Credit and Loan Blog September Archive

What You Need to Know About the Crisis

By Website Introductions at 09/26/08 13:54

This financial crisis that is now happening in Wall Street is a story not understood by every American. One would still wonder what the cause of this crisis is and how will it ever affect their daily lifestyles.

Velshi of CNN is already telling you. You should not stop paying your mortgage. Whether the mortgage company will go out of business or not, it is here to stay.

Link: Velshi: Please, keep paying your mortgage - CNN.com

No Doc Loans will Prolong Crisis

Having lax lending policies is the main contributor to the American housing crisis. It took years to develop and people just let it pass through.

One policy, in my opinion, that should be scrapped is having these liar or no doc loans, which are loans that allowed people to submit documents without even verifying their sources of income. To find out more about these kind of loans, read this article.

Link: The Times West Virginian - ‘Liar loans’

Debt Crisis of UK Students

Because huge debt level, fresh graduates in UK will a have an impacted life for the next few years after graduation.

This means that with a unprecedented level of debt, student will have a dramatic effect on their ability to buy homes, start a family or even save for retirement.

Lib Dems studies found that the total debt held by UK students is around 22 billion pound and grew almost 4 billion over the last year.

Link: 'Huge' student debt cuts graduate's life options - Debt Management Today

To Ban or Not to Ban Downpayment Assistance?

In an effort to cut out first-time buyers from actually buying a home, the Housing authority hailed the elimination of SFDPA programs in the country. These are programs that assist homebuyers in getting the necessary downpayment.

But is this good? Will the economy really get out of the housing problem if first-time buyers are prevented from having their first home? Go ahead and give us your opinion.

Link: No down-payment help, no housing recovery | Real Estate and Technology News for Agents, Brokers and Investors | Inman News