ETMA accomplishes its primary objective, improving risk management, efficiency and transparency of the secondary market, by surveying and legal requirements and developments. (Buckley, 1998, p. 47)
Loan Sales FAQs

What is a loan sale?

A loan sale is a commonly used term for the sale of loans or loan pools. Loans acquired by the FDIC from failed financial institutions are generally sold in pools through sealed bid sale or English outcry auction.

How are sales structured?

Typically, sales contain loans that have similar characteristics. The loans are refined into pools according to specific criteria. Pooling considerations may include loan size, quality, type, collateral and location.

What documents are available on the site?

The storeroom provides documents for the sale offering and the individual loan pools. The documents that can be found in the storeroom are the: Invitation to Bid, Bid Instructions, Purchaser Eligibility Certification, Loan Sale Agreement, Loan Spreadsheets and other relevant documents.

Are loans an appropriate…...

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References www.questia.com/PM.qst?a=o&d=5019679285

Berger, a.N., & Frame, W.S. (2007). Small Business Credit Scoring and Credit Availability. Journal of Small Business Management, 45(1), 5+. Retrieved September 22, 2007, from Questia database:   www.questia.com/PM.qst?a=o&d=5001398208http://www.questia.com/PM.qst?a=o&d=5019679285 

Buckley, R.P. (1998). The Regulation of the Emerging Markets Loan Market. Law and Policy in International Business, 30(1), 47. Retrieved September 22, 2007, from Questia database:   www.questia.com/PM.qst?a=o&d=34689598http://www.questia.com/PM.qst?a=o&d=5001398208 

Cranston, R. (1997). Principles of Banking Law. Oxford: Clarendon Press. Retrieved September 22, 2007, from Questia database:  http://www.questia.com/PM.qst?a=o&d=34690467 

Derivative. (2007). Investopedia. A Forbes media company. Retrieved September 23, 2007, at   www.questia.com/PM.qst?a=o&d=5000176748http://www.investopedia.com/terms/d/derivative.asp 

Loan Scenario
Norwest Bank had been lending money to Tresch to run a dairy farm. The balance due the bank after several years was $147.000; the loan agreement stated that Tresch would not buy any new equipment in excess of $500 without the express consent of the bank. Some time later, Tresch applied to the bank for a loan of $3,100 to purchase some equipment. The bank refused to make the loan because it did not believe the new equipment would correct the condition for which it would be bought and would not result in significant additional income. Tresch then sued the bank, claiming that its refusal to make the loan was a breach of the implied covenant of good faith and fair dealing. Decide.

Although, in this case the lender is accused of acting in bad faith against the bank that gave him the loan, really it seems as if it…...

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Work Cited

"Bad Faith." (2004) Retrieved November 23, 2004 at  http://law.freeadvice.com/general_practice/suing_being_sued/lawsuit_bad_faith.htm 

" When Does a Breach of Contract Occur?" (2004) Retrieved November 23, 2004 at  http://law.freeadvice.com/general_practice/legal_remedies/breach_contract.htm

92. The total loan service cost will therefore be $4,382.92.
It should be noted that the interest portion of each payment is tax deductible. The interest for the first year is going to be $2,100. The interest for the second year will be $1,489.46. The interest for the third year will be $793.45. The interest declines each year as the remaining principle on the loan declines. Thus, the interest for the first year is on the entire amount of $15,000. After the first year, the remaining principle will be $10,693.03. The interest for the second year will therefore be calculated based on that figure, not the original $15,000.

The same holds true for the third year. The remaining principle after two years will be $5,667.52. The interest for the final year will be calculated on that amount only. As a result, the interest for each year will decline. The overall payment will…...

Liquidity and Loan Quality: the Impact it is having on ank Health
Since the 1980's, there has been an emphasis on deregulation within the banking industry. Part of the reason for this, is because of shifts in the economy (thanks in part to globalization) as the markets and products have changed. This has forced many different governments around the world to reduce regulations to include: liquidity and loan quality standards. As a result, the underlying risks at many financial institutions have increased exponentially. In this research project, we will show how these reduced standards have contributed directly to: the financial crisis and stagnant economy. Once this takes place, it will provide the greatest insights as to how these two factors will determine the strengths of different of financial institutions. At which point, we can present specific ideas about how to effectively address these challenges in the future.

Introduction

: ackground

Over the last…...

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Bibliography

Comparative Analysis. (2011). Business Dictionary. Retrieved from:  http://www.businessdictionary.com/definition/comparative-analysis.html 

Criticism of Obama's Financial Reform Plan. (2010). Raw Finance Blog. Retrieved from: http://rawfinanceblog.com/2010/04/23/criticism-of-obamas-financial-reform-plan-focuses-on-negative-economic-effects/

The Dodd Frank Act. (2011). FDIC. Retrieved from:  http://www.fdic.gov/deposit/deposits/unlimited/index.html 

Empirical. (2010). Your Dictionary. Retrieved from:  http://www.yourdictionary.com/empirical

Low Income Home Loans as Public Policy
Since World War II, the United States government has developed public policies that aim to increase opportunities for home ownership through direct housing grants, loan guarantees, and targeted tax breaks (Dye, 2001). For many low-income families, these policies enabled them to purchase a home.

Many of these policies were focused on providing assistance to low-income people. The Housing Act of 1959 expanded the Federal Housing Association's (FHA) aggregate loan-granting authority and raised the limits on individual mortgages (Dye, 2001). The FHA now had the power to assume defaulted mortgages on family homes to prevent foreclosure. Congress extended FHA coverage to new or rehabilitated buildings in which low-income, elderly residents occupied half the units. Low-interest loans and community renewal programs also rose in priority. Congress created the cabinet-level Department of Housing and Urban Development (HUD) in 1965.

The Housing and Urban Development Act of 1968 authorized $5.3…...

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Bibliography

Almasi, David. (2003). Giving With One Hand, Taking Away with the Other: Competing Government Policies Both Promote and Deny Homeownership Opportunities for Minorities.

Bailyn, Bernard. (1967). The Ideological Origins of the American Revolution. Harvard University Press.

Bethell, Thomas. (1999). The Noblest Triumph: Property and Prosperity Through the Ages. St. Martin's Press.

DiNitto, Diana. (1999). Social Welfare: Politics and Public Policy (5th Edition). Pearson Allyn & Bacon.

Student Loans Dangerous to the Economy?
In Sharon Epperson's interview with Sarah Bloom askin, it becomes clear that not only are student loans dangerous to the economy, but also that the solution to the student-loan debt crises might have a significant impact on the financial future of multiple generations of Americans. The interview also makes it clear that Bloom askin's approach to loan debt does not appear to involve making education more affordable for students, but rather on educating people about interest rates and the ramifications of taking on certain levels of debt (Epperson, 2014). However, that solution ignores the fact that education cannot work as a stepping ladder to success if financial barriers continue to outline who has access to the best educational opportunities and all of the networking opportunities that come with those schools. The fact that there may be equivalent educational opportunities in lower-cost schools ignores the…...

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References

Epperson, S. (2014, May 1). Is student loan debt dangerous to the economy? Retrieved May

12, 2014 from NBC News website:  http://www.nbcnews.com/business/economy/student-loan-debt-dangerous-economy-n94916 

Rizzuto, R. (2014, May 6). Sen. Elizabeth Warren introduces bill to reduce burden of student loan debt in U.S. And enact "Buffet Rule." Retrieved May 12, 2014 from MassLive website:  http://www.masslive.com/politics/ 

index.ssf/2014/05/sen_elizabeth_warren_introduci.html

Borrowers who focus on the size of their monthly payment may end up paying more in overall interest, and if a buyer can afford to pay a larger monthly payment, by making small monthly sacrifices that can be budgeted with the help of a financial advisor, he or she may emerge the winner from the refinancing bidding wars.
One way to convince a client is to remind the client that a car, unlike a home, depreciates quickly. Homes can increase in value, and often do, but cars, with wear and tear, and the advances in technology usually do not -- something a financial advisor must also remind someone aching to buy a fancy but impractical vehicle, or balking at a good refinancing deal. The buyer must be aware that he or she may owe more than the car is even worth, over time, and ask if it is worth paying…...

Crime
Flinn operated a loan brokering business without a license. Flinn was prosecuted for violating the statute required that persons engaged in the business of brokering loans obtain a license from the state. Flinn's defense was that he was unaware of the statute and therefore lacked criminal intent. Where criminal intent is not a specific element of the crime, a party's intent is irrelevant to a determination of guilt or innocence. Furthermore, ignorance of the law is not a defense. Because criminal intent is not a necessary element in the charge of violating a licensing statute, Flinn's defense that he lacked criminal intent will be unsuccessful.

Jennings, a courier, used money that belonged to his clients to make investments, but always delivered the money to his clients on time. Jennings kept the profits from the investments and was prosecuted for embezzlement. Embezzlement involves the fraudulent conversion of property that is lawfully in…...

Art
Currently on loan from the Frick Collection in New York, Hans Memling's "Portrait of a Man" is unique among paintings in the Norton Simon Museum, which does not otherwise boast a collection heavy in Flemish art. The Memling portrait is executed in oil on oak panels, and completed in the mid-1470s. It is relatively small in scale, at just over a foot high and nine inches wide.

The museum's description of the piece and the artist indicates that Memling was actually born in Seligenstadt, Germany and later moved to Bruges in 1465. Memling was trained as an artist in Brussels, alongside ogier van der Weyden. Memling enjoyed a high degree of career success as a painter in Bruges. The "Portrait of a Man" in particular "testifies to the artist's popularity and renown during his lifetime," ("Memling's 'Portrait of a Man' on loan from The Frick Collection"). The portrait depicts a wealthy…...

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Reference

"Memling's 'Portrait of a Man' on loan from The Frick Collection." The Norton Simon Museum. Retrieved online:  http://www.nortonsimon.org/memling-s-portrait-of-a-man-on-loan-from-the-frick-collection#

Bank Loans, & Leasing vs. Buying
Most companies acquire their inventory on credit which results into accounts payable and sell their products on credit which results into accounts receivables where in both cases there is no involvement of cash. Cash Conversion Cycle (CCC) therefore is a matrix that determines the length of time in days taken by a company to sell its inventory, and the duration of time taken to collect receivables and the duration of time taken by a company to pay its bills.

Cash Conversion Cycle is calculated as the Average Inventory Collection Period + Average Receivables Processing Period -- Average Payables Period. For instance if company 'X' has an average Inventory Collection Period of 85 days, an Average Receivables Processing Period of 55 days and an Average Payables period of 70 days then CCC will be (85+55-70)days which will be 70 days.

The length of time a company takes…...

Federal Student Tuition Loan Limits
Current federal student loan limits make it difficult for many students to pursue the educational program of their choice. Therefore, student loan limits must be raised.

Despite financial aid and federal loans, a college education remains beyond the reach of many Americans.

Illustration of problem - Many colleges fix their loans at levels very low levels, without taking into account the effects of inflation.

Individual level - Many students, particularly those from out of state, cannot afford college even in public and state colleges.

Society level - Many students drop out of programs such as education, in order to go into more "highly paying" majors such as business.

Pointing - By decreasing the number of younger people who go to college or into field such as social work and education, society loses valuable human resources.

Satisfaction - Federal student loan limits must be increased.

Action

We should join coalitions calling for increasing federal…...

2.0.2 Interest on loan

Before any loan is granted, the borrower must clarify the position as to the payment of interest on the loan draw-downs during construction. The mode of payment of this interest may vary and may be payable every six months from the date of the first drawdown with a final payment in respect of the pre-delivery draw-downs on the day of delivery, this is the standard pattern for years. It is a usual tendency to allow the 'roll up' of the interest and added to the total loan outstanding when the vessel is delivered, this leads to a substantial reduction on the cash sums that the owner has to pay prior to the vessel entering service. As an alternative to the owner drawing down the favorable loan to help make his payments during construction, in some countries the yard itself arranges to borrow the equivalent funds and pay…...

Business Financing: Increasing One's Chances of Obtaining a Bank Loan
Applying for a loan in a bank or any financial institution with lending capabilities can be frustrating, especially if the applicant does not know exactly what they are supposed to do to win the loan officer's confidence. Banks have an obligation to protect the funds and assets that clients have entrusted to them; as such, they often are very conservative. At the same time, they also are in business, out to make profit by recouping the principal of loans that they extend to borrowers, obtaining a profitable rate of return on the same, and ensuring that borrowers prosper and increase their deposits with them. In the final analysis, this only shows that it is the borrower's responsibility, therefore, to develop and maintain positive relations with the bank, and provide sufficient reason for the bank to feel safe entrusting their capital to…...

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References

Abrahams, C.R. & Zhang, M. (2008). Fair-Lending Compliance: Intelligence and Implications for Credit Risk Management. Hoboken, NJ: John Wiley & Sons

Bangs, D. (2010). Getting a Loan. Entrepreneur Media Inc. Retrieved 19 February 2015 from  http://www.entrepreneur.com/article/241831 

Bartram, P. (2014). When the Bank Says No. Director Publications. Retrieved 20 February 2015 from  http://www.director.co.uk/magazine/2009/8%20September/finance_when_bank_says_no_63_01.html

The 30-year provides simplicity and a sense of security for the buyer which an ARM with its potential for rate changes may not. For now the 30-year is here to stay as "Fannie, Freddie and other federal programs now support roughly 90% of new mortgage loans because lenders cannot raise money for mortgages that do not carry government guarantees" (Appelbaum, B. March 4, 2011. P.1). If the government does exit from its participation in the mortgage market the 30-year product may disappear altogether, and some say that would not be a bad idea. "One of the reasons that American housing finance is in such bad shape right now is the 30-year mortgage," he said, noting that such loans are not available in most countries. "For many people, it's not at all clear that that's the best product (Appelbaum, B. March 4, 2011.P.1).
hether the 30-year becomes a relic of the…...

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While lenders may prefer adjustable rate loans there are significant advantages for borrowers in utilizing the 30-year fixed rate option. Because the amount of the loan is amortized over 30 years the monthly payments are significantly smaller than for 10, 15, or 20-year options. Additional benefits include the stability of a fixed rate for the life of the loan as well as the consistency of payment. There are disadvantages as well including: the allure of lower adjustable rates particularly in higher interest rate environments, lower initial payments with an ARM which increase affordability, the longer time required to build equity because total interest paid over the life of the loan is higher. The 30-year provides simplicity and a sense of security for the buyer which an ARM with its potential for rate changes may not. For now the 30-year is here to stay as "Fannie, Freddie and other federal programs now support roughly 90% of new mortgage loans because lenders cannot raise money for mortgages that do not carry government guarantees" (Appelbaum, B. March 4, 2011. P.1). If the government does exit from its participation in the mortgage market the 30-year product may disappear altogether, and some say that would not be a bad idea. "One of the reasons that American housing finance is in such bad shape right now is the 30-year mortgage," he said, noting that such loans are not available in most countries. "For many people, it's not at all clear that that's the best product (Appelbaum, B. March 4, 2011.P.1).

Whether the 30-year becomes a relic of the housing market or a continued staple is tied to the overall mortgage industry and its practices and development of products. The financial crisis highlighted serious regulatory deficiencies not only with mortgage giants such as Freddie and Fannie, but in the private sector with institutions such as Countrywide and Washington Mutual. Most of the issues regarding products and practices involved the collapse of rule based and responsible lending however, fraud was also a factor from the lowest level unscrupulous mortgage broker all the way up to the Wall Street Investment banks.

Fraud may in fact have played a substantial role, by deceiving the investors who ultimately purchased mortgage-backed securities. There's a pretty strong case that banks that

However, equity in the company cannot be used as collateral because its value fluctuates. The banker would have to consider that if the company is insolvent enough to require the bank's acquisition of collateral, retained earnings would not likely have any value remaining.
3) the current ratio is calculated as the current assets/current liabilities. The current assets are as follows:

Cash 15,000

Accounts Receivable 5,000

Total Current Assets 20,000

The current liabilities are as follows:

Accounts Payable 2,500

Customer Deposits 3,000

So therefore, the current ratio is as follows:

5500 = 4.18

This is a great current ratio. The ratio is a measure of a firm's liquidity, its ability to meet its pending debts. This company has a limited debt load, consisting of accounts payable and customer deposits. The current assets include accounts receivable and cash. With $15,000 in cash, this firm is very liquid at present.

4) the current ratio would matter to my banker because it indicates the…...

One of the cornerstones of the idea of liberty and freedom, especially when viewed from a religious perspective like Thomas Merton’s, is the idea of free will.  Whether human beings truly have free will is a surprisingly divisive philosophical question that, by design, must consider questions like natural versus nurture, motivation, the influence of society on people, and even the nature of good and evil (O’Connor).  However, the idea of free will is central to Christianity and also to Merton’s explorations of liberty and freedom in a Christian context.

Using the concept of free will to explore the....

In order to determine whether there should be more financial support given to physicians who practice primary care, we have to first determine some facts about primary care physicians, their costs, their salaries, and other financial factors.  While the average annual salary of a primary care physician varies by state, the average appears to be from $130k a year to around $220k a year.  This breaks down to around $75 to $120 an hour. 

At first glance, that salary seem very comfortable and may leave people wondering if financial support for the position is warranted.  However, in reality....

Microeconomic Analysis of HSBC Bank

Introduction

HSBC Bank is a global banking and financial services corporation headquartered in London, England. As one of the largest banks in the world, it operates in over 60 countries and territories, offering a wide range of financial products and services to individuals, businesses, and governments. This essay will focus on microeconomic concepts that can be applied to analyze HSBC Bank, with specific examples and insights.

Market Structure

One important microeconomic concept to consider is market structure. HSBC Bank operates in a highly competitive global banking industry. It faces competition from numerous other large banks, as well as smaller....

Understanding Business Failure: A Comprehensive Analysis of Causes, Consequences, and Mitigation Strategies

Introduction

Business failure is an unfortunate reality that affects a significant number of enterprises worldwide. Understanding the causes, consequences, and potential mitigation strategies for business failure is crucial for entrepreneurs, managers, and policymakers alike. This thesis aims to provide a comprehensive analysis of business failure, exploring the factors that contribute to its occurrence, the impact it has on individuals, organizations, and the economy, and the measures that can be taken to mitigate its effects.

Section 1: Causes of Business Failure

1. Economic Factors: Economic downturns, recessions, and changes in market conditions can....