Federal Rate Cut Good or Bad?

Originally posted 2008-12-18 05:23:02. Republished by Blog Post Promoter

     With the recent Federal rate cut, I am left wondering if this rate cut will be enough to jump start the economy or give the consumer confidence to buy a home or let alone a car.  The reason this question should be at the forefront of everyone’s mind is that Chrysler and Ford announced today that they are laying off employees for 30 days or more. 

     I am not sure that lawmakers realize the catastrophic effect that the car industry’s folding will have.  There are several industries that will be effected by the folding of the car industry.  For instance, the steel industry supplies the steel to build the cars, Lear provides seats and other parts, and other companies that provide parts to the auto industry.  More importantly, the failure of the auto industry is enough to single handedly cause the demise of the Midwest.   

     I realize that this is an important issue and making the wrong move could make matters worse, but doing nothing is not the answer.    I certain feel that there needs to be regulation on the industry to include caps on CEO bonsus and pay.  It is not fair for one person to benefit off of the blood, sweat, and tears of many.  Therefore, I challenge the CEOs to take responsible for the demise of the industry and offer a solution to their own problem that would even the playing field economic between the employees and CEO pay and benefits.  Not only will the CEOs have to give, but the unions will have to, as well.  I do not have all the answers, but something has to be done.

Loan Modification is Easier Than You Think

Did you know that you can qualify for a loan modification if you have any of the below hardships:
• Divorce
• Death of spouse
• Behind on mortgage payment
• Adjustable rate mortgage
• Interest rate above 7%
• Imprisonment
• Loss of wages
• Medical condition
• Balloon mortgage payment

Under the loan program HR 5579 which offers assistance to more than seven to nine million homeowners, you can with the help of EAC Financial, LLC renegotiate your mortgage to prevent foreclosure.

The program is designed with you in mind. It gives lenders an alternative to a threatening lawsuit for unscrupulous lending practices that the lender employed in the past.

The program also allows lenders to reduce loan payments to no more than 31% of your income.

If your loan is under $729,000, you may qualify for a loan modification.

Contact Serena at 219 614 9390 or 219 803 4489 for your free consultation.

You may see your interest drop to between three to five percent meaning that your mortgage may drop between $200 to $800 a month.

Call Serena today or email her for more details at taylorbrownrealestate@yahoo.com.

Countrywide Had a VIP Program

Countrywide has a VIP program. The debunked, Countrywide, who has since been purchased by Bank of America makes available to certain individuals a reduced interest rate. The individual must be a congressman, and was known inside Countrywide as the “Friends of Angelo”. The program was named this due to Chief Executive Angelo Mozilo alleged involved in the loan processing. The program was in operation in 2003 and offered to congressmen 4.5% to 4.625% loans when loans to average Americans were 4.7% to 5.3%.

The individuals in Congress who took advantage of this loan claim not to know anything about their favorable treatment in accruing the loan.

I find it highly unlikely that the congressmen did not know when some of them took out more than one loan from Countrywide during this period of time.

The overall impact to Countrywide success or failure is unknown, but the realization that the company was doing unscrupulous practices is clear.

The investigation of the allegation against Countrywide is now the troubles of Bank of America who declined to comment.

It will be interesting to see how these new allegations will play out to Bank of America receipt of future bailout monies.