Trump says Fed ‘boneheads’ should cut interest rates to zero ‘or less,’ US should refinance debt

President Donald Trump on Wednesday continued his verbal assault on the Federal Reserve, who he blames for slowing the economy, tweeting that the central bank should cut interest rates to zero or even set negative interest rates. “The Federal Reserve should get our interest rates down to ZERO, or less, and we should then start to refinance our debt. This isn’t a mortgage, this is U.S. Treasury debt. I think it would be incredibly disruptive to financial markets, and interest rates would ultimate


President Donald Trump on Wednesday continued his verbal assault on the Federal Reserve, who he blames for slowing the economy, tweeting that the central bank should cut interest rates to zero or even set negative interest rates. “The Federal Reserve should get our interest rates down to ZERO, or less, and we should then start to refinance our debt. This isn’t a mortgage, this is U.S. Treasury debt. I think it would be incredibly disruptive to financial markets, and interest rates would ultimate
Trump says Fed ‘boneheads’ should cut interest rates to zero ‘or less,’ US should refinance debt Cached Page below :
Company: cnbc, Activity: cnbc, Date: 2019-09-11  Authors: jeff cox john melloy, jeff cox, john melloy
Keywords: news, cnbc, companies, fed, debt, zero, rates, interest, economy, trump, treasury, refinance, boneheads, united, cut, reserve


Trump says Fed 'boneheads' should cut interest rates to zero 'or less,' US should refinance debt

This is a developing story. Check back for updates.

President Donald Trump on Wednesday continued his verbal assault on the Federal Reserve, who he blames for slowing the economy, tweeting that the central bank should cut interest rates to zero or even set negative interest rates. The president also called Fed officials “boneheads” in the tweet.

“The Federal Reserve should get our interest rates down to ZERO, or less, and we should then start to refinance our debt. INTEREST COST COULD BE BROUGHT WAY DOWN, while at the same time substantially lengthening the term,” he said.

The president also made a new suggestion not seen in some of his past attacks on the Fed, saying that the country should refinance its debt load.

“It’s not viable and could be a significant problem for investors, financial markets and ultimately the economy,” said Mark Zandi, chief economist at Moody’s Analytics. “The debt is not prepayable. There’s a contractual relationship the Treasury has with investors. This isn’t a mortgage, this is U.S. Treasury debt. I think it would be incredibly disruptive to financial markets, and interest rates would ultimately rise, not fall.”

It’s unclear how such an idea would work. The Treasury Department likely would have to be involved, and there have been calls recently to issue longer-term debt, such as a 50- or 100-year Treasury.

“From a theoretical standpoint, obviously it would be wonderful for the United States government over a period of year if it were to lengthen the maturities on debt that would have rates below 1%,” said banking analyst Dick Bove at Odeon Capital Group. “It would certainly be beneficial to the United States government. Whether it would be beneficial to the United States economy is an open question.”

Cutting rates to zero or below would cheapen debt costs but also make the U.S. a less desirable spot for capital flow as the ability to generate yield would disappear.

Trump had made a suggestion during the 2016 presidential campaign that would have involved renegotiating the debt. That idea then was widely dismissed as a move the actually could drive Treasury yields higher, jeopardize the nation’s standing among its creditors and pose a threat to the U.S. dollar as the world’s reserve currency.

During a CNBC interview in May 2016, Trump said that if the economy turned south, he would try to get creditors to accept partial payment on U.S. debt.

“I would borrow, knowing that if the economy crashed, you could make a deal,” he said then.

His idea was that the U.S. would pay less than face value on the Treasury debt it issues to cover the burgeoning budget deficit. However, doing so would only increase the costs of issuing the debt as creditors would demand higher interest payments.

Trump has long bemoaned Fed policy, saying the central bank should get more in line with the near-zero rates employed by the nation’s global competitors. The Fed currently targets its benchmark overnight lending rate in a range between 2% and 2.25%, the highest of any G-7 nation.

In previous tweets, he has repeatedly ripped his own appointee, Fed Chairman Jerome Powell, as being out of step with the economic needs in the U.S.

“The USA should always be paying the the lowest rate. No Inflation! It is only the naïveté of Jay Powell and the Federal Reserve that doesn’t allow us to do what other countries are already doing. A once in a lifetime opportunity that we are missing because of “Boneheads,” Trump said in Wednesday’s tweets.


Company: cnbc, Activity: cnbc, Date: 2019-09-11  Authors: jeff cox john melloy, jeff cox, john melloy
Keywords: news, cnbc, companies, fed, debt, zero, rates, interest, economy, trump, treasury, refinance, boneheads, united, cut, reserve


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Space company Maxar shares rally as JP Morgan calls for stock to climb over 70%

Maxar shares climbed 19.2% in trading to close at $8.38, its best single day of trading since May 23. J.P. Morgan’s “blue-sky scenario” would see Maxar’s stock at over $20 a share, which would represent an increase of nearly 185%. About 2½ years ago, Maxar’s stock traded as high as $66.46 a share and was completing its merger with Digital Globe. The company had also previously merged with Space Systems Loral (SSL), the satellite manufacturing company that is today a Maxar unit. At the stock’s lo


Maxar shares climbed 19.2% in trading to close at $8.38, its best single day of trading since May 23. J.P. Morgan’s “blue-sky scenario” would see Maxar’s stock at over $20 a share, which would represent an increase of nearly 185%. About 2½ years ago, Maxar’s stock traded as high as $66.46 a share and was completing its merger with Digital Globe. The company had also previously merged with Space Systems Loral (SSL), the satellite manufacturing company that is today a Maxar unit. At the stock’s lo
Space company Maxar shares rally as JP Morgan calls for stock to climb over 70% Cached Page below :
Company: cnbc, Activity: cnbc, Date: 2019-09-10  Authors: michael sheetz
Keywords: news, cnbc, companies, maxars, value, shares, arnstein, stock, morgan, company, climb, calls, share, rally, maxar, debt, space, ssl


Space company Maxar shares rally as JP Morgan calls for stock to climb over 70%

J.P. Morgan began coverage of Maxar Technologies on Tuesday with an overweight rating, telling investors that the diminished space conglomerate is in the early stages of a turnaround that would yield over 70% upside by the end of 2020.

“We see Maxar as a high-risk/high-reward opportunity in the Space industry. We believe the next 24 months are critical as the company progresses on its turnaround plan and addresses its high leverage and debt levels, which should create value for equity holders,” J.P. Morgan analyst Benjamin Arnstein said in a note.

Maxar shares climbed 19.2% in trading to close at $8.38, its best single day of trading since May 23.

J.P. Morgan has a $12 price target on the stock. Arnstein explained that the firm’s target is conservative, based on its sum-of-the-parts analysis of Maxar’s four business units.

“We could see even greater upside after the company addresses its debt overhang,” Arnstein said.

J.P. Morgan’s “blue-sky scenario” would see Maxar’s stock at over $20 a share, which would represent an increase of nearly 185%. But the firm’s downside case, where Maxar’s debt load would slowly crush the company, would see the stock’s value at $5 a share, “or potentially zero,” Arnstein said.

“We believe investors will need to become more comfortable with the company’s cash generation potential and removing the debt and leverage overhang,” Arnstein added.

About 2½ years ago, Maxar’s stock traded as high as $66.46 a share and was completing its merger with Digital Globe. The company had also previously merged with Space Systems Loral (SSL), the satellite manufacturing company that is today a Maxar unit.

“Maxar came together in late 2017 but quickly ran into trouble at SSL … and then lost a high margin Imagery satellite,” Arnstein said. “Additionally, the company entered an investment cycle that resulted in significant cash outflows all while saddled with new debt from the transaction that created Maxar.”

At the stock’s low in March of $3.96 a share, Maxar had lost nearly 95% of its value. But Maxar shares have slowly begun to rise over the past six months. Maxar appointed Dan Jablonsky, previously the leader of its DigitalGlobe unit, as CEO in January. The stock has also had large percentage gains following recent wins, such as a NASA’s contract for Maxar to build a lunar orbiting platform and a report it may sell its space robotics business MDA for more than $1 billion.

“Maxar is not yet out of the woods but we see a viable path forward as the investment cycle tapers off and cost reduction efforts offset lower volumes at SSL,” Arnstein said.


Company: cnbc, Activity: cnbc, Date: 2019-09-10  Authors: michael sheetz
Keywords: news, cnbc, companies, maxars, value, shares, arnstein, stock, morgan, company, climb, calls, share, rally, maxar, debt, space, ssl


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Real US debt levels could be 2,000% of economy, a Wall Street report suggests

And larger levels of debt can be sustained so long as other conditions, like leverage levels, or debt to capital, are manageable. “Debt problems could, arguably would have, already happened at lower levels of debt if the macro conditions forced it.” ‘Profoundly negative effects’The warnings about potential debt hazards come as the total federal debt outstanding has surged to $22.5 trillion, or about 106% of GDP. 633%, which tallies up an “infinite horizon” of obligations for social programs, rat


And larger levels of debt can be sustained so long as other conditions, like leverage levels, or debt to capital, are manageable. “Debt problems could, arguably would have, already happened at lower levels of debt if the macro conditions forced it.” ‘Profoundly negative effects’The warnings about potential debt hazards come as the total federal debt outstanding has surged to $22.5 trillion, or about 106% of GDP. 633%, which tallies up an “infinite horizon” of obligations for social programs, rat
Real US debt levels could be 2,000% of economy, a Wall Street report suggests Cached Page below :
Company: cnbc, Activity: cnbc, Date: 2019-09-09  Authors: jeff cox
Keywords: news, cnbc, companies, social, 2000, financial, levels, obligations, report, federal, public, programs, real, gdp, economy, street, suggests, debt, total, wall


Real US debt levels could be 2,000% of economy, a Wall Street report suggests

Total potential debt for the U.S. by one all-encompassing measure is running close to 2,000% of GDP, according to an analysis that suggests danger but also cautions against reading too much into the level. AB Bernstein came up with the calculation — 1,832%, to be exact — by including not only traditional levels of public debt like bonds but also financial debt and all its complexities as well as future obligations for so-called entitlement programs like Social Security, Medicare and public pensions. Putting all that together paints a daunting picture but one that requires nuance to understand. Paramount is realizing that not all of the debt obligations are set in stone, and it’s important to know where the leeway is, particularly in the government programs that can be changed either by legislation or accounting.

“This conceptual difference is important to acknowledge because this lens is often used by those who wish to paint a dire picture about debt,” Philipp Carlsson-Szlezak, chief U.S. economist at AB Bernstein, said in the report. “While the picture is dire, such numbers don’t prove we are doomed or that a debt crisis is inevitable.” Crisis measures cut both ways — sometimes a seemingly smaller level of debt can cause outsized problems during times of economic stress, such as during the financial crisis. And larger levels of debt can be sustained so long as other conditions, like leverage levels, or debt to capital, are manageable. The key is not always gross dollar amount but rather ability to pay. “U.S. debt is large. And it’s growing. But if we want to think about debt problems (in any sector – sovereign, households, firms or financials) the conditions rather than the levels are more significant,” Carlsson-Szlezak said. “Debt problems could, arguably would have, already happened at lower levels of debt if the macro conditions forced it.”

‘Profoundly negative effects’

The warnings about potential debt hazards come as the total federal debt outstanding has surged to $22.5 trillion, or about 106% of GDP. Excluding intragovernmental obligations, debt held by the public is $16.7 trillion, or 78% of GDP. That latter total, considered to be more relevant as an economic burden, is likely to rise to 105% by 2028, according to Congressional Budget Office projections. However, the CBO notes that the numbers are subject to revision depending on how government policies play out. Advocates for fiscal reform argue that the debt impact has indeed reached the point where action is necessary. “Globally, we have become over-reliant on borrowing as a solution for everything. Political excuses abound for why it doesn’t matter, which just clearly isn’t the case,” said Maya MacGuineas, president of the Committee for a Responsible Federal Budget, a bipartisan committee of legislators, business leaders and economists that counts former Federal Reserve Chairs Paul Volcker and Janet Yellen among its members. “We are quickly approaching a situation where we have dug ourselves a debt hole which is doing to have profoundly negative effects on the economy for probably decades going forward,” MacGuineas added. In its calculations, AB Bernstein pulls in debt from a variety of sources and compares it to GDP as follows: 100% of GDP using federal, state and local government debt combined.

150% for households and firms

450% for financial debt, which carries “conceptual issues and risks,” namely that debt held by financial firms often represents potential in a worst-case scenario involving various derivative instruments that can carry high notional levels that are unlikely ever to be realized.

27% in trusts for social insurance programs.

484%, which values all the promises from current social insurance programs.

633%, which tallies up an “infinite horizon” of obligations for social programs, rather than just the traditional 75 years used in computations.

Timing is everything

That total gets the debt load around the 2,000% mark, though Carlsson-Szlezak points out that different debt carries different risks. “A default on U.S. treasury bonds would be catastrophic to the global economy – whereas changes in policy (while painful for those whose future benefits were diminished) would barely register on the economic horizon,” he wrote. Impacts on individual parts of the economy would vary. Moody’s Investors Service recently warned that an already growing number of junk-rated companies could “swell dramatically” in the next downturn, “substantially increasing default risk.”


Company: cnbc, Activity: cnbc, Date: 2019-09-09  Authors: jeff cox
Keywords: news, cnbc, companies, social, 2000, financial, levels, obligations, report, federal, public, programs, real, gdp, economy, street, suggests, debt, total, wall


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Mark Sanford will mount Republican primary challenge against Trump

Former South Carolina Republican congressman and governor Mark Sanford announced on Sunday that he is launching a 2020 campaign against President Donald Trump. With his announcement, Sanford becomes the third Republican to challenge Trump for the presidency, along with Tea Party Republican and one-term Illinois congressman Joe Walsh and former Massachusetts governor William Weld. Trump has received a consistently high approval rating in the high 80s among Republican voters, and is essentially gu


Former South Carolina Republican congressman and governor Mark Sanford announced on Sunday that he is launching a 2020 campaign against President Donald Trump. With his announcement, Sanford becomes the third Republican to challenge Trump for the presidency, along with Tea Party Republican and one-term Illinois congressman Joe Walsh and former Massachusetts governor William Weld. Trump has received a consistently high approval rating in the high 80s among Republican voters, and is essentially gu
Mark Sanford will mount Republican primary challenge against Trump Cached Page below :
Company: cnbc, Activity: cnbc, Date: 2019-09-08  Authors: emma newburger
Keywords: news, cnbc, companies, president, think, south, trump, debt, governor, mark, lost, primary, sanford, challenge, republican, mount


Mark Sanford will mount Republican primary challenge against Trump

Former South Carolina Republican congressman and governor Mark Sanford announced on Sunday that he is launching a 2020 campaign against President Donald Trump.

“I think we need to have a conversation about what it means to be a Republican. I think that as a Republican party we have lost our way,” he said in an interview on “Fox News Sunday.”

Sanford, who was ousted from Congress after speaking out against Trump, plans to make debt, deficit and spending the focus of his campaign. He’s been thinking about a presidential primary run since since mid-July.

“The epicenter of where I’m coming from is that we have lost our way on debt and deficits and spending,” he said. “The president has called himself the king of debt, has a familiarity and comfort level with debt that I think is ultimately leading us in the wrong direction.”

The federal deficit has increased under the Trump administration, and will widen to $1 trillion for the 2020 fiscal year, according to Congressional Budget Office forecasts.

With his announcement, Sanford becomes the third Republican to challenge Trump for the presidency, along with Tea Party Republican and one-term Illinois congressman Joe Walsh and former Massachusetts governor William Weld.

Trump has received a consistently high approval rating in the high 80s among Republican voters, and is essentially guaranteed to win the Republican primary.

Sanford served as a U.S. Representative for South Carolina’s 1st congressional district from 1995-2001 and 2013-2019. He was elected governor of the state in 2002 and served two terms. In 2018, Sanford lost his reelection bid to the House after Trump endorsed South Carolina state Representative Katie Arrington.

“I think we need to have a conversation on the degree to which institutions and political culture are being damaged by this president,” Sanford said. “Those institutions and that political culture are really the glue that holds together our balance of power.”

Sanford’s announcement comes after his home state’s GOP decided not to have a Republican primary.

“With no legitimate primary challenger and President Trump’s record of results, the decision was made to save South Carolina taxpayers over $1.2 million and forgo an unnecessary primary,” said South Carolina GOP Chairman Drew McKissick.

While he was governor in 2009, Sanford was plagued with a scandal after he said he was on the Appalachian Trail, when he was actually in Argentina having an extramarital affair. Despite that controversy, Sanford was re-elected in 2013 to the congressional seat he had held before he was elected as governor.

Trump helped doom Sanford’s 2018 primary campaign. In response to Sanford’s criticism of Trump, the president took to Twitter the day of the election to attack him and endorse his opponent.

“Mark Sanford has been very unhelpful to me in my campaign to MAGA. He is MIA and nothing but trouble,” Trump wrote. “He is better off in Argentina.”

In August, Trump wrote that he had the “Three Stooges” running against him, referring to the Republicans who have announced bids for the White House.

“One is ‘Mr. Appalachian Trail’ who was actually in Argentina for bad reasons. Another is a one-time BAD Congressman from Illinois who lost in his second term by a landslide, then failed in radio. The third is a man who couldn’t stand up straight while receiving an award,” Trump wrote. “I should be able to take them!”


Company: cnbc, Activity: cnbc, Date: 2019-09-08  Authors: emma newburger
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Here’s how to avoid some big money mistakes

I’ve encountered so many money mistakes along the way — my own and others’ — and realized that, with a little planning and tenacity, they can be overcome. From medical debt and credit problems to overspending and under-investing, these are things many Americans have experienced first-hand. Piles of medical debtThe problem: Medical debt is a common source of bankruptcy-contributing debt, fueled by rising health-care costs, gaps in coverage (or poor insurance coverage) and a lack of understanding


I’ve encountered so many money mistakes along the way — my own and others’ — and realized that, with a little planning and tenacity, they can be overcome. From medical debt and credit problems to overspending and under-investing, these are things many Americans have experienced first-hand. Piles of medical debtThe problem: Medical debt is a common source of bankruptcy-contributing debt, fueled by rising health-care costs, gaps in coverage (or poor insurance coverage) and a lack of understanding
Here’s how to avoid some big money mistakes Cached Page below :
Company: cnbc, Activity: cnbc, Date: 2019-09-04  Authors: janet alvarez
Keywords: news, cnbc, companies, dont, spending, avoid, big, mistakes, coverage, medical, money, heres, budget, debt, solution, financial


Here's how to avoid some big money mistakes

Geber86 | E+ | Getty Images

Nearly all of us have made our share of poor financial decisions in our lifetimes, but these mistakes are also an opportunity to improve our financial well-being, by teaching us how to make better money choices. I’ve encountered so many money mistakes along the way — my own and others’ — and realized that, with a little planning and tenacity, they can be overcome. From medical debt and credit problems to overspending and under-investing, these are things many Americans have experienced first-hand.

Piles of medical debt

The problem: Medical debt is a common source of bankruptcy-contributing debt, fueled by rising health-care costs, gaps in coverage (or poor insurance coverage) and a lack of understanding of medical debt payment options. Like many Americans, I carried tens of thousands in medical debt at one time, thanks to a lapse in health-care coverage after finishing school and a limited understanding of my medical debt management options. The solution: Making sure you’ve got solid health-care coverage is essential, so seeking a job that provides quality insurance or independently budgeting for coverage is critical. Still, that’s not always possible, and even those of us with good coverage can fall behind on bills due to serious illness. More from Invest in You:

CNBC, Acorns launch #CNBCMoneyMistakes campaign

Take the CNBC + Acorns Money IQ quiz

5 mistakes novice investors should stop making Know that medical debt can nearly always be paid on reasonable installment plans at zero interest, so don’t use credit cards to pay — that just takes the debt interest-bearing. If you have no insurance, ask for a no-insurance price discount — many providers will oblige. Similarly, many hospitals or large medical associations offer financial assistance based on your income and related factors — in many cases (such as mine), financial assistance can erase all or most of your medical debt.

Failing to budget

The problem: Whether you simply don’t have a budget, or you blow yours off with unnecessary extravagances, failing to stick to a budget is one of the most common (and fixable) money mistakes. It’s also one of the most problematic, since budgeting is at the heart of all solid personal financial plans. The solution: If you don’t yet have a budget, there is never a better time than now to set aside time to create a realistic and workable one. The key is to be realistic, which means not only being honest with yourself about your income and expenses, but also being frank regarding your spending priorities and how you’ve historically chosen to spend money. CHECK OUT: CNBC and Acorns launch #CNBCMoneyMistakes social media campaign That’s where tracking your spending comes into play. First, you need to assess what you’ve been spending, and only then can you determine when and how to cut. Budgeting is less successful when you create specific spending categories and limits without understanding how much you typically spend in those areas, and whether the budget to which you aspire can be reasonably met. Asking someone who eats out every night to suddenly cut their dining budget down to $200 per month, for example, might be a recipe for disaster. That leads us to a second point: Extravagances and spending beyond your budget can also be a function of cutting too much all at once. If your budget leaves you feeling deprived, or if you’re frequently making impulse buys, it’s time to assess what’s really behind those expensive choices that exceed your budget. Are they stress-driven? Or, do you really not know how much discretionary income you have at any time? The solution differs based on the root cause.

Not planning ahead

The problem: Failing to plan ahead can take many forms — ranging from not having a will or life insurance if you’re a parent, to not planning for retirement or for any upcoming lifestyle changes, such as having a new baby or switching careers. The solution: It’s all too easy to fall into a complacent lull if your life is running fairly smoothly and, when that happens, even the savviest among us can fail to plan for the inevitable changes that affect us all. Common money mistakes emerge from not appreciating the changes that may come, and acting accordingly. Take stock of where you are now: Do you have kids, or other dependents? Who will provide for them — or you — if you can no longer work? Are you planning to downsize, switch careers, have kids or retire early? All of these questions can help you plan forward for your needs, and avoid common mistakes, such as being under-insured, not having a will or other legacy instruments, or creating alternative budgets for new circumstances.

Under-saving/under-investing

The problem: A whopping 78% of Americans live paycheck-to-paycheck, and many don’t even have access to a $400 emergency fund, let alone any investments. But even those Americans who don’t fall into these categories often fail to meet recommended savings and investment targets, and are at risk of under-funding their lifestyle and retirement goals. The solution: There are three basic categories of reasons why we don’t save or invest enough: First, we might not earn enough. Second, we might earn enough, but choose to overspend on other things. Or third, we might not know enough about investing or feel confident in our abilities to do so well. If your issue is in the first, consider ways to increase your income, since every dollar you earn beyond your living expenses can be used toward savings. Check for employer-sponsored plans, such as matching 401(k) plans or holiday bonuses.

Even the most successful investors had to learn the basics at one time, just like you. Janet Alvarez consumer advocate and executive editor of Wise Bread

Consider using your annual tax refund as your emergency fund savings. For those facing the second category, budgeting is key, but so are all the suggestions mentioned for the first category. All too often, however, the real impediment for many middle-class Americans is the third issue: They don’t feel confident investing. Recognize that you’re not alone, and that even the most successful investors had to learn the basics at one time, just like you. And statistics show that being somewhat risk-averse can actually improve your return over time. Start slow, with lower-fee and relatively diversified investments such as target-date retirement funds in your 401(k) or low-cost index exchange traded funds. Seek out financial education online or in your community. And automate your savings and investments through auto-withdrawal programs from your bank, employer or apps such as Acorns.

Credit card headaches

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Company: cnbc, Activity: cnbc, Date: 2019-09-04  Authors: janet alvarez
Keywords: news, cnbc, companies, dont, spending, avoid, big, mistakes, coverage, medical, money, heres, budget, debt, solution, financial


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Fewer women now pay their credit card balances in full

Overall, cardholders are paying their balances in full less often and feeling less confident about doing so in the future than at any time in the past year, according to a monthly credit card confidence survey by CompareCards.com. Women are struggling the most, the card comparison site found. At the same time, credit card interest rates have never been higher, setting the stage for potential problems for those at-risk consumers. The average card interest rate is currently over 17%, but can be as


Overall, cardholders are paying their balances in full less often and feeling less confident about doing so in the future than at any time in the past year, according to a monthly credit card confidence survey by CompareCards.com. Women are struggling the most, the card comparison site found. At the same time, credit card interest rates have never been higher, setting the stage for potential problems for those at-risk consumers. The average card interest rate is currently over 17%, but can be as
Fewer women now pay their credit card balances in full Cached Page below :
Company: cnbc, Activity: cnbc, Date: 2019-09-03  Authors: jessica dickler
Keywords: news, cnbc, companies, say, card, credit, balances, women, interest, debt, fewer, likely, schulz, rate, pay


Fewer women now pay their credit card balances in full

Americans — especially women — are feeling less secure about their finances today than just a few months ago.

Overall, cardholders are paying their balances in full less often and feeling less confident about doing so in the future than at any time in the past year, according to a monthly credit card confidence survey by CompareCards.com. Women are struggling the most, the card comparison site found.

“There is certainly a significant gender gap when it comes to paying your bills,” said Matt Schulz, CompareCards’ chief industry analyst.

For the first time, women were more likely to say they never paid their card statements in full once in the previous six months than to say they did so every month, CompareCards found. Men were much more likely to say they always paid their bill in full.

Various studies show that women in general are more stressed about money than are men. Not only do women typically earn less, they are more likely to work part time and take time off over the course of their careers to care for children. They are also more likely to lead single-parent households, leaving them far less financially secure.

At the same time, credit card interest rates have never been higher, setting the stage for potential problems for those at-risk consumers.

“You never want to run up debt in good economic times because it probably means you aren’t putting enough away for when times go bad,” Schulz said.

The average card interest rate is currently over 17%, but can be as high as nearly 25% for those with bad credit, according to CompareCard’s latest tally.

More from Personal Finance:

Best way to pay off credit card debt? Move to Indiana

Here’s one easy way to pay less to your credit card company

1 in 3 consumers fear they will max out a credit card

To get a handle on debt, Schulz recommends starting a budget if you haven’t already, and calling your card issuer to ask for a reduced interest rate.

“Even if you just save 2 or 3 percentage points, it can make a significant difference,” he said.

In fact, if you ask your card issuer to drop an annual fee, waive late charges or reduce your interest rate, your card company is highly likely to say yes, according to a separate survey from CreditCards.com.

Alternatively, cardholders carrying debt can shop around for a better rate or snag a zero-interest balance transfer offer, then, begin to aggressively pay down the balance.

CompareCards, a division of LendingTree, polled more than 730 credit cardholders in August.

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Company: cnbc, Activity: cnbc, Date: 2019-09-03  Authors: jessica dickler
Keywords: news, cnbc, companies, say, card, credit, balances, women, interest, debt, fewer, likely, schulz, rate, pay


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Argentina has asked for more time to pay its debts as it struggles to avoid another default

Thousands of people march from Obelisco monument to Casa Rosada to support President of Argentina Mauricio Macri in Buenos Aires, Argentina on August 24, 2019. It comes after embattled President Mauricio Macri pledged to “re-profile” roughly $100 billion in debt this week. The credit rating agency said Macri’s plan to “unilaterally” extend maturities of all short-term paper constituted default under its own criteria. Alberto Fernandez, presidential candidate for the Citizen’s Unity Party, center


Thousands of people march from Obelisco monument to Casa Rosada to support President of Argentina Mauricio Macri in Buenos Aires, Argentina on August 24, 2019. It comes after embattled President Mauricio Macri pledged to “re-profile” roughly $100 billion in debt this week. The credit rating agency said Macri’s plan to “unilaterally” extend maturities of all short-term paper constituted default under its own criteria. Alberto Fernandez, presidential candidate for the Citizen’s Unity Party, center
Argentina has asked for more time to pay its debts as it struggles to avoid another default Cached Page below :
Company: cnbc, Activity: cnbc, Date: 2019-08-30  Authors: sam meredith
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Argentina has asked for more time to pay its debts as it struggles to avoid another default

Thousands of people march from Obelisco monument to Casa Rosada to support President of Argentina Mauricio Macri in Buenos Aires, Argentina on August 24, 2019. Muhammed Emin Canik | Anadolu Agency | Getty Images

An intensifying bout of volatility in South America’s second-largest country has stoked fears of a full-blown financial crisis, with analysts warning Argentina could soon register its ninth sovereign default. It comes after embattled President Mauricio Macri pledged to “re-profile” roughly $100 billion in debt this week. The plan, which requires congressional approval, was an attempt to shore up confidence in financial markets ahead of a presidential election later this year. In response to the news, government bonds and the super-sensitive peso sold off on Thursday, as market participants deemed the proposal to be insufficient in tackling the country’s severe financial troubles. Standard & Poor’s (S&P) also announced it had slashed Argentina’s long-term credit rating by another three notches into the deepest area of junk debt. The credit rating agency said Macri’s plan to “unilaterally” extend maturities of all short-term paper constituted default under its own criteria. S&P attributed its decision to the “heightened vulnerabilities of Argentina’s credit profile,” citing the quickly deteriorating financial environment, the absence of confidence in financial markets about policy initiatives under the next administration and the inability of the Treasury to roll over short-term debt with the private sector.

What happened?

The latest round of turmoil in the recession-hit country was triggered by a stunning result in primary polls earlier this month. In a vote seen by many as a key gauge for the first round of Argentina’s presidential elections on October 27, business-friendly Macri lost by a far greater margin than expected to the opposition ticket of center-left Alberto Fernandez and populist ex-leader Cristina Fernandez de Kirchner. The result on August 11 cast serious doubt over the center-right incumbent’s re-election chances in less than 60 days’ time. Analysts said the nationwide ballot proved voters were fed up with Macri’s austere economic policy.

Alberto Fernandez, presidential candidate for the Citizen’s Unity Party, center left, and Cristina Fernandez de Kirchner, former president of Argentina, center right, wave to attendees during their first campaign event in Merlo, Argentina, on Saturday, May 25, 2019. Sarah Pabst | Bloomberg | Getty Images

The primaries are widely seen as a relatively accurate indicator of public opinion ahead of the elections. That’s because all parties take part and voter participation is mandatory. The result was especially shocking because it showed Fernandez and de Kirchner could have enough support to avoid a potential run-off vote in November. The primaries set off a shockwave in financial markets, with investors concerned a return of the left to power could represent a new era of interventionist policies.

What has been announced?

On Wednesday, Treasury Minister Hernan Lacunza announced the government wanted to extend maturities on short-term debt and planned to negotiate new time periods for loans to be paid back to the International Monetary Fund (IMF). Lacunza described the debt-extension plan as a “re-profiling” of obligations that would impact institutional rather than individual investors.

Argentina’s Finance Minister Hernan Lacunza attends a press conference to announce new economic measures in Buenos Aires, on August 28, 2019. RONALDO SCHEMIDT | AFP | Getty Images

Argentina’s government is “trying to stop burning through reserves fruitlessly” amid a collapse in rollover rates for its short-term debt, Fiona Mackie, regional director for Latin America at the Economist Intelligence Unit (EIU), said via Twitter on Thursday. “This makes some sense, but this is looking more and more of a solvency rather than just a liquidity issue,” Mackie said. Macri borrowed $57 billion from the IMF last year on the agreement he would implement austerity measures to trim the country’s huge debt and make the repayments. Fernandez, who has become the front-runner to win presidential elections later this year, has said he wants to renegotiate the IMF pact.

What are the risks?


Company: cnbc, Activity: cnbc, Date: 2019-08-30  Authors: sam meredith
Keywords: news, cnbc, companies, struggles, asked, argentina, shortterm, result, president, debt, macri, plan, financial, avoid, fernandez, presidential, debts, default, pay


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5 things every college student should do with their money

Banks and credit unions offer specialized cards for college students who don’t have long credit histories. Prioritize credit card debt repaymentWhile building credit history is important, you also want to avoid falling into debt. For more inspiration on how to build up your emergency fund, check out these helpful tips: 6 things college students should avoid spending money on5 small moves to save big on college costs7 ways to save money in college5. Any college student can — and should — apply. D


Banks and credit unions offer specialized cards for college students who don’t have long credit histories. Prioritize credit card debt repaymentWhile building credit history is important, you also want to avoid falling into debt. For more inspiration on how to build up your emergency fund, check out these helpful tips: 6 things college students should avoid spending money on5 small moves to save big on college costs7 ways to save money in college5. Any college student can — and should — apply. D
5 things every college student should do with their money Cached Page below :
Company: cnbc, Activity: cnbc, Date: 2019-08-28  Authors: alicia adamczyk
Keywords: news, cnbc, companies, money, card, student, payments, youre, students, debt, things, college, credit, financial


5 things every college student should do with their money

Leaving home for college is the first time that many young adults find themselves on their own — responsible for attending classes, cooking meals and managing money largely by themselves. It’s inevitable to make a few financial mistakes, even if you’re prepared. But with a little effort, you can minimize them, no matter how green you are on the subject when you head off to campus. Here are five tips for getting your finances in order while you’re in school.

1. Start making student loan payments

Technically, undergraduates often don’t need to make payments on their loans until six months after graduating or dropping below half-time status. But by making payments throughout your college years, if you’re able, you can potentially save thousands of dollars in interest, depending on the size of the loans and the interest rate. “It’ll cost less in the future once you enter repayment if you get that principal down,” Elaine Griffin Rubin, senior contributor and communications specialist at Edvisors, told CNBC. “And it will lower your monthly payments.” If you start making payments before the grace period, there are no minimum payments and no penalty for prepaying, which can help you not only lessen your debt load, but get in the habit of making payments while acclimating to a budget.

2. Build your credit history

One of the most important parts of your credit history is how long you have had access to credit. That means the sooner you get started, responsibly, the better your score will be, experts say. Banks and credit unions offer specialized cards for college students who don’t have long credit histories. Another option, if your parents or guardians are up for it, is to become an authorized user on someone else’s card. “If you’re using cards responsibly, it can be possible to build up great credit in two to four years,” John Ganotis, founder of CreditCardInsider.com, previously told CNBC Make It. “The only way to really maximize scores is time.” A higher score can help secure better credit card offers, as well as home and auto loan rates, saving you even more money in interest payments. Here are some great first-time credit card options for students.

3. Prioritize credit card debt repayment

While building credit history is important, you also want to avoid falling into debt. Over 35% of U.S. college students say they have more than $1,000 in credit card debt, according to a report published earlier this summer by EVERFI and AIG.

Twenty/20

That might not seem like a pressing issue compared to the record amount of loan debt students are taking on, but credit cards typically have higher interest rates than other types of debt. The average credit card APR is 17.71%, according to CreditCards.com, while federal student loan rates are currently less than half that. If you start accruing credit card debt in school, paying that off, in full, should be your top financial priority. That said, college students do seem to practice smart financial habits when it comes to credit cards: More than 70% say they pay their bills on time, according to Sallie Mae’s 2019 Majoring in Money report, with 60% saying that they pay off their cards in full every month.

4. Start building an emergency fund

When you leave school, you’ll want options. Moving across the country to pursue a job, going on an extended trip or taking time to find a role you’re passionate about all require capital, and a fully-funded emergency fund will help make the time after graduation easier. But with college being more expensive than ever before, it can seem like an uphill battle to save for a rainy day. Start by keeping your other expenses as low as possible. “The best way to keep your costs down while in school is one, have multiple roommates; two, drive a paid off car; and three, learn how to cook cheaply while checking out the amazing lists out there on sites like Pinterest,” Travis Hornsby, founder of Student Loan Planner, tells CNBC Make It. One of the most important factors to your bottom line? Limiting the cost of attendance as much as possible, which includes taking advantage of financial aid. For more inspiration on how to build up your emergency fund, check out these helpful tips: 6 things college students should avoid spending money on

5 small moves to save big on college costs

7 ways to save money in college

5. Fill out FAFSA for 2020

It might be 2019, but the deadline for the Free Application for Federal Student Aid for the 2020-2021 school year opens October 1, and students should apply as early as possible. FAFSA allows students to apply for financial aid from the federal government, no strings attached, for college or grad school. It must be filed each year in order for you to continue to receive federal financial support. Any college student can — and should — apply. As college finance experts put it, it’s free money. And that will help keep your loan balance down. “Regardless of your personal financial situation, you should be filing the FAFSA form every year to open doors to potential grants or loans that otherwise you would not have access to,” Amin Dabit, head of Advisory Services at Personal Capital, tells CNBC Make It. “Filing as early as possible can be an advantage as well. There is a defined pool of money that is allocated every year. If you apply late or after the deadline, you might miss out on money.” You will need your Social Security number, your income tax information (or your parents’) for 2018, investment and bank records and an FSA ID. If you’re struggling to fill out the form, Dabit suggests seeking help from your university’s financial aid office or from a financial advisor. Apply on the Department of Ed’s federal student aid website. Don’t miss: Over a third of college students already have credit card debt Like this story? Subscribe to CNBC Make It on YouTube!


Company: cnbc, Activity: cnbc, Date: 2019-08-28  Authors: alicia adamczyk
Keywords: news, cnbc, companies, money, card, student, payments, youre, students, debt, things, college, credit, financial


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At campaign stop, Biden hints at his plan to address student debt and rising tuition

Democratic 2020 U.S. presidential candidate and former Vice President Joe Biden reacts during a campaign Community Event at Keene State College in Keene, New Hampshire, U.S., August 24, 2019. Bernie Sanders, Elizabeth Warren and Kamala Harris, have released bold plans to address concerns about escalating student debt and college tuition. Sanders’ plan would erase all $1.6 trillion of outstanding student debt and make two- and four-year public colleges tuition- and debt-free. Harris has said she


Democratic 2020 U.S. presidential candidate and former Vice President Joe Biden reacts during a campaign Community Event at Keene State College in Keene, New Hampshire, U.S., August 24, 2019. Bernie Sanders, Elizabeth Warren and Kamala Harris, have released bold plans to address concerns about escalating student debt and college tuition. Sanders’ plan would erase all $1.6 trillion of outstanding student debt and make two- and four-year public colleges tuition- and debt-free. Harris has said she
At campaign stop, Biden hints at his plan to address student debt and rising tuition Cached Page below :
Company: cnbc, Activity: cnbc, Date: 2019-08-27  Authors: annie nova
Keywords: news, cnbc, companies, state, address, college, hampshire, hints, student, rising, campaign, biden, wouldnt, keene, service, public, debt, stop, plan, tuition


At campaign stop, Biden hints at his plan to address student debt and rising tuition

Democratic 2020 U.S. presidential candidate and former Vice President Joe Biden reacts during a campaign Community Event at Keene State College in Keene, New Hampshire, U.S., August 24, 2019.

After an event at Keene State College in New Hampshire over the weekend, a student walked up to Democratic presidential candidate Joe Biden and asked him to promise her that he wouldn’t forget college students should he make it to the White House.

“No, I don’t forget college students,” Biden said. “I put three kids through college and graduate school.

“I ended up with a debt of over $280,000,” he added. “I get it; I’ve forgotten more about it than you’ll ever know.”

Biden went on to sketch out his higher education plan.

He stopped short of his previous position that all four years of public college should be free, saying instead that he supported two years of free community college, “cutting in half the cost of four years of college at a state university.”

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“We’re going to cut back on what’s owed by people who go to private college,” Biden said, adding that he would reduce the monthly student loan payments for people enrolled in income-driven repayment plans, in which bills are capped at a percentage of a borrower’s income.

Currently, under those plans, people pay 10% to 20% of their discretionary income. Biden suggested he would require them to pay just 5%.

And if a student loan borrower earns less than $30,000, Biden said, they wouldn’t be required to pay anything and interest wouldn’t accumulate on their debt.

A campaign spokesperson said Biden will soon release a plan for “making higher education affordable and accessible to all Americans.”

Higher education expert Mark Kantrowitz said Biden’s plan doesn’t make any big waves.

“He does not propose to forgive student loans, even in a targeted manner,” Kantrowitz said. “They won’t attract much attention from millennials.”

Many of the major contenders for the Democratic nomination, including Sens. Bernie Sanders, Elizabeth Warren and Kamala Harris, have released bold plans to address concerns about escalating student debt and college tuition.

Sanders’ plan would erase all $1.6 trillion of outstanding student debt and make two- and four-year public colleges tuition- and debt-free. Warren has proposed eliminating the cost of tuition and fees at every public two-year and four-year college, and canceling $640 billion of student debt. Harris has said she would make community college free and four-year public college debt-free.

In New Hampshire, Biden said there should be “college forgiveness for public service, if you’re engaged,” an apparent reference to the already existing public service loan forgiveness program.

Signed into law by President George W. Bush in 2007, the public service program allows not-for-profit and government employees to have their federal student loans canceled after 10 years of payments. However, the program has been plagued by problems, and more than 99% of applicants are rejected.

“You’re going to do fine,” Biden told the student at the New Hampshire rally. “Your parents are making a great sacrifice having you here at a private university.”

“This is public,” the woman corrected him. “It’s Keene State College.”


Company: cnbc, Activity: cnbc, Date: 2019-08-27  Authors: annie nova
Keywords: news, cnbc, companies, state, address, college, hampshire, hints, student, rising, campaign, biden, wouldnt, keene, service, public, debt, stop, plan, tuition


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Do you think saving is hard? This trick could make it easier to stay motivated so you meet your goal

Recalling the time when she still had debt and no savings, she says those events would have ruined her for months. Sarah Wilson, of GoBudgetGirl.com, with a Debt Free Chart. Nash started Debt Free Charts after she and her husband conquered their own debt issues. The internet has tons of financial pictures and forms to chart progress. Wilson kept her savings chart on her fridge.


Recalling the time when she still had debt and no savings, she says those events would have ruined her for months. Sarah Wilson, of GoBudgetGirl.com, with a Debt Free Chart. Nash started Debt Free Charts after she and her husband conquered their own debt issues. The internet has tons of financial pictures and forms to chart progress. Wilson kept her savings chart on her fridge.
Do you think saving is hard? This trick could make it easier to stay motivated so you meet your goal Cached Page below :
Company: cnbc, Activity: cnbc, Date: 2019-08-27  Authors: jill cornfield
Keywords: news, cnbc, companies, saving, free, think, easier, motivated, emergency, progress, chart, meet, nash, goal, financial, hard, win, debt, savings, trick, stay, wilson


Do you think saving is hard? This trick could make it easier to stay motivated so you meet your goal

Just when you think you have it all figured out, life throws you a curve ball. Recently, Sarah Wilson, who lives in College Station, Texas, and blogs at GoBudgetGirl.com, hit the emergency trifecta: a computer repair, an unexpected $500 medical expense and the all-too-common pricey car repairs. Recalling the time when she still had debt and no savings, she says those events would have ruined her for months. “Having savings made the emergencies an inconvenience instead of the end of the world,” Wilson said. If there’s a single financial task that seems like it can be put off indefinitely, it’s the emergency stash. Today, your car is fine, your pets are healthy, the sun is shining.

Sarah Wilson, of GoBudgetGirl.com, with a Debt Free Chart. Source: Sarah Wilson

Yet roadblocks crop up when you’re least prepared for them. That’s why everyone needs an emergency cushion to soften the blow. More than a third of people, ages 36 to 60, surveyed by PNC Financial Services said they had nothing saved for an emergency. Make this critical financial goal more fun by choosing a method that suits your personality. The internet has a wealth of ideas and resources for crafty, creative types. Pinterest can show you vision boards for inspiration. You could knit or crochet a green (or gold) scarf or hat. It may sound silly — how is drawing a picture going to get you more money? — but it works.

When you can see yourself starting to win, you want to win more. Heidi Nash founder, Debt Free Charts

Visualizing a financial goal on a progress chart gives you something to look at that isn’t just numbers, says Heidi Nash, who lives in the Bay Area. Nash started Debt Free Charts after she and her husband conquered their own debt issues. Filling in the chart motivates people to keep saving. “When you can see yourself starting to win, you want to win more,” Nash said. Check out Instagram for examples of inspiring savings charts. The internet has tons of financial pictures and forms to chart progress. They are generally created and often given away free or at minimal cost by ordinary people who just want to share. Things you ignore tend to just disappear, says Jackie Beck, who lives in Phoenix. “What you focus on is what you get,” she said. Beck, 50, and her husband conquered their own financial struggles. Now she counsels people on getting out of debt.

1. Got markers?

Are you a visual person? Love Pinterest and making scrapbooks? Then a financial vision board could be the perfect way to save. Your board can be digital. Beck used Pinterest to collect inspiring images, such as a picture of her dream vacation spot. If you make a paper board, place it on your fridge or inside your medicine cabinet, or any place you visit every day. Wilson kept her savings chart on her fridge. “It inspired me to work harder to fill it in faster and see the progress,” she said. “Especially in more difficult or slower times, the chart showed how far I had already come and how much I had accomplished.”

2. Buddy up

Things are more fun when you do them with someone else. That’s why we like book clubs, coffee dates and exercise partners. So get yourself a money partner. Chances are, you have a friend who has similar financial woes. Like any exercise or fitness plan, saving works better when you don’t go it alone. The two of you can have a shared goal or complementary ones. Plan to meet regularly and exchange ideas, talk about new ways to save money and high-five each other’s success.

3. Have a savings party

4. Give yourself a gold star

Everything I need to know about motivation I learned in kindergarten. To put it simply, every job well done deserves a sticker. If you don’t have a spare memo book lying around, get one from the dollar store. Also, buy yourself a pack of foil stars or any other stickers. Each day you meet your goals, whether it’s bringing lunch to work, making your own coffee or walking instead of taking the bus, give yourself a star — in other words, a visual pat on the back for being a money-saving hero.


Company: cnbc, Activity: cnbc, Date: 2019-08-27  Authors: jill cornfield
Keywords: news, cnbc, companies, saving, free, think, easier, motivated, emergency, progress, chart, meet, nash, goal, financial, hard, win, debt, savings, trick, stay, wilson


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