Loans » letter

Debt limit reached, US halts 2 pension investments

davidguide — Thu, 19 May 2011 18:02:29 +0000

Geithner informed Congress of his decision in a letter stating that the government had officially reached its $14.3 trillion borrowing limit. He repeated a warning that if lawmakers do not increase the borrowing limit by August 2, the government is at risk of an unprecedented default on its debt.

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Dear Taxpayer: You’re nearing your credit limit

davidguide — Mon, 16 May 2011 06:05:51 +0000

Dear American Taxpayer: This letter serves to inform you your credit limit is nearing. Today, your maximum allowable credit would be reached were it not for emergency and extraordinary steps taken to ensure your good standing remains intact. For now. However, these steps are only temporary. At your current rate of spending, these measures extend the deadline on reaching your borrowing limit until Aug. 2.

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David Cameron in danger of breaking green pledge, warn green groups

davidguide — Sat, 14 May 2011 11:57:34 +0000

Prime minister’s commitment to ‘greenest government ever’ is questioned in open letter from environmental coalition – Read the open letter to David Cameron

The prime minister is in danger of breaking his pledge to lead the “greenest government ever”, a coalition of environmental charities and aid agencies has warned.

In an open letter to David Cameron on the first anniversary of the speech in which he made the promise, the chief executives of 15 campaign groups including Greenpeace, Friends of the Earth, Christian Aid, Oxfam and the Royal Society for the Protection of Birds said he must set out the case that a green economy was central to UK prosperity and not “a cost to be endlessly debated and watered down”.

As a first step the prime minister must send a signal to investors and the public by accepting key recommendations by the government’s climate advisors to sign up to a 50% cut in emissions on 1990 levels by 2025 and 60% cuts by 2030, they urged.

The call comes after reports of a split within the cabinet over whether to accept the Committee on Climate Change’s recommendations on the fourth five-year “carbon budget”, which will govern emissions reductions to 2027, with some departments voicing concerns that meeting the goal could hamper economic growth.

The government is likely to announce next week whether it accepts the recommendations.

The 15 organisations state that the government “started with a strong sense of purpose on the environment but is now in danger of losing its way”.

As examples of a “promising start” the groups cite the cancellation of the third runway at Heathrow, the decision to set up a green investment bank and a commitment to a natural environment white paper.

But they say that elsewhere the government’s green record in the past 12 months has been “less impressive”. The campaigners identify a range of “real setbacks”, pointing to the proposed changes in the planning system, which they claim will not provide sufficient protection for wildlife and the countryside, the weakening of the zero carbon homes policy and delays in giving borrowing powers to the new green investment bank.

They criticise the inclusion of all environmental protection law in the government’s review of red tape.

The campaigners write there is still scope for Cameron to fulfil his pledge but it would require urgency, resolve and strong leadership.

“We urge you to set out the case that a green economy is central to the future prosperity of the UK,” they write.

The government must prioritise strong environmental protection in planning rules, commit resources to restoring the countryside and seas and put international funding to tackle climate change and secure natural resources at the forefront of foreign policy, they add.

The letter is signed by the chief executives of Green Alliance, Christian Aid, Greenpeace, RSPB, WWF, the Campaign to Protect Rural England, the Campaign for Better Transport, Oxfam, Friends of the Earth, the Institute for European Environmental Policy, the Wildlife Trusts, Butterfly Conservation, Plantlife, the Wildfowl and Wetlands Trust and the Woodland Trust.

It follows a statement by the environment secretary, Caroline Spelman, that set out the government’s “green successes since taking office” but did not reflect on policies that have been criticised by the green lobby such as the proposed forest sell-off and eventual U-turn, the huge cuts to flood and coastal defence spending, and the proposed badger cull. Liberal-Conservative coalition David Cameron Greenpeace Activism Friends of the Earth RSPB Climate change David Batty guardian.co.uk © Guardian News & Media Limited 2011 | Use of this content is subject to our Terms & Conditions | More Feeds

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As Debt Ceiling Isn’t Raised, ‘Headache’ For Cities, States Begins Friday

davidguide — Thu, 05 May 2011 03:58:50 +0000

NEW YORK — As the federal government approaches its legal debt ceiling and scrambles to avoid default, the first losers will be cities and states. Starting Friday, the U.S. Treasury will stop issuing special securities that help state and local governments pay for their debt, Treasury Secretary Tim Geithner announced in a letter to Congress this week. This freeze, the first in a series of “extraordinary measures” undertaken by the Treasury to avoid a federal default, could pose difficulties for local governments nationwide, making it more complicated for strapped localities to manage their already weak finances. “I could see it being a real problem for those guys, on top of all the headaches they have already,” said David Johnson, a partner at the Chicago-based ACM Partners, a boutique financial firm that advises struggling municipalities. Congress has been mired in a months-long gridlock, as lawmakers debate proposals to reduce the federal deficit. This stalemate in the highest echelons of American political power nearly shut down the federal government in April, when Republicans and Democrats clashed over a few billion dollars in spending cuts. Now, Republican lawmakers who advocate for budget austerity are saying they will not vote to raise the debt limit unless their demands are met. The federal government continually issues new debt to pay for principal and interest on older debt, meaning that if it’s legally barred from borrowing above a limit, it will eventually have to default on its obligations, an event that would likely spark a devastating financial crisis worldwide. Government officials and independent economists have sharply criticized the seeming game of chicken going on in Congress, as lawmakers are essentially threatening to lead the global economy into catastrophe, simply to advance a political agenda. But it appears Congress will not raise the federal debt limit before that ceiling is reached on May 16, Geithner said in his letter. In anticipation of this inaction, the Treasury will begin shutting down certain types of debt issuance this week, a process that will kick into higher gear in mid-May if the limit isn’t raised. A default, which would likely cause borrowing costs to skyrocket and credit markets to freeze, will come in early August if Congress doesn’t vote to raise the limit, Geithner said in the letter. When the “extraordinary measures” begin Friday, the first casualty will be a category of non-marketable bonds known as State and Local Government Series securities, or SLGS (pronounced “slugs”). These securities are tailor-made for state and local governments, designed to help them pay for their debt. Local governments regularly issue bonds and then invest this borrowed money into U.S. Treasury securities. The process allows them to collect interest from the federal government, and use that yield to pay their own bondholders. By law, local governments can’t earn arbitrage profits — meaning, they can’t make a profit by collecting more in Treasury yields than they pay to their own investors. So, the federal government issues SLGS, which are customized to match the specifics of a local government’s need. Ideally, the process is a wash. State and local governments have bought $23 billion in SLGS so far this year, and they have issued $62 billion in debt, according to Thomson data provided by Matt Fabian, managing director of the Concord, Mass.-based Municipal Market Advisors. These specialized securities are a handy tool for governments, Fabian said. “It’s probably the most efficient way to do refinancings,” said Howard Cure, director of municipal research at Evercore Wealth Management. Without SLGS, he said, governments face “a headache.” Losing SLGS temporarily is not a major hardship, but it is an annoyance, experts said. In the absence of SLGS, a local government will likely put its money in marketable Treasury debt, paying an outside advisor to craft a Treasury investment that allows it to comply with the law preventing arbitrage. When the federal government issues SLGS, it takes care of this customization. Without SLGS, a banker does that job. From the federal government’s perspective, cutting SLGS does not actually lower the total debt burden. Rather, it makes debt issuance more predictable, and it helps reduce increases in debt. The Treasury issues most of its debt according to a pre-determined schedule; SLGS, though, are issued as local governments request them. Geithner, who has persistently warned Congress of the dangers of not raising the debt ceiling, acknowledged the difficulty that comes from this first step in the process of preventing default. “It is not without costs,” he said in the recent letter to Congress. “It will deprive state and local governments of an important tool to manage their outstanding debt expenses.” Already, local government officials are frustrated by the federal lawmaking process. Last week, during a conference in Chicago, Philadelphia mayor Michael Nutter struck a confrontational tone with the federal officials who sat with him on stage, saying, “Mayors could never get away with the kind of nonsense that goes on in Washington.” Other mayors heartily agreed, as some stood up during the question and answer session to express their disappointment with the federal government. Local governments can efficiently create jobs, but they lack resources from Washington to help them do so, these mayors said. Lawmakers on the Hill, meanwhile, are showing no sign of progress on the debt ceiling debate. “In a way, we are engaged in a political game,” said Gary Burtless, a former Labor Department economist and a current fellow at the Brookings Institution, in Washington. “Will a miscalculation occur that leads to a real disaster?”

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Caterpillar to stay in Illinois

davidguide — Tue, 05 Apr 2011 23:15:11 +0000

Kris Alingod – AHN News Contributor

Peoria, IL, United States (AHN) – Caterpillar, the world’s largest manufacturer of construction and mining equipment, will remain headquartered Illinois despite a temporary income tax hike in the state.

Chief executive Doug Oberhelmam told reporters in Peoria on Tuesday that Caterpillar is “here to stay.” He met earlier with Ilinois Gov. Pat Quinn, who came under fire last month after the company warned that it may leave the state due to a changing business climate.

In his letter, Oberhelman warned the governor that the tax increase will cost Caterpillar workers $40 million a year, and that other states were wooing the company to relocate.

Republicans and union members raised concerns after the letter was leaked. But the governor, who raised the income tax to address an $8 billion budget deficit, failed to assuage critics with his simple declaration that the company would remain in the state.

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Obama urged to raise laundry list of grievances and issues with Chinese Prime Minister

davidguide — Wed, 19 Jan 2011 11:00:23 +0000

Lalit K. Jha – AHN News Correspondent

Washington, DC, United States (AHN) – When President, Barack Obama, sits down with his Chinese counterpart, Hu Jintao, at the Oval Office Wednesday morning he would be carrying with him a long list of issues which Congressmen and Senators have urged him to ask the Chinese leaders this past week.

These ranges from the alleged currency manipulation by China, alleged violation of the United Nations sanctions against Iran, human rights violations against its own people and dumping of steel and other products by China into the United States.

All this comes when the Obama Administration has thrown out a red carpet welcome for State visit of the Chinese President, Hu Jintao; who was greeted at the Andrews Air Force base by the Vice President, Joe Biden, which is a rare privilege accorded to a foreign dignitary.

In a joint letter to Obama, Senators Joe Lieberman and Mark Kirk, alleged that China’s record on sanctions enforcement and nonproliferation is inadequate and disappointing.

“It is time for Chinese companies to follow the example set by dozens of entities across Europe, the Gulf region, India, as well as China’s neighbors in East Asia, Japan and the Republic of Korea, which have ended their business with Iran,” said the letter dated January 14.

New York Senator, Kirsten Gillibrand, urged Obama, in another letter, to press Hu Jintao on issues related to cyber security and rare earth elements (REE). “I trust that these issues will be part of the agenda of your bilateral meeting among the other pressing issues such as the nuclear programs and proliferation activities of North Korea and Iran, Taiwan’s security, and a myriad of trade and financial issues,” she said in her letter dated January 18.

The Congressional Steel Caucus, Chairman and Vice Chairman, Rep Tim Murphy and Rep Peter Visclosky too wrote a letter to Obama urging him to ask Hu not to dump Chinese products in the United States.

“When you meet with Chinese President Hu Jintao, we urge you to make clear on behalf of the American steel industry that China’s illegal trade practices will no longer be tolerated,” they said alleging that China is artificially devaluing its currency by as much as 40 percent, giving its own exports a government subsidy and in effect taxing American-made imports.

“As you prepare to meet with President Hu Jintao next week, we respectfully urge you to speak publicly about why religious freedom is in China’s interest, rooted in international human rights treaties and standards which China has affirmed,” said Leonard Leo, chairman of the US Commission on International Religious Freedom, in a letter to Obama dated.

Earlier in the day, Senators Sherrod Brown and Olympia Snowe, wrote a letter to the Treasury Secretary, Timothy Geithner, announcing their intention to introduce a legislation to address China’s unlawful practice of currency manipulation.

“China’s actions to subsidize its exports through currency manipulation pose both immediate and long-term challenges to American manufacturers and workers still recovering from the economic recession,” they said.

A day earlier, Senators Charles Schumer, Debbie Stabenow and Bob Casey, alleged that the Chinese currency manipulation is like a “boot on the throat of US economic recovery” and announced their decision to introduce legislation “vigorously addresses” such alleged currency misalignments that unfairly and negatively impact US trade.

“China’s policy of currency manipulation forces Michigan companies into unfair competition, with Chinese goods priced as much as 40 percent lower because of their undervalued currency,” Schumer said.

“This legislation will require the US government to get tough on China’s unfair trade practices that are hurting our economy and costing us jobs,” he said.

Hours ahead of Hu’s arrival, the White House Press Secretary, Robert Gibbs, said Obama plans to raise the issues of concerns with the Chinese leaders; but at the same time defended the decision to invite Hu on a State visit. “I think the President’s belief is it is important to speak out, as he’s done, and it’s important to bring this up directly with them,” Gibbs said in response to a query.

“We believe, again, this is an important venue and forum with which to raise some of the concerns that you talked about earlier, and I have not heard voiced concern that we’re not meeting with the right person,” Gibbs said.

In an interview to the CCTV, the Secretary of State, Hillary Clinton, said the United States wants to build a positive, cooperative, comprehensive relationship with China. “We will have differences. Any two people, let alone two countries as great as our two countries are, will have differences,” Clinton said according to a transcripts provided by the State Department.

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EU, Iran Push To Restart Nuclear Talks

davidguide — Thu, 11 Nov 2010 04:02:50 +0000

AHN News Staff

Tehran, Iran (AHN) – Responding to European Union chief diplomat Catherine Ashton’s call to revive nuclear talks from November 15-18, Iran on Wednesday proposed fresh dates to resume talks with major world powers.

Iran’s chief nuclear negotiator Saeed Jalili sent a letter to Ashton saying Tehran could restart negotiations on November 23 or December 5 in Istanbul. The P5+1 includes, China, Russia, U.S., France, Britain and Germany, as well as Iran last met for talks in Geneva in October last year.

Ashton’s office confirmed that they received Jalili’s letter but remained silent on confirming dates and other details of it. It only said that the world powers would soon respond to Iranian proposal.

“We will now discuss the details and proposals with our… partners and respond to Doctor Jalili in the coming days,” a spokeswoman said.

U.S. State Department spokesman Philip Crowley hoped that the nuclear talks would start as early as the end of this month. “I would expect there would be consultations within the P5+1 in the next day or two,” Crowley said.

The Department spokesman further speculated multiple meetings and venues on the cards.

Crowley added that if the talks, which are stalled since past one year, revive, he hopes a series of meetings and different locations might be held in future.

The U.S.-led world powers fear that Iran is creating a nuclear bomb under civilian cover and wants the Islamic nation to suspend its uranium enrichment activity – a charge Tehran vehemently denies.

Despite the denial and insistence that its nuclear enrichment is solely for peaceful purposes, Iranian President Mahmoud Ahmadinejad ordered the country’s atomic body in February to start enriching uranium to 20 percent after they failed to sign a nuclear fuel swap deal with the U.N.

Experts say that 20 percent of enriched uranium is sufficient to make a crude weapon.

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Mortgage Loan Modification Approval

davidguide — Wed, 07 Oct 2009 19:53:28 +0000

Right now there are numerous options available to people who require aid in keeping their houses from being foreclosed upon. Many banks, including BOA, are now open to the idea of approving loan modifications.

There are things you must know to do to your request in order to have an improved chance of approval.

1. Contact the Loss Mitigation Department at your financial establishment and ask for information regarding the loan modification requirements. These necessities are not supplied online and so you need to contact B. O. A right to get this info. If you go thru the method of applying without having all of the needs, you haven’t any chance of being taken seriously and getting an approval.
two. In order to better represent your case, a loan alteration difficulty letter is required together with your claim. This is your formal, in writing request for the alteration. Don’t apply without this!

three. Before writing your loan difficulty letter, sit down with all of your finance records and work out a workable budget with the payments you are hoping to have ready. This could show you if the loan modification will help right your present position or not. This will also show your fiscal institution that you have done your homework and with the modified repayment plan in place you will be able to keep up with your payments.
four. When working out your new budget and difficulty letter, be very concise and honest. Make an outline of exactly how much you are able to afford to pay and at the rate you want get. This information will be very helpful when you write your hardship letter as it will help you to persuade them that you are needing to keep your place and trying to discover a solution. Please consider any likely earnings changes that will occur, such as a pay raise in the future.

five. You must be honest! Every bit of information that you put into these documents must be honest. B. O. A, nor any other lender will tolerate lies. If you are deceitful on your request or your difficulty letter you will be rejected! To be on the safe side, read over all of your info twice to make sure all is in order. Go line by line, number by number.
6. When applying for your loan modification, have all your info together at once. Send the application, letter and all relevant information in one envelope. This could help BOA in processing your application faster and easier and if you are approved, you will get your loan alteration that far faster.

Following these steps will make the entire application process a lot easier and help you in getting the loan modification you are after. A BOA loan alteration isn’t all that difficult to get if you put in a bit of effort.

Rick writes often on his blog about Average Mortgage Rates, Cheap Payday Loans and Snel Geld.

Article Source:http://www.articlesbase.com/mortgage-articles/mortgage-loan-modification-approval-1308754.html