More than 1 million households in front of bankruptcy
More than 1 million people will have problems with their payings on
mortgage trusts, if due to economy delay, banks continue to tighten up the criterias for giving of loans. This was announced by FSA, the agency for financial supervision in Great Britain.
In the 6th yearly report for economy risk, Agency for financial services claim, that datas for sellings of busy trade streets in Great Britain are terrible. Thius happens in the vicinity where the prices of properties continue to go down.
FSA registered three risk factors, which can make a bankruptcy of property owner: long term of mortgage, big part of credit is sold price and big part of payments for the credit in structure of the income. Nerarly 1 per 3 for all the 5.7 millions of people that got mortgage credits between April 2005 and September 2007
have at least 1 risk factor.
Labels: Business News
Constumer confidence in France decreased again
Constumer confidence in France realize decreasing in January for the 6th serial month, followed by increasing the pesimism of households for their future stanrd of living. The index of Constumer confidence decreased to -34 points in January, from revised datas for decreasing of -30 points from December. The index continue to decrease from its larger level in June from -13 points, which was the highest level from January 2003. This is part of decreasing in financial markets, increasing inflation and strong EUR, and also scandalous news for French bank Socgen.
Bank of France announced, that the economy realise delay and revised the datas for growing of Gross Product for the 4th quarted of the year, from 0.5% to 0.6%, which is 1.9% on yearly base for 2007. The datas are lower from those given from the Government for growing of 2%-2.5% on yearly base.
Labels: Financial News
Societe Generale knew about exceeding the maximal limits
Accusated in fraud French bank employee Jerome Kerviel, told that he is victim of larger scheme, for which knew even directors of Societe Generale According to him, everything was fine, while the thing were OK, and he made money for the bank.
The employee is know investigated for financial frauds and treatments in very big meazurements. For him public prosecutors commented, that Jerome acted like "narcotic dependent from financial risk", when his biography is full with cases of crazy deals. Fast and sometimes mindless reactions of Jerome Kerviel, maybe are in the basic of big loss.
The employee told during investigation, that almost all bank investing specialist have exceed the maximal limits, puit from the bank. According to public prosecutors, the purpose of Kerviel has not been to redirect financial resources of the bank to his own account, but mostly to be the best trader and to get large bonuses. The main salary of this financial expert has not been more than 100 thousand EUR yearly. For 2007, the trader realised extremely good profit for the bank of nearly 1.35 billions EUR and got a bonus to his sallary of 250 thousand EUR. According to him, the pricatise to exceed the maximal limits, started in 2005, while the bank claims that this continue only an year.
Labels: Financial News
Price of Petrol again round 90$ per barel
The price of petrol started this week with negative results, because the investors started to take the winnings from the previous week. The expectings are that OPEC will not increase the daily extractive rates will stop the future decreasing of the petrol's price.
American light petrol with delivery in March, is trading with 84 cents lower this morning in the level of 89.87 US DOllars. Last week contract was reached the bottom of 86.11 US Dollars per barel, but after decreasing of interest level of FED, speculants started to buy petrol futures and increased the price to over 90 US dollars per barel. London's brent petrol is trading with 76 cents less on the price of 90.14 US Dollars per barel.
Investors will go out from their possitions before the meeting of OPEC, so that it is normal to see one more attempt for braking the bottom of 86 US Dollars per barel.", commented Japanese analysers.
Labels: Business News
FED decreased the interest with 0.75%
Federal Reserve of USA decreased its leading interest with emergency stroke for the first time from 2001. This was in result of the collapse of global financial maerkets and the jump of unemployment in USA may get it in recesion. This was commented by Bloomberg.
United States' Central Bank decreased overdraft interest of credits to 3.5% from 4.25%, commented bankers from the comitee of FED's open market.
"In spite of, the dificulties in short term decreased, wider circumstances of the financial markets continued to get worst", commented FED in its issue. To this action they went because of bad economy perspectives and increasing negative risks of the growing.
Labels: Financial News
Asia closed on "RED"
Asia's stocks signed weak beginning of the week, followed by apprehensions of the investors from delay of American economy. This will have a big consequences over the economy of largest continent.
"United States still is going to recesion", analysers commented. "The uncertainty is too big, and speculants will continue to sell their shares in the next few weeks".
The index MSCI decreased with 3% to reach 141.57 points in Tokio this night, and this is the slowest decreasing for the previous 3 days. The index is still with 10% lower from the beginning of the year.
Chinese Index CSI 300 decreased with 6.2% tonight, and this gave it the first place of loses during the week. Japanese index Nikkei 225 is down with 3% to reach 13 215.80 points. Index of Hong Kong, Hang Seng lost 4.7%, followed by almost all commont indexes in the vicinity.
The largest public traded Japanese bank Mitsubishi UFJ, lost 5.1% from the market price, while its competitor Sumitomo Mitsui Financial Group rated on the second place when it lost 5%.
"It looks that Japanese economy will follow the American and will get in recession", is the comment of all analysers.
Labels: Financial News
Refinancing Mortgage
You have heard that you can make money by your own brain. Is it possible, and do you need financial education to do some kind of things. In fact all this things are easy and you need more to be tactful and carefull than anything else. I will try to explain some kind of home refinancing mortgage plan. But this is only basic story of what you may do. Just understand everything carefull and check is it possible for you, and in fact where it is possible. Just some kind of sure win.
So, very popular in undeveloped countries is some type of refinancing mortgage. You don't need any big suitcases of money. Many people have small houses in some forgoten villages, that are in fact unsellable. Mostly this houses are from family legacy, and no-one is living there. And if you are one of these kind of people, you may read this.
First, you should find the best mortgage loan from a bank in your city, or in your country. Subject for your loan will be "Buying a new appartment". If you have good work, and average wage no bank will refuse you a loan for a new home of you. Part of mortgage loan should be any property you have, and you will show your old village house for this. Banks gives nearly 80 to 90 percents of the all value of the appartment you need to buy. So you should give some money for this property, or get one more loan from another bank. And this is a process of searching and selection of a proper bank. When you get your mortgage loan, you should search for proper flat. If in your town there is a big market of office properties, you should find a property in the center of the town, in good condition and with not more than 3 rooms. If the niche in real estates market is students rentals, you should search for flat near some univercity in not so good condition and with no less than 2 rooms. Buy borrowing your appartment you will get monthly enough money to repay your loan. If the money for the rent is not enough for repaying all sum of the loan, it should be not less than 90 percents. For nearly 10 to 15 years you will have one more appartment, and you will gave not more than 20 percents of the real price of the flat. But all this financial tricks may be made in certain circumstances. In fact, you should check if it is possible or not. But in my oppinion is that in almost every country there is some possibility in the estate market to find a niche for rentals and mortgage loans.
Many people think that banks are trying to make a lot of money of their back. It is so, but banks give the opportunity to realise your dreams and to build your business. If you know how to opperate with bank and mortgage loans, you may build your own great business. Almost nothing can happen to your money and properties if you know the basics of mortgage, loans and refinancing.
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