Loans
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Majority of PPP Loans Went to Business Owners, High-Earning Households
$510 billion in loans were extended by the Payroll Protection Program in 2020. Business owners and stakeholders were the main beneficiaries of these loans, according to a new study. As a result, only 2% of those loans flowed to low-earning households, economists concluded. Loading Something is loading. The Payroll Protection Program was launched in April 2020 and issued $510 billion in uncollateralized, low-interest loans of up to $10 million by the end of the year. The speed of this unprecedented program helped businesses keep their doors open, but workers weren’t the main beneficiaries of PPP, according to a study authored
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Critics Say I.M.F. Loan Fees Are Hurting Nations in Desperate Need
At a time when the coronavirus pandemic is fueling a rapid rise in inequality and debt, a growing number of policymakers and economists are pressuring the International Monetary Fund to eliminate extra fees it charges on loans to struggling nations because they siphon away scarce funds that could instead be used to battle Covid. The fund, which for decades has backstopped countries in financial distress, imposes these fees for loans that are unusually large or longstanding. They were designed to help protect against hefty losses from high-risk lending. But critics argue that the surcharges come at the worst possible moment,
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Redfin will buy Bay Equity Home Loans for $135M in bid to boost mortgage business
(GeekWire Photo / Nat Levy) Seattle real estate giant Redfin announced that it will pay an estimated $135 million in cash and stock to purchase Bay Equity Home Loans, a Bay Area-based mortgage lender that is active in 42 states and employs 1,200 people. The deal should provide a boost to Redfin’s lending business. Bay Equity closed $8.5 billion in loans last year and is nearly 10X the size of Redfin Mortgage. It has also generated positive net income each of the last three years. Redfin will consolidate its Redfin Mortgage operations under Bay Equity, which will retain its
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Calls for student loan forgiveness expected to intensify as Biden’s legislative agenda stalls
President Joe Biden’s ambitious social spending and climate-change package of legislation, the Build Back Better Act, appears unlikely to pass as originally written after the moderate West Virginia Democrat Sen. Joe Manchin declared his opposition in the days before Christmas and reiterated this week that there are no ongoing discussions over the bill. Though it’s possible Democrats can muster their razor-thin margins in the House of Representatives and Senate to pass some sort of stripped-down spending bill, it’s almost a certainty that Biden will either this year or after a likely loss of the House after the November elections, turn
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The end of student loans
When it comes to student loans, President BidenJoe BidenOvernight Energy & Environment — Manchin raises hopes on climate spending Missouri state GOP lawmaker resigns for Florida consulting job Joe Manchin stood up for West Virginia values MORE is acting like Lucy removing the football just as naïve Charlie Brown is persuaded to kick it. Every time the president sets a new date to resume student payments, he takes it away. Student borrowers wonder when payments will start again and if they do, where they will find the money they long since spent. Delaying payments is not a policy;
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Waiting for student loan forgiveness? What to do in the meantime
Flashpop | Stone | Getty Images Getting impatient waiting to hear if your student loans will be forgiven? Millions of other borrowers are in the same spot. The topic of loan cancellation has been floated for years now. On the campaign trail, President Joe Biden promised to forgive at least $10,000 of the debt for all but other Democrats are pressuring him to raise that amount to $50,000. Some experts suspect there could be action before the November mid-term elections, with Democrats hoping that delivering on loan cancellation could help them on the ballots. Here’s what you can do while
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With payments paused again, will student loan debt ever be forgiven?
President Joe Biden walks to the Oval Office upon his return to the White House on Dec. 20, 2021. Kevin Lamarque | Reuters When Scott Heins heard that the Biden administration was giving student loan borrowers another three months before they’ll have to start making their payments again, he had mixed feelings. On one hand, the freelance photographer in Brooklyn, New York, doesn’t know how the fast-spreading omicron variant of Covid-19 will impact his work, and so getting a little more time is a relief. More than a decade after graduating college, he still owes more than $20,000. Yet the
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Why 2022 is the year student loans could be linked to your 401(k)
Retirement reform advocates in Washington have had a bumpy 2021. Multiple efforts to help people save more effectively for retirement, including one informally called SECURE 2.0, seemed to be on track for passage before Congress’ other efforts crowded them out. But the effort may gain renewed traction in 2022. In a recent webinar co-hosted by Yahoo Finance and the Bipartisan Policy Center, Rep. Fred Keller (R-PA) said, “I think our chance for success in the upcoming year to get the SECURE 2.0 on the books is pretty positive.” Keller and other lawmakers have focused on one particular provision: linking retirement
