Ask MetaFilter questions tagged with loans and banking

Figuring out if a bank loan has been charged off?

Anonymous — Thu, 12 Nov 2009 12:43:58 -0800

Figuring out if a bank loan has been charged off? Is it possible to find out if one particular loan made by one particular bank has been charged off (or "written off")? The details, as much as I can relate: it is a single loan (not securitized), for millions of dollars. It is a mortgage loan, I checked the recording documents and can see that the mortgage has not been officially discharged. No news reports about Bank X writing off Big Loan, no analyst reports discussing it. I'm not turning up anything useful at the FDIC or OCC sites, but could be missing something. Nothing in the SEC filings for Bank X. Is there anywhere that would have a record of big loan write-offs? It seems like something that should be reported -somewhere- . I thought of credit reports, but Lendee is a company, not a person. This is in the US.

What are the effects of high inflation and high interest rates on an economy?

thewalrus — Sat, 04 Apr 2009 01:12:56 -0800

Economicsfilter: How do mortgages work in developing countries with high rates of inflation and high interest rates? For example, Pakistan has a 20% inflation rate and the average fixed term prime residential mortgage for people with good credit is priced at 17%. What are the effects of this on a market? Can anyone point me to economics texts or real world examples of the results of the following:

USD:PKR exchange has gone from 1:60 to 1:81 in less than one year.
Inflation rate steady at 18 to 22% per year.
Minimum mortgage costs for residential consumers in the range of 16.5%+

The Pakistan central bank sets a rate which results in a KIBOR (Karachi Interbank Offered Rate) of approximately 15%. The various big name banks in Pakistan mark this up a couple of percent and sell residential mortgages on 10, 15 or 20 year amortization terms for around 16.5 to 18.0%. These are not "sub prime" type rates but are for people who can put 20-25% down, with good credit scores and job references, the Pakistani equivalent of a non-jumbo Prime mortgage.

This obviously makes the purchase of an average 3-bedroom flat quite a bit more expensive than in the US or Canada, where mortgages for anything would be under 8%.

How did this work in Argentina when the currency dropped drastically against the US dollar? I know of people who got into the Argentine market at exactly the right time with a USD exchange (or Euros, or GBP, or whatever) and were able to buy up property at amazing prices. Were interest rates similarly high in Argentina during the same period?

Does a high inflation rate somewhat offset the effect of having a mortgage with a 17% fixed interest rate? If the mortgage contract is fixed at a certain payment, but the inflation continues, a theoretical Rs125,000 monthly payment will continue to get less expensive as time goes on...

Prepare me for applying for an auto loan!

thatbrunette — Sun, 01 Mar 2009 13:00:34 -0800

I'm a student, looking to take out a first time auto loan for a car. I want a used car, and would like to spend no more than $3,000. My credit is alright, not stellar, and I have student loans. What can I expect in this process, and how can I better my chances of getting a loan? I'm going to apply through USAA. One thing to note is that I bank through USAA for the most part; however they don't have any local branches. Therefore I deposit my work checks in a Wells Fargo branch (I have an account with them as well), then transfer the money to my USAA account. So that balance fluctuates pretty heavily. Will this impact me negatively? For example, the current balance in my USAA account is very small, about $100, but I have a little more than 2.5k in my Wells Fargo account. Or is all of this negligible and they only base loans on credit score? I really need a car, and I'm hoping this works out.

Are subprimes still lending?

tesseract420 — Sun, 03 Feb 2008 23:23:42 -0800

Subprimes still lending?? I thought that the subprime loan market was out of business. Why am I getting multiple calls from Household Finance claiming that they have "new programs" trying to lend me money I don't need? ps I don't have a loan with Household Finance. I don't know if they're trying to make a home loan or a consumer credit facility.

Cosigning for a student loan

charmston — Sat, 01 Jul 2006 19:40:42 -0800

CreditFilter: Does co-signing for my student loans affect my parents' credit? My parents are concerned that cosigning for my student loans (which, before I complete my undergraduate studies, will probably amount to approximately $50,000) will adversely affect their credit. If not their FICO credit score, at least show up as some sort of debt that they are responsible for that might hurt their chances at getting future loans.

Are there any credit or financial experts that might know the specifics regarding this? Many thanks!