News

Gold as a Means of Wealth Preservation

When the economy becomes unstable, those who have built up their wealth should look for ways to preserve it. One of the easiest ways to preserve wealth is by investing in gold. Throughout history, paper money systems tend to go by the wayside while gold is the only currency in the world that remains in

Crowdfunding for Startups Sees Explosive Growth

New startups have always struggled to secure financing, but the mounting number of Kickstarter successes are showing the business world that raising funds with small donations from a large number of people is surprisingly effective. Business News Daily reports that more small businesses and startups are turning to crowd source funding. In fact, a number

Federal Regulators Begin Reign of Terror on the Payday Lending Industry

With the Consumer Financial Protection Bureau, or CFPB, gearing up to enact its reign of terror on payday lenders, some companies are digging in their heels while others are bailing out. The agency spent more than four years completing studies and listening to industry experts to decide what regulations to put in place. Change is

Explosive Credit Growth Forestalls Chinese Economic Collapse

To fortify its tenuous economic pickup, China’s local governments recently embarked on a new cycle of debt financing. While this step may be effective in the interim, industry experts point out that the rest of the world should consider it a revelation regarding China’s actual financial stability. The country’s explosive credit growth is supporting its

The Future of the Installment Loan Industry – Will Federal Regulation Kill It?

A year ago, the Consumer Financial Protection Bureau, or CFPB, took steps toward regulating the temporary loan industry. Ed Groshans, a financial specialist for Height Securities, said, “The CFPB made it extraordinarily clear that the path they’re going down is intended to eliminate the vast majority of payday lending.” The agency’s recent proposals will surely

Congress Continues Efforts to Reign in Consumer Financial Protection Bureau

Congress has discovered that the Dodd–Frank Wall Street Reform and Consumer Protection Act of 2010 that created the Consumer Financial Protection Bureau or CFPB is fatally flawed and dangerous to traditional banking interests, politicians and lenders. The Huffington Post reports that the bureau has become everybody’s favorite target for reform or abolishment. These stakeholders include

Does the Consumer Financial Protection Bureau Actually Protect?

Does the Consumer Financial Protection Bureau Actually Protect? Initiated by Senator Elizabeth Warren and designed as a response to the financial crisis and the recent recession, the Consumer Financial Protection Bureau, or CFPB, is meant to stop deceptive, fraudulent and unfair business practices. According to the agency, it will accomplish this by “collecting complaints and

Calls to Regulate Cash Advance Industry Continue

Calls to regulate the cash advance industry seem to focus primarily on rollovers and a borrower’s ability to repay a loan. When repayment in full of a loan does not occur before the end of the term, a borrower needs an extension or renewal that initiates a new transaction. The industry can impose limits on

Commodities Rebound on Dollar Decline

A weakened U.S. dollar inspired a recent rebound in commodities. Speculation that this year’s global growth won’t be strong enough for the Federal Reserve to raise interest rates was another factor that fueled commodity growth. These stocks saw widespread increases with gains that ranged from gold to copper. A few weeks ago, oil reached new

Gold Looks Set for Continued Rally

Since gold is frequently the investment choice for those who are too cautious to invest in regular stocks or other assets, the price of it often holds steady. This year, the commodity rallied. According to some analysts, gold’s recent rally could continue. The Recent Rise Gold rose steadily during this year’s economic melancholy. Estimates show

Should the Installment Loan Industry Be More Tightly Regulated?

When it comes to the installment loan industry, there are many opinions. Those who have good credit, access to credit cards and middle class paychecks tend to view the industry as predatory and in need of major regulation. However, people who earn low wages, have poor credit and face limited borrowing options often view the

Global Shipping Drops to New Lows

The first quarter of 2016 has been a rough period for many investors and business people. Most people who follow the financial news are aware that oil stocks are low, but the global shipping industry is also suffering. While oil and shipping are separate industries, oil prices can have major effects on the revenues of

Why Georgia Outlawed Payday Lending

When Georgia’s legislators signed the Georgia Industrial Loan Act of 1955 into law, the regulation was designed to outlaw payday loan lending. It did this by requiring loan companies to obtain state licensing. The state also required them to register. With this law, Georgia even imposed austere usury limits for financial institutions that were in

Buying for Time – The Global Debt Bubble

While Paul Krugman, the well-known economist who writes for the New York Times, made a recent recommendation that America’s debt load should not be the country’s main concern, another voice is speaking out that it must be a priority. David Stockman, the first budget chief for President Reagan, believes that it’s time for the country

Should Online Payday Lending Be More Closely Regulated?

Payday loans generate lots of controversy because they’re offered to people who have bad credit or limited credit histories, which makes them high-risk borrowers. Traditional lenders seldom approve loans for these types of borrowers and never quickly enough when a cash emergency occurs. Unfortunately, many of these same people don’t use payday loans as intended

War for Profit – How Defense Contractors Influence Washington Policy

When President Dwight D. Eisenhower left his post on January 17, 1961, he warned the country of what he thought was a major threat. According to the leader, the military industrial complex formed of lobbyists and military contractors is a great threat to the nation since it will strive to keep America at war for

Why Do Some States Outlaw Payday Lending?

When used responsibly, payday loans can provide a way to meet unexpected expenses, make sure that bills are paid on time or prevent overdrafts and associated bank fees. Several states, however, have banned payday loans, and other states have enacted laws that regulate the amount a consumer may borrow and how often. Typically, the states