Is a 5/1 ARM worth it with fixed rates so close?

Hi,

I%26#039;m currently shopping for my first mortgage and am wondering if theres any advantage in doing a 5/1 ARM when fixed rates are so close. My bank quoted me 6.125% on a 5/1 ARM with 3% down and 6% on a 30 yr. fixed with 20% down. I plan on staying in the house for no more than 5 yrs.

I do have funds for 20% down, but wouldn%26#039;t mind holding on to a few bucks for safe keeping. Is there a clear advantage to either of these options?

Thanks!

Is a 5/1 ARM worth it with fixed rates so close?child tax credit

do not get the ARM....you can get a 6.125% on a 30yr fixed with 5% down. FHA is 3% down...and that%26#039;s about 6.625%......another thing is how many points are you paying

Is a 5/1 ARM worth it with fixed rates so close? loan

Don%26#039;t fk up your future - never, never, never get an ARM. Especially with rates so low. Get the best terms on a traditional mortgage that you can, but don%26#039;t ever get an ARM.

@Robert W - when it rains it pours - eh comrade?|||Skip the ARM, you could loose everything. What do you think people are crying about?|||I say go with the 30. Put 10% down not 20. Even 5% down gets you conforming rates. You can still get 6% with a point. 6.25% with no points. Yes there will be PMI. If that is a concern, ask about a piggyback.

You will sleep better with a 30 and 5 years goes by in a flash!

BTW, What is the loan size?|||Why is your lender asking you to put 20% down on a fixed. There are so many other options out there. You don%26#039;t have to put that much down to get a fixed. Especially if you are a first-time homebuyer. I would do somemore research before taking the step that changes your life forever!|||Go ahead get the ARM . i%26#039;d like to meet u.

(fixed rate only)|||If you are certain that you will not outstay the ARM then it is a beter deal, sure.

But it is a gamble. What if something happens and you can%26#039;t sell?

Not worth it to me, personally.

Can anyone explain what the Federal Reserve has to do with interest rates?

I know they set them. But how do those rates affect rates say at a local bank.

Can anyone explain what the Federal Reserve has to do with interest rates?mortgage lenders

One of the rates the Federal Reserve sets is the Federal Funds Rate - the interest rate banks charge when they loan money to other banks.

Another rate the Fed sets is the Discount Rate, which is the interest rate the Fed charges when it loans money to banks.

When banks have to pay more interest on the money they borrow, they raise the interest rates they charge other borrowers.

Can anyone explain what the Federal Reserve has to do with interest rates?

loan

Federal Reserve Bank is run by the USA Goverment! And the local banks has to follow orders!|||Basically, the Reserve loans money out to the banks at the %26#039;discount rate.%26#039; In order to make money borrowing from the Fed, the banks need to loan it back out at a higher interest rate. The difference between the borrowing rate and the lending rate represents most of the bank%26#039;s profits.

The rest comes from checking fees. :)|||The Federal Reserve sets Interest Rates which then dictates the cost of money at the banking level. The Federal Reserve is absolutely NOT run by the U.S. Government.|||55 years ago - the Federal Reserve board (%26#039;FED%26#039;) became the watch dog for the US gov`t in servicing the interest rates ( and the debt ) of the Gov`t ( US Treasury ) that is charging preferred US banks.

( See : The Treasury accord of 1951 )

Since the banks are paying the LEAST interest rates on what they BORROW - everybody else pays a bit higher ( So the banks make a living too.)

So in essence - when the FOMC ( The FED%26#039;s comittee that deciedes those rates ) change the interest rates - it affects EVERYBODY !|||While the marketplace determines interest rates, the Federal Reserve exerts strong influences in several ways:

(1) The FOMC (Fed Open Market Committee) manages %26#039;supply and demand%26#039; for US Treasury securities by holding or releasing securities in the portfolios that they control; by increasing or decreasing supply, their actions can drive prices down and rates up (by increasing supply ... or the reverse by decreasing supply).

(2) Fed sets the target rate for short term borrowing by banks (the Fed Funds rate)

(3) Fed determines reserve requirements imposed on bank deposits, which allows them to impact the amount of money in circulation ... managing the %26#039;supply and demand%26#039; for liquidity which can impact both interest rates and consumer%26amp;wholesale prices.

Refinancing help...what is a better long term option?

Should I go with a broker that can get a 5.5% rate but will charge more fees, or direct with a bank, with lower fees but a rate of 6.5%? My credit rating is good...refinancing to include local taxes which are are outrageous....for about $185,000....any advice/help is much appreciated.

Refinancing help...what is a better long term option?unemployment rate

I doubt the broker is more expensive than the bank (we rarely are). Make sure to do an %26quot;Apples to Apples%26quot; comparison on your loan. In this case, get a quote from both parties for the same rate. You are getting a quote for 5.5% and 6.5% so the fees will be different.

Next, it depends upon your intentions. How long will you be in the property? If you answer %26quot;a substantial period of time,%26quot; then it is probably worth your time to %26quot;pay down%26quot; the loan. As of today 5.5% is below par and you will have to pay to get that rate.

Best of luck

Offshore banking?

Any recommendations for an offshore bank with low international wire transfer rates and low collateral for credit cards? And possibly no need to send notarized id%26#039;s of everyone in the company, just the signers?

Offshore banking?inflation rate

Today the best offshore jurisdiction is Panama. The banks there can get over 100 billion dollars in assets. They are modern and well regulated. they have anonymous corporations and foundation with extreme bank secrecy. They offer online banking and secured Visa cards with deposits of 110% of credit limit. Wires fee rates run about $40. For more information on offshore banks go here:

http://www.panamalaw.org/offshore_bank_a...

http://www.panamalaw.org/attributes.html

http://www.panamalaw.org/tutorial_offsho...

http://www.panamalaw.org/panama_economy_...

Offshore banking?

loan

You should be aware that the IRS has closed a lot of the loop holes for offshore banking.|||Sad experience tells me that the less rules the more likely I am to lose my shirt when a %26#039;bank%26#039; goes under.

I was in a well known tax haven and asked how many banks were in town %26quot;83%26quot; said the local. Not bad for a town with one short street. One doorway I went past had 15 bank brass plates next to it. It was a stairway to an apartment.

Best of luck - don%26#039;t expect ANY security.

Rising US LIbor?

If the Fed is cutting interest rates, shouldn%26#039;t Libor also fall along

with it? Assuming that the difference from the prime rate and the Libor rate is the interest banks make from lending dollars, shouldn%26#039;t the spread be narrowing as the Fed cuts rates. I just don%26#039;t see any reason why Libor is still continuing to rise.

Rising US LIbor?loan

You are on the right path.

As you pointed out, there is a spread. In the Financial world, this is called the %26quot;Ted Spread%26quot;. The Ted Spread has been widening because it is a function of supply and demand. US Libor is influence by many different bond instruments, but mortgage backed securities are by far the biggest part of the demand side. Normally, with all else being equal, the Ted Spread stays stable when the Fed Rate falls, which leads to lower interest rates. But this is not the case.

As you%26#039;ve read in every newspaper, the mortgage industry in the US is the dog house with volumes way down. The spread is widening while the base rate (Fed Rate) is falling, with net-net higher interest rates.

This is not necessarily a bad thing. It%26#039;s more of a normalization from %26quot;giving a mortgage to everyone who has a pulse%26quot; to %26quot;giving mortgage to people who are suppose to have them%26quot;.

The Ted Spread should normalize by 1Q08 as soon as Sub-Prime bottoms out.

Why have mortgage rates been low lately? And what are the determining factors for the rates?

We are planning to refinance our house, and we want to get an idea on when to lock a rate and apply for a loan form the bank.

Why have mortgage rates been low lately? And what are the determining factors for the rates?payday loan

Rates have been lower because the market has been slower. Now (between Thanksgiving and Christmas) is always the best time of year to purchase or refinance. Rates are usually lower at this time of year.

Why have mortgage rates been low lately? And what are the determining factors for the rates? loan

Rates are controlled by the 10 yr treasury bond, and more specifically by MBSs, or mortgage-backed securities which are also traded publicly on the secondary market.

A rule of thumb is that when bond prices drop, mortgage rates rise, and when bond prices rise, interest rates go down.

There are many factors that come into play, including inflation. Because the Fed has kept rates steady, inflation worries have subsided, and interest rates stay down as inflation is perceived to slow as well.

Learn about mortgage, credit, and finance:

http://www.thetruthaboutmortgage.com

Does anyone know about Honda's Graduate Financing Program?

I%26#039;m graduating from school next month, and I plan on buying an %26#039;07 Civic EX Coupe w/Navi. I%26#039;ve tried doing some research into financing, and have found where Honda offers a Graduate Financing program. Does anyone know any specifics on this program?

I plan on putting $9,000 down (roughly 40% of the sticker price), and have started a full-time Credit Analyst position at a nationally chartered bank in Texas. I%26#039;ve checked into financing through the bank where I work, and the rate was a little steep for my liking (lack of established credit history).

Does anyone know about Honda%26#039;s Graduate Financing Program?auto loan

buy an RSX instead dude.

ive never heard honda offering a graduate program..but i could be wrong. i think toyota does.

But with that much down..your set. you can try through a dealer..theres usually banks that offer programs for graduates/not much credit history

Does anyone know about Honda%26#039;s Graduate Financing Program?

loan

i dont know the specifics but i am farmiliar with the program, basiclly it%26#039;s for new college grads who have not yet established credit or have very little car credit.... but a 40% down payment will greatly increase your odds, i doubt you will even need a co-signer as most first time new car buyers often do.... if the car is $20000 and your putting down $9000, you will only be financing $11k, which will be better for you.. i would hold off on telling the sales person about your big down payment, so it doesnt influence the final negotioated price... work the deal, get a number set , then let them know what your throwing down. and also , since you are a first time buyer , your interest rate may be a little high, what i would do, if i were in your position, is pay an extra $30 or so on every note for the first 10 months, you will eliminate the accrued interest and lower the debt, and your equity will be in good standing, and after the 10 months is done, refinance through a nother bank...|||tyr this link http://www.hondafinancialservices.com/pl...

Assuming Continuous Compounding?

Assume $4,000 is invested in the bank now at an annual interest rate of 3%. Find the amount of money that you will have if the money is left in the bank for 6 years and there is continuous compounding.

Assuming Continuous Compounding?car loan

use this equation...

a=Pe^rn

where, a=amount after years

P=principal invested

e=value which is equal to 2.718

r=rate of interest

n=no. of years

using this equation, we%26#039;ll have...

a=($4,000)(2.718)^(0.03)(6)

a=($4,000)(2.718)^0.18

a=($4,000)(1.197)

a=$4,788.78

this is the amount compounded. $4,788.78

hope i helped....=)

Assuming Continuous Compounding?

loan

x=$4000*e^.03*6=$4000*e^.18=$4788.87|||use Pe^rt

Just input 4000 as P, the rate as r, and t as the time in years plug it into a calc and voila.|||Cud solve this using exp() function of Microsoft Excel.

keying in =4000*exp(.03*6) and pressing enter u will get

4788.8695

Young folks...The Economic Crisis...what are you doing?

I send this question to everyone, but especially our youngsters (30 and under%26#039;sh). I am sorry this crisis with the banks and the economy is happening, but you need to take steps NOW to preserve your future! What do you have planned? Are you %26#039;socking%26#039; away some $$ in a savings account, or Savings Bonds?

Are you paying down your credit cards? Are you keeping the cost of your cell phone bill minimal (yeah, that%26#039;s a biggie!)? If you%26#039;re able, are you looking to purchase a home? It%26#039;s a buyer%26#039;s market now, but choose your bank wisely (and ALWAYS go FIXED rate!)

Young folks...The Economic Crisis...what are you doing?apply for a loan

my hubby and i have already prepared for the fact that we won%26#039;t get social security benefits by the time we retire, even though we pay for SS now. so, i have a 403b and he has a 401k...both take a fixed amount from each pay. i am a teacher so i also have a retirement pension that is building up quickly. we also have a fixed amount of money transferred into a savings account. we just treat it like a bill.

we aren%26#039;t going to purchase a house until our credit card history is paid off and in good standing (it%26#039;s a long road, but we are prepared to do what we can to fix our past). we only buy things with cash when we have it. in the past two years, i think we have only put two pairs of (his) sneakers on credit cards -- but that%26#039;s what you get when your hubby has freakishly large feet and has to special order them online...lol. we pay those bills immediately.

we recently switched our cell phone plan to a pay as you go plan. we find ourselves being more careful with it all, and our bill was cut in half.

Young folks...The Economic Crisis...what are you doing?

loan

Great question.

My wife and I were hurting for money. I found this site http://www.daddymorebucks.com and have been using this guys tactics. Very creative stuff and has saved us over $500 a month.

Just tactics like food, gas, electric bill savings etc. Very informative!

Also I have been saving money in silver in case the dollar crashes.|||Not sure if I qualify as youngish or not, I%26#039;m almost 36. However, I really don%26#039;t make enough to even have enough disposable income to open a savings account. My retirement plan right now is the state retirement plan from my work, plus a couple of savings bonds I purchased (then lost) about 10 years ago.

I%26#039;m not paying down my credit cards, but I%26#039;m trying to limit my use of them for food and other stupid things when I could use my debit card, or postpone the purchase. Don%26#039;t have cell phone (yes, I%26#039;m the one person in the free world who doesn%26#039;t have a cell or home internet service or cable tv). I worked at a bank for about two years and saw the horrors of ARM%26#039;s, and determined then that I%26#039;d never get anything except a fixed rate. Right now I%26#039;m trying to work myself into a better job, get some control over my spending, then I%26#039;ll work on paying down my credit card (not cards, I only have one) and generally getting out of debt. After I%26#039;m out of debt (and hopefully by then I%26#039;ll have a better paying job) I%26#039;ll look into buying a house.|||Well I%26#039;m 24 and I have a lot of money that I have saved --- 2/3of it is in a money market account and1/3 of it is in mutual funds (3 different ones) which are not doing too good now. My fiance and I bought an apartment together just a couple of months ago so we have the mortgage to take care of. Besides that I don%26#039;t have anything major that I owe besides the usual monthly bills like internet, phone, cable, car, insurance, credit card (1 only under $500).

I am hoping that it won%26#039;t get that bad =)|||i don%26#039;t think i am affected

If a senior is coerced into putting their IRA CD into an agressive mutual fund, is there any recours

My 69 yr old mother went into a bank inquiring about a higher interest rate CD for her IRA and walked out (unknowingly) with an aggressive mutual fund instead. Her english is not the greatest but she expressed interest only in a CD. When I called the bank and spoke to the gentlemen who helped my mother, he said she asked for an %26quot;aggressive investment%26quot; (2 words that are not in her vocabulary and I explained that to him and he subsequently changed the subject). I explained that this was her life savings (she also told him this as well) and now it was not FDIC insured. He said that it was in fact still insured by SIPC (but found out later that doesn%26#039;t cover loss in value) so quite different than FDIC. After she complained to him, he put her mutual fund in a very conservative fund (earning less than her original CD) and charged her fees for doing so.

They said they can%26#039;t put back her CD without charging larger fees. Who can we complain to? She just wants her FDIC insured CD back.

If a senior is coerced into putting their IRA CD into an agressive mutual fund, is there any recourse?bad credit loan

The first person to see is the bank manager. That should take care of it because the manager has the ability to remove all fees.

Should that not work take it up with your state Department of Consumer Affairs.

Don%26#039;t quit, you%26#039;ve got them nailed.

If a senior is coerced into putting their IRA CD into an agressive mutual fund, is there any recourse?

loan

You should report this bank to the State Attorney General%26#039;s office. Let them know that you believe that the bank put your mother into a very bad investment for her situation. It does sound like some salesperson took advantage of her english skills and probably of her not understanding exactly what was going on and purposely put her in something that makes the bank money but puts her money at risk.

Next up, write a letter to the corporate office of this bank. Go online and find that address. Explain the situation but do not let anger write your words. You need to be professional in this. Let them know that a bank employee at one of their branches has taken advantage of your mother while trying to get more money for the bank. Ask whether or not this is a practice that is company policy or is this just the case of a bad employee. If it is the cast of it being a bad employee, what will the bank do to rectify the situation.

Next up, find a consumer help reporter. Lots of newspapers and TV stations have them. They go after companies that are ripping off customers and they try to get the situation taken care of. It is easy reporting for the TV station. Tons of businesses are out there doing junk like this. Your case may sound good to them because it is a big mean nasty bank against an elderly mother and endangering her life savings. Lots of companies fold when these investigative reporters hit them because it is very bad press.

Finally, you may want to consider finding an attorney. If this bank has done this once then they probably have done it quite a few times. It would not surprise me if there were lots of people out there who have been taken by this bank and its practices. A lawyer might recognize this as a really nice situation for a class action lawsuit and make some money.

How much is the fee to cash an Amex Traveler Check in Italy?

Hi everybody. I%26#039;ll go to Italy next week and I%26#039;ve already purchased some Amex TC in Euro. But one of my friends told me that in Italy those FEE FREE encashment banks will only accept a determined amount of TC per week per person, 200 euro or so.. Is that true?

And besides, if I need extra cash, what%26#039;s the normal rate that cambio or banks or other agencies will ask in Italy? For reference cuz i don%26#039;t want to be fooled with a abnormally higher rate...

Thanks!

How much is the fee to cash an Amex Traveler Check in Italy?business loan

My impression was that you could walk into any American Express office in the world and cash your travelers checks with no charge. Your hotel may be able to cash some for you too.

Frankly though, its been an awfully long time since I last bothered to obtain travelers checks for travel abroad. I just use plastic, as my impression is that you generally get the best exchange rates that way and it%26#039;s far more convenient than travelers checks. For cash (in the local currency), I just

use my home bank%26#039;s ATM card in a local bank%26#039;s ATM machine and let the banks deal with the currency conversions.

MacroEconomics: Federal Open Market Committee?

The Federal Open Market Committee (FOMC):

A. Is responsible for lending money to banks and thrifts at the discount rate

B. Directs purchases and sales of government securities as part of Federal Reserve policy

C. Issues Federal Reserve Notes

D. Competes with the Fed in the market for central bank services

MacroEconomics: Federal Open Market Committee?loan rates

The option closest to the Truth is:

B. Directs purchases and sales of government securities as part of Federal Reserve policy

It also influences the role of Fed which

A. Is responsible for lending money to banks and thrifts at the discount rate

The FOMC sets monetary policy by specifying the short-term objective for open market operations--purchases and sales of U.S. government and federal agency securities. Open market operations, the principal tool of monetary policy, affect the provision of reserves to depository institutions and, in turn, the cost and availability of money and credit in the U.S. economy. Currently, the objective is a target level for the federal funds rate (the rate that depository institutions charge on overnight sales of immediately available funds among themselves).

NoteS;

Federal Open Market Committee (FOMC) is the branch of the Federal Reserve Board that determines the direction of monetary policy. The FOMC is composed of the Board of Governors, which has seven members, and five reserve bank presidents. The president of the Federal Reserve Bank of New York serves continuously, while the presidents of the other reserve banks rotate in their service of one-year terms.

The FOMC meets eight times per year to set key interest rates, such as the discount rate, and to decide whether to increase or decrease the money supply, which the Fed does through buying and selling government securities. For example, to tighten the money supply, or decrease the amount of money available in the banking system, the Fed sells government securities. The meetings of the committee, which are secret, are the subject of much speculation on Wall Street, as analysts try to guess whether the Fed will tighten or loosen the money supply, thereby causing interest rates to rise or fall.

Note2:

The Federal Reserve controls the three tools of monetary policy--open market operations, the discount rate, and reserve requirements. The Board of Governors of the Federal Reserve System is responsible for the discount rate and reserve requirements, and the Federal Open Market Committee is responsible for open market operations.

2. The branch of the Federal Reserve Board that determines the direction of monetary policy. The FOMC is composed of the Board of Governors, which has seven members, and five reserve bank presidents. The president of the Federal Reserve Bank of New York serves continuously, while the presidents of the other reserve banks rotate in their service of one-year terms.

The FOMC meets eight times per year to set key interest rates, such as the discount rate, and to decide whether to increase or decrease the money supply, which the Fed does through buying and selling government securities. For example, to tighten the money supply, or decrease the amount of money available in the banking system, the Fed sells government securities. The meetings of the committee, which are secret, are the subject of much speculation on Wall Street, as analysts try to guess whether the Fed will tighten or loosen the money supply, thereby causing interest rates to rise or fall.

High-Yield CD?

Hi,

If I deposit $11,000 into a high-yield CD at Bank of America, do I get paid monthly or yearly?

Bank of America has an interest rate of 4.72% and an APY of 4.80%.

So if I opt for 4.72% interest, am I earning about $500/month on interest then? Am I calculating wrong? How much will I earn per month?

Thanks.

High-Yield CD?student loan

Your interest through BOA accrues daily and compunds monthly. The 4.72% is your annual rate; however, the 4.8% is your yield due to compounding. The math would be as follows:

11000 times 4.8% divided by 12 months times 4 months for the term

Overall you would be earning roughly $176 interest for your 4 month term. I agree with another response that this being a fixed term cd if you may need it...choose the risk free cd at 4.11% yield!

High-Yield CD?

loan

The $500 per month is wrong. That is is annual amount you will earn (divide by 12 for monthly amount). Generally you can only take your money out of a CD at the end of the contract term (i.e. 6 months, 1 year). You pay penalties to take it out sooner. Don%26#039;t put money in there if you have any reason to believe that you will need the money.|||It would be $519.20 for the whole year. The interest is paid annually.

How can I get Japanese people to invest in our company and fund some of our operations?

We are a company into the business of manufacturing Instrument Transformers (Substation Electrical Equipment). We are looking for some source of funding. Here in India, bank loans are easily available but are very expensive. We want to know about Japanese banks or Japanese Venture Capitalists, because we understand that lending rates of Japanese banks are the lowest. We would like people to give us information about any of such banks or people and where are they located? Also, what type of paper work is required before going about the funding process?

How can I get Japanese people to invest in our company and fund some of our operations?title loans

There is a huge difference between bankers and venture capitalists. And I%26#039;m not just referring to the cost of borrowing so tread cautiously here.

Before I can provide you with advice I need a little more information. How long have you been in business? About how many people work there? Why do you need the money?

Just a quick note %26quot; fund some of our operations %26quot; might suggest you need money just to keep the business open. If this is not the case it may be better to delete this part of your question.

How is *new* money put into economy?

I don%26#039;t mean how it%26#039;s printed, but rather how the money is distributed into the economy. There is a lot more money in circulation today, 2007, then in 1950 for example. There are a lot more goods out there, so there needs to be more money to exchange for those goods.

Someone told me it deals with bank loans and interest rates. When the bank loans someone money, they only lend 10% of their money in reserve (bank%26#039;s money %26amp; customer savings accounts), and the other 90% of the loaned money is created out of thin air. Is this true, or partially true?

Seems like the bank makes out, since they are being paid back money that they didn%26#039;t even borrow out of their own pocket.

How is *new* money put into economy?loan company

The USA has millions of people that for some reason or another have to borrow money.

When the %26quot;FED%26quot; sets the %26quot;Prime%26quot; lending rate, that means the 22 financial institutions that the FED deals with can borrow money from the FED @ that interest rate.

These 22 institutions hold the %26quot;paper%26quot; on countless American loans. These paper { I.O U.s} acts as collateral for these institutions to borrow from the FED and exchange their newly created I.O.U. to the FED for the amount they want to borrow.

The borrowed FED money is then fed into the American banking industry in the same way, but at a higher interest rate than prime.

If some of the loans in the country go into default whoever is holding the I.O.U. notes suffers because their asset base diminishes, and they cannot borrow or lend as much. Sometimes this results in another bank buying out the distressed bank.

All the way up the banking ladder the banks make money from the borrowers by charging interest.

So in a sense yes, the FED creates dollars and sells them to the 22 banks, in exchange for promissory notes. If the U.S. Treasury needs money for gvt. expenses they sell a T-bill {another I.O.U.} to the FED in exchange for dollars.

The Treasury owes about 9 trillion in debt to the FED.

Now do you understand why Ron Paul wants to abolish the privately owned FED?

How is *new* money put into economy?

loan

Since the population of the globe has doubled since the 50s, it%26#039;s useful to have more money circulating, don%26#039;t you think? Money leaks out of the country in billions through immigrants sending money home - to all points of the compass. There is often a shortage of favorite coins and notes too. People collect them so money is hoarded under mattresses and in piggy-banks everywhere.

Global trade in banking is a law unto itself and the traders - to me - seem to do whatever they like. Next move for the banks is to insist we all keep at least 锟?,500 in our accounts unspent at all times.|||The Federal Reserve is the only institution that can write checks without having any money. When it does this, it creates more money in the economy.

This is because most banks are required to have an account with the Federal Reserve (%26quot;reserves%26quot;). When the Fed writes a check to buy anything, the bank receiving the check automatically gets an increase in its reserve account with the Fed. The bank can then use this money to make a new loan.

Normally, when the Fed wants to increase the supply of money, it buys US government securities on the open market and pays for them with a check. This check then is added to the supply of money. Not surprisingly, this is called %26quot;open market operations.%26quot;

When the Fed wants to decrease the supply of money, it sells something, normally, US government securities that it holds. The check the Fed receives in payment is then deducted from the reserve account of a commercial bank. This reduces the amount of money that the bank can lend..|||this is basically how money is %26quot;created%26quot;. If you put 1 dollar in the bank you are being paid by the bank interest. Some say they have all money in a checking account that does not pay interest but remember, the bank is still paying you by providing a place for you to keep your money so you don%26#039;t need to carry it all with you all the time. they are incurring the cost. So in a sense the bank leases the dollar from you. With that dollar they must keep some on hand say 10%, in case you want it back, the other 90% or $0.90 they loan out. They get paid in interest for that loan. That $0.90 covers the costs of the loan. That loan is used to buy something. No one borrows money to hold it. So that $0.90 buys something so that someone (a combination of workers and owners of the good that was bought) now has $0.90 in their pocket. They in turn go to the bank and deposit it. Well the bank now has $0.90 as a deposit what do they do? Well they hold some of it in reserve say 10% again and loan out the rest ... this continues. All of this money and activity was %26quot;created%26quot; from your intial $1.

the reserve is set by law the Fed reserve sets it.|||In Canada, the bank of Canada prints %26amp; distributes the money.|||I think the answer, at least in part, is found at the article found at the link, written in this 2006 article by Lyndon LaRouche, Jr.

Even though Mr. LaRouche%26#039;s political viewpoints are not mainstream, his definition of how the financial system works, as found toward the end of the article, are concise and complete.

May I suggest you check into the novel style biography of Alexander Hamilton, founder of the Treasury? The link to a site regarding this text is also provided. It is an excellent treatise, and the novel style is very unique. It brings that time in history to life.

Does an American cheque banked in Australia stay at American value?

when a cheque from Chase bank New York deposited at Commonwealth bank in Australia , does the exchange rate effect the amount the cheque is made out for ?

Does an American cheque banked in Australia stay at American value?commericial loan

Usually, the amount will be calculated in Aussie dollars at the rate in effect on the day of banking. You will be charged a fee for banking any foreign currency cheque.

Does an American cheque banked in Australia stay at American value? loan

if you are sending american dollars here you should get more i would say|||yea. they will use their local exchg rate|||The amount that appears in your account will be for the equivilant Australian amount.So if the check was for, say, $50US, your account will be credited about $62.

(Australian context) How do interest rates affect inflation in this day and age?

I really don%26#039;t get this. At the moment, most inflation is directly or indirectly related to the price of fuel. Many people do not have mortgages and have enough money to support themselves without using credit.

How can the reserve bank continue to assume that interest rates will control inflation when, rate rise after rate rise, price inflation seems to continue?

(Australian context) How do interest rates affect inflation in this day and age?emergency loan

It is precisely because oil (an import) is so important to overall inflation that the interest rate helps control it. When a national reserve bank raises its interest rate, the currency becomes more expensive, and this helps keep imports, like oil, cheaper.

The price of oil is denominated in US dollars, and the US is keeping its interest low, so these policies complement one another. A drop in interest rates in Australia or a rise in interest rates in the US would make Australia%26#039;s imported oil, and therefore everything else, more expensive.

A high interest rate hurts people who do have mortgages or need other credit, so that could be another reason why a high interest rate isn%26#039;t such a bad policy in Australia%26#039;s case. Everything would be different if Australia was exporting lots of goods and producing most of its own oil. Then you would want to lower interest rates to keep boosting production and keep your exchange rate low for foreign buyers.

(Australian context) How do interest rates affect inflation in this day and age?

loan

i try not to focus on notteeng except forr soda and a fighting

Currency Exchange?

What is the better rate for exchanging currency? banks or exchange centers. I went to the bank to buy Euros but the rate they were charging seemed too high

Currency Exchange?tax credit

Buy your currency at banks once you get to the country you are visiting. Not in your home country--for the best deal. I always buy a small amount at the airport when I land to hold me over til I get to a bank. You know: enough for transportation to the hotel, food, etc. until you find the bank and it is open.

Also, a tidbit---most credit cards (in the US) are now charging a conversion fee (mine is 3%) for every foreign transaction you use your credit card.

Currency Exchange?

loan

Thanks Gurl for the %26quot;best answer%26quot; :-)

July in Roma!! Ideal. Wonderful. Have fun. Enjoy.

Nancy Report It

|||Try this website. I use when I travel to Mexico.

http://www.xe.com/ucc/|||There is a wide variation when it comes to choosing a place to buy currency. Sometime, banks charges lowr than exchange centers. It depends on which exchange center you go to. At the airport, it is even higher.|||The banks are better, but when I was in Spain, they were only open until 2pm (which really sucked).|||Always go to a reputable bank.

Exchange centers will charge a lot more since this is their only business.

Any idea personal loan interest rates on coming down in india?

recently finance minister made a statement to banks to reduce the interesr rates.By this banks already reduced by house loans by 50-100 basic points.

Any idea on interest rates coming down for personal loans

Any idea personal loan interest rates on coming down in india?credot siosse

quite hopeful shoud come down by abot 0.75 to 1 %

Exponential Growth and decay?

Money deposited in a bank that compounds continuously accumulates at a rate proportional to the amount present. Suppose that an initial deposit of P0 dollars doubles in 10 years.

1) Find the interest rate r that the bank is paying.

2) Determine the amount of money in the account at any time t.

3) How long will it take for an initial deposit of $1000 to grow to $5000?

Exponential Growth and decay?interest rate

use the formula

P(n) = P0 * (1+r)^n

where n is the number of years and r is the interest rate

-%26gt; P(10) = 2P0 (1+r)^10

-%26gt;1/2 = (1+r)^10

-%26gt;log(1/2)=1+r

-%26gt;r=log(1/2)-1

Exponential Growth and decay?

loan

for continuous compount interest:

A = A0*e^rt

r=rate, t=time

for an amount to double in 10 yrs:

e^(r*10) = 2

ln(e^(r*10)) = ln(2) , use ln(a^b) = b*ln(a)

(r*10) = ln(2)

r= ln(2)/10 = 0.0693, or 6.93%

2) A = P0e^0.0693t

3)

A = P0e^(0.0693t)

e^(0.0693t) = 5

ln(e^(0.0693t) = ln(5)

(0.0693t) = ln(5)

t = ln(5)/0.0693 = 23.22 yrs

note: remember that ln(e^x) = xln(e) = x*1 = x

Foreign Currency Exchange?

Hi,

I am going to India on a holiday. Where do you think I will get better exchange rates?

What are some of the places I can do it in Australia? I%26#039;ve heard about Forex, but the rates are too high!

What are the rates at Commonwealth bank? Or should I just do that in India? thanks.

Foreign Currency Exchange?auto financing

when i exchanged currency in Australia i did it in the Airport it helped and I got a phone card!

FDIC insurance - I have reviewed Yahoo answers and asked banks - still no firm understanding.?

Are my funds insured for $100,000 EACH account at each bank, or only the total of all accounts up to 100,000?

IE: I have a Money Market at 90,000 4 individual CD%26#039;s totalling 250,000, a reg. Savings and checking averaging $10,000, each a different individual account #,(7) but my name and SS#. Am I insured for the entire $350,000 in the event of failure, or only $100,000? I have a considerable brokerage account and wish to keep bank monies fluid and separate for personal reasons. I just need to know for sure if I should put the CD%26#039;s/MM funds is 3 other banks (even at a lesser interest rate) for absolute safety?

FDIC insurance - I have reviewed Yahoo answers and asked banks - still no firm understanding.?annual credit report

To insure your $350,000 at once institution, you would need to have it this way:

Jane Doe (individual account)

$100,000

Jane Doe Jr. (minor #1%26#039;s name first)

Jane Doe

$100,000

John Doe Jr. (minor #2%26#039;s name first)

Jane Doe

$100,000

Jane Doe Living Trust

$100,000

Or some combination thereof. Otherwise, you need to move the extra $250k to another institution. If the rates aren%26#039;t as high, ask to speak with a manager. Tell her that you%26#039;re bringing %26quot;NEW MONEY%26quot; from another bank and that you want them to match the rate. You%26#039;d be amazed what banks will do for new deposits these days. Good luck!

FDIC insurance - I have reviewed Yahoo answers and asked banks - still no firm understanding.?

loan

The FDIC website explains it all.|||You are insured according to social security number. It doesn%26#039;t matter how many accounts you have the limit is $100k. Move the additional funds out of that bank quickly but don%26#039;t incur penalties for early withdrawal.|||%26quot;The basic insurance amount is $100,000 per depositor per insured bank. Certain retirement accounts, such as Individual Retirement Accounts, are insured up to $250,000 per depositor per insured bank.

If you and your family have $100,000 or less in all of your deposit accounts at the same insured bank, you do not need to worry about your insurance coverage -- your deposits are fully insured.%26quot;

So diversify between different banks, not accounts in the same bank.|||All of your Individual Accounts that have only your SSN on them are insured for $100,000 USD. If you were to place beneficiaries on any of those accounts then each beneficiary named on the accounts would bee added together and an additional $100,000 would be insured.

You can read what I have placed below as this explains each area of various account types. You also can go to this URL which explains very simply about what is insured by the FDIC.

Then if you are still needing some assistance, you can print that entire page and take to your financial institution and have them explain each one in detail to you.

http://www.investopedia.com/articles/pf/...

The maximum insurance is as follows:

* as of 1980 changed to $100,000 for all accounts

* as of 2006 additional change to $250,000 for self-directed retirement accounts

What%26#039;s Covered:

The FDIC insurance covers the principal and any accrued interest through the date of the insured bank%26#039;s closing on all your bank deposits including: checking, savings, money markets, and CDs. FDIC does not insure investments in stocks, bonds, mutual funds, life insurance policies, annuities or municipal securities, even if you bought these from an insured bank. U.S. Treasury bills, bonds and notes are also excluded. These are backed by the full faith and credit of the U.S. government. (To learn more about how to read your insurance contract, see Understand Your Insurance Contract.)

Ownership Counts:

The amount of coverage you have depends on how you establish the ownership and, if applicable, beneficiary designations.

Single Accounts:

Single accounts include those:

* Held in one person%26#039;s name

* Opened under the Uniform Transfers to Minors Act (UTMA)

* For a sole proprietorship

* Established for a decedent%26#039;s estate

The FDIC coverage is $100,000 for the total of all single accounts owned by the same person at the same insured bank.

Joint Accounts:

Joint accounts are owned by two or more people. To qualify, all co-owners must:

* Be people, not legal entities such as corporations

* Have equal rights to withdraw funds

* Sign the deposit account signature card

Each co-owner%26#039;s share of every account that is jointly held at the same insured bank is added together. The maximum insured value for each co-owner is $100,000.

Self-Directed Retirement Accounts

Self-directed retirement accounts are retirement accounts in which the owner - not a plan administrator - directs how the funds are invested. Examples include:

* Traditional IRAs

* Roth IRAs

* Simplified Employee Pension (SIMPLE) accounts

* Section 457 deferred compensation plans

* Self-directed Keogh accounts

* Self-directed defined-contribution plans, for example, 401(k) plans

All self-directed retirement funds owned by the same person in the same FDIC-insured bank are combined and insured up to $250,000. This means that your traditional IRAs are added to your Roth IRAs and all other self-directed accounts to get the total.

Revocable Trust Accounts

When you set up a revocable trust account, you generally indicate that the funds will pass to named beneficiaries upon your death. (To learn more, see Establishing A Revocable Living Trust.)

Payable-On-Death (POD) Accounts

Your POD account is insured up to $100,000 for each beneficiary. However, there are some requirements, including:

* The account title must include a term such as:

o Payable-on-death

o In trust for

o As trustee for

* Your beneficiaries must be identified by name in your bank%26#039;s deposit account records.

* You can only name %26quot;qualifying%26quot; beneficiaries. These would be your:

o Spouse

o Child

o Grandchild

o Parent

o Sibling

Others, including in-laws, cousins and charities, do not qualify.

Therefore, if you set up a POD account naming your three children as beneficiaries, each child%26#039;s interest would be FDIC insured for up to $100,000, and your account would have $300,000 in potential coverage.

Living or Family Trust Accounts

Living or family trust accounts are insured up to $100,000 for each named beneficiary as long as you follow the rules:

* The account title must include a term such as:

o Living trust

o Family trust

* Your beneficiaries must be %26quot;qualifying%26quot; as described above

If you don%26#039;t meet the requirements the amount in the trust, or any portion that does not qualify, is added to your other single accounts at the same insured bank and insured for up to $100,000.

You may be glad to learn that the coverage extends to more than one group of qualifying beneficiaries. For example, suppose you specify in your living trust that after your death your spouse is to receive an income during his or her lifetime. Then when he or she dies, your four children will get equal shares of what remains. Your account would be insured for $100,000 for each beneficiary (spouse and four children) for a total of $500,000.

Irrevocable Trust Accounts

The interest of each beneficiary of an irrevocable trust you establish at the same insured bank is covered up to $100,000. There are no %26quot;qualifying%26quot; beneficiary rules. But the following requirements must be met; otherwise the trust will fall into your $100,000 maximum single account classification:

* The bank%26#039;s records must disclose the existence of the trust relationship.

* The beneficiaries and their interests must be identifiable from the bank%26#039;s or the trustee%26#039;s records.

* You cannot specify conditions beneficiaries must meet, such as a child must get a college degree, to qualify for the inheritance. (For more insight, read Encouraging Good Habits With An Incentive Trust.)

* The trust must be valid under state law.

* You cannot retain an interest in the trust.

Employee Benefit Plan Accounts

Employee plans that are not self-directed, for instance pension plans or profit-sharing plans, fall into this category. Each participant is insured up to $100,000 for his or her non-contingent interest.

Corporations, Partnerships, Associations and Charities

Deposits owned by a corporation, partnership, association or charity are insured up to $100,000. This amount is separate from the personal accounts of the stockholders, partners, or members. However, they must be engaged in an %26quot;independent activity%26quot; other than existing for the purpose of increasing FDIC insurance coverage.

The number of stockholders, partners, or members has no bearing on the total coverage. For example, a property owners%26#039; association with 50 members will only qualify for $100,000 maximum insurance, not $100,000 per each member.

I hope this helps you.

Have a nice day,

TS

Should I stay away from banks with financial woes if I want to open a cd with their high rates?

For example Countrywide or Indymac Bank. I know they have gone through financial problems and credit messes recently, but they seem to offer some pretty good cd rates. I would like those rates but don%26#039;t know if I should be reluctant to give it a go for fear of bankruptcy. Would my cd be unaffected if that happened?

Should I stay away from banks with financial woes if I want to open a cd with their high rates?mortgage rate

Bank CD%26#039;s are insured by the FDIC up to 100,000 dollars so as long as its not a Jumbo, which is over 100,000 dollars, you should be ok.

Is there are any organizations besides banks.that can give us loan.?

hi frnds,plz tell me,is there are any organizations besides banks,that can give us loan at reasonable interest rates as compared with banks?and what is the minimum balance required in my bank account for getting eligible for personal loan?

Is there are any organizations besides banks.that can give us loan.?car financing

There are also finance companies, that are not banks which can lend money. Some are home finance, some are personal finance (like credit cards). Also, you have credit unions, building organizations, etc.

Some micro finance companies and charitable organizations will provide small loans for new family-owned businesses in third world areas and also government agencies.

Also, www.prosper.com is a peer to peer lending website you can look at.

Is there are any organizations besides banks.that can give us loan.?

loan

*Scam Alert**

Beware of Advance fee Loan scams.

ALL so called %26quot;Private Lenders%26quot; who ask for fees upfront are scammers...

my Advice: Don%26#039;t deal with anyone from a foreign country and never use wire/bank transfer services.. you risk losing your $$ and your mind.

LOAN SCAM - Do Not Pay UpFront Fees.

Do not send money UpFront via Western Union or MoneyGram to any person or business in the UK, Nigeria or Canada in hopes of getting a loan. If you do you will learn a hard lesson %26amp; never see any Loan money.

Remember, if it sounds too good

to be true, it probably is! NEVER give out your personal information to strangers online! Always be on guard.

http://scamalertusa.blogspot.com/|||People with poor credit feel that it is difficult to get personal loans. However, there are many financial companies and banks that provide loans to bad credit applicants. Bad credit personal loans are generally sought%26lt;!--by persons who want to consolidate their loans.Some banks prefer to provide loans in an incremental order. First time customers are given loans ranging from $200 to $500, depending on their net income. You can get more about personal loans here,

http://badcredits.awardspace.com/persona...

These customers can later apply for loans up to $1,500. Loans of greater amounts can be fetched through secured personal loans. These loans are passed by taking your property or home as collateral--%26gt;The interest rates on secured loans are lower than unsecured loans. However, there is always the risk of losing your house or property if the loan is not repaid.

What are the best banks for first-time homebuyers to use for getting a mortgage?

My husband and I are going to be first-time homebuyers and we would like to know what banks are the best for great rates. Also which banks are fair regarding fees and which provide the best services to first-time homebuyers?

What are the best banks for first-time homebuyers to use for getting a mortgage?credit rating

oh no! not another of my long, drawn out answers, again! but:

good for you! please go to the aarp.com site to see how buying a home is THE way to build wealth in the united states. buy for location, location, location.

i%26#039;m surprised that nobody mentioned that a Realtor (r) can advise you which lenders she has personally closed deals with in the past year or so. depending on your circumstances, she will explain why she recommends one over another.

another great source is your credit union, if you have one.

some municipalities offer affordable housing programs for first time buyers, whereby they may allot so many percent of the purchase price (2-3% maybe) so that your downpayment would be higher than is usual these days--what with so much debt that we allow ourselves to live with--for first time buyers, which many times is from 0-5%. sure, you%26#039;d probably have to pay that back, but they would make it easy on you.

your own bank is a great source of mortgage funding, if it is not strictly a commercial bank. your proven track record of not bouncing checks, putting a little aside here and there, will help you. ask first what they charge for a mortgage, at what interest rate, and how much they charge for %26quot;points%26quot; for that rate. a point is one percent of the loan balance after your downstroke. so if the house costs $200,000 and you put 10% down (i%26#039;d try to put 20% down to avoid private mortgage insurance, a/k/a PMI), your mortgage balance would then be $180,000 and one point is then $1,800. (one point will also %26quot;buydown%26quot; your rate by 1/8 of a percent. so then, if competitive 30 year fixed rates with zero points are now running, per the newspaper or via the internet sites that show you competitive rates, 6 1/8%, you can, or your seller may, pay one point so that you then get the 6% interest rate, which then qualifies you for a higher debt ratio).

i want to tell you what you should avoid: do not be fooled by the lenders that offer something that sounds too good to be true, since it is with THEM. your best bet is to buy a metropolitan area sunday newspaper with a real estate section in it. usually, the 2nd page has a list of the lenders in the area, what the interest rate is, what points they charge for the loan, etc. you probably will find one or two of them that charge perhaps 1/16th less than the 4 - 6 lenders that charge the same rate. do you want to know that happens if you go with them?

after you supply them with the evidence of employment, pay stubs, bank statements, etc., etc., etc., (that they use to write up the really important %26quot;preapproval letter%26quot;), they will lock you in for a given number of days, perhaps 90, to go out and get a contract for a house with that rate, etc. now then, just wait:

here you are, one week away from the closing date. the seller is going to buy another place and move in: his contract is signed and his mortgage is on the line too. so he is counting his sales proceeds, isn%26#039;t he? and you have called the movers, put all your stuff into boxes, called the utility companies, purchased the homeowner%26#039;s insurance policy, etc., etc., etc., preparing to close on the date stated in the contract, right? so your lender NOW tells you that to give you the mortgage, they need:

the past 10 years%26#039; income tax returns;

the names, addresses, and telephone numbers of each and every single landlord that you and your husband had for the past 10 years;

all of your combined pay stubs for the past 10 years;

a list of simply EVERYONE that ever supervised you and your husband on the job over the past 10 years, as well as:

every trick in the book they can think of to prevent them from giving you THAT loan (which they found, btw, via portfolio lenders),

since:

what lender or bank do you know whose primary business it is to NOT make as much money as it can, any legal way it can? you know of one please call me NOW!

yes, they can close you on the closing date without all this BS documentation, but the interest rate or points will go up, not down. and so...

i have only known in all my career of ONE married couple that EVER did obtain that loan, but they knew exactly what would happen towards the closing date, and they were prepared.

so, go with the lender of your choice that is amongst those that have competitive rates and fees!

service? well, my favorite loan officers or loan brokers (that can get really interesting mortgages if you are in a strange situation, say, with old debts), were always those that would offer to come to your house, after work, with their calculator and mortgage package information, to discuss all of your finances and debts with you so that they could then write you up that very, very important %26quot;preapproval letter,%26quot; not a verbal prequalification. these are usually the veterans in the biz, and they sure know what they are doing! and they know all about the different loan packages and can give you honest pros and cons of that huge variety of different mortgage loans. you will get, in the mail, a %26quot;truth in lending%26quot; statement after they have given you the preapproval letter. the letter states the amount of mortgage they will give you for how many days, at what rate, etc., etc., etc.

i say that you really need that because the good buys always sell fast. always. it doesn%26#039;t matter if it%26#039;s now a buyer%26#039;s market: the ones that are priced to sell for their location, location, location and their condition sell, sell, sell. so that is why you may have to insist that your Realtor (r) present a copy of that letter with your offer, which, of course, if you really want the place and others do at the same time, you will also tender a check not for an initial earnest money deposit of only a grand, but for the full amount of earnest money that will be placed into a guarded escrow account by the listing broker.

i cannot state more strongly than i will state now, and as i have so many times in the past: once you are over the lending hurdle, find yourselves a competent, experienced (in your market area), knowledgable buyer%26#039;s broker/agent. you do not have to pay a penny for it, the seller will pay the commission, out of which she will get paid. then stick with her and do not be disloyal, walking into an open house or into one of those %26quot;by owner%26quot; places without stating that you have a buyer%26#039;s broker, so that all the hard work she does on your behalf yields her some income to live off of. ask how agents get paid.

how you find a good buyer%26#039;s agent/broker: drive around the areas you like and can afford (you call the number on the sign and ask how much it is). then ask if they represent buyers. i%26#039;m sure the best of the best do. do not go into the office to see only the %26quot;top%26quot; producers that make ten billion a year and have 25 telephones and fax numbers. get a nice person that is willing to sit with you, after you have learned how much you can spend, to determine first what your NEEDS are, and then your wants. don%26#039;t go to see a house on a sign until after you have found a buyer%26#039;s broker, then go with her. unless: offers are already coming in. then go see it and have a blank check with you. i am dead serious. do not be afraid: the best of the best buyer%26#039;s agents listen so well to you and then tailor suit the searches they do for you so very well that it could be that the very first house you see is the one that is %26quot;for you.%26quot; then, do not be afraid to make an offer. get it, if you can.

yes, my verbosity is going to kill my wrists, but i have this empathy for first time buyers: i love that you are going to be doing one of the best things you ever did for yourselves in your whole lives! so i am so sorry this is so long, but it is my best advice.

AGENCY means that YOUR interests come way ahead of the interests of the Realtor (r), i.e., the bag of money at the closing. ask for her explanation of agency and of dual agency too. that is the one quality you owe to yourselves, to get someone that really, really gives a darn about YOU, since it is YOUR money, not hers.

happy house! happy home!

What are the best banks for first-time homebuyers to use for getting a mortgage?

loan

try a bank that you already have a relationship with as well as a list of approved lenders for first time homebuyer mortgage programs.

Have you also taken first time homebuyer classes? if you do there are discounts and advantages to doing so. I know it helped me greatly. I only had to put 3% down and the city gave me the other 2% as well as money off of my closing.|||Definitely a hometown bank. Even though they will sell your account within a year, you don%26#039;t want to take a chance on starting your life with a scam lender.|||I would try Wells Fargo they were very helpful and made things very easy.Good luck.|||You might check with your city, or county about first time home buyers programs.

All banks just about offer the same products and loan programs with the different qualifications in each of their programs.

Your interest rate is based on your credit score and how well you have paid your consumer debt over time, not by the company that does your loan or even complete the paper work for your mortgage application.

In order to find out the type of loan programs you are qualified for you will have to fill out a loan application, with a mortgage broker, which you can find one in your local telephone book.

He will fill out this application, which takes awhile so grab your favorite beverage and sit down. Once you have completed the application, he will run your credit report which will have your credit scores. These credit scores will determine your interest rate.

The amount of your monthly debt payments you are required to pay as per your credit report and the amount of mortgage you can take on based on your income will determine the amount of house you will be able to purchase.

When you speak with the mortgage broker you will need the following documents to complete the loan application

#1 One month of pay stubs for each person that will be on the mortgage.

#2 Six months bank statements from each bank in which you bank as well as statements from any 401K from you place of employment.

#3 Two years of federal income tax along with the W-2 that match.

Once he has all that he need to do he can then issue you a pre-approval letter so you can purchase a home.

In this pre-approval letter will be the amount of house you are qualified to purchased.

Once he gives you this pre-approval you may now find a real estate agent to find yourself a home or he might have a referral.

Once you have found a home the real estate agent will then prepare a contract for you and the seller to sign.

Your mortgage broker will now order an appraisal to show proof of the property value.

The mortgage broker might ask for additional information or documentation, don%26#039;t get all up tight this is normal, just supply the information or find the documents needed.

After the appraisal has been completed you will be called by your mortgage broker to sign your loan docs so you can take possession of your new home.

I this has been of some use to you, good luck

%26quot;FIGHT ON%26quot;|||Your best bet is a mortgage company. We have many programs for first time home buyers, if you%26#039;re interested you can contact me anytime.|||Do a search for the housing finance agency for your state. They%26#039;ll have lists of lenders who they work with for their first-time buyer grants and subsidies. Those lenders will help you qualify for any government assistance you%26#039;re eligible to receive.

You%26#039;ll be dealing with major banks, and some brokers who actually worked very hard to learn these programs. All of them are committed to assisting first time buyers get all the help they are able to get.|||You%26#039;re wise to ask this question. The best answer is - it depends! Rates change so fast that by the time I finish answering your question, they%26#039;ll have changed. Our advise is to pick a lender at a bank, mortgage brokerage or home loan company. Get their Good Faith Estimate and one or two others. Ask them to lock in a rate for a period of time. This guarantees that if rates change, you%26#039;ll still get the rate they quoted you. Rembember, while price is important, there are other considerations. What is the experience level of the lender? Experience in that field equates to knowledge of more loan programs. Will the company sell your loan? You may get good terms at the lender you choose, but will they be your lender in 6 months? Will they offer the same terms if your loan is sold? So find someone you trust and stick with them. One last thing: Mortgage brokers and mortgage bankers can both help you get a loan. Brokers are not federally regulated and often have higer and more numerous fees than their federally regulated counterparts. Both are good but we suggest working with a mortgage banker if price is your primary consideration.|||The banks wouldn%26#039;t be the best place to go. You want to got to a lending company because your rates will be whole sale. Then you want to look at REO Properties so you can be in positive situation when you buy your home. What state do you live in.|||The very best way to find a lender is to get a reference from friends, family, neighbors, etc. They usually don%26#039;t have any reason to hold back on their experience with a lender and will usually give you an honest answer. The least expensive option (lower fees and interest) is with a bank, however they are more conservative with their money and if your finances aren%26#039;t in shape, they%26#039;ll likely say no. Brokers can be more expensive, a few hundred to a few thousand dollars depending on your market, but they work with a wide range of investors and mortgage lenders and are likely to get you qualified with at least one of them. Whether you are a first time buyer or not, you can use the FHA loan. They have lower down payments (3%) and are less risky to a lender (government insured). But, they are more expensive and you will pay PMI insurance without puting 20% down. If you can swing it, go 15 years with 20% down, you%26#039;ll be happy you did. Watch out for variable rates or jumbo loans and don%26#039;t buy too much house or the house will own you!|||You as a consumer have the right to shop around for the best rate and program, (Consumers Bill of Rights). There are many programs for 1st time home buyers. An FHA (government loan) is a good one and it provides the buyer with down payment assistance from a non profit organization. The down payment 3% actually comes from the sellers and the sellers can even pay for your closing costs. Another great program, %26quot;My Community Mortgage%26quot; great for 1st time home buyers and also no down payment. Closing costs will vary from Banks to Brokers. Mortgage Brokers will have more option%26#039;s (programs) for you then the banks, but closing costs will be a little higher, but the rates will usually be better then the banks. Banks are limited to the programs they can offer. So my suggestion would be to shop around. I am a mtg. broker for 14 years and I am located in Michigan.|||a lot of times your Realtor has THE best connections for 1st time home buyers. they need to keep this info handy, actually keep a person handy with this info. after all a realtor%26#039;s biz is word of mouth. See what your realtor comes up with. but also check with your local bank..

My money is on your realtor.

Congrats on the house!!|||I would try to go with a mortgage broker. They tend to find the best rate for you.

But you do have to be specific on what you want. Let them k n ow what you can afford and how much you are willingto pay in fees.

I worked at a bank.There are many people that think that banks dont charge anything. The truth is that they make their money on the rate, so they dont need to charge you anthing.

I realized that we offered the same product to brokers but at a cheaper rate.

Brokers have to make their money so that is why they charge it up front versus in the life of the loan.

My suggestion to you is to do your homework.

Are interest rates going up again?

The Bank of England raised the interest rate by 0,25 to 5%...

Do you think they will now start going up towards 6% like 7-8 years ago?

Are interest rates going up again?rate my teacher

Definitely....

The rumour is that in January they will go up another quarter...

Savings is the thing to do now...

Are interest rates going up again?

loan

yes i do|||I think so...|||without a doubt.Apparantly the economy is in full drive. So why am i skint?|||Quite probably, best get a decent fixed rate mortgage sorted out or get saving!|||No

With WTDirect, HSBCDirect, EmigrantDirect, and INGDirect at 5%, is there any banks with a higher yie

I know with:

WTDirect at 5.26% yield, but you have to have more than $10,000 in the bank

HSBCDirect and EmigrantDirect at 5.05% yield with no minimum deposit

INGDirect at 4.95% with no minimum deposit

Does anyone know of any other banks that give similar interest rates or even higher interest rates than these online banks?

With WTDirect, HSBCDirect, EmigrantDirect, and INGDirect at 5%, is there any banks with a higher yield?construction loans

Those are all good banks. To find other banks with great rates and star ratings check:

http://www.bankrate.com/brm/rate/mmmf_hi...

Good luck!

With WTDirect, HSBCDirect, EmigrantDirect, and INGDirect at 5%, is there any banks with a higher yield?

loan

It%26#039;s not a bank but my Patpal account pays 5.3% no minimum|||If you have over $10K, I%26#039;d go with WTDirect. I was with ING, but got fed up with the low rate (BTW, they%26#039;re only at 4.50%), so I opened a WTDirect account (mid-size bank, good rate and good customer service). If you have under $10K, HSBC and Emigrant are good choices. Also, check out Citi. They have an OK account, but watch out for their transfer limits. Oh, and you have to open a checking account with Citi.

The smaller banks tend to offer high rates only temporarily, then drop, and the big guys don%26#039;t tend to have the best rates.

My $0.02

Taking money out of the UK on a plane.?

The banks in Thailand give 7% better exchange rate than UK banks. So I want to take 20k to Thailand. If I transfer it, I loose 1500 pounds, is taking it in cash the best option or is there a better way without loosing so much? I dont really want to take so much on the plane, because im worried about customes in BKK but I dont want to loose 7% either. Can anyone help resolve this predicament.

And how much is the legal limit allowed as hand lugage. Thanks

Taking money out of the UK on a plane.?loans uk

Use an ATM

http://visa.via.infonow.net/locator/eur/...

Where can i get finance to start a business?

I have been to business link and all they want to do is send me on a %26#039;how to write a business plan%26#039; course. I have been to the bank and was advised not to get a business loan due to high interest rates and the bank wanting me come up with at least 20% of the total amount of borrowing.

Does any one have any other suggestions?

Where can i get finance to start a business?yes loans

ill give you 锟? sounds crap but if everyone else does it you%26#039;ll get millions

Where can i get finance to start a business? loan

You can apply to the government in the form of a Grant for small business. This way you would not have to pay it back as you would if you went to a bank.|||If you are having trouble with the capital requirements set forth by a bank then you should consider Capital Asset firms in your area. There are lots of capital firms that specialize in this kind of lending. The downside is... they will charge very high interest rates and/or want partial ownership in the business venture.

Consider searching for %26quot;capital firms%26quot; + your geography. Unfortunately without the 20% capital inlay you won%26#039;t be able to find anyone to lend you money at a reasonable rate. If the business idea is a %26quot;slam dunk%26quot;, talk to friends/family to seek out a wealthy person you could take on as a silent partner. Otherwise the capital firm is your best bet.

Also, any organization that will lend you money will require a detailed business plan. You should have one anyway.|||Every body wants finance to start a business. If getting finance was so easy everybody would be getting it. I%26#039;m surprised that some bank said that you need to have 20%. It is a good deal. Take 80. No other bank would make the offer. The other course is write a business plan and submit it to venture capitalists. If you have been successful before you%26#039;ve a good chance. You have to have a team. Successful team to jpoin you. But venture capital will be possible if you have a very good one of a kind idea that will make billions. out of the venture capital they supply.

That is why people are not able to start businesses.|||In the US: the small business association is your best bet for low interest loans:

http://www.sba.gov/financing/index.html

If you want a business loan, then you%26#039;ll want to check out that %26#039;how to write a business plan%26#039; course, or else there%26#039;s a great book I have by Rhonda Abrams on the subject.

Alternatively, if you have a 401(k) you can sometimes borrow money from that, take out equity in your house, or borrow from a family member.

If you have an idea for a business that could grow very rapidly in the future, a venture capital firm might be interested in giving you the money in exchange for a percentage of the company. That%26#039;s a very popular route for tech companies, but almost every one of them has got a proof of concept in place to convince the VC%26#039;s to give you the money.|||depending on your age,(i think under 30) the princes trust can help with things like that?They must have a website ?good luck|||If you%26#039;re thinking that you%26#039;ll get a government grant you%26#039;re off your rocker. Believe me, there are none out there. Financing depends on how much you need. There%26#039;s a lot of good answers here. If you only need a little, say a few thousand, try friends, family and network your way to some rich people. Above that I recommend using a bank through a guarenteed loan with the SBA http://www.sba.gov. Banks are a good deal (as opposed to a bad deal like another answer said). First, banks rarely take risks. If they don%26#039;t want to invest in your business there is probably a reason...something%26#039;s wrong and you need to find out what. Second, the rates are much lower than VCs and angel investors. VCs get as much as 75% of your business and they will get rid of you if they want as they are the mijority owners. The Small Business Development Center http://www.sba.gov/sbdc in your state will help you get your financial statements (even pro forma) in order to present to banks etc. But as I said, friends, family, or working with an SBA guarenteed loan are your best bets.

Good luck!|||In the UK apply online for a commercial loan at

www.surefirefinance.co.uk

They should be able to help.|||Conside this, you don%26#039;t need a loan to start this. Have you heard of Google Adsense program? You can make some legitimate money if you have a blog at Blogger.com of a free website like Google pages which will allow you to publish Google Adsense with no cash investment. http://tashi.web.design.googlepages.com/...

It%26#039;s very personal and it depends on how you define a good career or business. First, set a goal for what? do you want in life. Plan what you will do to reach your goal.

I always tell people this, %26#039;You can make money if you can create website or blogs%26#039;. by providing free and good information.

I%26#039;m 41 now, work from home in shorts and T-shirts and sometimes topless. I set my target as low as to make 1 dollar/page/day. I strive to create a new page for my websites everyday but I have all the freedom I need and making money 24/7 on the internet with Google Adsense and some affiliate programs. The only thing that tie me down is %26#039;how much income I want or need%26#039;. Because the more websites and traffic I have will determine how much income I can much.

Anyone who can create websites or blogs to provide lots of good information can make money from Google Adsense. Blogger.com and Google pages lets you create blogs for free and allows you to make money too.

You can make money by joining me or Google as a publisher and publishing Google Adsense on your websites. If someone clicks on those ads, you will earn money.

I%26#039;ll be working on this website http://tashi.web.design.googlepages.com soon after I%26#039;m done with my client%26#039;s website.

Please be warned!

Updated 24 November 2006: Scammers can access your sim card. Please check this Hot Alert if you don%26#039;t want to burn your wallet: Latest Telecommunication scam http://lost-newbie.blogspot.com/2006/10/...

Be careful if you have a credit card.

This is a credit card scam http://latest-info.blogspot.com/

Hi, Everybody. My name is Warley, I live in Brazil. I would like to ask you about loans.?

In my country the interest rates from the banks are extremely high. Do you know a bank that make loans for foreign people.

Any information please contact me in: walrusbrit@yahoo.com

Thank you

Hi, Everybody. My name is Warley, I live in Brazil. I would like to ask you about loans.?education loans

I will loan you USD 20 if you agree to pay me back 40 USD

Hi, Everybody. My name is Warley, I live in Brazil. I would like to ask you about loans.? loan

www.wacohvia.com|||google it|||no banks will loan money to a foreign person, good luck. the interest rates here are very high too, starting at 9% with collateral.|||Geena they pray for 9% in Brazil

Gee dude I hate it but I doubt a US bank will loan you any significant sum of money....try the netherlands or any european finacial institute|||International banks usually charge % based on the local rate .

Unless you relocate , you will end up paying the Brazilian rate .

Time to get a 2nd job instead of a loan ?

?

When the fed reserve cuts rates -are the people of USA who hold CDs-penalized???

It seems every time corporations get in trouble the fed reserve cuts rates and the banks then can cut CD rates because of cheap money supply to them-but the nations CD holders pay a stiff price-when rates fall below inflation levels -boy the little guy always pays--

When the fed reserve cuts rates -are the people of USA who hold CDs-penalized???interest only loan

You bet the little guy pays because our currency is being devalued time and again by the kooky government.

When the fed reserve cuts rates -are the people of USA who hold CDs-penalized??? loan

The interest rates were not cut because %26quot;corporations were in trouble%26quot;. They were cut because the economy was slowing and potentially going into recession. That means that everyone might be in trouble, including you and me, not just corporations. Corporations don%26#039;t hire people and hand out nice raises when the economy is bad and people aren%26#039;t buying goods and services.

Yes, you will get less interest on your CDs. However, let%26#039;s look at the big picture. Lower interest rates can have the effect of stimulating economic growth. Economic growth means more jobs. It also means a rising stock market which will make you more money than a CD will. Personally, I would rather have a job in a growing company and a rising stock portfolio than a few extra extra bucks interest on a CD. I%26#039;ll be much father ahead in the long run.

Occasionally, less can be more.

Supposed that you have just won the Irish Lottery from a recent ticket you brought and the ticket is

1.So if the current exchange rate is US$1 equal 1.25 Euros, how much did you win in US dollars.

2. Suppose that the interest rate in Irish banks is 5% for a one year CD. In the USA , how many Euros would you have in 2% for one year

Supposed that you have just won the Irish Lottery from a recent ticket you brought and the ticket is$1million?boat loans

Your question is a little garbled but let%26#039;s see if I can answer it. If $1 is equal to 1.25 euros, then 1,000,000 euros is equal to $800,000. If you put that money in one-year CD at 5 percent in an Irish bank, you%26#039;d have $840,000 at the end of a year. If you put 1,000,000 euros in a one-year CD in a US bank at 2 percent, you%26#039;d have 1,020,000 euros ($816,000) after a year.

Does that answer your question?

I'm thinking about opening an online savings acct. Have any of you ever had one and how did it

I am really looking at HSBCdirect.com. My main attraction to them is that if an emergency happens, their is an ATM card that you get that I can get my money out quickly instead of waiting for an online transfer to take place. They also have a 5.5% rate compared to my banks measly .15% that only earned me $1.36 last year! (I mainly was just putting $$ back for a rainy day, but $1.36 just kinda pisses me off! lol!) They are FDIC insured. You link the account to your checking account at your bank and do transfers to and from it. My main question here is what has your experience been with online savings accounts? Does it sound like a good idea? What problems have you encountered with them? Thanks!

I%26#039;m thinking about opening an online savings acct. Have any of you ever had one and how did it work for you?loan forgiveness

I have an HSBCdirect account and love it. I don;t use the ATM option, but I have it electronically linked to my local bank account. Great rate of return - kills a conventional savings account. I would highly recommend HSBC%26#039;s money markey savings account

I%26#039;m thinking about opening an online savings acct. Have any of you ever had one and how did it work for you? loan

I haven%26#039;t personally used HSBC nor heard of them but I use E-Trade for the exact same reason. Over 5% interest vs my banks heartbreaking rate of .14%.

I have a checkbook with my E-Trade account so in an emergency I can just write a check.

Like I said the concept is good just thoroughly check out HSBC. If they are legit you are making a very smart move.|||ING orange has a good saving account with a great interest rate.

I%26#039;ve had folks recommend splitting your savings between a few places. Try a CD account and a second savings account, maybe.|||I have an online account with

www.ingdirect.com

It is very easy to use. I did not get an ATM card though. I don%26#039;t know if they offer one. I did not want one because I wanted to make it more difficult to get the money out which helped me to save up enough for a used car.

I put money in there because there is no minimum balance and the rate was competitve.

Withdrawals take a couple of days though.

Is it safe to take Home Loan for period of 25 years when the current monthly income is less than 300

What are the points that one should take into account before deciding the EMI and period of Loan? For the loan period %26gt; 17 years, if Reserve bank of India increases the interest rate then all other bank increases? How does it affect to our loan period and EMI? What us the suitable solution if one has to take home loan for more that 17 years? What factors need to check?

Is it safe to take Home Loan for period of 25 years when the current monthly income is less than 30000?bridge loan

shorter peroid, adequate housing and life insurance are the most imp factor. If your monthly expenses are low apply for around 15 yrs.

How to deposit a check electronically to my account?

I have often heard about WalMart and such just writing some info if you pay with a check and not even needing to actually keep the check. Is this a myth? or is this just for companies?? My problem is that I am currently not in the US, and I have a check in US Dollars for $40. Problem is, in order to cash a check in USD around here, comission is about $50 plus excehange rate!! I do have bank accounts in the US, and so I figured that if I were to %26quot;input%26quot; these numbers of the check, I might as well just deposit it in an american account. Is this possible?? Or should I just throw this check straight to the trash can??

Thank you!

PS yeah, no branches of american banks around...

How to deposit a check electronically to my account?no fax loan

Wonder whether you could just mail the check to the American bank, with a deposit slip, or just marked %26quot;For Deposit Only%26quot;? Then, once the deposit went through, get online and transfer funds, or pull them out through an ATM.

Electronic bank deposits are usually done with a special Point-of-Sale machine, and is handled through an agreement with the bank. So, the Wal-Mart thing isn%26#039;t going to happen for an individual. And, yes, they do that here.

How to deposit a check electronically to my account?

loan

I think you should go to your bank there.They should be able to convert your check into money there.If not they liars.Yes you can put your money in American account.You can send the check to your bank and they can deposit into your account for you there.|||You are not able to electronically deposit a check. Some merchants have set this up with their business bankers, but this is a service they have to pay a lot for, not something indiviuals can do. Most banks do have a bank by mail address that you can send the check to.|||I work for a credit union in Los Angeles. We have many members overseas, and abroad, who bank by mail. I%26#039;d suggest mailing it, just like the first person.

However, there are two ways to have money deposited electronically: 1) Wire Transfer - You give your bank information, including a routing number, account number, bank address (usually), and your physical address (usually), 2) Direct Deposit (EFT) - This is usually by a job, or larger companies. They take a lot of the same information but it%26#039;s slower.

Will turning down a equity line of credit hurt my credit score?

I applied for a eq line of credit . The bank want to place all my debt in the loan . I disagree because some of my debt has a much lower interest rate than what the bank is offering. I probably won%26#039;t get the line of credit because I can%26#039;t agree to their terms. Since I changed my mind ,will it hurt my credit score??

Will turning down a equity line of credit hurt my credit score?sba loans

If the bank already ran your credit to get the equity line started, meaning you were approved, it hurts your fico score. To answer your question , no. beacause you didnt use it, but you got dined for the bank checking your credit.

Will turning down a equity line of credit hurt my credit score? loan

No, unless they revealed something new and negative, previously not known to the credit reporting agency.|||You%26#039;re within your right to transfer only some balances to the line of credit. If a bank tells you it all or nothing, they are disreputable and I would change my bank.

-MM|||get free credit assistance from http://www.ezcreditrepairsolutions.com

Please help! questions about money, business, banking?

1.) If you put $10 into a bank and get a 10% interest rate, What will the account be worth in 3 years?

2.) If you need $150 in 3 years how much must you deposit if toy earn !0% interest?

3.) You purchase a bond that will pay you $60 at the end of each year for 3 years. It will then return the face value of $1,000. If you can earn 5% interest, how much will you pay for it?

4.) You purchase a bond that will pay you $50 at the end of each year for 3 years. It will then return the face value of $1,000. If you can earn 6% interest, how much will you pay for it?

any help on this will be greatly apprechiated and recieve thumbs up, best answer for whoever answers the best/most

thank you!

Please help! questions about money, business, banking?finance

1. ) Assuming you don%26#039;t withdraw the interest it should be compounded annually in 3 years. $10 x (1.10^3) = $13.31

2.) To earn have $150 with an interest rate of 10%, you must deposit $112.70. If you leave that amount today in 3 years at 10% compounded you should have $150.

3.) The amount you will pay is $1,027.23. Notice the amount is larger than the face value of the bond since the prevailing interest rate is lower than what the bond is offering (6% vs. 5%) $60/$1000 x 100 = 6%.

4.) The amount you will pay is $973.27. Notice the amount is smaller than the face value of the bond since the prevailing interest rate is higher than what the bond is offering (5% vs. 6%) $50/$1000 x 100 = 5% , so you get it cheaper.

for 3.) and 4.) use the =pv function of excel or any financial calculator. you may also use the pvf table (present value factor = pvf)

Keep practicing !

What are all the different types of loans available in SBI, HDFC & ICICI Banks? what is the rate

I advise you do%26#039;t try to take a loan as it the worst thing you can do for you?

What are all the different types of loans available in SBI, HDFC %26amp; ICICI Banks? what is the rates of interest?military loans

below name of the loans prevail in the said banks and rate of interest respectively

1. Home Loans 7.75 to 9%

2. Personal Loans 11% to 23%

3. Education Loans 10% to 14%

4. Car Loans 7% to 15%\

5. Two Wheeler loans 16% to 36%

6. Loans against Security 9% to 14%

7. Tractor loans 14% to 18%

8. Loans Against Property 10% to 14%

What are all the different types of loans available in SBI, HDFC %26amp; ICICI Banks? what is the rates of interest?

loan

go the banks and give specific details and get the answers|||Allot of places will say, depends on your credit, hang up the phone then, don%26#039;t give them any more info. Never go with a revolving loan account, you will never pay it off, stay away from credit cards too. One more thing, there are loan companies that will have the interest on top the loan so you pay on interest only for years until you finally get to the loan, never do that. Call your local banks, and they will give you one straight interest rate, if they can%26#039;t, call another. Some people don%26#039;t realize that instead of refinanceing their home, for equity, they can re - mortgage their home getting the lowest rate possibile with cash to help. I would go that route if I had to.One more thing, never go with out of state finance companies nor out of state banks.U.S.A. talking here

Student loan consolidation?

I applied for rates with 3 banks to get the best offer for student loan consolidation. About 60 days passed and I received a payment booklet from BofA. They had paid my student loans and began charging me at a higher rate than I had before. I never agreed nor signed a promise to pay or anything - just filled out an online application. What do I do now? They are on my credit report, they are charging me, I have not paid them anything. I don%26#039;t want to as Chase offered me a better deal. I asked BofA to provide me proof that I owe this debt yet they have not. Its for over $30k. Since I never signed anything (just did the online application) do I really owe them anything?

Student loan consolidation?horses for loan

Have you tried websites such as https://www.bills.com/studentloan/loan/

You can get quotes from multiple lenders. I think you can get a much better rate that way. these big banks are always a pain to deal with.

I would give it a shot. Whats more...its free!

Student loan consolidation?

loan

You probably checked something that served as an online signature. Accept the loan from Chase and pay off the BofA loan.|||The online application is like filling out the paperwork at the bank. They approved you because you electronically signed it. If you don%26#039;t pay it, they can come after you, sue you, and garnish your paycheck. You are stuck, so start paying.

Next time, read all documents before signing.