How to Get and Qualify For a Small Business Loan (SBA 7a)?

[Update] Under the recently enacted $2 trillion Coronavirus stimulus bill (CARE) additional financial help has been provided to small business in the form of expanded loan assistance programs by expanding the SBA section 7(A) act to guarantee loans up to $10 million. There are also provisions under the Paycheck Protection …

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Solving the Housing Foreclosure Crisis by Cutting Mortgage Principal Balances – Big Mistake

Mortgage interest rates are at their lowest point in decades (about 4.5%) and the housing credit has been in effect for more than three years, yet the housing market is tepid at best, with foreclosures at record highs and government housing institutions having to put more distressed assets on their books. This has spurred rumors around the web that the Obama administration (via the Treasury) will soon be asking government owned entities Fannie Mae and Freddie Mac to expand their “save the economy” effort by reducing the principal balances for those individuals struggling to pay their mortgage payments.  Keep in mind that the President does not need congressional approval for this change because 1) the government already “owns” Fannie and Freddie and 2) the Treasury has removed the previous limits on the amount of money the organizations can tap into (it was $400 Billion, now – no limit).

Unlike most rumors, this one became more, not less, plausible when you examine the details. The White House has made it clear in recent months that it is frustrated by what the Framers called “the legislative branch,” what President Obama calls “politics” and what I call “the wishes of the American people.” Obama craves a short-term sugar rush for the economy. If he feels cornered, betrayed and alone, he could use his new ownership of Fannie Mae and Freddie Mac as a free federal candy store and tell America to line up and pig out. In more ways than one, Barack Obama seems to want to be known as the Sub-Prime President. (source : New York Post)

While this plan may help a handful of borrowers on the edge of foreclosure, there are many more  fundamental problems with  reducing the principal home loan balances which include:

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Handling Debt Collection Calls and Stopping Creditor Harassment by Knowing Your Rights

One of the worst forms of creditor harassment is relentless debt collection calls. For some people, the collection calls become so annoying that they are forced to change their phone numbers or even disconnect the phone altogether. Though the FDCPA (Fair Debt Collection Practices Act) has laid down clear guidelines …

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Fiscal Cliff Deal and What’s Ahead in 2013 for Taxes on Income, Capital Gains, Dividends and Estates

Congress and the Obama administration’s fiscal cliff deal means that 2013 federal tax rates will remain fixed for nearly 99% of the population. Only those earning $450,000/$400,000 (married/single) AGI will have a higher marginal tax rate in 2013, relative to 2012 levels. Below are the likely 2013 tax rates and inflation …

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Updates on 2010 Government Tax Credits – Home Buyer Credit Filing Extension, $250 SSI and Medicare Gap Payments, Teacher Credits and Unemployment Insurance

I have posted updates to a number of articles covering the spectrum of government stimulus funded tax credits and deductions. Here is a summary of the updates with a link to the detailed articles for more detailed information, qualification criteria and latest status. If you haven’t already, join 6000 plus …

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Tax Credits and Deductions for Teachers ($250), Unemployed, Home Owners ($500/$1000) and College Tuition in 2010 Jobs and Closing Tax Loopholes Act

The recently introduced American Jobs and Closing Tax Loopholes Act (Bill: HR 4213) includes important tax cuts to put more money back into the pockets of American families and workers. This new bill extends critical tax cuts through the end of 2010 so families and workers can receive the full benefits of these tax cuts on their 2010 tax returns and, therefore, have more money to spend on the items they need like gas and groceries. The proposals are estimated to provide American families with an additional $5 billion of tax cuts in 2010. Specific tax breaks and credits include:

Tax Cut for College Tuition – This bill extends a tax deduction for qualified education expenses including college tuition and fees, so Americans can get the world-class education they deserve without going bankrupt in the process.

Property Tax Deduction – This bill extends the additional standard deduction for state and local property taxes to save families money on their federal tax returns. This deduction allows taxpayers who do not itemize their tax deductions to receive property tax relief as a standard deduction of $500 for single filers and $1,000 for joint filers.

Tax Cut for School Teachers – This bill extends a $250 tax deduction for teachers who buy

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American Jobs and Closing Tax Loopholes Act of 2010 (HR 4213) Update – New Tax Breaks, Unemployment Insurance and Home Buyer Credit Extension

[Update July 2010] – This bill – HR4213 – was passed by Congress and is expected to signed into law by the President. The bill, also known as the American Jobs and Closing Loopholes Act of 2010 originally contained a provision to extend unemployment benefits, as well as a number of expiring tax provisions, which passed through the House on May 28, 2010.  The approved bill was revised to only contain an extension for unemployment benefits, in order to secure passage through Congress. Details of the unemployment benefits extension can be found here.
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[Update] To appease Senate members concerned about the rising cost of this bill, Democrats have scaled back unemployment benefits and Medicare physician reimbursement measures. The revised jobs bill eliminates a $25 weekly supplement for the jobless that had been part of the last year’s stimulus act. Those currently receiving the supplement in their unemployment benefits check will continue to do so until they exhaust their extended benefits, or until the week of Dec. 7, whichever comes first. That cut will reduce the bill’s cost by $5.8 billion over the next decade.

The new version of the bill would also freeze a 21% cut to Medicare physician reimbursement rates only through November, instead of through 2011. This will reduce the bill’s size by $16.4 billion over 10 years. The legislation, which has been stuck in the Senate for more than a week, originally came in at about $140 billion and would have added about $78.7 billion to the deficit. The revised bill would raise the deficit by $55.1 billion.

Lawmakers are hoping to vote on the bill as early as Thursday. But if Democratic leaders can’t rustle up enough support, the vote could be pushed back to next week.

The grab-bag legislation still contain provisions to renew expired tax provisions, lengthens a small business lending program and adds to infrastructure investments. It also increases the tax on money paid to managers of hedge funds and investment partnerships to ordinary income levels instead of the much-lower capital gains rate.  Under the revised bill introduced Wednesday, investment fund managers would have to treat 75% of this money as ordinary income, beginning in 2011.

Senate lawmakers also voted Wednesday to include a measure in the bill that would push back the deadline to close on home purchases and still qualify for a federal home buyer tax credit of up to $8,000. Homebuyers would have until September 30, instead of June 30, to complete the transaction.

I will continue to monitor this  bill as it progresses through Congress for any further updates and encourage you to subscribe (free) via Email or RSS to get the latest news along with all the other stimulus payments in 2010 and 2011.  You can read the full bill and get more details here.

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The Committee on Ways and Means, the chief tax-writing committee in the House of Representatives, has introduced a new bill called the H.R. 4213 American Jobs and Closing Tax Loopholes Act. The “American Jobs and Closing Tax Loopholes Act” makes significant investments in American jobs and cuts taxes to help the nation continue along the path of economic recovery and job growth. The economy has added 573,000 jobs since December-this bill includes the following key provisions to continue that growth:

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How Declaring Bankruptcy Affects Your Life Insurance Premium Rates

Debt is a part of life, but when debts careen beyond control to a point where you can no longer repay, filing for personal bankruptcy is a way out. However, before you file for bankruptcy, there are important repercussions you should consider, especially facts related to your life insurance premiums. …

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