Economy
The economy concerns everyone, whether they know it or not. From employment to prices, debt levels to wealth levels, there is very little in life that is not touched in some fashion by economics.   Credit, in particular, powers the modern economy. While those in the upper income brackets enjoy the cushion of savings and borrowing to increase wealth, those in the lower brackets must often resort to the only forms available to them, namely bad credit loans, pawn shops, payday loans and cash advance loans.   We cover matters of macroeconomics that concern all of us, and help us make better-informed decisions: Is it the right time to risk starting a business? Buying a house? Investing in the Markets?   Our economic experts can help you make those decision by providing a clear picture of where the economy as a whole – globally and locally – stand currently, and where it is likely to stand in the future.
payday advance cash gains attention of big banks

As Advance Cash Lending Faces New Regulations, Big Banks Want In

Advance cash loans, which are sometimes called paycheck advances, have become increasingly popular since the 1990s. Most borrowers can obtain small-dollar loans with just a verifiable source of income and a checking account, and many lenders do not run credit checks or require a minimum credit score. The loans are typically due in full on

Easy Loans! Bad Credit OK! Have we Learned Nothing from the Last Crash?

Alternative lenders are taking up the slack for both businesses and consumers by offering easy loans, and many of these lenders are using unusual criteria to approve loans. This could result in a financial catastrophe under the right conditions. A recent article posted at Zerohedge.com made a strong case that the current market conditions are

Cash Advance Industry Faces New Scrutiny from the CFPB

In June 2016, the Consumer Financial Protection Bureau (CFPB) proposed a multitude of severe lending regulations characterized as consumer protection from payday debt traps. Citing investigative data, the CFPB steadfastly argued that cash advance and payday loans lead to consumers becoming debt-ridden and that their proposed statutes would serve to protect consumers from the so-called

Online Cash Advance Industry May Find Regulatory Reprieve Under Trump

The 2008 financial crisis unsettled the country and caused President Obama to request regulatory action reining in Wall Street. In 2010, legislators introduced the Dodd Frank Act to protect consumers. The act brought about ways to prevent another Lehman Brothers incident and decrease the predatory lending practices of the online cash advance industry. When President

Japan to Begin Massive Investments in U.S. Infrastructure Projects

While campaigning, Donald Trump stated that improving the nation’s infrastructure was one of his priorities. For example, in August 2016, The New York Times reported that Trump said that he wanted infrastructure spending of at least twice the amount proposed by Hillary Clinton. Trump feels that improvements in infrastructure will boost economic stimulation while providing

Reasons for hope: The Economy is Finally Poised for Serious Growth

The election of Donald Trump sparked a deluge of drama that began long before he was inaugurated and continues through today. Media reports have been filled with debates over Trump’s candidates for cabinet posts, allegations that Russia hacked the election, questions about the Trump family’s business dealings and the new president’s phone calls with foreign

Like it or Not, Trump Holds True to His Word on Economic Policies

During a presidential campaign, candidates make dozens or even hundreds of promises. In recent years, the American people have become increasingly cynical about campaign promises; no president in recent history has kept ever promise made during the election cycle. However, thus far, President Trump has demonstrated that he plans to remain true to his word

Trump’s Economic Policies Could Crash Markets, Economist Warns

When Donald Trump won the presidential election, most analysts were stunned. It seems that virtually no one expected Trump to actually take the election away from Hillary Clinton; she was ahead in the polls throughout most of the campaign cycle. Trump’s victory left Wall Street almost giddy as investors responded to his campaign promises of

Loan Growth Slides Precipitously in Commercial Banking

Conflicting indicators characterize the banking industry’s prospects in the immediate future. Although consumer lending and volume of personal loans recently increased in the fourth quarter of 2016 based on the rise of marketplace lending, there’s been an abrupt decline in commercial lending. Many analysts believe that a healthy commercial loan industry is critical to global

American Student Loan Debt Increasing to Catastrophic Proportions

In recent decades, the idea became prevalent that a college degree was the only way to guarantee a good job, financial security and the ability to participate in all of the aspects of the American dream, including home ownership. During the same period, skyrocketing tuition costs made it extremely difficult for students to pay for

Online Lenders Distance Themselves from Cash Advance Loans

With federal regulators turning a Sauron-like eye toward lending practices, the industry is considering a popular Washington maneuver, which is to show lawmakers that it can regulate itself without the government stepping in. To this end, online lenders are distancing themselves from cash advance loans. Taking a Step Back from Cash Advance Loans Online lenders

The Economy’s Get Out of Jail Free Card – The Chicago Plan, Revisited

Ask any college student which freshman-level subject requires the most study and generates the biggest headaches, and he or she will usually say economics. What should be simple in practice–the exchange of goods and services–generates complexities and bizarre concepts and conventions that quickly convince students that they’re not in Kansas high school anymore. The International

China the Epicenter of a New Global Banking Crisis, BIS Warns

The Bank for International Settlements, or BIS, warns that China’s banking policies are likely to generate a new international banking crisis within the next three years. The BIS, which is the world’s largest bank, issued the warning despite finding that no immediate threat is likely according to a Reuters.com report. The risks are intensified by

Central Bankers Trapped in a Mess of Their Own Making

In conjunction with their respective governments, central banks have been manipulating economies for decades. Central bankers have sought to control interest rates, inflation and credit through their policies. Their efforts have impacted the stock market, job creation, home construction and many more aspects of the economy. However, in recent years, central bankers have manipulated themselves

The Market Calm Before the Storm

Wall Street has been remarkably quiet in recent weeks, which is especially surprising considering the turbulence that occurred just a few months ago. CNN reported on August 10 that the VIX volatility index had recently dropped below 11.4, reaching its lowest level since 2014. The index, which has rarely reached single digits, was sitting at

7 Reasons Why Brexit Didn’t Destroy the World After All

Forecasts of doom, financial collapse and political upheaval have been common since the unexpected British vote to leave the European Union, which is commonly called Brexit. However, the imminent collapse of Britain’s economy that was predicted now seems unlikely according to a Spectator.co.uk report. The analysis shows that there were fewer job losses than expected

Unemployment Crisis Grips Millennials Worldwide

The International Labour Organisation recently brought attention to a major global problem: unemployment among young people. According to a report at Economist.com, the global unemployment rate has risen among 15- to 24-year-olds in 2016 to 13.1 percent, which is near the peak that it reached in 2013. In Arab countries, the unemployment rate for this