Personal Finance News Aug 2008

Judge dismisses class-action bond interest lawsuit
AP - A North Carolina judge threw out a class-action lawsuit Thursday filed by North Carolina residents seeking refunds on income tax they paid on interest generated from out-of-state bonds. (Fri, 01 Aug 2008 00:21:50 GMT)

Congress approves student loan bill
Reuters - Legislation that seeks to protect college students from lending abuses while boosting student aid was approved by Congress on Thursday. (Fri, 01 Aug 2008 01:14:46 GMT)

Lehman in talks to sell $30 bln mortgage assets: report
Reuters - Lehman Brothers Holdings Inc is in talks with prospective buyers to sell about $30 billion in commercial mortgage assets and other hard-to-value securities, the New York Post reported on its website. (Fri, 01 Aug 2008 10:39:07 GMT)

UK's FSA finds no sign of HBOS share manipulation
Reuters - Britain's financial watchdog has found no evidence that illegal dealing was behind an abrupt fall in the shares of mortgage lender HBOS in March, but warned it would not relax its surveillance of the market. (Fri, 01 Aug 2008 10:41:12 GMT)

IndyMac Bancorp files for Chapter 7 bankruptcy
Reuters - IndyMac Bancorp Inc , once one of the largest U.S. mortgage lenders, has filed for bankruptcy protection, less than three weeks after being seized by federal regulators following a bank run by depositors. (Fri, 01 Aug 2008 14:02:53 GMT)

Fannie, Freddie seen boosting loss estimates, again
Reuters - U.S. mortgage market giants, Fannie Mae and Freddie Mac , may report further downgrades to their forecasts for credit losses in their upcoming second-quarter results, starting next week. (Fri, 01 Aug 2008 23:41:12 GMT)

S&P emails slammed mortgage debt products: report
Reuters - Analysts at Standard & Poor's Rating Services warned against mortgage-related debt products in internal e-mails that, in one case, called the complex financial deals "ridiculous," the Wall Street Journal reported in its weekend edition. (Sat, 02 Aug 2008 16:36:36 GMT)

HSBC reports 1H fall in profit
AP - HSBC Holdings PLC, Europe's largest bank by market value, reported Monday its steepest fall in profit since 2001 as costs for bad U.S. mortgage loans mounted. (Mon, 04 Aug 2008 11:24:44 GMT)

HSBC profits sag 28 percent to $10.2 billion on bad debts
Reuters - Europe's biggest bank HSBC reported a 28 percent fall in its first-half profit, in line with forecasts, as a $14 billion hit on bad debts on U.S. home loans and asset writedowns offset strong Asian growth. (Mon, 04 Aug 2008 11:30:47 GMT)

Stocks decline following inflation reading
AP - Stocks declined early Monday after the government issued a stronger-than-expected report on consumer spending that also showed a jump in inflation. (Mon, 04 Aug 2008 14:27:57 GMT)

Wachovia shares fall; analyst says sell the stock
Reuters - Wachovia Corp shares fell as much as 10.3 percent on Monday after an analyst said investors should sell the shares of the fourth-largest U.S. bank and avoid the pain likely to result from repairing a balance sheet bloated with mortgage and real estate loans. (Mon, 04 Aug 2008 16:03:14 GMT)

Orix and Credit Saison in $106 billionmerger talks
Reuters - Orix Corp (8591.T), Japan's largest leasing company, and consumer credit firm Credit Saison (8253.T) are in merger talks, financial sources close to the matter said on Tuesday, seeking a deal to form a $106 billion finance group. (Tue, 05 Aug 2008 00:28:50 GMT)

Freddie Mac chief disregarded warning signs: report
Reuters - U.S. mortgage market giant Freddie Mac's chief executive dismissed internal warnings that could have protected the company from some of the financial problems now engulfing it, the New York Times said, citing more than two dozen current and former high-ranking executives and others. (Tue, 05 Aug 2008 08:17:23 GMT)

Lawmakers urge foreclosure delay until Oct 1
Reuters - Members of a congressional housing market oversight panel on Tuesday again urged the mortgage industry to hold off on foreclosures until legislation meant to help distressed U.S. homeowners can take effect on October 1. (Tue, 05 Aug 2008 21:05:23 GMT)

Treasury hires Morgan Stanley as GSE adviser
Reuters - The Treasury said on Tuesday it hired Morgan Stanley as an adviser to help it analyze and better understand its new authorities to backstop housing finance giants Fannie Mae and Freddie Mac (Tue, 05 Aug 2008 21:42:52 GMT)

Treasury hires Morgan Stanley on Fannie, Freddie
AP - The Treasury Department said Tuesday it had hired investment firm Morgan Stanley to help the government assess the risks facing mortgage giants Fannie Mae and Freddie Mac. (Tue, 05 Aug 2008 21:45:31 GMT)

Fannie Mae raises fees again to mitigate losses
Reuters - Fannie Mae has raised some fees on mortgage loans its purchases, marking the fourth increase in 10 months, to reflect higher credit risk and offset losses from continuing market deterioration. (Tue, 05 Aug 2008 22:15:29 GMT)

Subprime meltdown behind worst stock market slide since 2001-2002
AFP - The collapse of the subprime mortgage market in the United States and the subsequent global financial crisis has provoked the sharpest fall on world stock markets since the end of the Internet bubble in 2001-2002. (Wed, 06 Aug 2008 02:49:55 GMT)

Morgan Stanley to freeze home-equity credit lines: report
Reuters - Morgan Stanley told thousands of clients this week that they will not be allowed to withdraw money on their home-equity credit lines, Bloomberg News reported Wednesday, citing a person familiar with the situation. Most of the clients had properties that have lost value, the agency reported, citing a person who declined to be identified. (Wed, 06 Aug 2008 05:24:41 GMT)

Freddie Mac swings to 2Q loss
AP - Freddie Mac on Wednesday posted a second-quarter loss more than three-times larger than Wall Street expected as more homeowners fell behind on their mortgages. (Wed, 06 Aug 2008 13:29:07 GMT)

Freddie Mac loses $821 mln in 2nd quarter
AFP - Troubled mortgage finance giant Freddie Mac on Wednesday reported an 821-million-dollar net loss in the second quarter, as the US housing collapse further dug a hole in the company's finances. (Wed, 06 Aug 2008 13:43:57 GMT)

Freddie posts 4th-straight loss, to slash dividend
Reuters - Freddie Mac on Wednesday posted its fourth straight quarterly loss as it braced for a prolonged housing crisis by setting aside twice as much money for bad loans and setting plans to slash its dividend by at least 80 percent. (Wed, 06 Aug 2008 13:51:20 GMT)

Wall Street declines on Freddie Mac loss
AP - Stocks declined Wednesday, a day after a big rally, as troubled mortgage financier Freddie Mac reported a larger-than-expected second-quarter loss and touched off fresh concerns about the financial sector. (Wed, 06 Aug 2008 14:25:51 GMT)

Conn. sues Countrywide over lending practices
AP - Connecticut sued Countrywide Financial Corp. on Wednesday, becoming the latest state to take the mortgage lender to court over its lending practices. (Wed, 06 Aug 2008 18:56:36 GMT)

Market rises on Cisco outlook and drop in oil
Reuters - Stocks rose on Wednesday, building on the previous day's big gains, as a further drop in oil prices and a reassuring outlook from Cisco Systems overshadowed persistent credit concerns. (Wed, 06 Aug 2008 20:26:09 GMT)

Insurer AIG posts 2nd-quarter loss on write-downs
Reuters - American International Group Inc , the world's largest insurer, posted its third consecutive quarterly net loss on Wednesday, hurt again by the write-down of derivatives linked to bad mortgage investments. (Wed, 06 Aug 2008 22:00:07 GMT)

Insurer AIG posts large loss on bad mortgage bets
Reuters - American International Group Inc posted its third consecutive quarterly net loss of more than $5 billion on Wednesday as it wrote down bad mortgage-related investments, sending its shares down almost 8 percent. (Thu, 07 Aug 2008 00:41:05 GMT)

Freddie Mac's rising losses bode ill for US housing crisis
AFP - Troubled mortgage finance giant Freddie Mac reported a shocking loss in the second quarter that bodes ill for the US taxpayer after the government's huge rescue package. (Thu, 07 Aug 2008 02:35:08 GMT)

AIG's huge 2Q loss shows credit market woes linger
AP - American International Group Inc. posted its third straight quarterly loss, a rude awakening to investors hoping that troubles in the insurer's mortgage market investments were starting to level off. (Thu, 07 Aug 2008 04:52:56 GMT)

Delinquencies for 2007 mortgages outpacing 2006: report
Reuters - Delinquencies of prime mortgages originated in 2007 are outpacing those made in 2006, suggesting the U.S. housing and financial crisis may be deeper than initial estimates, the Wall Street Journal said on Thursday. (Thu, 07 Aug 2008 13:16:24 GMT)

AIG sees up to $8.5 billion in cash losses from CDS
Reuters - American International Group Inc said on Thursday potential cash losses on its portfolio of credit default swaps tied to risky mortgage debt could be as high as $8.5 billion, much more than previously disclosed. (Thu, 07 Aug 2008 14:22:59 GMT)

Stocks pare losses on rise in pending home sales
AP - Stocks have pared their losses following a report that pending U.S. home sales rose in June, rather than declining as expected. (Thu, 07 Aug 2008 14:27:22 GMT)

Consumer credit rose $14.33 bln in June
Reuters - U.S. consumer credit expanded at the fastest rate in seven months in June as Americans turned to credit cards and consumer loans to maintain spending in the face of rising food and energy costs, a government report on Thursday showed. (Thu, 07 Aug 2008 19:52:14 GMT)

Why Their Economic Plans Don't Add Up
BusinessWeek Online - As he crisscrosses the country in his quest for the Presidency, Senator John McCain frequently repeats his vow to keep today's low income tax rates in place, take a further whack at the estate tax, and ease the tax burden on business. "I want to look you in the eye," he said at a July 30 town hall meeting at a local Caterpillar dealer in Aurora, Colo. "I will not raise your taxes nor support a tax increase. I will not do it." (Fri, 08 Aug 2008 12:08:42 GMT)

Fannie Mae loses $2.3B in quarter as defaults rise
AP - Mortgage finance company Fannie Mae swung to a second-quarter loss that was more than triple what Wall Street expected as conditions in the housing market continued to deteriorate. (Fri, 08 Aug 2008 12:33:54 GMT)

Fannie Mae posts massive $2.3bln loss
AFP - Struggling home finance giant Fannie Mae Friday reported a massive second quarter loss of 2.3 billion dollars, more than three times analysts' estimates. (Fri, 08 Aug 2008 12:40:35 GMT)

Fannie Mae posts massive $2.3bln loss
AFP - Struggling home finance giant Fannie Mae Friday reported a massive second-quarter loss of 2.3 billion dollars, more than three times analysts' estimates. (Fri, 08 Aug 2008 13:21:45 GMT)

Fannie Mae posts hefty loss, cuts dividend
Reuters - Fannie Mae , the largest U.S. home funding source, on Friday posted its fourth straight quarterly loss as home loan defaults increased and said it would slash its dividend more than 85 percent and take other steps to shore up its capital position. (Fri, 08 Aug 2008 13:23:05 GMT)

Wall Street jumps as oil drops
Reuters - Stocks rose on Friday as a further drop in oil prices buoyed hopes that inflation will ease, stimulating spending by businesses and consumers, which would restore corporate profit growth. (Fri, 08 Aug 2008 14:06:13 GMT)

Stocks advance as oil prices decline
AP - Stocks rebounded Friday from a sell-off a day earlier as a sharp drop in oil prices eased worries over a quarterly loss from mortgage finance company Fannie Mae that was more than triple what Wall Street expected. The Dow Jones industrials rose more than 100 points. (Fri, 08 Aug 2008 14:24:19 GMT)

Wachovia cuts back mortgage lending-report
Reuters - Wachovia Corp , the fourth-largest U.S. bank, will stop making mortgage loans through its branch offices in 19 U.S. states, a published report said. (Fri, 08 Aug 2008 23:48:04 GMT)

Credit unions hit by mortgage-market problems: report
Reuters - Five of North America's largest credit unions are reporting big paper losses on mortgage-related securities, a sign that housing-market distress is spreading even to the most risk-averse financial sectors, the Wall Street Journal (WSJ) said on Monday. (Mon, 11 Aug 2008 05:48:29 GMT)

S&P cuts Fannie, Freddie preferred stock
Reuters - Standard & Poor's on Monday slashed the preferred stock ratings of Fannie Mae and Freddie Mac , and said the U.S. mortgage funding giants presented a greater risk to the government. (Mon, 11 Aug 2008 15:50:21 GMT)

Countrywide faces FTC probe over loan servicing
Reuters - Countrywide Financial Corp, which was the largest U.S. mortgage lender before being acquired by Bank of America Corp , faces a Federal Trade Commission probe into whether its loan-servicing activities violated federal law. (Mon, 11 Aug 2008 22:37:55 GMT)

Wachovia to cut 600 more jobs than earlier planned
AP - Wachovia Corp. said Monday it plans to cut 600 more jobs than it previously expected as it works to reduce expenses in the face of staggering losses tied to mortgage debt. (Mon, 11 Aug 2008 23:54:55 GMT)

Most companies in US avoid federal income taxes
AP - Two-thirds of U.S. corporations paid no federal income taxes between 1998 and 2005, according to a new report from Congress. (Tue, 12 Aug 2008 10:31:40 GMT)

UBS posts Q2 losses, writedowns of $5.1B
AP - UBS AG, one of the hardest hit banks in the subprime mortgage crisis, said Tuesday that it had further losses and writedowns of $5.1 billion during the second quarter of 2008. (Tue, 12 Aug 2008 10:43:25 GMT)

JPMorgan Chase: More mortgage market losses for 3Q
AP - JPMorgan Chase & Co. revealed Monday that it has incurred more substantial losses in its mortgage investments so far in the third quarter than it did in the previous three months. (Tue, 12 Aug 2008 11:00:40 GMT)

JPMorgan loses $1.5 billion so far in third quarter
Reuters - Investment bank JPMorgan Chase & Co has incurred losses of about $1.5 billion since the start of July, hurt by turmoil in the credit and mortgage markets and by wider credit spreads and lower levels of liquidity, the company said in a regulatory filing late Monday. (Tue, 12 Aug 2008 12:50:30 GMT)

Worries about credit losses weigh on Wall Street
Reuters - U.S. stocks fell on Tuesday, as bank shares tumbled on fresh worries about the economy and further losses stemming from the mortgage crisis. (Tue, 12 Aug 2008 20:20:11 GMT)

W.Va. AG sues Countrywide over home foreclosures
AP - West Virginia's attorney general accuses a national mortgage lender of making risky and unconscionable loans in a lawsuit that's similar to challenges filed in several other states. (Tue, 12 Aug 2008 20:46:55 GMT)

Treasurys advance on worries about credit market
AP - Treasury bond prices advanced Tuesday, driven by continued concern about credit losses from major Wall Street banks and uncertainty about the value of risky mortgage-backed securities. (Tue, 12 Aug 2008 22:09:19 GMT)

SEC short-selling ban on Fannie, Freddie to end
AP - A government order expires Tuesday that temporarily banned a certain kind of short-selling of the stocks of mortgage finance companies Fannie Mae and Freddie Mac and 17 large investment banks. (Tue, 12 Aug 2008 22:12:34 GMT)

JPMorgan shares tumble on widening 3Q losses
AP - JPMorgan Chase & Co. shares tumbled nearly 10 percent Tuesday as the bank's disclosure about escalating losses in its mortgage portfolio set off new concerns about the health of the overall financial sector. An analyst's lowering of the bank's earnings estimates and price target contributed to the decline. (Tue, 12 Aug 2008 22:25:00 GMT)

Credit jitters, surging oil hurt stocks
Reuters - Stocks fell on Wednesday, as persistent concerns about the credit crisis hurt bank shares while a rebound in oil prices and weak outlooks at some retailers raised anxieties about consumer spending. (Wed, 13 Aug 2008 20:43:46 GMT)

Greenspan sees house price bottom in 2009: report
Reuters - Former Federal Reserve Chairman Alan Greenspan predicts U.S. house prices will begin to stabilize in the first half of next year, even as he faulted the government's rescue of mortgage market giants Fannie Mae and Freddie Mac, the Wall Street Journal reported on Thursday. (Thu, 14 Aug 2008 07:19:56 GMT)

Getting Smarter on School Loans
BusinessWeek Online - For years, college students and their parents have relied heavily on credit cards, home equity, and private loans to pay for school, according to a recent survey provided exclusively to BusinessWeek. But those sources of cash are drying up. On Aug. 6, Wachovia joined the more than 150 financial firms that have fled the private student-loan business. And Morgan Stanley froze home-equity lines for some clients. (Thu, 14 Aug 2008 12:08:45 GMT)

UBS misled NH student lender
AP - New Hampshire securities regulators are accusing a branch of banking giant UBS of misleading a leading issuer of student loans in the state. (Thu, 14 Aug 2008 14:01:01 GMT)

30-year mortgages remain at 6.52 percent
AP - Rates on 30-year mortgages remained at the same level for a third week while rates on other types of home loans posted small declines. (Thu, 14 Aug 2008 21:18:45 GMT)

Inflated appraisal nearly cost family its home
AP - After 25 years as a doorman on Manhattan's Upper East Side, Carl Petrone was ready to retire from the cold winters and his daily commute. (Sun, 17 Aug 2008 17:07:48 GMT)

Questions and answers on hiring an appraiser
AP - Questions and answers on how consumers can ensure they are getting an honest appraisal when buying or selling a home, refinancing an existing mortgage or taking out a home equity loan or line of credit: (Sun, 17 Aug 2008 17:10:10 GMT)

AP IMPACT: Weak rules cripple appraiser oversight
AP - As soaring home prices set the stage for America's great housing meltdown, a critical step in making sure those home sales were a fair deal — the real estate appraisal — was undermined from within. (Sun, 17 Aug 2008 18:11:55 GMT)

AP IMPACT: Weak rules cripple appraiser oversight
AP - As soaring home prices set the stage for America's great housing meltdown, a critical step in making sure those home sales were a fair deal — the real estate appraisal — was undermined from within. (Mon, 18 Aug 2008 04:05:48 GMT)

The Workplace: Making Bold Moves in Tough Times
BusinessWeek Online - How do you get ahead on the job when the labor market is crumbling? Michael Donaldson, an entertainment lawyer and author of Fearless Negotiating (McGraw-Hill; $16.95), says workers often have more power than they think they do, even in tough times. Personal Finance Editor Lauren Young asked Donaldson for negotiating tips. (Mon, 18 Aug 2008 12:08:47 GMT)

Washington offers no relief for savers
AP - Two giant mortgage companies get into hot water over risky investments. The government steps in to throw them a lifeline should they need it. (Mon, 18 Aug 2008 17:03:10 GMT)

US Treasury plays down increased Fannie, Freddie speculation
AFP - The US Treasury swiftly played down a media report Monday that suggested the government could be poised to extend significant financial aid to the struggling mortgage-finance giants Fannie Mae and Freddie Mac. (Mon, 18 Aug 2008 19:47:47 GMT)

Stocks tumble on Fannie, Freddie worries
Reuters - U.S. stocks sank on Monday as the prospect of more losses from the mortgage crisis hurt the shares of banks and the two biggest home finance providers, pushing all three major indexes down about 1.5 percent. (Mon, 18 Aug 2008 20:25:36 GMT)

Bailout concerns slam Freddie, Fannie shares
Reuters - Investors dumped shares of Fannie Mae and Freddie Mac on Monday after a newspaper report said government officials may have no choice but to effectively nationalize the U.S. housing finance titans. (Mon, 18 Aug 2008 20:45:06 GMT)

Fannie, Freddie fall on renewed bailout fears
AP - Whether or not the government is actually on the verge of taking over mortgage finance companies Fannie Mae and Freddie Mac, investor fears that a bailout is imminent could turn such a worst-case scenario into reality. (Mon, 18 Aug 2008 21:34:40 GMT)

Wall Street pulls back as financials fall
AP - Wall Street retreated Monday after Fannie Mae and Freddie Mac fell to their lowest levels in nearly 20 years on concerns that the government might need to bail out the mortgage financiers. Weakness in the overall financial sector sent the Dow Jones industrial average down more than 175 points. (Mon, 18 Aug 2008 21:43:02 GMT)

'Liar loans' threaten to prolong mortgage crisis
AP - In the mortgage industry, they are called "liar loans" — mortgages approved without requiring proof of the borrower's income or assets. The worst of them earn the nickname "ninja loans," short for "no income, no job, and (no) assets." (Mon, 18 Aug 2008 21:50:30 GMT)

Fannie, Freddie fall on renewed bailout fears
AP - Whether or not the government is actually on the verge of taking over mortgage finance companies Fannie Mae and Freddie Mac, investor fears that a bailout is imminent could turn such a worst-case scenario into reality. (Tue, 19 Aug 2008 09:04:46 GMT)

Euro hits six-month dollar low
AFP - The euro slid to a six-month low against the dollar on Tuesday amid concerns over a weaker eurozone, while the US currency fell versus the yen on fresh worries about the health of US mortgage giants, dealers said. (Tue, 19 Aug 2008 10:54:27 GMT)

Housing starts and permits tumble in July
Reuters - Home building projects started in July fell 11 percent to the lowest annual rate in more than 17 years, while building permits tumbled 17.7 percent, the Commerce Department reported on Tuesday. (Tue, 19 Aug 2008 13:10:13 GMT)

American Home to pay fraction of bankruptcy claims
Reuters - American Home Mortgage Investment Corp , which was among the largest U.S. home loan providers before seeking bankruptcy protection a year ago, said it will pay unsecured creditors no more than 5.9 cents on the dollar as it liquidates assets. (Tue, 19 Aug 2008 13:43:03 GMT)

Stocks fall on inflation data, financial worries
AP - Stocks fell sharply Tuesday after a hefty jump in wholesale inflation and a drop in new home construction gave investors more reasons to believe the economy will have a tough time rebounding anytime soon. The Dow Jones industrial average at times fell more than 100 points. (Tue, 19 Aug 2008 14:10:41 GMT)

Russia 'makes 1 bln dlrs' on Fannie Mae, Freddie Mac bonds: reports
AFP - Investments in the bonds of struggling US home-loan financers Fannie Mae and Freddie Mac have earned Russia more than a billion dollars in the past six months, press reports said Tuesday. (Tue, 19 Aug 2008 18:59:51 GMT)

Fannie, Freddie capital raising options uncertain
AP - As mortgage financiers Fannie Mae and Freddie Mac struggle with continuing credit losses, their ability to raise needed capital is uncertain and, analysts say, is complicated by the possibility of a government bailout of the two companies. (Wed, 20 Aug 2008 09:37:52 GMT)

Mortgage application volume hits multiyear low
AP - Mortgage application volume fell last week to its lowest levels in nearly eight years, the Mortgage Bankers Association said Wednesday. (Wed, 20 Aug 2008 13:11:26 GMT)

Regulator to help IndyMac mortgage borrowers
Reuters - Thousands of homeowners with distressed mortgage loans linked to failed lender IndyMac may soon be able to avoid foreclosure under a program announced on Wednesday by U.S. banking regulators. (Wed, 20 Aug 2008 19:38:13 GMT)

Ailing US mortgage giants face fresh pressure
AFP - US mortgage finance giants Fannie Mae and Freddie Mac saw their share prices plummet Wednesday amid heightened concerns about their ability to ride out the credit crisis without government help. (Wed, 20 Aug 2008 20:50:06 GMT)

Fannie Mae, Freddie Mac shares plummet
AP - Investors are betting that time is running out for Fannie Mae and Freddie Mac. (Wed, 20 Aug 2008 21:03:41 GMT)

Wall St rises as bank, energy shares rebound
Reuters - U.S. stocks rose on Wednesday as bank and energy shares rebounded even as investors dumped Fannie Mae and Freddie Mac on fears of an imminent government bailout of the housing finance companies. (Wed, 20 Aug 2008 21:07:59 GMT)

Treasurys up as Fannie, Freddie stoke uncertainty
AP - Treasury prices rose Wednesday amid market speculation that the government will have to bail out mortgage financiers Fannie Mae and Freddie Mac. (Wed, 20 Aug 2008 21:46:50 GMT)

Fannie, Freddie shares dive on bailout fears, bonds up
Reuters - Fannie Mae and Freddie Mac shares plunged to their lowest levels in almost 20 years on Wednesday, while the mortgage companies' bonds rallied on the belief that an increasingly likely government bailout would wipe out shareholders but secure their massive debt. (Wed, 20 Aug 2008 21:51:40 GMT)

FDIC sets mortgage plan for IndyMac borrowers
AP - Thousands of troubled home borrowers with loans from IndyMac Federal Bank will be able to switch to fixed-rate mortgages under a new plan from federal regulators, who seized the bank last month after it became the largest regulated thrift to fail. (Wed, 20 Aug 2008 22:01:18 GMT)

Following AP report, appraisers calls for reform
AP - Four national associations of real estate appraisers have asked Congress for major regulatory reforms in the wake of an Associated Press investigation that identified key failings within the existing system. (Wed, 20 Aug 2008 22:27:33 GMT)

US group buys German subprime casualty
AFP - US private equity group Lone Star is to take over IKB, the German bank rescued by state development bank KfW after falling victim to the subprime mortgage meltdown, KfW said Thursday. (Thu, 21 Aug 2008 12:25:12 GMT)

Analysts see tough quarter for U.S. investment banks
Reuters - Wall Street research analysts are projecting yet another tough quarter for U.S. investment banks marked by additional writedowns across a series of fixed-income assets amid an already weak operating environment. (Thu, 21 Aug 2008 13:13:54 GMT)

Asking the Wrong Questions About Debt
The Motley Fool - Last year, investing guru Ken Fisher wrote that while a little debt may be good for us, a lot more of it can be great. According to the basic tenets of his book The Only Three Questions That Count, he thinks we should forget about our lack of savings discipline so that we can mortgage ourselves a lot more than we do. (Thu, 21 Aug 2008 13:43:07 GMT)

Fannie Mae, Freddie Mac shares tumble on bailout fears
Reuters - Shares of Fannie Mae and Freddie Mac slid at the open on Thursday, on mounting fears that the two mortgage finance companies may need a government bailout, which would wipe out shareholder value. (Thu, 21 Aug 2008 13:47:10 GMT)

Fannie, Freddie shares keep falling
AP - Shares of troubled mortgage finance companies Fannie Mae and Freddie Mac continued their freefall Thursday, as market expectations grew that the government would intervene and eliminate common stockholders' investment. (Thu, 21 Aug 2008 14:07:49 GMT)

Stocks open lower on financial sector worries
AP - Stocks fell in early trading Thursday as oil prices rose again and investors grew more anxious about the financial sector, particularly mortgage financiers Fannie Mae and Freddie Mac and investment bank Lehman Brothers Holdings Inc. (Thu, 21 Aug 2008 14:08:56 GMT)

IKB to be bought by Lone Star Funds
AP - German lender IKB Deutsche Industriebank AG, which has been badly hit by the U.S. subprime mortgage crisis, will be sold to U.S.-based private equity firm Lone Star Funds, the German company's biggest shareholder said Thursday. (Thu, 21 Aug 2008 14:11:26 GMT)

Wall St cuts losses on energy bounce
Reuters - Stocks pared losses on Thursday as resurgent crude oil prices spurred buying into energy shares, including Exxon Mobil Corp , offsetting fears about possible credit losses in the financial sector. (Thu, 21 Aug 2008 14:23:42 GMT)

Intuit has loss in seasonally weak fourth quarter
Reuters - Intuit Inc , maker of TurboTax tax preparation software, reported on Thursday that it had a wider loss in its seasonally weak fourth quarter, which ended July 31. (Thu, 21 Aug 2008 22:56:13 GMT)

Fannie and Freddie debt gains as deep share dive abates
Reuters - Investors' growing belief in the likelihood of a federal bailout of home-funding giants Fannie Mae and Freddie Mac triggered a rally in the debt prices of the two companies on Thursday while a steep fall in their shares prices abated. (Fri, 22 Aug 2008 01:24:48 GMT)

Buffett sees economy weak into '09
Reuters - Warren Buffett said the U.S. economy is unlikely to improve before 2009, and there was a "reasonable chance" that Fannie Mae and Freddie Mac shareholders would be wiped out though the companies themselves are too big to fail. (Fri, 22 Aug 2008 12:51:02 GMT)

Buffett: Fannie, Freddie too big to fail
AP - Billionaire investor Warren Buffett said Friday he believes mortgage giants Fannie Mae and Freddie Mac are too big to fail, but shareholder equity in those companies could be wiped out. (Fri, 22 Aug 2008 13:45:45 GMT)

Fannie, Freddie derivatives trade normally
Reuters - Panicked investors are dumping shares of Fannie Mae and Freddie Mac , but derivatives trading is likely to continue normally with two of the largest players in the market, a trade group official and a bank risk manager said. (Fri, 22 Aug 2008 17:19:52 GMT)

Treasury still wants shareholders to own GSEs
Reuters - Any effort by the Treasury Department to backstop Fannie Mae and Freddie Mac would seek to maintain the companies as shareholder-owned enterprises, a source familiar with Treasury thinking said on Friday. (Fri, 22 Aug 2008 18:15:57 GMT)

Moody's ratings cut latest blow to Fannie, Freddie
Reuters - A major credit rating agency cut the preferred share rating on Fannie Mae and Freddie Mac amid mounting concern about the ability of the two largest U.S. home funding providers to access capital, in the latest blow before a widely expected government bailout. (Fri, 22 Aug 2008 20:12:52 GMT)

Wall Street bailout aid questioned at Fed event
AP - Do Washington policymakers listen too much to Wall Street? A possible bailout of Fannie Mae and Freddie Mac, on the heels of similar action involving investment firm Bear Stearns, seems to send a loud signal to financial companies that the government will clean up their messes. (Sat, 23 Aug 2008 19:37:56 GMT)

German bank IKB sold for 150 million euros: reports
AFP - German bank IKB, a casualty of the subprime mortgage crisis, was sold to US private equity group Lone Star for 150 million euros, German media reported Saturday. (Sat, 23 Aug 2008 20:22:36 GMT)

Danish central bank rescues nation's No. 10 bank
AP - The Danish central bank said Monday it has taken over the nation's 10th largest bank, a 124-year-old institution which had been struggling amid global financial turmoil and mounting losses on mortgage loans as housing prices fell in Denmark. (Mon, 25 Aug 2008 13:34:54 GMT)

JPMorgan's Fannie, Freddie preferred stock has lost $600 million
Reuters - JPMorgan Chase & Co in a U.S. Securities and Exchange Commission filing said it holds about $1.2 billion Fannie Mae , Freddie Mac (Mon, 25 Aug 2008 17:43:12 GMT)

Gross, Fuss say any new GSE deal needs Treasury
Reuters - Two of the biggest U.S. bond investors said they would get involved in a capital raising by Fannie Mae and Freddie Mac as long as the U.S. Treasury participates in the new deals. (Mon, 25 Aug 2008 18:42:45 GMT)

Florida tops 1Q mortgage fraud list
AP - Reported incidents of mortgage fraud jumped 42 percent nationwide, with Florida reporting the highest number of cases, according to industry data released Monday. (Mon, 25 Aug 2008 20:58:25 GMT)

Freddie debt sale eases concerns of nationalization
Reuters - U.S. mortgage finance company Freddie Mac easily sold $2 billion of short-term debt on Monday, helping to reassure investors that both Freddie Mac and Fannie Mae can fund operations without a government bailout. (Mon, 25 Aug 2008 20:59:08 GMT)

Fannie Mae, Freddie Mac shares rise
AP - Shares of Fannie Mae and Freddie Mac soared Monday in a respite from their battering in recent days, while some regional banks saw their stocks sink on worries they could be swept up in the turmoil surrounding the mortgage finance giants. (Mon, 25 Aug 2008 21:14:20 GMT)

The Credit Crunch Cuts Deeper and Wider
BusinessWeek Online - On Wall Street, the yearlong credit crunch continues to hog headlines. For example, the future is still in question for investment banks like Lehman Brothers and mortgage financiers (BusinessWeek.com, 8/22/08) Fannie Mae and Freddie Mac . (Tue, 26 Aug 2008 12:08:41 GMT)

Fannie, Freddie capital can absorb losses: report
Reuters - Fannie Mae and Freddie Mac , the two biggest U.S. mortgage finance giants, have enough capital to absorb probable losses through the end of the year, according to Citigroup equity research. (Tue, 26 Aug 2008 13:39:46 GMT)

Thornburg survival in doubt, sees completing tender
Reuters - Thornburg Mortgage Inc , a specialist in jumbo home loans, said its survival remained in doubt following additional margin calls, but it is on track to complete a restructuring and avoid collapse. (Tue, 26 Aug 2008 17:28:16 GMT)

Fannie Mae, Freddie Mac shares climb
AP - Shares of Fannie Mae and Freddie Mac climbed for a second day Tuesday amid expectations in some Wall Street quarters that the mortgage finance giants will be able to weather the housing storm without a government rescue. (Tue, 26 Aug 2008 17:51:20 GMT)

Asset-backed securities markets suffer
FT.com - Even as another embattled British builder, Bovis, pleads for greater intervention to support the UK mortgage market, where new loan approvals are down 65 per cent versus a year ago, the European Central Bank is looking nervously at the support it has provided the sector. (Tue, 26 Aug 2008 19:55:29 GMT)

New Jersey governor wants larger gov't role for Fannie
Reuters - The U.S. government should eliminate the hybrid structure of mortgage giants Fannie Mae and Freddie Mac and fully back them with taxpayer funds, New Jersey Gov. Jon Corzine said on Tuesday on the sidelines of the Democratic National Convention. (Wed, 27 Aug 2008 03:55:52 GMT)

Mortgage applications up 1st time in 3 weeks: report
Reuters - U.S. mortgage applications rose for the first time in three weeks as interest rates edged lower, an industry group said on Wednesday. (Wed, 27 Aug 2008 11:09:19 GMT)

Freddie, Fannie bail-out concerns premature: Merrill
Reuters - Merrill Lynch said it was premature to consider a recapitalization sponsored by the U.S Treasury for Freddie Mac and Fannie Mae , the two biggest U.S. mortgage finance giants, as capital depletion would not likely occur for several quarters. (Wed, 27 Aug 2008 14:19:49 GMT)

Judge dismisses borrower lawsuit against IndyMac
Reuters - A federal judge has dismissed a lawsuit accusing the now-bankrupt mortgage lender IndyMac Bancorp Inc of inflating the appraised values of homes and misleading borrowers into paying higher closing and financing costs. (Wed, 27 Aug 2008 15:48:56 GMT)

No GSE announcement on Wednesday: U.S. Treasury
Reuters - The U.S. Treasury on Wednesday shot down financial market rumors that an announcement regarding mortgage finance companies Fannie Mae and Freddie Mac was imminent. (Wed, 27 Aug 2008 18:25:39 GMT)

Fannie Mae, Freddie Mac shares extend rebound
Reuters - Stocks of Fannie Mae and Freddie Mac, the largest U.S. housing finance companies, rallied for a third straight day on Wednesday as investors grew more confident their shareholdings would not be wiped out by a government intervention. (Wed, 27 Aug 2008 19:06:35 GMT)

Strong data, financials drive stocks higher
Reuters - Stocks rose on Wednesday as surprisingly strong data on durable goods orders soothed some concern about the sluggish economy while Fannie Mae and Freddie Mac led a rally in financial shares. (Wed, 27 Aug 2008 20:35:40 GMT)

3 top Fannie Mae executives to leave company
AP - Fannie Mae says three top executives are leaving as the mortgage finance company aims to cope with mounting losses from the mortgage crisis. (Wed, 27 Aug 2008 21:08:03 GMT)

Fannie Mae announces management shakeup
Reuters - Mortgage-finance company Fannie Mae on Wednesday announced a management shake-up in an effort to come to grips with mounting credit losses and a shrinking capital base. (Wed, 27 Aug 2008 21:28:17 GMT)

Fannie Mae shakes up management team
AP - Mortgage finance giant Fannie Mae shook up its executive ranks Wednesday, after shares in it and sibling company Freddie Mac rose for a third straight day as investors appeared less certain a government bailout of the two troubled companies is imminent. (Wed, 27 Aug 2008 21:33:42 GMT)

Fannie Mae shakes up top staff, keeps CEO
AFP - Fannie Mae, one of the government-sponsored mortgage finance giants facing trouble from the housing meltdown, announced a shakeup of key management Wednesday while keeping its chief executive. (Wed, 27 Aug 2008 21:48:36 GMT)

Treasurys edge higher amid Fannie, Freddie worries
AP - Treasury bonds rebounded Wednesday to finish slightly higher amid uncertainty over whether troubled mortgage financiers Fannie Mae and Freddie Mac would need a government bailout. (Wed, 27 Aug 2008 22:06:49 GMT)

Fannie Mae shakes up management team
AP - Mortgage finance giant Fannie Mae shook up its executive ranks Wednesday, after shares in it and sibling company Freddie Mac rose for a third straight day as investors appeared less certain a government bailout of the two troubled companies is imminent. (Thu, 28 Aug 2008 06:59:32 GMT)

Fannie's capital better than market perceptions: Lehman
Reuters - Fannie Mae's capital and reserves positions are better than market expectations, according to an analyst at Lehman Brothers, who also said the biggest U.S. mortgage finance company may not need any more externally raised capital. (Thu, 28 Aug 2008 11:23:58 GMT)

French bank profits hit by economic slowdown
AFP - Weak second-half earnings reported by major French banks on Thursday showed them now suffering from an economic slowdown in addition to further losses from the US subprime mortgage crisis. (Thu, 28 Aug 2008 13:20:23 GMT)

Wall Street gains after GDP data
Reuters - Stocks rose on Thursday after second-quarter U.S. growth was revised up much more than expected, buoying optimism about the economy. (Thu, 28 Aug 2008 13:48:32 GMT)

Die, Student Loan, Die!
The Motley Fool - Make fun of the so-called "professional students" all you want. You know, the ones who, unlike the TAs, remember the original Dukes of Hazzard TV show. But would you be in a huge hurry to check out of the ivory tower and into debtors' prison? (Thu, 28 Aug 2008 16:22:28 GMT)

Bradford & Bingley bank says suffers first-half loss
AFP - British mortgage lender Bradford & Bingley said on Friday that it had endured a net loss of 17.2 million pounds (21.3 million euros, 31.4 million dollars) in the first half of 2008. (Fri, 29 Aug 2008 08:35:07 GMT)

Is It Time to Sell Your Foreign Stocks?
BusinessWeek Online - The stock prices of mortgage giants Fannie Mae and Freddie Mac have cratered. The bottom of the worst housing slump since the Great Depression hasn't been reached. Fears of inflation are mounting. (Fri, 29 Aug 2008 12:08:42 GMT)

US consumer spending cools as incomes fall
AFP - US consumer spending cooled sharply and personal incomes fell in July as the stimulus of tax rebates wore off and inflation mounted, the Commerce Department said Friday. (Fri, 29 Aug 2008 13:07:09 GMT)

Market cuts some losses after Chicago PMI
Reuters - Stocks cut some of their losses on Friday, after data showed business activity in the U.S. Midwest expanded in August at a far more robust rate than expected as new orders jumped. (Fri, 29 Aug 2008 13:56:07 GMT)

Consumer spending weakens as stimulus fades
Reuters - Personal income tumbled unexpectedly in July and inflation-adjusted spending shrank at sharpest rate in four years as the lift from government stimulus checks waned, a government report on Friday showed. (Fri, 29 Aug 2008 14:03:15 GMT)

Stocks open lower after personal income data
AP - Stocks fell in early trading after the government said personal incomes fell last month by the largest amount in nearly three years while consumer spending slowed. (Fri, 29 Aug 2008 14:05:13 GMT)

Stocks fall after personal income data; oil rises
AP - Stocks declined unevenly in early trading Friday after the government said personal incomes fell last month by the largest amount in nearly three years while consumer spending slowed. A disappointing profit report from computer maker Dell Inc. weighed on technology stocks. (Fri, 29 Aug 2008 14:14:57 GMT)

Consumer spending flags, but confidence rises
Reuters - Personal income tumbled unexpectedly in July and inflation-adjusted spending shrank as government economic stimulus waned, but consumer spirits rose this month, a hint the economy may muddle through its woes. (Fri, 29 Aug 2008 19:00:13 GMT)

US government 'bazooka' may save Fannie, Freddie
AFP - Can Treasury Secretary Henry Paulson's "bazooka" save mortgage finance titans Fannie Mae and Freddie Mac from a calamitous meltdown? (Sun, 31 Aug 2008 03:54:05 GMT)