May
28
Credit Card Reform Leaves Small Business Out
May 28, 2009 | Leave a Comment
When the Senate passed the credit-card reform bill on Tuesday, it was hailed as "a great day for consumers." That may be so, but what about small business owners who've been struggling with credit cards? The short answer: It depends on how your small business is incorporated, and what card you have. The Credit Card [...]
Apr
15
Keeping Teens Financially Safe
April 15, 2009 | Leave a Comment
MSN money has an interesting article about how to guide teens toward financial safety. As they point out, teens can sign themselves up for all kinds of debt, even before they are able to legally drink. They can spend their whole lives trying to pay off student loans for instance. It's a bit of a [...]
Feb
7
February 7, 2009 | Leave a Comment
First, read this article: http://blog.stealthmode.com/2009/02/06/an-open-letter-to-my-two-mortgage-companies/ I, at first, wanted to join in the bashing that was going on in the various internet forums. I scrimped and saved and paid off my home mortgage in about 6 years. I do coding/teaching/projects on the side and used it to pay off all my student loans and mortgages. [...]
Jan
16
What Prosper.com Taught Me About Risk
January 16, 2009 | Leave a Comment
In 2007 I started investing with Prosper.com. Prosper is a peer to peer lending website. I thought I was investing cautiously, only choosing to loan to people with good or very good credit (A & AA). Boy was I wrong. I learned some valuable lessons about risk and predicting the future. With Prosper, like all [...]
Dec
22
Best Investmetns in a Depression Part 2
December 22, 2008 | 1 Comment
Right now is a terrible time for investors. Risk exists everywhere. Banks won't loan to each other let alone you. If you do have cash right now. Where is the best place to put it? In part of Best Investments in a Depression, I discussed paying off your debts as a way to get 100% [...]
Dec
3
Warren Buffet's 10 Ways to Get Rich
December 3, 2008 | 1 Comment
If you're a Warren Buffet zealot then this is for you. It's a list of Buffet's "money making secrets." http://www.warrenbuffett.com/warren-buffett-10-ways-to-get-rich/ I don't think these are all that secret. It looks more like common sense but your mileage may vary. Maybe that's why Buffet's so loved. He's obscenely rich but acts just like the common man. [...]
Nov
26
SEC Shuts Down Prosper
November 26, 2008 | Leave a Comment
The SEC has issued a cease and desist letter to online lender Prosper.com. I lend money on Prosper so I have a vested interest in the outcome. The problem is the SEC claims that loans Prosper facilitates are actually securities (stocks/bonds) not just loans. When you sell securities there are a whole host of byzantine [...]
Oct
29
Securitization – Good Idea Gone Bad or What Just Happened
October 29, 2008 | 1 Comment
I used to work for a credit card/finance/mortgage company. I always wonders how they got around the capital requirements I learned about in Money and Banking class. Well know I finally understand the big picture. Most of the expansion in the last 20 years has been a result of securitization. What the Heck is Securitization? [...]
Oct
9
Bank Loans Have Not 'Dried Up'
October 9, 2008 | Leave a Comment
It's important to note that even though the hysterics of Washington bureaucrats indicate otherwise, lending has not stopped. It may cost you a little more, and you might have to actually, well, you know, qualify for the loan, but the banks are still lending money. I talked to a banker buddy of mine and he [...]
Sep
30
Putting the Blame Where It Belongs
September 30, 2008 | Leave a Comment
So who's fault is it? Greedy White Republican Investment Bankers? How about a fat Southerner with a penchant for fast food, chubby interns and cigars. New York Times 1999 Article about Fannie Mae loosening credit policies. In a move that could help increase home ownership rates among minorities and low-income consumers, the Fannie Mae Corporation is easing [...]