Personal Finance News

21 Ways to Cut Expenses in Retirement
U.S. News & World Report - Few Americans are saving enough to finance a retirement that could last 30 years or more. Workers who haven't accumulated enough to maintain their current standard of living have two choices: delay retirement or learn to live on less money. Those willing to put in a little effort to downsize big and small expenses may be able to get by just fine with a smaller retirement stash. Here are some frugal strategies retirees can employ to stretch their nest eggs: (Mon, 15 Mar 2010 16:23:06 GMT)

Tech's Top Movers
The Motley Fool - The Nasdaq 100, a tech-heavy index, finished last week up 1.89% to close at 1,924.43. Techs are rallying at a notable time: Wednesday marked the 10-year anniversary of the bursting of the dot-com bubble. (Mon, 15 Mar 2010 15:35:18 GMT)

Conn. would waive student loans in 'green' jobs
AP - Paul Goulet hopes Connecticut will help him get from under nearly $8,000 he's borrowed for college after losing his job in a paper manufacturing plant. (Sun, 14 Mar 2010 18:55:58 GMT)

Middle-class NYC apartment complex sold at auction
AP - The developer of a high profile middle-class Harlem apartment complex has lost ownership of the property after defaulting on the mortgage. (Fri, 12 Mar 2010 23:43:11 GMT)

Democrats look to resurrect college aid plan
AP - Congressional Democrats want a stalled overhaul of college aid programs to get strapped onto a fast-track health care bill, giving both Obama administration priorities a better chance of passage. (Fri, 12 Mar 2010 22:05:38 GMT)

Borrowers wait for answers on Obama loan plan
AP - Hundreds of thousands of homeowners are in limbo waiting to find out if they will be accepted for the Obama administration's foreclosure prevention program. (Fri, 12 Mar 2010 21:34:05 GMT)

Obama's proposed student loan overhaul gets boost
Reuters - President Barack Obama's stalled bid to overhaul the federal student loan program by cutting subsidies to private lenders and increasing aid to students received a boost on Friday. (Fri, 12 Mar 2010 21:10:59 GMT)

"Cash for keys" aids home borrowers, investors
Reuters - Jon Daurio, chief executive officer of mortgage investor Kondaur Capital Corp., recently offered a $4,000 check to Barry Culver for the deed to his Bryan, Ohio house. (Fri, 12 Mar 2010 19:21:19 GMT)

BofA mortgage modifications jump in March
Reuters - Bank of America Corp completed 20,666 mortgage modifications in March under a U.S. government-backed program, up 61 percent from February, the bank said on Friday. (Fri, 12 Mar 2010 16:52:02 GMT)

Student loans to be in healthcare package: Pelosi
Reuters - House of Representatives Speaker Nancy Pelosi said on Friday the final version of a broad healthcare overhaul would include a revamp of the student loan program but not a government-run health insurance option. (Fri, 12 Mar 2010 16:49:00 GMT)

Wells Fargo, Baltimore in talks after mortgage suit
Reuters - Wells Fargo & Co said on Friday it is in talks with Baltimore officials that could avert further litigation by that city over the bank's mortgage lending practices. (Fri, 12 Mar 2010 15:49:35 GMT)

UK home loans fall by half in January
AP - The value of home mortgage advances in January fell by half from December, when there was a late rush to complete deals before a tax break ended at the New Year, the Council of Mortgage Lenders said Friday. (Fri, 12 Mar 2010 10:18:22 GMT)

Summary Box: Citi CEO sees return to profitability
AP - BULLISH OUTLOOK: Citigroup Inc. says its returning to "sustained profitability" after losing billions on bad loans and taking a federal bailout. CEO Vikram Pandit says the bank is shedding risky mortgage assets and shifting focus to emerging markets like Latin America and Asia. (Thu, 11 Mar 2010 23:16:22 GMT)

Fannie Mae to offer $6b in notes
AP - Fannie Mae on Thursday said it will offer $6 billion of new 3-year notes due May 7, 2013. (Thu, 11 Mar 2010 20:48:53 GMT)

Gov't official warns on home down payment hikes
AP - The head of the Federal Housing Administration is warning that boosting the minimum down payment borrowers must provide to qualify for home loans backed by the agency could threaten the housing market. (Thu, 11 Mar 2010 20:28:00 GMT)

Stocks Are Quiet While Currencies Scream
The Motley Fool - After a down January, the stock market is again positive for the year. The much-fabled January effect barometer didn't work in 2009, and it remains to be seen if it will work in 2010. Economic data has continued its slow improvement, keeping stocks fairly calm. The wild action so far this year has been in the currency markets. (Thu, 11 Mar 2010 16:53:02 GMT)

Mortgage rates remain below 5 percent
AP - Mortgage rates held below the 5 percent threshold for the second straight week, a report said Thursday, weeks before a government program that has been keeping rates low is scheduled to expire. (Thu, 11 Mar 2010 16:23:14 GMT)

Foreclosures drop for 2nd month in February: RealtyTrac
Reuters - U.S. mortgage foreclosure filings dropped for a second straight month in February, and notched the smallest annual increase in four years as housing-rescue efforts contained activity, a report released on Thursday showed. (Thu, 11 Mar 2010 12:20:14 GMT)

Quinn seeks income tax hike for schools
AP - Calling himself a realist, Gov. Pat Quinn on Wednesday scaled back his proposal to raise income taxes, shifting to a call for an increase of just one percentage point to be used solely for preventing deep cuts to education. (Wed, 10 Mar 2010 19:47:33 GMT)

Home loan demand nudges higher in latest week
Reuters - U.S. mortgage applications nudged higher last week, reflecting increased demand for home purchase loans even as interest rates trekked higher, data from an industry group showed on Wednesday. (Wed, 10 Mar 2010 15:00:52 GMT)

Nationalized UK bank Northern Rock back in profit
AP - Nationalized mortgage lender Northern Rock said Wednesday that it returned to profit in the second half of 2009 as interest income rose and losses on loans fell. (Wed, 10 Mar 2010 08:47:59 GMT)

One Congressman's Solution for Boosting Small Business Loans
The Motley Fool - The first Friday of every month brings the all-important employment report. February's numbers were better than anticipated. The United States lost only 36,000 jobs, versus the 68,000 that experts expected. This compares with 651,000 jobs lost in February 2009. Still, the unemployment rate held steady at 9.7%, with the unofficial rate stuck around a whopping 16%. (Tue, 09 Mar 2010 21:24:07 GMT)

Commercial delinquency lower than other mortgages
AP - Commercial mortgages were among the best-performing loans and leases held by banks and thrifts in the fourth quarter of last year, the Mortgage Bankers Association said Tuesday. (Tue, 09 Mar 2010 19:41:53 GMT)

Management Education on the Fly
BusinessWeek - Who got us into this mess? It's not just greedy mortgage lenders and irresponsible economists who are responsible for the current financial crisis. Leaders, so called, have played a role too, by not managing their companies and so being detached from what was going on in them. And behind much of this has been an educational process that encouraged such detachment. As I've argued at length in my book, Managers not MBAs, the MBA is fine education -- but in the functions of business, not the exercise of managing. ... (Tue, 09 Mar 2010 13:08:46 GMT)

Summary Box: AIG's $15.5B Alico sale to MetLife
AP - THE SALE: American International Group Inc. sold its American Life Insurance Co. division, or Alico, to MetLife Inc. for $15.5 billion. The deal is AIG's second big asset sale in two weeks. On March 1, it said it would sell its AIA Group unit to Prudential PLC for $35.5 billion. (Mon, 08 Mar 2010 23:11:42 GMT)

Is Bank of America a Buy?
The Motley Fool - With the recent auction of Treasury's Bank of America (NYSE: BAC - News) warrants, the big bank joins Goldman Sachs (NYSE: GS - News), Morgan Stanley (NYSE: MS - News), and several other banks in completing its exit from TARP. But, is it a buy? (Mon, 08 Mar 2010 19:50:54 GMT)

MetLife buying AIG's Alico unit for $15.5 billion
Reuters - AIG is selling its foreign life insurance unit to MetLife Inc for about $15.5 billion, its second major asset sale in a week as it raises funds to repay a $182.3 billion U.S. government bailout. (Mon, 08 Mar 2010 15:11:27 GMT)

US insurer MetLife to buy AIG unit for $15.5 bln
AFP - US life insurance giant MetLife will acquire a unit of American International Group in a 15.5-billion-dollar deal that will help AIG pay back part of its government bailout, the firms said Monday. (Mon, 08 Mar 2010 13:02:58 GMT)

AIG set for $15.5 bln deal with MetLife: report
AFP - US insurance giants American International Group and MetLife will on Monday announce a $15.5 billion deal for AIG's second-largest foreign life-insurance business, The Wall Street Journal reported. (Mon, 08 Mar 2010 09:46:20 GMT)

AIG to get $231M if sale of Asian unit crumbles
AP - American International Group Inc. will receive a termination fee of $230.6 million if the sale of its Asian life insurance business to Britain's Prudential PLC falls through. (Sat, 06 Mar 2010 17:29:41 GMT)

Consumer borrowing up in January after 11 declines
AP - Consumer borrowing broke a record stretch of declines with a small increase in January as a boost in auto loans offset continued weakness in credit card borrowing. (Fri, 05 Mar 2010 22:11:28 GMT)

Consumer credit posts first rise in a year
Reuters - Total U.S. consumer credit rose $4.96 billion in January, its first rise in a year and the largest for any month since mid-2008, Federal Reserve data showed on Friday. (Fri, 05 Mar 2010 21:59:09 GMT)

US consumer credit rises first time in a year
AFP - Borrowings by Americans rose for the first time in a year in January, the Federal Reserve said Friday in a sign that the US economic recovery is on track. (Fri, 05 Mar 2010 21:52:20 GMT)

Treasury restates support for Fannie, Freddie
AP - The Treasury Department was forced Friday to reiterate its financial support for Fannie Mae and Freddie Mac after a key lawmaker rattled investors by pointing out that their debt does not enjoy the explicit guarantee of the federal government. (Fri, 05 Mar 2010 21:51:40 GMT)

Wall St rallies on jobs data, consumer credit
Reuters - Stocks jumped and the Nasdaq hit an 18-month closing high on Friday as U.S. employers cut fewer jobs than expected last month and consumers showed signs of shedding their penny-pinching ways. (Fri, 05 Mar 2010 21:41:22 GMT)

Summary Box: Consumer borrowing up in January
AP - BORROWING UP: Consumer credit rose by $4.96 billion in January, breaking a record string of 11 consecutive declines. (Fri, 05 Mar 2010 21:37:06 GMT)

Lawmaker is working to improve loan modifications
AP - A key lawmaker says he is working with banks, regulators and the Obama administration on ways to boost the government's struggling foreclosure prevention effort. (Fri, 05 Mar 2010 15:58:10 GMT)

Upper-income households report less distress
Reuters - Sentiment of U.S. households in the top fifth of the income distribution improved in early 2010 compared with 2009, but worries over personal finances persist, a survey showed on Friday. (Fri, 05 Mar 2010 14:48:21 GMT)

Behind the Buzz About Mint
BusinessWeek - In Mint.com's creation story, as recounted on its Web site, founder Aaron Patzer started the free online personal finance service after a tedious session with Intuit's (NasdaqGS:INTU - News) Quicken budgeting software in 2005. It's a measure of Mint's success that any new complaints about Quicken should now be directed to Patzer himself. Tired of getting its clock cleaned by Mint, Intuit bought the site in 2009 and put Patzer in charge of its entire consumer finance operation. He must figure out how all the pieces will fit together -- while rejuvenating Intuit's aged Quicken franchise. (Fri, 05 Mar 2010 13:08:45 GMT)

Equity One reports jump in profit during 4Q
AP - Shopping center owner Equity One Inc. said Thursday it posted a 71 percent increase in fourth-quarter funds from operations, reporting higher revenue and an income tax benefit. (Fri, 05 Mar 2010 00:46:18 GMT)

MetLife near $15 billion deal for AIG unit
Reuters - A tax question holding up American International Group Inc's sale of its foreign life insurance unit to MetLife Inc is expected to be resolved favorably, clearing the way for a roughly $15 billion deal, sources familiar with the matter said on Thursday. (Thu, 04 Mar 2010 23:12:20 GMT)

Mortgage rates fall below 5 percent
AP - Mortgages rates have dipped below 5 percent again, four weeks before a government program that is helping keep rates low is scheduled to run out. (Thu, 04 Mar 2010 22:39:26 GMT)

America: The Next Growth Economy
The Motley Fool - Warren Buffett described Berkshire Hathaway's (NYSE: BRK-A - News; NYSE:BRK-B - News) acquisition of Burlington National Railroad as a long-term bet on the American economy. In his book The Next Hundred Million: America in 2050, author Joel Kotkin presents data that supports Buffett's thesis, arguing that despite its current economic woes, the U.S. will remain an economic powerhouse over the next four decades. (Thu, 04 Mar 2010 21:37:12 GMT)

Trustee sues ex-Thornburg Mortgage execs for theft
Reuters - Four top executives of Thornburg Mortgage improperly paid themselves handsome bonuses just before the mortgage lender filed for bankruptcy last year, and stole money and ideas from Thornburg to secretly launch a new firm, the bankruptcy trustee in charge of liquidating the lender alleged in a lawsuit. (Thu, 04 Mar 2010 19:51:58 GMT)

AIG units settle discrimination charges
Reuters - Two AIG units settled federal charges that they discriminated against blacks in providing home loans and will pay at least $7.1 million for restitution and education efforts, according to court documents filed on Thursday. (Thu, 04 Mar 2010 17:25:36 GMT)

Freddie Mac prices $5.5 billion in 3-year notes
AP - Government-owned mortgage finance company Freddie Mac on Wednesday priced $5.5 billion in three-year reference notes. (Wed, 03 Mar 2010 19:15:58 GMT)

Business owners can avoid common tax time pitfalls
AP - Small business owners who compile their own income tax returns can find themselves falling into some common quicksand pits. The mistakes can be costly if they raise a company's tax bill unnecessarily or subject it to penalties and interest in the future. (Wed, 03 Mar 2010 19:03:53 GMT)

New, Easy Ways to Save for Retirement
U.S. News & World Report - Half of Americans don't have a retirement plan through their employer, and of those who do, few are saving enough to finance a retirement that will last several decades. To encourage more workers to plan for the future, President Obama announced in September several new federal initiatives to promote saving for retirement. Although employers had the option before, these changes make it easier for them to automatically enroll workers in retirement plans. Some employees will be able to convert unused vacation and sick days to funds for their 401(k)'s, and there's a new way to save tax refunds. ... (Wed, 03 Mar 2010 16:24:14 GMT)

A Guide to Online Investing
U.S. News & World Report - When start-up company kaChing began accepting clients last year, its capital base was as small as its aspirations were grandiose. With just over $2 million in investments under management, the company was looking to challenge the $11 trillion U.S. mutual fund industry. (Wed, 03 Mar 2010 16:15:03 GMT)

Ark. gov. candidate: Cut capital, income taxes
AP - Republican gubernatorial candidate Jim Keet on Tuesday called for phasing out the state's tax on capital gains and a reduction in Arkansas' income tax. (Wed, 03 Mar 2010 01:11:19 GMT)

FDIC seen stepping up sales of failed bank assets
Reuters - The U.S. Federal Deposit Insurance Corp is expected to offer $3.8 billion of guaranteed securitizations backed by the residential mortgage assets of failed banks, market sources said on Tuesday. (Tue, 02 Mar 2010 19:04:02 GMT)

Sirius XM Is Not a $0.25 Stock
The Motley Fool - Despite delivering better than expected results last week, Sirius XM Radio (Nasdaq: SIRI - News) has gone on to close lower in the two trading sessions since its robust report. It opened lower still this morning. (Tue, 02 Mar 2010 15:07:22 GMT)

Consumer group sues insurer over policy changes
AP - Mary Feller's family of three spends nearly $25,000 a year on health insurance premiums, which is more than they pay on their home's mortgage in California's Marin County. (Tue, 02 Mar 2010 09:43:29 GMT)

UK's Pru to buy AIG Asia unit for $35.5 billion
Reuters - Britain's Prudential will buy American International Group's Asian life insurance arm for $35.5 billion in the insurance sector's biggest deal ever, helping the bailed-out U.S. group repay a big chunk of its taxpayer debt. (Tue, 02 Mar 2010 01:47:29 GMT)

FDIC to grease mortgage market with $1.8 bln deal
Reuters - The U.S. Federal Deposit Insurance Corp is planning to sell $1.8 billion of guaranteed asset-backed debt, according to IFR, in what may be a step toward restoring confidence in securities closely tied to the financial meltdown. (Tue, 02 Mar 2010 00:08:14 GMT)

Summary Box: Corporate dealmaking lifts stocks
AP - IN LIKE A LION: Stocks began March with hefty gains after several corporate buyouts raised hopes that the economy is strengthening. American International Group, owned mainly by taxpayers, sold its Asian life insurance business to Britain's Prudential for $35.5 billion. (Mon, 01 Mar 2010 23:15:39 GMT)

How the major stock indexes fared on Monday
AP - Major stock indexes rose to their highest levels in more than a month Monday after corporate buyouts raised hopes about the economy. The biggest boost for the market came from insurer American International Group, which agreed to sell its prized Asian life insurance business to Britain's Prudential for $35.5 billion. It is seen as a sign of confidence in the economy when big businesses go ahead with takeovers. (Mon, 01 Mar 2010 22:31:40 GMT)

MBIA narrows 4Q loss to $242 million
AP - MBIA Inc. said Monday that its loss narrowed in the fourth quarter, although losses from mortgage-related securities continued to hammer the bond insurer. (Mon, 01 Mar 2010 22:27:31 GMT)

Gov't extends deadline for refinance program
AP - The government is giving homeowners another year to refinance their loans under a little-used program designed to help borrowers whose homes have plummeted in value. (Mon, 01 Mar 2010 19:23:41 GMT)

Reports show modest but steady economic recovery
AP - Mixed reports Monday on manufacturing, construction and personal income and spending made clear that the economy is enjoying modest growth even though the recovery remains fragile. (Mon, 01 Mar 2010 18:19:03 GMT)

TransUnion: Mortgage delinquencies hit new record
AP - TransUnion said Monday that customers at least 60 days past due on their mortgage payments rose to a new record in the fourth quarter. (Mon, 01 Mar 2010 17:51:03 GMT)

Wall St extends gains in broad run-up
Reuters - U.S. stocks extended gains on Monday, with the S&P 500 and the Nasdaq up about 1 percent, after a spurt of takeover news and expectations that debt-ridden Greece may get European Union aid. (Mon, 01 Mar 2010 17:29:55 GMT)

Prudential to buy AIG Asia for $35.5 billion
Reuters - Britain's Prudential will buy AIG's Asian arm for $35.5 billion in the insurance sector's biggest deal ever, helping the bailed-out U.S. group repay a big chunk of its taxpayer debt. (Mon, 01 Mar 2010 17:24:06 GMT)

AP - Manufacturing index grows, but at slower pace in February (Mon, 01 Mar 2010 15:06:10 GMT)

US consumer spending grows but incomes lag
AFP - US consumer spending rose more than expected in January but personal income barely budged amid a fragile economic recovery, the government said Monday. (Mon, 01 Mar 2010 14:30:31 GMT)

Housing: Time to Pull the Plug on Government Support
BusinessWeek - America's housing market implosion was the epicenter of the Great Recession. It's hardly surprising that the federal government directed enormous resources at the market. Besides bailing out vulnerable banks, the federal government nationalized mortgage behemoths Fannie Mae and Freddie Mac, opened the lending spigot at the Federal Housing Administration (FHA), passed a first-time home buyers' tax credit, and established a mortgage modification program for troubled homeowners. The Federal Reserve embarked on a $1. ... (Mon, 01 Mar 2010 13:28:46 GMT)

AIG agrees to $35.5 billion unit sale to Prudential: sources
Reuters - American International Group Inc agreed to sell its Asian life insurance unit to Britain's Prudential Plc for about $35.5 billion, in a deal that would help the U.S. government get back billions of its bailout money, sources familiar with the matter said. (Mon, 01 Mar 2010 04:06:11 GMT)

Republicans want hearing on Fannie/Freddie bailout
Reuters - Two key Republicans are urging the House of Representatives to speed up a public hearing to investigate the administration's bailout of home funding giants Fannie Mae and Freddie Mac. (Mon, 01 Mar 2010 02:39:07 GMT)

Report: Prudential PLC nears buy of AIG unit
AP - The board of American International Group Inc. has approved the sale of its Asian life insurance arm to British life insurer Prudential PLC, according to media reports Sunday. (Sun, 28 Feb 2010 23:03:29 GMT)

Reports: Prudential PLC may buy AIG unit
AP - Prudential PLC, Britain's largest life insurer, is exploring a bid for the Asian life-insurance arm of American International Group Inc., according to media reports Saturday. (Sat, 27 Feb 2010 23:32:30 GMT)

Fannie Mae seeks $15.3B in gov't aid after 4Q loss
AP - Fannie Mae needs another $15 billion in federal assistance, bringing its total to more than $75 billion. And worse, the mortgage finance company warned its losses will continue this year. (Fri, 26 Feb 2010 23:23:09 GMT)

Earnings roundup: Fannie Mae, NYMagic
AP - Among the earnings stories for Friday, Feb. 26, from AP Financial News: (Fri, 26 Feb 2010 23:04:53 GMT)

Insurer Conseco posts 4Q profit, reversing a loss
AP - Conseco Inc., the parent of Banker's Life and Casualty and Colonial Penn Life Insurance, on Friday posted a fourth-quarter profit, reversing last year's loss, as sales rose 18 percent and the company lost less on investments than during the market downturn. (Fri, 26 Feb 2010 21:26:03 GMT)

Business events scheduled for the coming week
AP - WASHINGTON — Commerce Department releases personal income and spending for January, 8:30 a.m.; Commerce Department releases construction spending for January, 10 a.m. (Fri, 26 Feb 2010 18:31:16 GMT)

AIG alters payback plan to Fed
Reuters - American International Group Inc has decided not to use securitized U.S. life insurance policies to repay the U.S. government after a $182.3 billion rescue, a source familiar with the matter said on Friday. (Fri, 26 Feb 2010 12:46:22 GMT)