After years of haggling by both sides, the Maryland state Senate voted to eliminate the nonprofit requirement for credit counseling organizations. If approved by the House of Delegates, it will open the gates for companies looking to profit at the expense of Maryland debtors. (more…)
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Archive for the ‘Financial News’ Category
Stimulus Payment Schedule
If you are anticipating a stimulus payment this year, the Internal Revenue Service has announced they will follow the following schedule for sending notices and rebate payments. (more…)
Nonfilers Should File Form 1040A to Receive Stimulus Payments
Low income families that are not required to file tax returns should file Form 1040A in order to receive stimulus payments this year. Otherwise, they may not receive any payments.
Stimulus payments will be available to those who file Form 1040A (or other tax forms) who earned at least $3,000 during 2007. This may include those receiving social security or other payments.
Many people who receive social security benefits also earn some supplemental income through part-time jobs, sale of crafts or other similar means of financial support. Those earning at least $3,000 can file a tax return through volunteers for free, thereby making themselves eligible for the $300 stimulus payment.
Project MedFICO in Development
One of the newest major projects undertaken by Fair Isaac Corporation is a medical version of a credit score. Since medical bills are not repaid with the same regularity as other bills, this new tool is seen as a way to provide greater predictability of repayment to medical service providers.
Affectionately known as MedFICO, this project is currently under development and could be available for commercial sale by the end of 2008. (more…)
Service Sector Shows Economic Contraction
An early report by the Institute for Supply Management shows that the non-manufacturing (mostly service sector) index fell to 41.9 in January. Any reading below 50 is considered a contraction.
This is a huge variance from bullish economists that expected a 53 reading. It is also a clear sign that recession is ominous. Investors agreed, sending stock prices immediately tumbling. (more…)
Rhode Island Judge Disallows Sale of Structured Settlement
Stone Street Capital is one of many firms that specialize in the purchasing of structured settlements. They frequently advertise on late night television when ad spots are cheaper and financially troubled people are still awake due to stress.
There are few protections for people who unwittingly sell their stake in structured settlements for an upfront payment. However, a Rhode Island state law passed in 2001 requires judges to determine if such transactions are in the best interests of the payee. (more…)
Tax Rebates Will Have Limited Impact on Recession
Republicans and Democrats hailed the newly announced income tax rebates as a preventative measure to ward off recession. The rebates amounting to $600 for individual taxpayers and $1,200 for joint tax filers are supposed to ratchet up consumer spending. Even those earning $3,000 or more would get $300 back, even though they do not pay income taxes.
The goal of this is to provide a boost to an ailing economy that is by some accounts already falling into recession. However, these rebates will not have the intended effects. (more…)
Fed Slashes Rates to Resist Recession
The Federal Reserve Board voted to reduce both the federal funds rate and the discount rate by three quarters of a percent. In an emergency move, the Fed acted ahead of next week’s scheduled meeting.
Huge sell-offs in Asian and European markets were expected to be matched by a similarly drastic fall in US stock prices. The holiday kept US stock exchanges closed, which allowed for two days of losses overseas. (more…)
RBC Centura Becoming RBC Bank
In a change announced Thursday, RBC Centura announced that they would be simplifying their name. Considered by some to be a mouthful, RBC Centura will become RBC Bank.
The change is expected to finalize in April, when the bank will officially become RBC Bank.
It will take some time for the changes to be fully implemented. In fact, many of the old signs may still say RBC Centura for the next couple of years.
Bank of America to Buy Countrywide
Rumors of Bank of America preparing to buy Countrywide swirled on Thursday. On Friday, Bank of America announced they were true. (more…)
