Banking Labor Law References

There is a new proposal brewing in the White House that deals with the financial industry. Apparently, President Bush wants to do an overhaul of financial industry regulation, a move that critics insinuate would give new powers to the Federal Reserve.

FoxNews.com reports that the government is trying to address the credit crisis that is affecting the entire US economy by taking a new look at the nation’s financial industry. The plan will be officially unveiled Monday and is expected to start off heated debates among Congress and the financial services sectors.

As long as it won’t make abuses and will try to be as fair and transparent as possible, President Bush’s proposal should be heard. After all, the US economy is in a point where bolder steps are needed to resolve its problems.

For complete link to the article, click here.

This will surely put a smile on the face of investors out there, particularly those who have been into the trade for some time now. Treasury marketable securities are set to expand by April and will be available to the public in $100 minimums. Or so BankNews.com has reported.

In a news article yesterday, BankNews.com shares that the Treasury Department has announced that all treasury bills, notes, bonds and TIPS can now be availed and transferred in multiples of $100, replacing the previous $1,000.

This is a welcome development in the treasury market since more investors can avail of the lowered rates. I am sure a lot of people will change the way they look at treasury notes now.

According to Bankrate.com�s national survey of big lenders, mortgage rates have hit their lowest point in 26 months. The benchmark 30-year fixed-rate mortgage dropped to 17 basis points to 6 percent with an average total of 0.35 discount and origination points. (A basis point is one-hundredth of 1 percentage point.)

For the record, the 30-year fixed-rate mortgage had remained looking down at below 6 percent for half a year. It seems that a series of Federal Reserve rate increases has not stopped the rates to drop. I am sure this will be greeted with warm response by the public, particularly homeowners. Expect that there will be an increase in the number of borrowers refinancing their mortgages for a more convenient payment scheme.

On the other hand, United Mortgage Capital Corp. (UMCC) President Dan Dowling warns that �for borrowers with credit scores below 680, mortgages will become more expensive soon.�

The current recession has us deep in it’s bite and it would only be prudent to think that with jobs being shed daily, when will you become the next victim. The global economy is in a slump and even with the billions of dollars in bailout, people are still losing jobs and most of the times more than just that. Uncertainty is in the air for some of the biggest names in the banking industry have already trimmed their workforces to save on labor costs so do prepare yourself for the inevitable should it come.
Not that you want to lose your job, but rather to accept reality that it may happen softening the blow should it come. Life is getting harder and companies are filing for bankruptcies in no time. There is simply no cash to go around and forecasts are grim for recover would take least in the most conservative estimates. Hope you’ve got your savings shored up, you’ll be needing it.

Image source: www.bctheatre.com

If you’re like most people, you plan to work hard all your life and you want a comfortable retirement. While no one should rely on Social Security as their sole source of retirement income, it can be a nice addition to their other retirement income. Social Security can provide support for you and your family if you become disabled. Social Security can also provide support for your family when you die.

The Benefits

Have you ever thought about whether or not you might be eligible for the Social Security benefits of someone else’s record? Some examples that may be considered are your current spouse, or a divorced or deceased former spouse. The Social Security Administration always pays on your own record first, if you qualify, but if you also qualify on someone else’s higher benefit, you will get a combination of great benefits that will be received and also the higher amount you will get.

The recent ARM interest-rate freeze was designed by the Bush administration to serve as �a framework to help preserve communities by preventing foreclosure.� While this may sound very compassionate and suggests help for thousands of homeowners, many believe otherwise.

Interest.com reports that the rate freeze could save some but certainly not all subprime borrowers.

Homeowners whose adjustable-rate loans have already reset or are behind on their payments will find it impossible to meet the strict eligibility requirements which include the following:

� Have a 2/28 or 3/27 adjustable-rate loan
� Still be paying the initial interest rate
� Be up-to-date on your payments
� Be unable to afford the payments when they adjust to a higher rate
� Live in the house
� Have taken out your mortgage between Jan. 1, 2005 and July 31, 2007
� Be expecting your interest rate to adjust or reset for the first time between Jan. 1, 2008 and July 31, 2010

I have to agree that the above criteria are quite strict for most homeowners to qualify. Consider for instance the requirement of up-to-date payments, we know most homeowners are not keeping up with their payments and given this reality, they will be outright disqualified. If the present administration really wants to offer help, maybe they should review the requirements and adjust them accordingly so more people could avail of the rate freeze.