Personal Finance Friday: The news briefs impacting the financial world this morning

Embed from Getty Images Apple Pay and  Wal-Mart are announcing entry into the financial services market in two different segments, but the threat puts smaller banks on becoming extinct like the vinyl record or undergo a metamorphosis to change and work in this new environment. Economic growth for 2nd Quarter has been revised upward to […]

5 ways to make a Subprime Auto Loan a manageable solution for consumer, dealer, bank, and the economy

Wells Fargo Chief Executive Officer made a reference to the competition in the automotive lending so competitive that loans are being underwritten for over 100% Loan to Value of the car by lenders, but that type of loan is given to customers with credits at 720 or over for most banks. However, the market is so competitive in every sector of automotive lending that no customers will be left out. This includes the subprime customer or credit scores less than 620 (619 is Subprime) is considered subprime even though many lenders will not discuss lending with a customer scoring under 680. On Wednesday, the Justice Department made public of an inquiry into General Motors involvement in questionable auto loans to investors since 2007. ABC’s Money Memo reports:

Home prices up 1% in June and 7.5% from 2013

      CoreLogic: U.S. Home Prices Up 1% In June   by MortgageOrb.com Tuesday August 05 2014   U.S. home prices increased 1.0% in June, compared to May, and were up 7.5% compared to June 2013, according to CoreLogic’s Home Price Index (HPI).   The report shows that home price appreciation continued to slow […]

Banks and Credit Unions begin to embrace technology to meet customer’s modern lifestyle

Two announcements were made this week to tout 2 institutional achievements in remote options to conduct bank business via technology to sign documents and open accounts without coming into the bank or sending documents via postal mail. Pentagon Federal Credit Union has implemented DocuSign technology to conduct an array of transactions including applying for loans and signing loan documents online. TD Bank has launched Mobile Account Opening to open accounts via mobile or tablet device. The following two excerpts are sections of the press release from both companies to announce their transition to mobility banking:

Finance with a Purpose: Business Model expansion to increase pool of potential innovators in Net Zero Business Model

    Net Zero Dollar Start Up or Model can pool mentors and advisors in the business community to assist a business start up or expand an innovation to change the marketplace for people lacking the large sums or capital or credit capacity to manage the process but possess the  talent and idea. The innovator […]

Bank consolidation continues as California, Florida, Texas and Midwest lead deals for 2014

The threat of the Midwest consolidation is the greatest threat to the numbers of pending or completed mergers in relation to the population. The pace of consolidations will only continue to accelerate. The next five years will see the depletion of the community banking system to the few lone survivors

NASDAQ: Eagle Bank of Washington, DC is fast growing, high performing community bank

That growth has been achieved by using internally generated funds to expand, rather than pay dividends or buy back shares. So, this stock will appeal more to growth investors than to income investors.
As a community/regional banker, it lacks a diversified geographical base, so its fortunes will rise and fall with economic conditions in the Washington D.C. area.
Its ISS Governance score also prompts some concern; its rating is poor, and these governance issues might affect the long-term strength of the company.
Despite all this, the company does appear to be well managed, with a seasoned management team, a diverse board with good connections to the business community, and a focused mandate for growth.
And, its most recent earnings reports, for the first and second quarters of 2014, the company twice again announced record earnings.

Consumers may act to remove deposits from banks in a higher interest rate environment

      The banks are flushed with $1.4 tn in deposits paying zero percent interest. Consumers were flooding banks with cash for not return on investment in the fallout of the 2008 financial crisis. The Federal Reserve is about to move to raise interest rates, and the rate increase may be nominal at first […]

Personal Finance Friday: Gas Prices Fall Across America and Personal Finance Quiz

          Gas prices are dropping. The last 30 of 31 days have seen the biggest July drop in gas prices in 6 years. Yes, this is the summer driving season, and gas prices are peaking or continue to rise during the summer months with the ease in pricing begins after Labor Day […]

Beef and pork see double digit price increase….California drought unknown variable in future costs of produce

  Beef and pork impact food price rise….California drought unknown variable in future costs of produce Vegetarian consumers are escaping the rise in food prices for the time being…Disease and drought are driving up prices on both beef and pork prices. The pandemic virus is impacting the pig population in a reduction that is driving […]