Personal Guarantee – Glw Drk http://glwdrk.com/ Sat, 01 Oct 2022 02:07:47 +0000 en-US hourly 1 https://wordpress.org/?v=5.9.3 https://glwdrk.com/wp-content/uploads/2021/07/icon-1-150x150.png Personal Guarantee – Glw Drk http://glwdrk.com/ 32 32 1,000 NYC cab driver loans are refinanced, but many remain https://glwdrk.com/1000-nyc-cab-driver-loans-are-refinanced-but-many-remain/ Fri, 30 Sep 2022 23:13:47 +0000 https://glwdrk.com/1000-nyc-cab-driver-loans-are-refinanced-but-many-remain/ NEW YORK (AP) — Struggling taxi drivers got $225 million in debt relief in the past two weeks, but thousands more loans have yet to be refinanced after a debt crisis taxi drivers, officials and lawyers said Friday as the deadline for the aid package was extended. Over 1,000 loans were refinanced in the first […]]]>

NEW YORK (AP) — Struggling taxi drivers got $225 million in debt relief in the past two weeks, but thousands more loans have yet to be refinanced after a debt crisis taxi drivers, officials and lawyers said Friday as the deadline for the aid package was extended.

Over 1,000 loans were refinanced in the first two weeks of the program. It was announced last month after drivers asked for help for years to deal with a crippling economic crisis surrounding the city’s famous yellow cabs.

“Every time we raised our hand to hail a cab on a sidewalk, they would respond. Now is the time for us to stand with them, and that’s what we did,” Mayor Eric Adams, a Democrat, said at a press conference where dozens of drivers lined up on the steps of the town hall.

Still, the main lender participating in the scheme, Marblegate Asset Management, says it has yet to hear from borrowers of around 2,000 eligible loans. About 850 loans handled by other lenders have not been processed, according to Bhairavi Desai of the Taxi Workers Alliance, a union of drivers.

Officials urged drivers with Marblegate loans to inquire before the program’s deadline – now extended by a week, to October 7 – and encouraged other lenders to participate.

For decades, a taxi medallion – a license to operate a taxi – was seen as an accessible asset that allowed a driver to earn a living that could then be sold to fund their retirement. Sen. Charles Schumer’s father-in-law bought a medallion for $3,000 in the 1940s or early 1950s as a “ladder into the middle class,” the Senate Majority Leader said during the Friday’s press conference.

But in recent decades, many drivers have borrowed heavily as medallion prices rose, topping $1 million in 2014. Then they plunged to $200,000 a few years later as Uber and others ride-sharing services have taken a bite out of the yellow taxi sector.

Taxi industry representatives said predatory lenders lured largely immigrant drivers into loans they couldn’t afford and didn’t understand, either to buy medallions or to exploit their capital for a house, a new taxi, a child’s education or other expenses. The lenders have denied wrongdoing. (Marblegate only started lending medallions in 2018, said managing partner Andrew Milgram.)

After buying a locket in 1996, Angel Miqui owed $403,000 at the start of this month and was struggling to make a monthly payment of $2,726 on top of his family’s housing and other expenses, he said. declared. After refinancing under the new program, he now owes $170,000 and pays $1,234 a month.

The agreement gave him hope that he could gradually get out of debt and eventually, perhaps, reduce the 15-hour working day.

“I don’t feel the hook right there,” Miqui said, pointing to her throat, “like I used to.”

Under the program, loans are restructured to a maximum of $170,000 each, after a city grant of $30,000. Drivers will pay no more than $1,234 per month on the 25-year fixed-income loans, and their balances are backed by a city guarantee in the event of default.

It looks like a lifeline for Dorothy Leconte, but her lender is not part of the program, she said.

Leconte, who bought his medallion in 1989, said he negotiated some time ago to reduce his monthly payments from $2,600 to $1,750. But the interest rate is not fixed and she expects it to skyrocket next year.

Without a deal like the city’s program, it believes it will have to exit the taxi business in 2024.

“I couldn’t do it,” she said.

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Some central banks abandon the fight against inflation in the midst of a currency crisis https://glwdrk.com/some-central-banks-abandon-the-fight-against-inflation-in-the-midst-of-a-currency-crisis/ Wed, 28 Sep 2022 22:27:24 +0000 https://glwdrk.com/some-central-banks-abandon-the-fight-against-inflation-in-the-midst-of-a-currency-crisis/ (KNSI) – A central bank is rolling back its tighter monetary policy, which could be a preview of interventions in the coming weeks. The Bank of England announced early Wednesday that it was buying gilts, Britain’s equivalent to Treasury bills, to lower borrowing costs in the country. The policy is known as quantitative easing, one […]]]>

(KNSI) – A central bank is rolling back its tighter monetary policy, which could be a preview of interventions in the coming weeks.

The Bank of England announced early Wednesday that it was buying gilts, Britain’s equivalent to Treasury bills, to lower borrowing costs in the country. The policy is known as quantitative easing, one of many emergency measures that have been developed to deal with financial crises over the past decades.

Dean of the School of Public Affairs at Saint Cloud State University, King Banaian, said he expects the Federal Reserve to use emergency tools as a safety net if foreign banks seek relief then as their respective bonds and currencies sell.

“I think we would expect them to get some help in terms of access to the US dollar through currency swaps that will give them the ability to not necessarily stop the depreciation of those exchange rates. , but at least to slow their decline.”

Banaian says it’s difficult to roll out such measures in a time of high inflation.

If the US Federal Reserve opens the discount window to make liquidity available to struggling financial markets, it will most likely do so in a targeted way to keep inflation under control. Sterilized loans refer to a policy that includes emergency financial measures without expanding the overall money supply. For every dollar spent on alleviating a liquidity crunch, it is taken away by a crunch elsewhere. Banaian says this could have huge ramifications for the housing market.

“The mortgage-backed securities that have been purchased, those are not going off the balance sheet as the Fed intended and the question is whether they should sterilize them as well. [emergency] loans, should they actually start trying to sell these mortgage-backed securities, and if so, what happens to mortgage rates? »

Pending home sales fell 2% in August, down more than 20% from a year ago. Soaring mortgage rates pushed potential buyers away. US Treasury yields fell significantly on Wednesday following Bank of England actions.

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Bank of England right to snub calls for emergency action https://glwdrk.com/bank-of-england-right-to-snub-calls-for-emergency-action/ Tue, 27 Sep 2022 05:07:09 +0000 https://glwdrk.com/bank-of-england-right-to-snub-calls-for-emergency-action/ The next monetary policy meeting scheduled by the Bank of England on November 3 is a long way off. As the pound falls to a record low against the dollar this week and borrowing costs in the UK rise, market soothsayers have called for intervention between meetings. But Governor Andrew Bailey has resisted that temptation […]]]>

The next monetary policy meeting scheduled by the Bank of England on November 3 is a long way off. As the pound falls to a record low against the dollar this week and borrowing costs in the UK rise, market soothsayers have called for intervention between meetings. But Governor Andrew Bailey has resisted that temptation – and he is right not to fall into the trap set for him by traders.

On Friday, the government revealed the biggest slate of tax cuts in half a century, and Chancellor of the Exchequer Kwasi Kwarteng promised “more to come”. The tax giveaway, combined with a household and business energy bill offset that will cost £60bn ($64bn) over the next six months alone, has rattled sterling markets, with the pound bearing the weight of investor unease.

Speculation on the reaction of the BOE therefore mounted on Monday. Futures markets have started pricing in an emergency rate hike in the coming weeks. The prospect of verbal intervention to support the pound helped the pound recoup its losses against the greenback.

“If I were still at the BOE, I would be tempted to announce an additional meeting in a week,” Sushil Wadhwani, who served as a UK rate regulator until 2002 before founding its quantitative hedge fund PGIM Wadhwani. “The argument for waiting a week would be to give them time to properly assess the additional news. The reason they didn’t wait until November is because they realize the need to respond in a timely manner. to new developments.

Ultimately, a statement from Bailey came in late Monday saying the central bank would make a “full assessment at its next scheduled meeting” on the impact of the UK government’s budget plans and the fall in the pound sterling, and “would act accordingly”. In other words, keep calm and carry on. Stick to the schedule. Don’t be swayed by hedge funds looking to profit from market turbulence. Stay away.

The Monetary Policy Committee last week voted 5-4 to raise the official interest rate by half a point to 2.25%, with three panel members in favor of a bigger 75% increase. basis points. In the statement accompanying the decision, the MPC said it would “respond forcefully if necessary” if inflationary pressures began to become more persistent.

The futures market is already testing that commitment, given that the government’s tax giveaway is likely to fuel an inflation rate that is already nearly five times the central bank’s 2% target. At one point on Monday, traders were pricing in an 80 basis point higher official cost of borrowing over the coming week. But the market is still predicting a nosebleed official rate at the next BOE meeting, albeit a bit less surreal in its rise.

This spike in market interest rates could crush the UK property market. The cost of a two-year fixed-rate mortgage – the most popular option with UK borrowers in recent years – with a loan-to-value ratio of 75% is already at its highest level in a decade, according to the Bank of England data for August. And that’s not including the spike in borrowing costs in recent days.

Neal Hudson, visiting real estate and planning scholar at Henley Business School, estimates that 300,000 borrowers per quarter need to refinance their fixed-rate mortgages at the new higher rates, with the number peaking at 375,000 in the second quarter of next year. . . Put another way, around 1.4 million UK households are expected to refinance their mortgages over the coming year, out of the 9 million homeowners and 2 million buy-to-let mortgages currently in place. But the central bank’s job is to rein in consumer price inflation, not to keep the housing market afloat.

Financial markets face a bigger problem. The BOE is expected to start selling the more than £800bn stack of bonds it has accumulated through quantitative easing. Unloading them at the same time that the government has to issue more debt to fund its budget extravaganza risks exacerbating the surge in bond yields: five-year borrowing costs for the UK have exceeded those for Italy and Greece in recent days.

The central bank, however, said there was “a high bar to alter the projected reduction in purchased gilt inventory.” It is also suggested that only the risk of disorderly markets would lead to a pause in selling; for now, even though yields have jumped, the gilt market seems to be functioning normally.

Thus, the halting of plans to sell its bond holdings risks being interpreted as the central bank’s admission that it has lost control of the gilt market. That would be a dangerous path, given that he has already effectively abandoned the pound to the whims of the foreign exchange market.

Intervention in the foreign exchange market, even if only verbal, would also risk compounding the woes of sterling and rekindling traumatic memories of the pound’s 1992 ejection from the European exchange rate mechanism. . Last week, the Bank of Japan stepped in to defend the yen for the first time since 1998, saying “the government is concerned about excessive movement in the currency markets.” But there, the currency is falling because interest rates are being held at a standstill, widening the gap with higher US borrowing costs. The UK is in a different situation; if the Treasury or the central bank even hinted that they were trying to influence the value of sterling, traders would smell the blood.

Huw Pill, the BOE’s chief economist, is due to speak at a conference on “Economic and Monetary Policy Challenges Ahead” at midday London time on Tuesday. Let’s hope it resists the temptation of going off-road; his comments, presumably approved by the central bank, will come under even more scrutiny than usual.

As things stand, Britain’s fiscal and monetary policies are diametrically opposed, with the Treasury pressing the accelerator while the central bank is braking. A driver on a race track looking for a controlled slide can use the throttle and handbrake simultaneously to shift the car’s inertia to drift sideways through a turn. However, poor calibration between acceleration and braking can lead to disaster.

The pound is the immediate victim, along with borrowing costs; it remains to be seen whether the change in government fiscal policy will lead to an overreaction from ratemakers. For now, however, the BOE is right not to touch the wheel.

More from Bloomberg Opinion:

Truss’ economic plan isn’t a disaster: Tyler Cowen

Market crash sends warning to UK government: Mark Gilbert

Is Kwasi Kwarteng ready to save the British economy? : Adrian Wooldridge

This column does not necessarily reflect the opinion of the Editorial Board or of Bloomberg LP and its owners.

Mark Gilbert is a Bloomberg Opinion columnist covering asset management. A former London bureau chief of Bloomberg News, he is the author of “Complicit: How Greed and Collusion Made the Credit Crisis Unstoppable.”

More stories like this are available at bloomberg.com/opinion

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President Joseph R. Biden, Jr. Approves Major Disaster Declaration for Alaska https://glwdrk.com/president-joseph-r-biden-jr-approves-major-disaster-declaration-for-alaska/ Sat, 24 Sep 2022 15:11:15 +0000 https://glwdrk.com/president-joseph-r-biden-jr-approves-major-disaster-declaration-for-alaska/ WASHINGTON – FEMA today announced that federal disaster assistance has been made available to the State of Alaska to supplement state, tribal and local recovery efforts in areas affected by a severe storm, flooding and landslides from September 15 to 20. The President’s action makes federal funding available to those affected in the regional school […]]]>

WASHINGTON – FEMA today announced that federal disaster assistance has been made available to the State of Alaska to supplement state, tribal and local recovery efforts in areas affected by a severe storm, flooding and landslides from September 15 to 20.

The President’s action makes federal funding available to those affected in the regional school attendance areas of Bering Strait, Kashunamiut, Lower Kuskokwim and Lower Yukon.

Help can include grants for temporary housing and home repairs, low-interest loans to cover uninsured property losses, and other programs to help individuals and business owners recover. of the effects of the disaster.

Residents and business owners who have suffered losses in designated areas can begin seeking assistance at www.DisasterAssistance.gov, by calling 800-621-FEMA (3362), or by using the FEMA app . Anyone using a relay service, such as video relay service (VRS), captioned telephone service, or others, can give FEMA the number for that service.

Federal funding is also available to eligible state, tribal, and local governments and certain private nonprofit organizations on a cost-sharing basis for emergency protective measures in Bering Strait Regional School Attendance Areas, Kashunamiut, Lower Kuskokwim and Lower Yukon.

Federal funding is available on a cost-share basis for risk mitigation measures statewide.

Timothy Manner has been appointed Federal Coordinating Officer for Federal Recovery Operations in affected areas. Additional designations may be made later.

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Employee Assistance Program continues to provide personal workplace support to employees | Nebraska today https://glwdrk.com/employee-assistance-program-continues-to-provide-personal-workplace-support-to-employees-nebraska-today/ Fri, 23 Sep 2022 05:22:00 +0000 https://glwdrk.com/employee-assistance-program-continues-to-provide-personal-workplace-support-to-employees-nebraska-today/ The University of Nebraska-Lincoln Employee Assistance Program offers a range of free services to university employees struggling with issues such as job stress and mental health. This fall, the program is offering three courses on parenting, marriage and professional development, in addition to its regular services. Regular services include mental health counselling, work stress support, […]]]>

The University of Nebraska-Lincoln Employee Assistance Program offers a range of free services to university employees struggling with issues such as job stress and mental health.

This fall, the program is offering three courses on parenting, marriage and professional development, in addition to its regular services. Regular services include mental health counselling, work stress support, management counselling, cancer support, trauma debriefing and the employee emergency loan fund.

“We support work and personal issues,” said Kyla Gorji, director of the employee assistance program. “Workplace issues can be stress at work, conflict with someone else, or how to have a conversation with my supervisor. Personal issues range from depression to anxiety and grief. Simply coping with stress can be similar or a lessened version of these concerns. We also provide support for other mental health issues such as substance abuse, eating disorders, coping or marital issues or managing a medical illness.

Employees facing these and other challenges can schedule an appointment with one of two full-time counsellors, Gorji and Valerie Jones.

The program is open to all university employees and appointments are available via telehealth or in person from 8 a.m. to 5 p.m. Monday through Friday. Employees can use five hours of administrative leave to EAP visits if they choose to do so.

To schedule an appointment, employees can call 402-472-3107 or 888-445-9881, or email eap@unl.edu.

Employees can meet with one of two full-time advisors, who are Gorji and Valerie Jones. Gorji and Jones will help guide patients through their difficulties and will typically provide five to eight appointments while they work toward a resolution. For those in need of longer term care, they are able to provide referrals.

Apart from individual advice, employees can take advantage of additional services EAP provides.

For example, in 2019 they opened their “Find Your Calm, Restore Your Zenergy” relaxation room.

The room was opened in 2019 to help employees learn methods to reduce stress and anxiety. Fifteen-minute appointments can be scheduled at any time to use the room, which is equipped with comfort items and a screen equipped with guided meditations.

“Patients can learn meditation techniques and relaxation strategies just by watching videos and being in a quiet space,” Gorji said. “It’s not intimidating at all. It’s about learning mindfulness and it’s a good strategy for reducing anxiety. Mindfulness is important for mental health and people hear a lot about it, but they don’t really understand what it might entail. So it’s a simple way to learn it.

Another additional service that has helped employees is the employee emergency loan fund.

The fund is available for employees who are experiencing financial emergencies and need immediate assistance.

Employees can borrow up to $1,000 and repay the loan interest-free through payroll deduction within a calendar year. Employees must apply for the loan which is reviewed by a committee and managed by EAP.

Globally, EAP is available to support employees through whatever challenges life may throw at them. You can find more information, tips and tools by visiting the program website.

“We encourage any employee who is struggling to seek help,” Gorji said. “It can be as simple as a phone call or an email”

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Europe steps up its efforts to tackle the energy crisis https://glwdrk.com/europe-steps-up-its-efforts-to-tackle-the-energy-crisis/ Wed, 21 Sep 2022 17:15:49 +0000 https://glwdrk.com/europe-steps-up-its-efforts-to-tackle-the-energy-crisis/ This article is an on-site version of our Disrupted Times newsletter. Sign up here to receive the newsletter straight to your inbox three times a week Good evening, It was another day of government efforts to tackle the energy crisis across Europe, including an unprecedented package of support for businesses in the UK and the […]]]>

This article is an on-site version of our Disrupted Times newsletter. Sign up here to receive the newsletter straight to your inbox three times a week

Good evening,

It was another day of government efforts to tackle the energy crisis across Europe, including an unprecedented package of support for businesses in the UK and the biggest business bailout in Germany since the 2008 financial crisis.

In a long-awaited announcement, the UK said it would cut wholesale energy prices for businesses and public organizations by more than half this winter, intervening “to prevent business collapse, protect jobs and limit inflation”.

Businesses have given the proposals a cautious welcome, but many still expect to see their bills rise substantially from previous years. Bosses are also worried about what might happen once the six-month program ends in March, warning the lack of clarity could affect investment. On the other hand, household assistance lasts for two years. The business package is also much more complicated and offers little incentive to save energy, the Lex column says.

The EU is also facing questions over its household and business aid package, funded by a one-off €140 billion tax on energy companies, as member states demand more flexibility on how plans are implemented.

Germany, meanwhile, has announced the nationalization of the struggling utility Uniper, once the largest European importer of Russian gas. The company was hampered by having to buy more expensive gas on the spot market after Moscow cut supplies. Politicians feared its failure would have serious repercussions for Europe’s largest economy.

Alongside supporting bills, Brussels is continuing its quest for alternative energies. It is announcing today 5.2 billion euros in public support for its second hydrogen project, a sector considered essential for the transition to more sustainable energy.

However, green ambitions are meeting strong resistance from fossil fuel companies.

Former US Vice President and long-time environmental activist Al Gore told the Financial Times that European governments must push back against corporate efforts to profit from the energy crisis by locking consumers into an addiction to long term to hydrocarbons.

At least $50 billion in spending is planned by EU governments this winter for infrastructure and fossil fuel supplies to replace Russia’s shortages, but Gore insisted that the pursuit of energy security must not hinder the green transition.

“We need to act quickly despite the geopolitical situation we face – in fact, because of it,” he said.

Another reminder of the power of former oil and gas companies comes from Gore’s own country, where lawmakers are investigating ‘misleading’ PR tactics employed on behalf of the oil and gas industry that have misled the public about climate change .

Learn more about how Russia’s weaponization of gas has spurred the push for cleaner energy in our new special report: Energetic transition.

Recent news

For last minute updates, visit our live blog

Need to know: the economy

The US Federal Reserve announces its interest rate decision today at 2pm ET (7pm London). Economists expect an increase of 0.75 points for the third consecutive time. Check back to FT.com for more details and reaction.

It’s a big week everywhere for central banks. The Bank of England is under pressure to announce a big rate hike tomorrow, while European Central Bank President Christine Lagarde has also stressed the need for a quick hike. Sweden’s Riksbank raised rates by 1 percentage point yesterday, its biggest increase in three decades.

Latest for UK and Europe

The challenges facing Kwasi KwartengBritain’s new Chancellor, ahead of his “mini budget” (see this Friday’s Disrupted Times for details) were underlined by new data showing government borrowing at double the level expected in August.

Meanwhile, the British Prime Minister Liz Truss said she was ready to take on “special interests” to spur economic growth. But his first meeting with US President Joe Biden today could be a bit awkward after his assertion that ‘the economy is trickling down’ – as some have labeled his ideology – “never worked”. A UK-US trade deal remains as far away as ever.

industrial magnate Carlo de Benedetti told the FT he was concerned about Italy’s relations with Brussels if, as polls suggest, a far-right coalition comes to power in Sunday’s general election.

Latest World

The dollar today hit a new 20-year high against its peer currencies after Russian President Vladimir Putin called in more troops for his war in Ukraine. The greenback is widely seen as a safe-haven currency in times of geopolitical tensions and economic stress.

The Asian Development Bank cut its 2022 growth forecast for developing countries in the region from 5.2% to 4.3% in the face of lockdowns in China, war in Ukraine and rising inflation. For China itself, the AfDB cut its forecast from 5% to 3.3%.

A country in the region that bucks the trend is Indonesiawhich is currently enjoying both a booming economy and a period of political stability, as our Big Read explains.

China is increasingly in competition with the IMF by offering emergency loans to disaster-stricken countries. EcuadorThe $1.4 billion debt restructuring deal is the latest. China, however, is losing its appeal as an investment location for European companies, according to the local EU Chamber of Commerce.

One of the most serious consequences of the pandemic has been its effect on children’s educationespecially in the poorest countries where families now face new pressures from rising prices and food insecurity.

Chart showing that the proportion of 10-year-olds unable to read with basic comprehension remains very high in low-income regions of the world

The pandemic period has also been marked by growing inequality in global wealth. The ranks of the super-rich — those worth more than $100 million — have risen 21% in 2021, according to new data from Credit Suisse.

Need to know: company

Vaccine manufacturers lost billions in market value after Biden declared “the pandemic is over” on Sunday night.

JPMorgan CEO Jamie Dimon warned that new US capital requirements pose ‘significant economic risks’ for big banks, making it harder to meet customer needs just as ‘storm clouds’ roll in piled up on the economy.

Look at this: The new movie Scandal! Bring down Wirecard, the story of how FT reporters exposed a massive fraud at the German payments company, is now available to watch on Netflix. Catch up reactions on Twitter at premieres in London, Hong Kong and New York.

The world of work

U.S. Investments and Industries Editor Brooke Masters wonders if Citigroup’s new center for junior investment bankers in Málagaa Spanish town better known for its beaches than its finances, ostensibly for offering a better work-life balance, might just be another “mom track”.

The workers of the PhilippinesThe $30 billion call center industry has won its battle to make remote work permanent after a deal was struck with tax authorities.

Middle managers who have come under intense pressure to care for staff during the pandemic still face immense challenges as they juggle demands from business leaders with workers striving for better wages and the pursuit of flexible working models.

QTWTAIN: Are the British really the worst lazy in the world? There is a problem with low levels of productivity, writes columnist Sarah O’Connor, but this is mainly due to a lack of investment in new technologies that help workers do their jobs more efficiently.

Or they could just take psychedelics. Some Silicon Valley executives believe microdosing the use of drugs such as LSD can increase concentration and productivity. Host Isabel Berwick investigates the claims in the latest episode of the Work podcast.

Covid cases and vaccinations

Total number of global cases: 606.1mn

Total doses administered: 12.7 billion

Get the latest global picture with our vaccine tracker

Some good news

In case you missed it, the World Health Organization became optimistic about the trajectory of the coronavirus after a drop in global cases. “We have never been better placed to end the pandemic,” WHO said. “We’re not there yet, but the end is in sight.”

Work – Discover the big ideas shaping today’s workplaces with a weekly newsletter from Editor-in-Chief Isabel Berwick. register here

The Climate Chart: Explained — Understand the most important climate data of the week. register here

Thanks for reading Disrupted Times. If this newsletter has been forwarded to you, please subscribe here to receive future issues. And please share your thoughts with us at disruptedtimes@ft.com. Thanks

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Do you find yourself in debt at the end of each month? 4 ways to avoid this situation https://glwdrk.com/do-you-find-yourself-in-debt-at-the-end-of-each-month-4-ways-to-avoid-this-situation/ Mon, 19 Sep 2022 02:08:29 +0000 https://glwdrk.com/do-you-find-yourself-in-debt-at-the-end-of-each-month-4-ways-to-avoid-this-situation/ A social media user posted that although he earns good enough income, he ends up spending it all before the 20th of every month. “I earn close to Rs 80,000 per month after all deductions. But even that is not enough for our family of three. We exhaust my salary between the 20th and 21st, […]]]>

A social media user posted that although he earns good enough income, he ends up spending it all before the 20th of every month.

“I earn close to Rs 80,000 per month after all deductions. But even that is not enough for our family of three. We exhaust my salary between the 20th and 21st, then we resort to borrowing from friends and family and sometimes taking out small loans as well. I don’t understand why this is happening to us, when we live modestly,” he said.

While commenting on this post, many other social media users also said that they too faced the same issue and ended up with a significant amount of debt trying to make up the shortfall.

But going into debt can create other problems. Bhuvanaa Shreeram, co-founder and head of financial planning at House of Alpha, a financial advisory firm, says this is a dangerous path to take. Even though people claim to pay off their credit card and other loans on time, all it takes is a month to be wrong and the damage begins.

Shreeram said that’s because when the income comes in next month, most of it goes to repaying the loan, which upsets that month’s budget. More loans are taken out to fill the gap. “People’s creditworthiness takes a hit, so they are forced to take out more and more expensive loans,” she says.

Here are four ways that can help you learn to live with your salary and not end up in a situation like the one mentioned above.

Create a custom budget

You should strive to create a budget that adapts to your lifestyle needs and obligations, then takes the variables into account.

Abhishek Dev, co-founder and CEO of Epsilon Money Mart, a Mumbai-based financial services company, advises people to start maintaining a simple financial plan for their family. First, create a balance sheet with income and expenses, then estimate your expenses on an ongoing basis.

“We should divide our expenses into necessities; good to own and long term aspirations. Necessities cannot be compromised, so they must be met immediately,” Dev added.

“Then we need to estimate our revenue and expected revenue growth and estimate the type of investments we need to make to achieve them through our own investments instead of loans,” Dev added.

Reduce unnecessary expenses

A social media user commented on the same post that he had about 7 OTT subscriptions, and most days he barely had time to watch about 2 or 3.

Shreeram informs people that this is one of the first steps, ie identifying that there is a problem. Once the problem is identified, people need to take responsibility for it and commit to solving it.

You need to go through your bank statement to find out more about those hidden expenses such as OTT subscriptions, music subscriptions, game subscriptions or other recurring expenses that you thought you were using at some point but are not using more. It’s not worth spending extra money on these things if your life priorities have already changed.

Measure your means

There is a phenomenon called “lifestyle slippage” in which as your income increases, your lifestyle expenses increase.

For example, students may be happy enough to eat with friends at a local joint, but once they start working they may want to go to fancy restaurants.

If you can’t afford a certain lifestyle, you risk going into debt.

Engage in goal-based investing and pay off small debts

Shreeram says people in such situations should create a time-limited debt repayment plan to settle small debts first.

Dev says people should create an emergency fund that can support our needs for at least 6 months, and after creating this pool of funds, people should plan goal-based investments in order of their priorities.

Shreeram advises that it’s essential that people define their goals early on and have a clear mindset about why that goal is important. “Make and diligently follow a budget and ensure that there is a surplus of income over expenses. Create a basic emergency fund and decide not to touch it unless there is a life or death situation,” adds Shreeram.

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Navient CEO won’t sue Biden over student loan forgiveness, ‘clearly’ belongs https://glwdrk.com/navient-ceo-wont-sue-biden-over-student-loan-forgiveness-clearly-belongs/ Fri, 16 Sep 2022 17:10:32 +0000 https://glwdrk.com/navient-ceo-wont-sue-biden-over-student-loan-forgiveness-clearly-belongs/ Navient CEO Jack Remondi has said he will not sue Biden over his student loan forgiveness plan. “It seems like a lot of people are hoping someone else will sue,” Remondi said. Some Republican lawmakers have expressed their intention to pursue legal action to block the relief. Loading Something is loading. The head of a […]]]>
  • Navient CEO Jack Remondi has said he will not sue Biden over his student loan forgiveness plan.
  • “It seems like a lot of people are hoping someone else will sue,” Remondi said.
  • Some Republican lawmakers have expressed their intention to pursue legal action to block the relief.

The head of a major student loans company has said he could pursue President Joe Biden’s recent debt relief – but won’t.

At Barclay’s global financial services conference this week, student loan company Navient CEO Jack Remondi joined in to discuss Biden’s recent $20,000 loan forgiveness announcement in late August. It was a long-awaited move — Biden has pledged to approve $10,000 in campaign relief — but nonetheless controversial, given that many Republicans have pushed back on relief since the president took office.

After the announcement, conservatives turned that pushback into threats of legal action, with prominent lawmakers like Texas Sen. Ted Cruz saying they were looking for ways to take debt relief to court and try to block it. Remondi responded to those threats and said Navient would “clearly” have the legal standing to challenge the policy because it operates the Federal Family Education Loan (FFEL) program. Borrowers under this would not directly benefit from the relief since the loans are held by individuals, so they would have to consolidate their loans into federal debt to be eligible. This would significantly affect Navient’s business.

But on whether Navient will actually sue, Remondi said, “It won’t be us.”

“We have no direct knowledge of who would or would not sue,” Remondi said. “It’s pretty clear that the precedent here requires someone to have standing to sue. We would clearly have standing to act as a holder of FFEL loans, but it’s not clear whether a political entity that could have standing in their state due to a state agency that FFEL Loan Houses will decide whether or not to file a lawsuit.”

“It seems like a lot of people are hoping someone else will sue, but it’s unclear who is going to step in and fight this political battle,” he added.

This is something that many people wonder. The House Education Committee’s top Republican, Virginia Foxx, said at an event this week that she was “open to suggestions” on ways to block Biden’s loan forgiveness in court.

“At the moment, we don’t know exactly what will happen,” she said. “But we think there will be actions that will be able to stop it. And we’re working as hard as we can to find out what it’s going to be.”

The Biden administration has said it has the authority to enact this one-time blanket relief under the HEROES Act of 2003, which gives the Secretary of Education the ability to waive or change student loan balances related with a national emergency, like COVID-19. However, Republicans have argued that the policy is an excess of that authority.

Abby Shafroth, an attorney for the National Consumer Law Center, also told Insider that it would be difficult to find a plaintiff who could successfully fight Biden’s debt relief in court — especially when it comes to businesses. who manage student loans since they earn money through contracts with the government.

“Do they want to bite the hand that feeds them? said Shafroth. “Also, I think the administration is in regular contact with the service agents and talking to them about what the administration is doing, and trying to find ways to design relief programs that are not really going to disrupt their services. So I think there are a lot of pragmatic reasons why I wouldn’t expect a repairman to bring in a suit.”

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Dallas County hopes to get approval for low-interest SBA loans to help flood-affected people https://glwdrk.com/dallas-county-hopes-to-get-approval-for-low-interest-sba-loans-to-help-flood-affected-people/ Sat, 10 Sep 2022 01:10:58 +0000 https://glwdrk.com/dallas-county-hopes-to-get-approval-for-low-interest-sba-loans-to-help-flood-affected-people/ Dallas County hopes to get approval for low-interest SBA loans to help flood-affected people Last month’s flood damage in Dallas County wasn’t enough to qualify for a federal grant to help victims rebuild, but those who need help can still get cheap loans to rebuild . BALCH SPRINGS, TX – The damage from last month’s […]]]>

The damage from last month’s flooding in Dallas County was not enough to qualify for a federal grant to help victims rebuild.

But those who need help can still get cheap loans to rebuild.

Dallas County leaders went door-to-door in southeast Dallas County on Friday to see who might qualify for these loans.

Some people in the area said they struggled to figure out how to repair the damage.

Dallas County is now waiting to see if the damage qualifies Balch Springs residents for low-interest loans from the Small Business Administration.

But many owners said they couldn’t keep waiting and had been working to rebuild their lives for weeks.

“Bills don’t wait. Debts and bills pile up,” said Vanessa Villas.

Garbage has also been piling up on Villas Street for three weeks.

From sunrise to sunset, she and her husband set out to repair their flood-damaged home themselves.

The Balch Springs couple don’t have insurance.

On Friday, they finished painting the children’s rooms.

“We still have to put in the floors, the trim,” Villas said.

RELATED: Flooding forces residents of Balch Springs to evacuate their homes

On August 22, historic flooding forced homeowners in some Balch Springs neighborhoods to evacuate.

Some residents were trapped and had to be rescued from high water.

Once the water receded, the Villas began to rebuild and have not stopped since, but they are now awash in debt.

“It’s like everyone’s life is going on and our lives are freezing. We’ve been stuck here,” Villas said.

City, county and state emergency management officials visited Balch Springs on Friday.

“In the entire state of Texas, we only had 70 homes destroyed or damaged. The majority were in Dallas County,” Dallas County Judge Clay Jenkins said.

Jenkins was also part of Friday’s storm assessment, now hoping Balch Springs flood victims will qualify for low-interest disaster loans under the SBA program.

Despite its name, the SBA also offers low-interest disaster loans to homeowners.

Gov. Greg Abbott issued a disaster declaration for 23 counties to attempt to qualify for FEMA assistance, but Judge Jenkins said FEMA’s threshold for uninsured losses had not been met.

“We all after listening to the state, and FEMA agreed that SBA was the way to go,” Jenkins said. “I’m disappointed that we can’t get individual help for those affected and only get these low interest loans for them.”

If approved, Jenkins thinks people will be on the ground processing low-interest loans over the next week.

But some don’t wait.

Oscar Rodriguez has been doing some work, still awaiting a final estimate from his insurance.

His 21-year-old house is now completely empty.

“Everything in the house is not well,” he said.

Across the street, the Villas want to reach halfway this weekend to hopefully have some sense of normalcy.

“We had to cut our drywall. That side of the house was untouched,” Villas said. “We had to start. We have three children that we have to bring home.”

If Dallas County is approved for these low-interest loans from the SBA, anyone with flood damage in surrounding counties, such as Tarrant, Ellis, or Collin counties, may also be eligible.

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UniCredit offers $8 billion relief package for Italian customers hit by price spike https://glwdrk.com/unicredit-offers-8-billion-relief-package-for-italian-customers-hit-by-price-spike/ Mon, 05 Sep 2022 16:01:00 +0000 https://glwdrk.com/unicredit-offers-8-billion-relief-package-for-italian-customers-hit-by-price-spike/ The headquarters of UniCredit in downtown Milan, Italy, February 4, 2016. Picture taken February 4, 2016. REUTERS/Stefano Rellandini Join now for FREE unlimited access to Reuters.com Register UniCredit CEO reassures on the quality of the loan portfolio Intesa is also extending its existing aid measures New loans, debt holidays offered MILAN, Sept 5 (Reuters) – […]]]>

The headquarters of UniCredit in downtown Milan, Italy, February 4, 2016. Picture taken February 4, 2016. REUTERS/Stefano Rellandini

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  • UniCredit CEO reassures on the quality of the loan portfolio
  • Intesa is also extending its existing aid measures
  • New loans, debt holidays offered

MILAN, Sept 5 (Reuters) – Italy’s second-largest bank, UniCredit (CRDI.MI), on Monday unveiled a package of measures worth up to 8 billion euros ($8 billion) to ease the pain businesses and households hit by record energy costs and a broader price spike.

Chief executive Andrea Orcel said on a press call that UniCredit, which also operates in Germany, Austria and Eastern Europe, was working on similar measures for its other markets, and reassured the quality of the bank’s loan portfolio.

Although UniCredit is aware that many of its customers, particularly in energy-intensive sectors such as steel or ceramics, are struggling, Orcel said loan repayments continued the benign trends seen in the second trimester.

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“Our approach is preventive,” said Remo Taricani, deputy director of the bank in Italy. “We asked ourselves, what can a bank do to help with the structural reduction in household disposable income and business cash flow that we’re going to see in the next two to three months?”

Separately, on Monday, Italy’s biggest bank, Intesa Sanpaolo (ISP.MI), said it would provide an additional €2 billion in financing to small businesses to cover energy costs and offer a payment suspension of up to 24 months on existing loans.

UniCredit will offer businesses €5 billion in new loans for up to three years to help them pay their energy bills.

A further €3 billion will be made available through payment suspensions and other measures for credit card and mortgage holders.

Businesses that have not taken advantage of bank debt guarantees made available by the government can apply until December 31 for a 12-month moratorium on their mortgages, UniCredit said.

A suspension of up to 12 months for principal repayment and the possibility of modifying the repayment plan will be granted on 400,000 home loans.

Some 1.4 million credit card holders will have the option to defer their payments for up to six months without rates or fees from October 1 to the end of the year.

($1 = 1.0075 euros)

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Reporting by Valentina Za; editing by Federico Maccioni, Louise Heavens and Leslie Adler

Our standards: The Thomson Reuters Trust Principles.

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