Loan Expense – Stratia Wire http://stratiawire.com/ Fri, 23 Sep 2022 04:10:04 +0000 en-US hourly 1 https://wordpress.org/?v=5.9.3 https://stratiawire.com/wp-content/uploads/2022/03/stratiawire-icon-120x120.jpg Loan Expense – Stratia Wire http://stratiawire.com/ 32 32 HELOC to pay off the mortgage https://stratiawire.com/heloc-to-pay-off-the-mortgage/ Fri, 23 Sep 2022 04:10:04 +0000 https://stratiawire.com/heloc-to-pay-off-the-mortgage/ Despite changes in the housing market, many borrowers today have significant equity in their homes. If you’re one of them, you might be wondering if it makes sense to use a home equity line of credit to pay off your mortgage, especially if you don’t owe a lot on your home. Here’s what to know […]]]>

Despite changes in the housing market, many borrowers today have significant equity in their homes. If you’re one of them, you might be wondering if it makes sense to use a home equity line of credit to pay off your mortgage, especially if you don’t owe a lot on your home. Here’s what to know about paying off your mortgage with a HELOC and the risks involved.

It is possible to use funds from a HELOC to help pay off your mortgage. If you have a lot of equity in your home and don’t have much left to pay on your loan, you might even be able to pay it off completely with the line of credit.

HELOCs work by allowing you to leverage the equity in your home to obtain funds for any objective or purpose, such as home improvements, tuition, or even emergencies. Depending on your capital level, you will be approved for a certain amount, which you can borrow in whole or in part during the HELOC drawdown period, usually 10 years. During this time, you will pay interest on what you borrow, at a variable rate. After the drawdown period, you’ll have to repay what you borrowed (with any interest due), usually over a 20-year period.

Advantages

  • Possibility of a lower rate: If your current mortgage has a higher interest rate and the HELOC has a lower rate, you can use HELOC funds to pay off your mortgage sooner at a lower cost. Much depends on the broader mortgage market, however – right now, rates are rising on all types of loans, including HELOCs. Compare current HELOC rates.
  • Flexibility: HELOCs are a more flexible form of financing in that you can only borrow what you need out of the total amount you have been approved for. For example, if you don’t want to use all of the HELOC funds to pay off your mortgage, you can decide to spend some of the money on home renovations or other expenses, or not to borrow it at all.
  • Low or no closing costs: Although HELOC closing costs typically range from 2% to 5% of the amount you borrow (similar to a mortgage), the expense may be less than a cash refinance because you’re likely borrowing less. Some lenders even offer HELOCs with no closing costs.

The inconvenients

  • Floating rate: HELOCs come with a variable interest rate, which means your rate will fluctuate over time depending on market conditions. There’s no way to predict whether your rate will go up or down in the future, so you’ll need to be prepared to build higher payments into your budget.
  • More debt: Although the HELOC could pay off your mortgage, you would also replace that debt with another form of debt, and you could end up paying more interest than you would on your current mortgage. This affects your credit score and your finances, especially if it doesn’t help you save money in the long run.
  • Fees and penalties: Many HELOCs have annual fees, and some come with a prepayment penalty if you pay them off earlier than the repayment schedule requires.
  • Flexibility: The flexibility of a HELOC can also be a disadvantage in that it can cause you to spend the funds impulsively or overextend yourself financially.

Let’s say 20 years ago you took out a $300,000 30-year mortgage with a rate of 6.5%. Today, your remaining balance is $164,107 and your home is currently worth $675,000. This means you have $510,893 in equity. You would only need to borrow about 30% of that amount with a HELOC to pay off your mortgage balance.

Although you can use a HELOC to help pay your mortgage, it has limitations. HELOC lenders typically only allow you to borrow up to 80% (sometimes 85%) of the value of your home as a line of credit. Depending on your specific finances, this might not be enough to fully pay off your mortgage.

Whatever funds you use from the HELOC must also be repaid, usually over a repayment period of up to 20 years. If you’re about to pay off your current mortgage, you may not want to commit to paying off another debt over several years, especially if you’re nearing or in retirement and on a fixed income.

The variable rate is also reason enough to take a break. The Federal Reserve has indicated its intention to continue raising its key rate in 2022, which means higher rates on HELOCs.

“Floating-rate HELOC customers could easily see their interest rates increase significantly, says Herman (Tommy) Thompson, Jr., CFP, of Innovative Financial Group in Atlanta. “It’s also unlikely that the interest rate on a HELOC in 2022 will actually be lower than on a mortgage acquired within the last 20 years.”

If your goal is to pay off your mortgage early, you might be better off making extra payments, if possible, or, as an alternative, taking out a home equity loan. When making additional payments, you can choose to pay an additional lump sum or start making payments every two weeks. With a home equity loan, you’ll get a fixed rate (as opposed to a variable rate with a HELOC), which means your monthly payments won’t change. However, you are still borrowing money to repay the borrowed money, which is not ideal. Consider this and a HELOC carefully if you’re looking to get rid of your mortgage sooner.

]]>
Volatile Mortgage Rates Stress Buyers Over Affordability – RISMedia https://stratiawire.com/volatile-mortgage-rates-stress-buyers-over-affordability-rismedia/ Mon, 19 Sep 2022 18:34:41 +0000 https://stratiawire.com/volatile-mortgage-rates-stress-buyers-over-affordability-rismedia/ While affordability issues aren’t a new phenomenon in the housing market, recent mortgage volatility has impacted a growing number of American buyers, many of whom remain on the sidelines. According to a recent market report from Zillow, the result is another month of declining home values. The report said the value of a typical home […]]]>

While affordability issues aren’t a new phenomenon in the housing market, recent mortgage volatility has impacted a growing number of American buyers, many of whom remain on the sidelines. According to a recent market report from Zillow, the result is another month of declining home values.

The report said the value of a typical home in the United States fell 0.3% from July to August, to $356,054, as measured by the Zillow Crude Home Value Index. This is the largest monthly decline since 2011 and the second consecutive month of falling prices.

Home values ​​fell slightly in July, down 0.1%. While both declines are modest at best — the value of typical homes is still up 14.1% year-on-year — they are another example of shifting tides in the housing market, which arguably has seen its two best years in history.

Zillow attributed the declines in value to the recent spike in mortgage rates, which approached 6% in June. Coupled with the “historic rise in house prices” during the pandemic, the surge in mortgage rates pushed the monthly mortgage payment for a typical newly purchased home from $897 in August 2019 to $1,643, an increase of 83 %.

Skyrocketing costs have hampered competition in the market, according to the report, which is evident in the increased time the house remained listed in August. The typical time before an ad is put on hold is 16 days, three days longer than in July.

Highlights:

  • The typical value of a home fell 0.3% from July, the biggest monthly drop since 2011.
  • Values ​​fell the most month over month in San Francisco (-3.4%), Los Angeles (-3.4%), Sacramento (-3.2%) and Salt Lake City (-2 .6%).
  • Home values ​​rose from July to August in 12 of the 50 largest U.S. markets, led by Birmingham (0.9%), Indianapolis (0.5%), Cincinnati (0.4%) and Louisville (0.2%). %).
  • Competition for homes is strongest in affordable metros and weakens in expensive markets.
  • The lack of competition among buyers increased inventory (up 1% from July) and time to market.
  • About 28% of listings nationwide received a price reduction, which is slightly higher than the rate of 22% in August 2019.
  • The share of ads with a price reduction is highest in Salt Lake City, Phoenix, Las Vegas and Austin.
  • The lowest price reduction rates in the market are Milwaukee, New York, Hartford and Boston.
  • Rent growth continued to slow in August, with a typical rent of $2,090 now 12.3% higher than last August, down from February’s high of 17.2% annual growth.
  • Annual rent growth is strongest in Miami (21.9%), New York (17.9%), Orlando (17.5%) and San Diego (17.1%).

Take-out:

By now, you’ve heard that the housing market has seen its fair share of change since the summer of 2021, which saw seismic house price growth, while mortgage rates were still near record lows.

As the market moved away from the feverish behavior of this summer, those days have passed.

While the signs of lower home prices are there, Zillow’s report highlights a deep-seated problem that isn’t likely to go away: Buyers are still grappling with the expense of homeownership.

Even with a modest decline, soaring mortgage rates have added another challenge to the growing pressure on affordability by showing what Zillow experts called “astronomical growth” in spending by new homeowners over the past three years. .

“Substantial day-to-day and week-to-week rate movements mean that many potential buyers may qualify for a loan one week but not the next, or vice versa,” he said. Zillow chief economist Skylar Olsen in a statement. “Even buyers able to afford a home at current rates could feel frozen, waiting for mortgage rates to fall dramatically again, as they did from late June to mid-July, when rates fell 50 basis points in just two weeks.”

Olsen also said that “as the share of median household income needed to pay monthly mortgage costs now exceeds the 30% level considered a financial burden, the uncertainty itself could hold back a large population of buyers who could otherwise afford to move”. advance with a loan. This issue is likely to persist until markets stabilize and return to some semblance of normalcy.

To see the full report, Click here.

]]>
Bed Bath & Beyond’s New Funding Won’t Save It https://stratiawire.com/bed-bath-beyonds-new-funding-wont-save-it/ Sat, 17 Sep 2022 13:06:00 +0000 https://stratiawire.com/bed-bath-beyonds-new-funding-wont-save-it/ At the end of last month, Bed bath and beyond (BBBY -8.76%) revealed a new plan to get out of an accelerating downward spiral. Under interim CEO Sue Gove, the company plans to slash costs as much as possible, shift its merchandise assortment to national brands to win back customers, close another 150 underperforming stores […]]]>

At the end of last month, Bed bath and beyond (BBBY -8.76%) revealed a new plan to get out of an accelerating downward spiral.

Under interim CEO Sue Gove, the company plans to slash costs as much as possible, shift its merchandise assortment to national brands to win back customers, close another 150 underperforming stores and postpone virtually all long-term strategic investments. Meanwhile, Bed Bath & Beyond has locked up $505 million in new debt financing to shore up its liquidity.

By lining up new funding and cutting expenses to reduce cash burn, management hopes to buy time to turn the situation around. Unfortunately, even these heroic efforts are unlikely to save the iconic furniture retailer.

Business remains terrible

Three months ago, Bed Bath & Beyond reported comparable sales fell 23% year-over-year in the first quarter. This resulted in a net loss of $358 million and a quarterly cash burn of nearly $500 million. Management expected sales trends to remain similar in the second quarter before improving in the second half of fiscal 2022.

Along with its strategy update in late August, Bed Bath & Beyond said the decline in mockup sales accelerated to around 26% in the last quarter. Cash burn improved somewhat to around $325 million, but it’s still extremely high by objective standards.

Management still expects sales trends to improve soon, but not by much. The company is now calling for a decline in comp sales in the “20% range” for the second half of the fiscal year. This will almost certainly prevent Bed Bath & Beyond from becoming profitable again, despite its aggressive cost-cutting plans.

No quick fix available

Focusing on cost reductions is the right move for Bed Bath & Beyond, as it offers the only plausible path to survival. That said, it will likely prove too little, too late.

For example, Bed Bath & Beyond has just concluded a two-year program to close 20% of its namesake stores. These closures had no noticeable positive effect on the company’s finances. The decision to close nearly 20% of the remaining Bed Bath & Beyond stores just after completing the previous downsizing shows how store closures are more a symptom of a failing brand than a solution.

Image source: author.

Additionally, reducing costs and capital expenditures will not entirely solve Bed Bath & Beyond’s cash burn. After all, the company burned $325 million last quarter. Reducing quarterly expenses by $200 million would give some breathing room, but it wouldn’t make the business sustainable.

Interest charges will skyrocket

The bulk of Bed Bath & Beyond’s new financing consists of a $375 million term loan with a variable interest rate that will start at around 10%. With the Federal Reserve likely to continue raising interest rates in the coming months, this interest rate could approach 12% by mid-2023.

Meanwhile, Bed Bath & Beyond drew $550 million on its revolving credit facility in the first half of fiscal 2022. These borrowings carry a much lower interest rate (around 4% today) , but it will also increase as the Fed raises rates.

In total, Bed Bath & Beyond’s recent borrowings could add about $75 million to its annual interest charges next year. This will complicate the company’s efforts to return to break even or better.

Just a game of desperation

There is only one plausible way back to profitability for Bed Bath & Beyond: a rebound in sales. But that will be next to impossible to achieve if furniture spending continues to decline.

Unfortunately, inflation remains very high, which will force many consumers to reduce their discretionary purchases. And the Fed’s moves to fight inflation by raising interest rates could tip the economy into a recession next year. Given how much people have invested in sprucing up their homes in 2020 and 2021, buying more home-related items is unlikely to be a priority in the next two years.

Annual chart of the consumer price index in the United States

US consumer price index (variation from year to year), given by Y-Charts.

Even after its capital raise, Bed Bath & Beyond only has $1 billion in cash, down from $1.4 billion at the start of fiscal 2022. The company also plans to sell 12 million shares, but at current prices, it would only fetch about $100 million. .

This liquidity cushion gives Bed Bath & Beyond about a year to get sales and profits back on track. Unless there is a dramatic turnaround in the macroeconomic environment, that won’t be enough time. By the end of 2023, liquidity will likely be down to critical levels, with a $300 million debt maturity looming in mid-2024, making bankruptcy all but inevitable.

]]>
Lenders urged to cancel Zambia’s debt as country faces economic meltdown | Zambia https://stratiawire.com/lenders-urged-to-cancel-zambias-debt-as-country-faces-economic-meltdown-zambia/ Fri, 16 Sep 2022 05:00:00 +0000 https://stratiawire.com/lenders-urged-to-cancel-zambias-debt-as-country-faces-economic-meltdown-zambia/ More than 100 economists and academics have urged international lenders to crisis-hit Zambia to cancel a significant chunk of their loans during financial restructuring talks this month. Zambia is seeking up to $8.4bn (£7.3bn) in debt relief from major lenders, including private funds managed by the world’s largest investment manager, BlackRock , to help restore […]]]>

More than 100 economists and academics have urged international lenders to crisis-hit Zambia to cancel a significant chunk of their loans during financial restructuring talks this month.

Zambia is seeking up to $8.4bn (£7.3bn) in debt relief from major lenders, including private funds managed by the world’s largest investment manager, BlackRock , to help restore order in its public finances.

Ahead of what are seen as tense negotiations involving the Chinese, French and British governments, anti-poverty charity Debt Justice said only major debt cancellation could save Zambia’s economy from a complete collapse.

Led by Columbia University economist Jeffrey Sachs and Jayati Ghosh, president of the Center for Economic Studies at Jawaharlal Nehru University, the global group of more than 100 economists and experts said in a letter to the committee creditors’ negotiation that Zambia should be given a waiver from paying debt interest due until 2023.

Earlier this month, the International Monetary Fund (IMF) approved a $1.3 billion loan to the country, which defaulted on its $17.3 billion external debt after its finances collapsed public during the pandemic.

Funds managed by BlackRock are among the largest private owners of Zambian bonds, holding $220 million. Some are worth almost half the value at which they were sold. Eurobonds worth $1 billion that mature in 2024 plunged 6.3% last week to less than 56% of face value.

Debt Justice, formerly known as the Jubilee Debt Campaign, estimated that BlackRock could make 110% profit for itself and its customers in Zambia if debt interest payments were paid in full. The country has three major private sector bonds that pay an average of 8.1% interest.

The letter read: “Due to high interest rates and the fact that Zambian bonds have been trading well below face value since 2018, many bondholders stand to make huge profits at the expense of Zambian citizens and creditor countries if paid at face value.

“It is therefore imperative that BlackRock and other bondholders agree to fully commit to large-scale debt restructuring, including deep haircuts, in order to make Zambia’s debt sustainable.”

Tim Jones, the charity’s policy manager, said the IMF loan had given the country some breathing room, but the $8.4 billion in interest payments due over the next two years should be “permanently canceled, not carried over to the 2030s to fuel another debt crisis”. next decade”.

Chad and Ethiopia requested debt relief under the joint G20 framework last year, but Jones said negotiations had yet to start. Sri Lanka and Bangladesh have also requested bailouts under IMF programs to support countries devastated by the climate crisis.

Zambia, which has cut health and social care spending by a fifth over the past two years to balance its budget, has seen its debt soar in recent years to finance infrastructure projects, many for help the country to complete the hydroelectric plants affected by the drought.

Solar power projects have made the country nearly self-sufficient in electricity, but high borrowing costs, local corruption and the coronavirus crisis have crippled the country’s finances.

Other IMF loans have been tied to pledges to end fuel subsidies for households and businesses, pushing the inflation rate above 20% last year before dropping to 9.8 % in August.

Of Zambia’s external debt, 46% is owed to private lenders, 22% to China, 8% to other governments and 18% to multilateral institutions. China is among government lenders that have agreed to a longer debt repayment schedule that private lenders, including banks, have so far resisted, Debt Justice said.

A BlackRock spokesperson said it wanted “a long-term sustainable outcome for Zambia”, but disputed the charity’s claim that it would benefit from a rescheduling of interest payments on debt, saying he was likely to incur losses when the bonds matured.

He said: “We see it as our duty to play our part responsibly, alongside all other creditors, to ensure there is a path to a sustainable outcome for struggling sovereign debt issuers. .

“As an asset manager, we are trustees of our clients, people from all walks of life. The money we invest on their behalf does not belong to us and we are obligated to act in the best financial interests of our clients at all times.

Jones said BlackRock likely bought Zambian bonds at rock bottom prices when it was clear the country was already in trouble.

The Zambian Civil Society Debt Alliance, Global Justice Now, Action for Southern Africa (ACTSA), Christian Aid, Cafod and Jubilee Scotland are also campaigning for BlackRock and other private lenders to cancel the debt.

]]>
Biden administration forgives student loan debt https://stratiawire.com/biden-administration-forgives-student-loan-debt/ Mon, 12 Sep 2022 21:49:56 +0000 https://stratiawire.com/biden-administration-forgives-student-loan-debt/ Recently, the Biden administration decided to forgive up to $20,000 in student loan debt, a decision that is long overdue and affecting millions of people. The cancellation stems from the pandemic pause on student loan debt and applies to anyone earning less than $125,000 per year, adjusted gross income. Melissa Byrne, student debt activist and […]]]>

Recently, the Biden administration decided to forgive up to $20,000 in student loan debt, a decision that is long overdue and affecting millions of people. The cancellation stems from the pandemic pause on student loan debt and applies to anyone earning less than $125,000 per year, adjusted gross income. Melissa Byrne, student debt activist and director of WeThe45Million, provides insight into the decision the Biden administration made, the struggle to make it happen, and the long-term solution to student debt.

“As long as you’re ashamed of your debt, the banks have all the power,” says Byrne. “Nobody wants to finance work to cancel student loan debt. For the scale of the problem, the two trillion dollar problem, there is no funding available. The cost of college can be an astronomical expense, and many Americans struggle to afford it. After the pandemic left many without a stable income, demand for student debt forgiveness was high.

Activism has played a role in tackling the massive crisis. “All the organization has done is show that this crisis is huge. Forty-five million people are directly impacted. This is a crisis where people don’t have to continue to suffer” “I think a big part of it was also the fact that in March 2020 people could re-mobilize to get a break on student debt at the start of the pandemic,” Byrne says.

“You can request a cancellation. People should know that the income threshold is adjusted gross income, not gross income. This is for fiscal year 2020 or 2021. October 31st is the current deadline for people who need to get Public Service Loan Forgiveness (PSLF). Everyone must log in and start this app, even if you’ve already been denied, by October 31, Byrne says, regarding the important and disastrous information related to the cancellation. “There will be about eight million people who will automatically get their debt cancelled.”

Byrne applauds the actions of the Biden administration and believes the decision will have a direct impact on voters’ actions in the midterm elections. “The major theme of the presidential primary was the cancellation of student debt. The president acted in good faith from day one because the first thing he did when he took office was to extend the pandemic pause,” Byrne remarks. “I think voters see the government helping them. It’s a great way to show that the government can help people.




Friends of the Shepherd

Help support Milwaukee’s Free Local Weekly.

LEARN MORE

Canceling student loan debt is just the beginning. For Byrne and other political activists, the end goal is free college accessible to all. “I want poor kids to become lawyers, it shouldn’t just be the kids of the rich. It shouldn’t be your parents’ income that dictates the career you can have as an adult, it should be based on your willingness to do the job. And that goes for trade schools too, it’s not just academic careers,” exclaims Byrne. “Cancellation helps a group of people, and we hope that by doing this we will help even more people. Really pushing for loan cancellation helped lay the groundwork for that. Now people are talking in because of the cost of college and how we fix it. Before the cancellation, people didn’t really talk about it.

According to Byrne, making higher education affordable is at the forefront of the current presidential administration. With millions of people directly impacted by decisions surrounding student loan debt, the issue is a top priority. “The people need a government that fights for them,” Bryne said. “Cancellation is not the end goal, it helps us get to free college.”

For more information on student loan debt forgiveness, visit Explanation of the Biden-Harris administration’s student debt relief plan (studentaid.gov)

]]>
Right-wing hypocrisy on debt cancellation reaches WNC https://stratiawire.com/right-wing-hypocrisy-on-debt-cancellation-reaches-wnc/ Wed, 07 Sep 2022 13:34:11 +0000 https://stratiawire.com/right-wing-hypocrisy-on-debt-cancellation-reaches-wnc/ On August 24, Biden announced a three part plan providing targeted debt relief of up to $20,000 to people who earn less than $125,000 a year and have outstanding principal on student loans. The next day the official Twitter account Republicans on the House Judiciary Committee said, “If you take out a loan, you pay […]]]>

On August 24, Biden announced a three part plan providing targeted debt relief of up to $20,000 to people who earn less than $125,000 a year and have outstanding principal on student loans.

The next day the official Twitter account Republicans on the House Judiciary Committee said, “If you take out a loan, you pay it back. Period.”

Marjorie Taylor Greene, Republican Congresswoman from Georgia called the program “completely unfair” Mike Kelly, Republican Congressman from Pennsylvania, called it “ bad politics “, Markwayne Mullin, a Republican congressman from Oklahoma, said it was a” excessive load ” and Vern Buchanan, Republican Congressman from Florida, called it “ reckless .”

All four — along with other Republicans who spoke out against Biden’s plan — were recipients of COVID-era Paycheck Protection Program loans that were later forgiven. Green took over $180,000, Kelly took just over $987,000, Mullin took $1.4 million and Buchanan took over $2.3 million.

Add to that list Hendersonville State Senator and Republican candidate for North Carolina’s 11th congressional district, Chuck Edwards.

C. Edwards Group, Inc. is the operating company for several McDonald’s restaurants in western North Carolina, including four in Hendersonville, one in Brevard and two in Canton. Secretary of State the records say Edwards is the chairman of C. Edwards Group, which said it has 261 employees.

Records also show that on April 15, 2020, the C. Edwards group has been approved for a PPP loan of $1,120,000.

Edwards’ loan and accrued interest was eventually forgiven, but when Edwards was asked about Biden’s plan, he wasn’t as enthusiastic about canceling student debt.

“This policy is unfair to the millions of Americans who have paid off their debt and to the taxpayers who will now pay the debts of those who have not,” Edwards told the Smoky Mountain News. “And that will make inflation worse. This needs to stop, and when I get to Congress, I will fight to restore our nation’s fiscal savvy.

Edwards went on to say that Biden and Democrats view taxpayers “solely as ATM machines designed to fund pet projects of the far left.” However, a bill directed by Edwards Last year would have changed The North Carolina tax code to give him and other PPP loan recipients an ATM withdrawal on their own — from the state treasury.

Initially, North Carolina did not tax PPP loan proceeds as income, nor did it allow spent PPP funds as a tax deduction for business expenses.

When the General Assembly adopted the Finance law 2021 , the non-taxable income provision remained intact; however, individuals and corporations were allowed to deduct funds spent from canceled loans as business expenses.

Proponents of the change say it simply forces the state to comply with the federal tax code.

According to WBT-TV, the change would earn Edwards an additional $40,000 to $50,000 in “free” government money.

Like House Speaker Tim Moore (R-Cleveland), Edwards brushed aside ethical concerns, saying WBT’s Nick Ochsner that he “was not – and has not been – acting on my behalf” and that he “came here to Raleigh to represent corporate interests”.

Last week, the North Carolina Department of Revenue announced that while the federal government does not consider Biden’s student loan forgiveness “income” for tax purposes, the North Carolina General Assembly did not act to comply with the Internal Revenue Code on this article.

That means North Carolina residents who receive student loan forgiveness under Biden’s plan will take a state tax hit for $10,000 to $20,000 of taxable income.

Edwards currently has two opponents in the race for the western North Carolina congressional seat, once held by Mark Meadows and currently held by Rep. Madison Cawthorn (R-Henderson).

Jasmine Beach-Ferrara and David Coatney.

Libertarian David Coatney runs a small business focused on online marketing . Although Coatney did not provide details about his own level of education or how he paid for it – like Edwards, who did not respond to questions about his educational background or his possible use of student loans. – Coatney gave his opinion on how student loan forgiveness and PPP forgiveness are two very different things.

“I don’t think student loans should be compared to PPP loans. For starters, higher education is a choice. The government didn’t force me to go to college and get into debt. They have, however, forced businesses out of business and prevented many small business owners from earning a living,” Coatney said. “The PPP loans were meant to make up for the fact that the government had told many small business owners they weren’t allowed to operate. This is an important distinction.

Maybe that’s the case, or maybe because two companies run by Coatney in two different states both benefited from PPP loans that ended up being forgiven.

Sleek Web Marketing LLC of Springdale, Arkansas, which lists Coatney as the founder , received $19,361 on April 14, 2021 and reported three jobs. The company has since been dissolved.

Fletcher’s Sleek Web Marketing LLC, which is still an active company, reported two jobs and received $23,232 on January 31, 2021. This loan has also been cancelled. Coatney is listed in the North Carolina Secretary of State Archives as President of the society.

Edwards’ other opponent, Democrat Jasmine Beach-Ferrara, who earned a bachelor’s degree in English from Brown University, a master’s degree in fiction from Warren Wilson College in 2001 and a master’s degree in theology from Harvard in 2010, relied on scholarships, student loans and work-study to pay for his studies.

According to campaign manager Luke Tonat, Beach-Ferrara worked as a janitor in a dining hall for most of his undergraduate career, but still left school with nearly $70,000 in student debt.

Beach-Ferrara’s debt was canceled via the Cancellation of civil service loans program, which cancels student debt for those who become employed by a federal, state, or local government or nonprofit and have made 120 qualifying payments on their debt.

As of 2021, Beach-Ferrara had no student debt. Beach-Ferrara does not own any businesses that have benefited from PPP loans.

“I support the provision of immediate relief – including the cancellation of student loans for middle-class families. People who have obtained degrees to become teachers and nurses should not be held back by crippling debt, Beach-Ferrara told the Smoky Mountian News. ‘In contrast, my multi-millionaire, self-funded adversary Chuck Edwards had his $1.1 million PPP loan forgiven while criticizing student loan relief for working families. We have very different priorities – and it’s clear why he continues to dodge debates and forums to avoid talking about those clear distinctions.

]]>
2 lenders offering more than $50,000 https://stratiawire.com/2-lenders-offering-more-than-50000/ Mon, 05 Sep 2022 16:00:24 +0000 https://stratiawire.com/2-lenders-offering-more-than-50000/ Our goal at Credible Operations, Inc., NMLS Number 1681276, hereafter referred to as “Credible”, is to give you the tools and confidence you need to improve your finances. Although we promote the products of our partner lenders who pay us for our services, all opinions are our own. A large personal loan can help you […]]]>

Our goal at Credible Operations, Inc., NMLS Number 1681276, hereafter referred to as “Credible”, is to give you the tools and confidence you need to improve your finances. Although we promote the products of our partner lenders who pay us for our services, all opinions are our own.

A large personal loan can help you cover a big expense, like a medical bill or a home improvement project. Here’s how you can get one. (Shutterstock)

A big Personal loan can be useful in a number of situations. It can help cover the cost of a medical bill, home improvement project, wedding, or any other major expense.

Since large loans are riskier for lenders, they are generally more difficult to obtain. The good news is that it is possible to get one if you plan ahead and find the right lender.

If you are looking for a large personal loan, Credible allows you to compare personal loan rates from various lenders, all in one place.

2 lenders who offer large personal loans

While many lenders offer personal loans of up to $50,000, fewer lend up to $100,000. If you need to borrow a lot of money, you’ll have to shop around and find a lender which offers larger loans. These two Credible partner lenders offer loans over $50,000:

LightStream

LightStream, the online lending division of Truist Bank, offers loans of up to $100,000 to borrowers with good to excellent credit. Its loans come with no fees and a $100 loan experience guarantee, which states that the LightStream application process will be the best you’ve ever experienced. If you are not satisfied after receiving a LightStream loan, they will send you $100.

  • Loan amounts: $5,000 to $100,000
  • Repayment Terms : 2 to 7 years (up to 12 years for renovation loans)
  • Minimum credit score: 660
  • Funding time: As soon as the same working day

SoFi

SoFi was founded by Stanford University business students with the goal of connecting recent graduates with alumni. Today, the company offers fixed and variable rate personal loans to borrowers with good, very good or excellent credit. As a SoFi borrower, you can access a variety of member benefits, such as personalized financial advice and invitations to events such as happy hours and dinner parties.

  • Loan amounts: $5,000 to $100,000
  • Repayment Terms : 2 to 7 years old
  • Minimum credit score: don’t divulge
  • Funding time: 3 working days

Visit Credible for view your prequalified personal loan rates from various lenders, without affecting your credit score.

How to apply for a large personal loan

If you want to apply for a large personal loan, follow these steps:

  1. Shop around and compare lenders. Since large loans over $50,000 aren’t the norm, you’ll need to do some research and find lenders that offer them. Once you find a few, consider them interest ratereimbursement terms, fees and eligibility requirements.
  2. Choose a loan. Then choose a large loan that meets your needs. Ideally, it would offer the lowest interest rates and fees as well as the most flexible repayment terms.
  3. Gather the documents. After deciding on a loan, compile the documents you will need to apply. These can include government-issued identification, such as a driver’s license or passport, bank statements, pay stubs, and tax forms.
  4. Apply. Most lenders will allow you to apply online, from the comfort of your home. When applying, be sure to answer each question accurately and submit all required documents.
  5. Get your funds. If you are approved, the lender will have you sign an agreement so they can distribute the funds. You will usually receive the funds for your loan by direct deposit to your bank account. Financing times can range from the day of your approval to a week after, depending on the lender.
  6. Repay your loan. You will be responsible for making monthly payments on time to repay your loan. To make sure you never miss a payment, you can sign up for automatic payments if the lender offers it. Some lenders offer interest rate discounts for setting up autopay, so it’s definitely worth considering.

$10,000 PERSONAL LOANS: HOW TO QUALIFY FOR $10,000 QUICKLY

How to get a big personal loan with bad credit

Generally, lenders prefer borrowers with good credit, so it can be very difficult to get a loan. loan with bad credit. These tips could help improve your chances of getting a large personal loan:

  • Review your credit report. Before applying for a loan, you need to know what your credit report looks like. Visit AnnualCreditReport.com to get a copy of your report from the three major credit bureaus – Equifax, Experian and TransUnion. Dispute any inaccuracies you find with the appropriate bureau, as this could lower your credit score.
  • Improve your credit. Once you know where you stand with credit, it’s time to start improving your credit. You do this by making payments on time, paying off debts, keeping old accounts open, and only applying for new credit when you absolutely need it.
  • Find a co-signer. If you have a family member or close friend with strong credit and income, you may want to ask them to co-sign your loan. Remember that if you don’t make your payments, they will be responsible for it and you may damage your relationship.
  • Secure yourself a stable job or source of income. Lenders want to make sure you have the funds to pay back what you borrow. If you’re unemployed or don’t have a steady source of income, they may be hesitant to approve you for a large loan. If you are unable to maintain a steady job, make sure you can prove that you will receive income from Social Security, government benefits, or retirement savings.

If you’re ready to apply for a personal loan, Credible makes it quick and easy compare personal loan rates to find one that fits your unique financial situation.

]]>
Bob Foley: Forgiveness for deadbeats | Columns https://stratiawire.com/bob-foley-forgiveness-for-deadbeats-columns/ Fri, 02 Sep 2022 04:30:00 +0000 https://stratiawire.com/bob-foley-forgiveness-for-deadbeats-columns/ I bet my “followers” are eagerly awaiting lucid commentary on Joe Biden’s latest irresponsible, almost incomprehensible law-breaking fiasco. Do not wait any longer for my comment on the federal student loan forgiveness plan. The ridiculous idea, come true, of shifting legally incurred debt from deadbeats to taxpaying workers, has the administration showing absolute chutzpah by […]]]>

I bet my “followers” are eagerly awaiting lucid commentary on Joe Biden’s latest irresponsible, almost incomprehensible law-breaking fiasco. Do not wait any longer for my comment on the federal student loan forgiveness plan.

The ridiculous idea, come true, of shifting legally incurred debt from deadbeats to taxpaying workers, has the administration showing absolute chutzpah by authorizing the action with a law intended to support military hardship.

This latest round of socialist stupidity elucidates so many inadmissible aspects of disrespect for responsible American citizens and taxpayers, it’s hard to know where to begin. Let’s start at the end with the action needed at the end of the day.

No one with any sense of reality would try to rationalize Joe Biden has complete control over his cognitive abilities. It’s clear that those around him are directing the idiocy that complements decades of bad Big Guy decisions. At the end of the line ? America, wake up. This fall, get rid of politicians who have been in office for more than a few terms or show your support for one of the splurges planned by Biden’s Dip-Dunk-Deal administration.

We have no term limits as a control of Congress, so voters must use their ballots. Here’s an innovative idea: anyone who wants to exercise the option of voting by mail or early voting, go ahead. But it needs a stipulation. Any vote cast where the voter chooses an incumbent, must vote in person, on election day, and show identification at the location designated for their legal address.

This may encourage much-needed changes to the status quo. It is clear to reasonable thinkers that things like pushing deadbeat debt onto taxpayers, calling it forgiveness, must be crushed. Only politicians who care about keeping them in power support such madness. Maybe we need legislators who care about the welfare of voters rather than continuing to line their pockets at the expense of working taxpayers.

Months ago I provided details of this government loan repaying shenanigans so I won’t be reliving debtor details. What about the consequences? Who knows exactly what it will cost, but let’s just say $10,000 times 40 million. Holy moly! Rounding up, counting in fraud logistics for sure, that’s approaching half a trillion! This week, some outlets are talking about a trillion dollars. Give bad payers hundreds of billions at taxpayers’ expense? Do you really think Joe, Bernie, Nancy, Chuck, Liz, AOC and the Squad are people you want to spend your money on?

Comments from many viewpoints are popping up. What about those who have already repaid their loan? The student loans involved were illegal. Payors who do not lend are not bad payers. Loan repayers have been duped by sugar-coated offers. Eligibility? A lot of questions.

Some things are certain. Erasing loan repayments by pushing the government even deeper into debt is sure to stoke inflation. Giving money to those who earn nothing is sure to fuel the fire of inflation. You do not think ? How do you think we got to where we are now? Some observers say people like AOC are ineligible. Maybe, maybe not. If she snags her fiancé by earning less than $75,000, she’s good to go.

Giving people something without any effort on their part is an invitation to other gifts. The masses will cry out for unchecked free healthcare, free internet, free housing, free electric cars, just to tickle the surface. Maybe we should face up to what this lending nonsense really is.

It’s plain and simple, it’s about wealth redistribution, but this time it’s not just the rich who are getting the rewards of their hard work usurped. Rather hard-working, tax-paying average Americans will fund this donation program for decades. The approximately 80,000 new tax officials will take care of it.

And you thought it was illegal to buy votes. Wake up in November. Throw out the bath water, the baby, the whole damn tub and let’s start over with new faces that respect America.

And, for the record, there is no ex-Marine.

Bob Foley, a Mansfield resident, former Navy pilot, high school math teacher and engineer, writes here every Friday.

]]>
Student borrowers get $10,000 bailout, trade school students get settlements – Michigan Capitol Confidential https://stratiawire.com/student-borrowers-get-10000-bailout-trade-school-students-get-settlements-michigan-capitol-confidential/ Wed, 31 Aug 2022 13:12:55 +0000 https://stratiawire.com/student-borrowers-get-10000-bailout-trade-school-students-get-settlements-michigan-capitol-confidential/ New stories Michigan State Government Leans on Trade School Student, Feds Bailout Student Borrower Your cosmetologist had to complete 1,500 hours of training to get licensed. Why? picture by Sarah Chai on Pexels President Joe Biden announced Aug. 24 that taxpayers would foot the bill for $10,000 in college loans per borrower, […]]]>

New stories


Michigan State Government Leans on Trade School Student, Feds Bailout Student Borrower

President Joe Biden announced Aug. 24 that taxpayers would foot the bill for $10,000 in college loans per borrower, or $20,000 for those who received Pell Grants.

Meanwhile, the president offered nothing to Americans working in the non-elite economy. Trade schools, such as hairdressing and cosmetology schools, have high default rates. Their graduates can expect lower pay and heavier training hour requirements before they can even start working in their chosen fields.

State law requires barbers to complete 1,800 hours of training before obtaining a license, according to the institute for justice. By comparison, the Federal Aviation Administration only requires airline pilots to log 1,500 hours.

Cosmetologists must have 1,500 hours of training. Cosmetology students are generally considered low income. The average cost of a cosmetology program is $16,000, according to a June 2021 report from the institute for justice. Lawyers must complete 1,200 hours of class.

This means that if you have a hair appointment and a court hearing on the same day, the junior beautician will have more training than the junior lawyer.

The average student debt for such a program is $7,100, for a career that pays an average of $26,000 per year. Cosmetologists earn less than most janitors and restaurant workers, whose jobs don’t require a school or state license.

Graduation requirements for barbers and cosmetologists almost always mirror state licensing requirements. In other words, tuition is directly affected by state licensing requirements. Michigan is ranked 30th in America for sky-high licensing requirements, according to the institute for justice. New York is the least restrictive state.

Grand Rapids salon owner and stylist Kara Cole tells Michigan Capitol Confidential:

I firmly believe that cosmetology and barbering should not be regulated. I also have a problem with everyone spending money on school, I’m not allowed to receive monetary compensation for offering an apprenticeship, which would be much more educational than a school or a standard experience. I believe a 500 hour safety standards course should be required to maintain a cosmetology license as an individual. However, any training acquired in skills such as cutting or coloring should be optional. I believe cosmetology and barber school should be like any other college experience – it sets you apart from your colleagues or people in your industry, but it’s not necessary to find a job.

Public health and safety is the common reason given for licensing requirements.

Tattoo artists, who are exposed to blood and potentially bloodborne pathogens when using a needle, are not required to obtain a license. They also don’t have minimum training hours. Tattoo parlor owners have little terms to install.

Governor Gretchen Whitmer released a statement of support for Biden’s decision to cancel student debt. She did not respond to a request for comment regarding trade school debt.

]]>
Rocket offers more voluntary buyouts https://stratiawire.com/rocket-offers-more-voluntary-buyouts/ Mon, 29 Aug 2022 21:47:35 +0000 https://stratiawire.com/rocket-offers-more-voluntary-buyouts/ Rocket companiesthe parent company of Rocket Mortgageextended the second round of voluntary career transition offers to employees amid the company’s forecast of much lower origination volume in the third quarter. “We recognize that options for career growth in some areas of our business are currently limited as the housing market normalizes after two years of […]]]>

Rocket companiesthe parent company of Rocket Mortgageextended the second round of voluntary career transition offers to employees amid the company’s forecast of much lower origination volume in the third quarter.

“We recognize that options for career growth in some areas of our business are currently limited as the housing market normalizes after two years of unprecedented volume,” said Mike Malloy, Chief Administrative Officer of Rocket Central.

The buyout offer, which was extended on Friday, is an “entirely optional plan, which will apply to a small percentage of our team members,” Malloy said. The voluntary buyout follows requests from employees who are considering moving to a different industry, he added.

“Due to the current market, some team members have told us that they are considering changing roles or completely changing industries and have requested that we reinstate our Career Transition Incentive, offered for the first time. earlier this year.”

The voluntary buyout program includes “several months” of salary, “a portion” of their accrued vacation, benefits coverage through 2022, and career transition services of one-on-one career coaching, resume writing, and interviewing. job search assistance, added the leader.

The company has not commented on the size of the buyout or whether it will make any layoffs if origination volume drops more than expected in the coming months.

Prior to the first round of takeovers, the company had 26,000 employees. In April, Rocket offered buyouts to 8% of its employees in its mortgage operations and securities teams. Incentives included several months of salary, a portion of their accrued vacation time, and benefits coverage through November.

The nation’s largest lender has not been immune to mortgage rate volatility. In the second quarter, Rocket’s profit fell to $60 million, down sharply from $1 billion in the prior quarter due to a sharper-than-expected drop in buying activity.

“The net rate freeze and the volume of closed loans were lower than expected, largely due to weak buying demand driven by weaker consumer sentiment and recession fears,” said Julie Booth, chief financial officer during Rocket’s second quarter earnings call with analysts. “With respect to our expenses, we continue to apply a disciplined and prudent approach to cost management.”

The lender’s origination volume fell more than 58% in the second quarter to $34.5 billion from $53.8 billion in the prior quarter. A year ago, during the refi boom, Rocket’s lending volume was $83.7 billion, a figure no competitor came close to.

The company added new products to compensate for the lower origination volume. Earlier this month, Rocket rolled out home equity loans, targeting US homeowners with strong equity positions in their property, and loans for customers installing solar panels.

The company expects closed loan volume of between $23 billion and $28 billion in the third quarter. Rocket also expects a reduction in total spending of up to $150 million, due to July-September production and marketing costs.

]]>