Finance Globe

The revised Emergency Economic Stabilization Act (EESA) of 2008 was approved by both houses of Congress and President Bush signed the bill into law on October 3, 2008.A summary of the original version of EESA 2008:Provides the Treasury with $700 billion to buy bad mortgage-related investments from banks. This move will gradually make credit more available for businesses and working families, and help unfreeze the economy. Also, it is hoped to stabilize the markets and help...

Stock markets around the world plunged in response to the U.S. House of Representatives' rejection of the $700 billion rescue plan. The Dow Jones Industrial Average dropped 777 points on Monday after it was apparent that the bill would not be passed, for the largest single-day drop in history. The markets have since recovered slightly. Though most Americans don't like the way it happened, many realize that there must be some government intervention to prevent further...

The U.S. House of Representatives approved legislation last week that is meant to protect consumers from many of the tricky practices commonly used by credit card issuers. The Credit Card Holder's Bill of Rights, HR 5244, was approved by a vote of 312-112.“This legislation will level the playing field by putting an end to unfair and abusive credit card practices that outrage so many American families,” said Michigan Rep. Sandy Levin. “Americans are struggling to make...

The latest version of the $700 billion bailout plan has been rejected by the U.S. House of Representatives, voting against the package 228-205. Earlier this morning before the vote, President Bush expressed confidence that the Emergency Economic Stabilization Act of 2008 would be passed by both houses. Stock markets around the world took a dive in response to the news. The rejected legislation addressed the following:Giving the Treasury $250 billion, initially, to buy bad mortgages from...

Using a rewards card can be a smart way to cover your normal expenses. And if you're going to spend the money anyway, you might as well get something back from it. Depending on the card issuer's rewards program, rewards may be used for anything from cash-back, gift cards, merchandise, travel, or donations to your favorite charity. Rewards cards typically give you one point for every dollar spent, and some cards give you bonus points if...

Morgan Stanley and Goldman Sachs, the nation's last two major investment banks which each own about $1 trillion in assets, were granted approval by the Fed to let them switch to bank holding status. The banks both have previously operated as industrial loan banks, meaning they did not have to adhere to the strict regulation that applies to a commercial bank. The banks' change will be official after the mandatory five-day waiting period.The change means that...

Convenience Checks Anything that has "convenience" in its name should signal that you're going to pay for that convenience.Convenience foods save time and cost more because of it, convenience fees are added to online purchases for concert tickets, and convenience checks are one of the most expensive ways to access your card's credit line.If you have a credit card, chances are that you've already received some of these convenience checks; they're often mailed to you without...

President Bush said that his Administration and members of Congress have been working hard over the weekend to find a solution to controlling the damage to the nation's financial markets caused by the sub-prime mortgage collapse. He says that they've made good headway on a bill addressing the ensuing financial crisis, but that they have some differences to work out."Americans are watching to see if Democrats and Republicans, the Congress and the White House, can come...

Advance-Fee Loan ScamsThe Federal Trade Commission, the nation's consumer protection agency, warns us of "Advance-Fee Loan Scams."Looking for a loan can be frustrating for someone who doesn't have a good credit history. After being turned down by several conventional lenders and creditors, it may be tempting to try your luck with a lender who claims they can give you a loan regardless of your credit history. But, watch out before you apply with a so-called "lender"...

The FTC Fights Prepaid Calling Card ScamThe Federal Trade Commission, the nation's consumer protection agency, is going after shady prepaid calling card companies who misrepresent the value of their product to consumers. The FTC "works for consumers to prevent fraudulent, deceptive, and unfair business practices and to provide information to help spot, stop, and avoid them."“In the fall of 2007, the FTC established a joint federal-state task force concerning deceptive marketing practices in the prepaid calling...