face value, filings show. Ernie Haire still owns the property, valued at $525,000, and is holding on to an inventory with $700,000. (Tampa Bay Business Journal, FL)
Fed to buy up to $600-billion in troubled assets Nov 25, 2008
The $600-billion effort on mortgages came as the Fed also unveiled a new program to help unfreeze the market that backs consumer debt such as credit cards, auto loans and student loans. The program on consumer debt will lend up to $200-billion to the holders of securities backed by various types of consumer loans. (Globe and Mail -- Business)
Federal Reserve to buy more assets Nov 25, 2008
The latest move comes along with a new program to back consumer debt including credit cards, student loans and auto loans. In a statement the Federal Reserve said that under the new Term Asset-Backed Securities Loan Facility, it will lend up to $200 billion on a non-recourse basis to holders of AAA-rated asset-backed securities backed by newly and recently originated loans, such as for education, automobiles, credit cards and loans guaranteed by the. (Washington Business Journal, DC)
Gov't Plans Program To Aid Credit Issuers Nov 25, 2008
The government introduced a pair of new programs Tuesday that will provide $800 billion to help unfreeze the market for consumer debt and to make mortgage loans cheaper and more available. . (KFOXTV.com, TX)
No respite for Citigroup Nov 24, 2008
That may be because commercial property, consumer debt and corporate lending - specialties of the universal banks - look vulnerable as the economic indicators get gloomier. One problem is that the banks' recent financial history doesn't help as a guide to the future. (International Herald Tribune -- Money Report)
Twenty Reasons Why We're Not Consuming Nov 22, 2008
Not only are debt ratios high and rising, debt-servicing ratios are high and rising, too, having gone from 11% in 2000 to almost 15% now, as the interest rate on mortgages and consumer debt is resetting at higher levels. 5. (Forbes -- Markets)
JPMorgan cuts banking jobs: Sources Nov 21, 2008
But in recent calls with investors and analysts, Jamie Dimon, the bank's chief executive, has been warning about possible losses from exposure to consumer debt. At a conference two weeks ago, Dimon said the wider economic downturn could be worse for banks like JPMorgan than the credit crisis. (India Times)
Report: Bankruptcy reform didn't help Nov 20, 2008
The study also reported debtors filing for bankruptcy in 2007 have heavier debt loads than those who filed in years prior, a development that seems to mirror a national trend of increasing consumer debt. In recent years, critics have complained bankruptcy was "too easy" - by writing off their credit card and consumer debt, the financially strapped received federal support to pay their debts. (Daily Iowan, IA)
Spending Styles of the Rich and Famous Suffer Nov 18, 2008
No data currently available. No data currently available. (Fox News)
Citigroup will slash 53,000 jobs Nov 18, 2008
And if the bank takes more hits due the worsening credit climate -- not only in mortgages, but other consumer debt like credit cards -- it might have to keep cutting costs further. "Of the big banks, Citi is the sickest dog," Howell said. (Sioux City Journal, IO)
Consumers cut back sharply on spending Nov 18, 2008
These loans are packaged together as securities and sold to investors, but after the huge losses for mortgage-backed securities, investors have grown leery of buying other types of consumer debt. In a series of interviews on Thursday, Paulson provided new details of how the new program might work. (Madison Daily Leader, SD)
Honoring tradition in troubled times Nov 18, 2008
Last month, travel-trend forecasters IHS Global Insight issued their own projections, which listed a litany of challenges, including rising inflation, increasing unemployment, tightening credit conditions, high levels of consumer debt, declining housing wealth and stagnant wages. . (MSNBC -- Politics)
Why Credit Life Insurance Is a Bad Buy Nov 18, 2008
It's insurance that pays off your consumer debts if you die ... If you have a family you'd like to protect, see if your regular homeowner's or life insurance policy is large enough to cover the new consumer debt. (ABC News -- Business)
Japan's `Least Ugly' Economy May Outpace U.S., Europe in Financial Crisis Nov 18, 2008
Almost two decades of sub-par growth and an aversion to business and consumer debt have produced a leaner economy. The country's banks are cash-rich and still able to lend, manufacturers such as have increased their efficiency and households have a mountain of savings that should buoy spending during the downturn. (Bloomberg)
Citigroup slashes tens of thousands from payroll Nov 18, 2008
And if the bank takes more hits due to the worsening credit climate -- in mortgages or in other consumer debt like credit cards -- it might have to cut costs further. "Of the big banks, Citi is the sickest dog," said Robert Howell, a finance professor at Dartmouth's Tuck School of Business. (News & Observer)
US's road to recovery runs through Beijing Nov 15, 2008
The tape cannot be run in reverse: America can't rescue an economy based on rising consumer debt and zero savings. America must become a technology exporter. (Asia Times Online)
World Markets Steady Amid More Grim News Nov 14, 2008
The Treasury will instead rely on buying stakes in banks and providing more direct help to consumer debt markets. The trouble is still in both housing and in the financial system and trouble with the financial problem is it's a little like religion. (CBS News)
How Do You Make Sense of the Current Market? Nov 14, 2008
-- Paying off high-interest consumer debt such as credit card balances and car loans -- and staying out of debt. -- Contributing to your 401(k) or other employer-sponsored plans at least up to the company match. (Townhall.com)
Survey: Wary shoppers to crimp holiday season Nov 13, 2008
Gas prices might be coming down and anxiety over the election abating, but problems related to consumer debt still loom large. Outstanding consumer credit among Americans totaled $2. (Columbus Business First, OH)
Alex Patellis,Head,International Economics, Merrill Lynch Nov 13, 2008
Since the crisis is mostly centred on complex financial architecture, a mismatch of short- and long-term liabilities, and excess consumer debt, developed countries are more vulnerable, in our view. In India, the growth is largely driven by domestic demand. (India Times)
US abandons plan to buy toxic assets Nov 13, 2008
But on Wednesday he said the money earmarked to buy those debts would be better spent injecting cash directly into struggling banks and shoring up the market for consumer debt such as from credit cards and car loans. "This market, which is vital for lending and growth, has for all practical purposes ground to a halt," he said. (Yahoo! Asia News)
Lonrho Raises 15.6 Million to Continue the Development of its Core Businesses Nov 12, 2008
Africaremains an attractive investment opportunity; it is an emerging market with little commercial or consumer debt. Economic forecasts for Sub Saharan Africa continue to predict GDP growth upwards ofbetween 5% and 6% for several strategic countries in which Lonrho's businesses operate, and forAngolawith 20% in GDP.. (allAfrica.com)
Northeast Health System's board meets on CEO's fate Nov 11, 2008
The Fed lets banks post consumer debt, such as credit card receivables, as collateral for loans from its discount window, which carry a 1. 25 percent interest rate. (Boston Globe)
Why banks are boosting credit card interest rates Nov 10, 2008
Rising demand for credit card securities enabled banks to become more innovative in raising rates and fees, says Nomi Prins, who formerly ran a Bear Stearns group that analyzed securitized consumer debt. "As long as investor demand grew for credit card collateral embedded with these fees and higher rates, issuers knew they had a place" to offset their risk and boost their profits, says Prins, now a senior fellow at Demos. (USA Today)
Sinking Rates Still Can't Spur Risk-Taking Nov 8, 2008
The securitization market where banks repackage consumer debt into bonds that can be traded is at a virtual halt. Meanwhile, more individuals are losing their jobs, raising the probability that people will fall further behind on their debt payments. (ABC News -- Wire)
Consumers Unexpectedly Borrowed More in September Nov 8, 2008
Graphic shows outstanding consumer debt from revolving credit accounts; (AP) ... Consumer debt rose by $6. (ABC News -- Wire)
Campaign is one point of hope Nov 7, 2008
Looming rapidly into sight is the more than $20 trillion of private sector corporate and consumer debt. As is reflected in widening credit spreads and the threatened bankruptcy of national business icons such as GM and Ford, this debt is also being called increasingly into question. (Asia Times Online)
Money for nothing Nov 6, 2008
" Today, the "legacy" of soaring house prices and record levels of borrowing amounts to a mind boggling 1.4 trillion. In other words, the total amount of consumer debt - what we owe on mortgages, loans and credit cards - outstrips the entire gross domestic product, or GDP, of the country. No life Bruce Eyre from Wiltshire is one such consumer who is now coming to terms with his own personal debt crisis. With more than 250,000 owed to his creditors, he has decided to declare himself bankrupt,... (BBC News -- UK)
Chairman and Managing Director addresses to AGM Nov 5, 2008
Defaulted consumer debt which is the primary asset with which this business deals is increasing ... One of the few security companies in the industry with a network of Australian Grade A1 (or New Zealand equivalent) monitoring stations The lowest customer attrition levels in recent history The strongest organic sales growth since 2001 Increasing channel sales growth, particularly in Australia Strong growth in medical alarm monitoring in New Zealand Strong pipeline of accretive acquisition... (Sydney Morning Herald)
Basic principles Nov 5, 2008
In one area, consumer debt, Americans are better off. Obviously, some major changes are needed. (Florida Times-Union)
Bill collectors get tough, and complaints surge Nov 4, 2008
The complaints are also being attributed to the explosive growth in the number of companies that buy up bad consumer debt at a discount and try to collect whatever they can. U.S. law allows creditors to take aggressive steps to collect a debt, including going to court to freeze a debtor's bank accounts. (The Star Online, Malaysia -- Business)
Deep in Debt Nov 3, 2008
In the interwar years, commercial banks began to invest in consumer debt, and retailers started to profit on the financing -- and not just the selling -- of goods. After World War II, indebted suburban Americans could leave their mortgaged homes in financed cars to shop on department store credit. (Boston Globe)
Paul Krugman: When consumers capitulate Nov 1, 2008
Lately, however, the savings rate has generally been below 2 percent - sometimes it has even been negative - and consumer debt has risen to 98 percent of GDP, twice its level a quarter-century ago. Today in Opinion. (International Herald Tribune)
Credit Card Losses Sting Banks; Borrowers Face Tougher Terms Oct 29, 2008
Even so, higher charge-off rates are an added headache for financial institutions saddled with big mortgage-loan defaults and growing losses on auto loans, student loans and other consumer debt. "Banks will have to set aside more provisions to cover those charge-offs and that will depress earnings," said Keith Leggett, a senior economist at the American Bankers Association. (Investors Business Daily)
Keeping trains on tracks is Ramos's next challenge Oct 29, 2008
Consumer hardship has hit the new and used vehicle market, as have high consumer debt levels and the increase of almost 40 percent in interest rates since June 2006. Many consumers are both unwilling and unable to buy new or used vehicles - and dealers' stock levels have risen alarmingly. (Business Report, South Africa)
Is U.S. buy-buy-buy mentality best? Oct 28, 2008
6 trillion in nonmortgage consumer debt. Meanwhile, much of what we buy comes from other countries, while those nations tend not to buy as much of our stuff. (Fresno Bee -- Business)
Better to pay off bills or hold onto cash? Oct 28, 2008
Without savings and with less home equity to fall back on, American households are struggling with high consumer debt and a rising cost of living while trying to repair or improve their personal balance sheets. "Generally speaking, if people have high consumer debt, they really should focus on getting rid of that," said Eric Tyson, author of "Personal Finance For Dummies." One exception, he said, "is if someone has so much debt they may declare bankruptcy, they would do better to hold onto their... (Pittsburgh Post-Gazette, PA)
Evil Wall Street Exports Boomed With `Fools' Born to Buy Securitized Debt Oct 28, 2008
U.S. consumer debt tripled in the two decades after 1988 to $2. 6 trillion, according to the Federal Reserve. (Bloomberg)
Perhaps the financial fire of 2008 will burn off some of the investment chaff Oct 27, 2008
Consumer debt continually set new records. Combustible material was piling up everywhere, waiting for an ignition source. (Globe and Mail -- Business)
Socialism robs us of free agency Oct 26, 2008
JGN69 wrote on Oct 25, 2008 10:15 AM:" Mr. Nilson writes: Freedom works and socialism never will. This statement is from a free agent of propaganda. Its old school Cold War rhetoricnonsense today and when it came out of the propaganda mills decades before. Are the people in the social democratic states of Denmark, Sweden, Norway, Ireland, Britain, Netherlands, Canada not free? You mistake socialism for totalitarianism. Is it the same thing? Ask a Swede, the Dutch, etc of course... (Logan Herald Journal, UT)
With $605 million already, Obama seeks only $10 more from each of us... Oct 24, 2008
Having hauled in a record $208,333 every hour of every day last month -- -- plus a few more unreported millions so far this month, is worried that he might come up short in the political money war with the - ticket. Just to relieve himself of that $150 million before the polls open, Obama will have to spend $12. (The Drudge Report)
Britain's boom is over and not everybody minds Oct 21, 2008
One-third of consumer debt in all of Europe is held by people in Britain, said Chris Tapp, deputy director of Credit Action, which counsels people about how to handle debt. Audrey Hurren, a retired secretary of 65 who was waiting for the subway in central London the other day, put it a different way. (International Herald Tribune)
