Revolving loans – Sendika12 http://sendika12.org/ Wed, 18 May 2022 08:44:20 +0000 en-US hourly 1 https://wordpress.org/?v=5.9.3 https://sendika12.org/wp-content/uploads/2021/10/profile-120x120.png Revolving loans – Sendika12 http://sendika12.org/ 32 32 Looking to start flipping houses? Here are 5 alternative loan types to look out for https://sendika12.org/looking-to-start-flipping-houses-here-are-5-alternative-loan-types-to-look-out-for/ Tue, 17 May 2022 14:10:06 +0000 https://sendika12.org/looking-to-start-flipping-houses-here-are-5-alternative-loan-types-to-look-out-for/ Sturti / Getty Images/iStockphoto The seemingly endless rise in home values ​​in the United States has led to a similar rise in house flipping, which is the act of quickly buying and then selling a home for a profit. As GOBankingRates previously reported, the average profit on house flipping recently reached $66,000 per house. See: […]]]>

Sturti / Getty Images/iStockphoto

The seemingly endless rise in home values ​​in the United States has led to a similar rise in house flipping, which is the act of quickly buying and then selling a home for a profit. As GOBankingRates previously reported, the average profit on house flipping recently reached $66,000 per house.

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These profits are likely to be reduced by rising mortgage rates, especially if you need to borrow money to buy the house you want to flip. Beyond that, there’s a whole list of other costs to consider, including renovations, utilities, property taxes and home insurance.

Depending on your tax bracket and when you sell, your profits could also be reduced by short-term capital gains tax rates between 10% and 37%, according to Mortgage Professional America (MPA).

If you need to borrow money to buy and flip a home, you’ll probably want to avoid the traditional mortgage route, as lenders consider flipping a greater risk and will likely charge you higher rates. Here are five types of alternative loans, cited by MPA.

hard money loans

According to Rocket Mortgage, this is a type of nonconforming short-term loan that typically comes from individuals or businesses who accept a property or other asset as collateral. It’s a good option if you don’t have the best credit rating, but you’ll need a high-value asset to get there.

Home equity line of credit

Commonly called HELOC, they work by allowing you to use your own home as collateral. You will get a revolving line of credit based on the equity in your home which takes place in two phases: a drawing period during which you only pay the interest on the line of credit and a repayment period during which you pay both principal and interest. back and can no longer draw on the line of credit.

If you’re considering a HELOC, you’ll need to understand the variable nature of prime interest rates and be prepared for possible rate increases during the drawdown period, Steve Kaminski, head of U.S. residential lending at GOBankingRates, told GOBankingRates. TD Bank.

SURVEY: Have gas prices affected your driving habits?

Refinancing by withdrawal

A cash-out refinance involves using the equity in another home you own to invest in the home you are flipping. It is one of the cheapest financing options because it carries less risk for the lender.

Personal loans

These usually come from people in your personal network such as friends, family, co-workers and business associates. Money is usually lent in exchange for a share of potential profits or interest payments. Just make sure everything is in writing and approved by a lawyer to avoid later disputes.

Crowdfunding

The key here is to spread the word in a way that allows you to raise enough individual investor money to fund the home you want to flip. As noted by MPA, that means marketing the project, pitching your business plan, and preparing for rejection. You may also have to settle for a lower percentage of profits, depending on the arrangement.

More from GOBankingRates

About the Author

Vance Cariaga is a London-based writer, editor and journalist who has previously held positions at Investor’s Business Daily, The Charlotte Business Journal and The Charlotte Observer. His work has also appeared in Charlotte Magazine, Street & Smith’s Sports Business Journal, and Business North Carolina magazine. He holds a BA in English from Appalachian State University and studied journalism at the University of South Carolina. His reporting has won awards from the North Carolina Press Association, the Green Eyeshade Awards and AlterNet. In addition to journalism, he has worked in banking, accounting and restaurant management. A North Carolina native who also writes fiction, Vance’s short story “Saint Christopher” placed second in the 2019 Writer’s Digest short story competition. Two of her short stories appear in With One Eye on the Cows, an anthology published by Ad Hoc Fiction in 2019. Her first novel, Voodoo Hideaway, is published in 2021 by Atmosphere Press.

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State Provides $1.3 Billion in Loans and Grants to Fund Wastewater and Drinking Water Projects / iBerkshires.com https://sendika12.org/state-provides-1-3-billion-in-loans-and-grants-to-fund-wastewater-and-drinking-water-projects-iberkshires-com/ Sun, 15 May 2022 16:37:00 +0000 https://sendika12.org/state-provides-1-3-billion-in-loans-and-grants-to-fund-wastewater-and-drinking-water-projects-iberkshires-com/ BOSTON – The Baker-Polito administration has announced that 183 projects across the Commonwealth are eligible to receive approximately $1.3 billion in low-interest loans and grants to fund construction, planning and management projects of assets designed to improve water quality, upgrade or replace aging potable water supply and wastewater treatment infrastructure, and reduce energy consumption and […]]]>

BOSTON – The Baker-Polito administration has announced that 183 projects across the Commonwealth are eligible to receive approximately $1.3 billion in low-interest loans and grants to fund construction, planning and management projects of assets designed to improve water quality, upgrade or replace aging potable water supply and wastewater treatment infrastructure, and reduce energy consumption and treatment plant costs.

These offers include nearly $189 million in additional funding that Massachusetts expects to receive from the federal Bipartisan Infrastructure Act (BIL) and $100 million in American Rescue Plan Act (ARPA) funds this year. .

“Wastewater and drinking water facilities play a crucial role in protecting our environment and public health, and this funding supports the efforts of our cities and towns to improve and modernize this vital water infrastructure. said Gov. Charlie Baker. “The Baker-Polito administration has made it a priority to invest in our critical infrastructure, including the proposed two rounds of ARPA funding, to fund important projects. These projects will increase the availability of safe, clean water resources. reliable throughout the Commonwealth for many years to come.”

State Revolving Fund (SRF) funding is administered by the Massachusetts Clean Water Trust and funds projects implemented by cities and towns, regional water supply and wastewater treatment districts, and the Massachusetts Water Resources Authority (MWRA). The projects include 88 drinking water projects (see Table 1) totaling approximately $963 million and 61 drinking water projects (see Table 1) totaling approximately $363 million. An additional $3.7 million will be provided by the Trust in the form of grants for 34 asset management planning projects. Communities that have been offered SRF funding in this cycle must decide to move forward with the project by June 30, 2022 and secure a local funding authority.

“Our communities deserve wastewater and drinking water infrastructure that fully meets their needs, protects their residents from harm, and preserves our natural resources,” said Lieutenant Governor Karyn Polito. “In addition, this funding from the state’s Revolving Fund will help boost local economies by building new treatment facilities and replacing outdated water lines.”

In accordance with the Clean Energy Results Program under the leadership of MassDEP, 17 of the water infrastructure projects funded relate to renewable energy, energy efficiency or green infrastructure initiatives. Energy use in wastewater and drinking water treatment facilities is a major contributor to the overall energy use of many cities and towns, with communities across the state spending an estimated $150 million annually on electricity to treat 662 billion gallons of wastewater and drinking water. About 30% of municipal energy consumption comes from water treatment.

“I am proud to announce, in collaboration with the Baker-Polito administration, this important investment in the water supply infrastructure of our towns and villages. These projects are essential to the health and well-being of everyone here in Massachusetts,” said State Treasurer Deborah B. Goldberg, president of the Clean Water Trust. “This increase in federal grants along with low-interest loans through the Trust enables communities to finance cost-effective water infrastructure projects.”

This year, 90 of the new projects are eligible to receive a principal discount. The main rebate is given to renewable energy projects and projects in communities that meet the affordability criteria established by the Clean Water Trust. Affordability criteria consider per capita income, unemployment rate and demographic trends.

The Commonwealth has also proposed to reduce the SRF borrowing rate from 2% to 1.5% for communities that support the Housing Choice Initiative. Twenty-eight candidates have the Housing Choice designation: Acton, Amherst, Andover, Barnstable, Belchertown, Billerica, Boston, Brockton, Burlington, Fall River, Franklin, Framingham, Haverhill, Lawrence, Littleton, Lowell, Lynn, Medfield, Medway, Nantucket , Northampton, Orleans, Quincy, Plymouth, Swampscott, Taunton, Tewksbury and Tyngsborough.

The SRF is made up of two programs that have provided more than $8 billion to Massachusetts projects: the Clean Water Fund, first funded in 1989; and the Clean Water Fund, which began operating in 1999. More information on the two SRF programs can be found here.

This year, the Clean Water SRF is providing $963 million in funding for clean water projects across the Commonwealth. Approximately $898 million will fund 67 new construction projects, $41 million will be allocated to fund four previously approved multi-year projects, $3 million has been allocated to the emergency reserve account, $5 million will be directed to the community-based septic system management program to repair failing septic systems in participating communities, and $15 million will fund 17 proposed planning projects.

This year, the Drinking Water SRF is providing $363 million in funding for drinking water projects across the Commonwealth. Approximately $319 million will fund 43 new construction projects, approximately $29 million will be allocated to fund six previously approved multi-year projects, $5 million will fund an emergency account, and nearly $10 million will be allocated to fund 12 planning projects.

An additional $3.7 million will be provided by the Trust in grants for 34 asset management planning projects, 27 communities qualifying for clean water projects and seven communities qualifying for clean water projects. ‘potable water.

Massachusetts provides subsidized infrastructure funding under the SRF, which is administered by the Trust – a joint effort of MassDEP, the Executive Office of Administration and Finance, and the Office of the State Treasurer.

To be eligible for SRF Drinking Water or Potable Water Loans, municipalities, wastewater districts, and water suppliers filed applications with MassDEP last year demonstrating that proposed projects provide significant benefits to public health or water quality, have local financing clearance, and demonstrate that there is a commitment from the borrower to apply for the loan in a timely manner. Projects on the SRF 2022 list must now submit loan applications and receive MassDEP approval to obtain financing.

The next solicitation for SRF project proposals to be considered for the 2023 planned use plan will be opened by MassDEP no later than July 1, 2022.

Keywords: MassDEP,

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How Stacked Loans Work | Mortgages and advice https://sendika12.org/how-stacked-loans-work-mortgages-and-advice/ Fri, 13 May 2022 13:38:00 +0000 https://sendika12.org/how-stacked-loans-work-mortgages-and-advice/ If you’re putting down a small down payment on your home, a piggyback loan could help you avoid additional charges on your mortgage. However, these types of loans are not without their own costs and drawbacks. Here’s what you need to know. What is a piggyback loan? Homebuyers use piggyback loans to avoid paying private […]]]>

If you’re putting down a small down payment on your home, a piggyback loan could help you avoid additional charges on your mortgage. However, these types of loans are not without their own costs and drawbacks. Here’s what you need to know.

What is a piggyback loan?

Homebuyers use piggyback loans to avoid paying private mortgage insurance, which typically kicks in if your down payment is less than 20% of the home’s sale price. PMI acts as an insurance policy to protect the lender in the event of late payment or total default.

A piggyback mortgage deal typically offers a primary mortgage for 80% of the home’s value, plus a home equity product to make up the difference between your down payment and the remaining 20%.

The piggyback loan usually comes with a higher interest rate than the first mortgage, and the rate can be variable, meaning it can increase over time.

Stacked loans became popular during the housing boom of the early to mid-2000s. In 2006, for example, about 30% of New York homebuyers used one, according to a 2007 report from the NYU Furman Center.

The loan mix allowed aspiring homeowners to buy the homes they wanted and avoid PMI without putting 20% ​​or more in cash. But it also made their homes more vulnerable to default.

When the national housing bubble burst in the late 2000s, homeowners with less home equity were more likely to default than those with significant equity.

Piggyback mortgages still exist but are rare. “There has been a decline in popularity, but also a substantial tightening of guidelines by lenders offering these stacked second mortgages,” says Jeff Brown, branch manager and mortgage originator for Axia Home Loans.

And they don’t see much of a return, even with the recent spike in home prices. According to Ralph DiBugnara, CEO of Home Qualified, a digital real estate resource, “the need has been reduced with the expansion of mortgage products that require less than 20% down payment and do not require PMI.”

Types of stacked loans

There are several ways to structure a piggyback mortgage. Here’s how the different options break down based on your primary mortgage, piggyback loan, and down payment.

  • Ready 80/10/10. This option is worth considering on a conventional loan and involves a main mortgage covering 80% of the sale price, a piggyback loan financing 10% and a down payment covering the remaining 10%.
  • Ready 80/15/5. This option works the same way as the 80-10-10 loan, but instead of depositing 10% and borrowing the remaining 10% with a piggyback loan, you only deposit 5% and fund the remaining 15% with the second home loan. .
  • Ready 75/15/10. This option, which consists of a 15% loan and a 10% down payment, can be used when buying a condo. This is primarily because condominium mortgage rates tend to be higher if the loan-to-value ratio is above 75%.
  • 80/20 loan. This arrangement, which was popular during the years leading up to the 2007 housing crisis, required no down payment. You would simply take out a primary mortgage to finance 80% of the sale price and 20% with a secondary loan to cover the rest. This piggyback arrangement is no longer common, however.

Advantages and disadvantages of stacked loans

If you’re considering a piggyback mortgage, it’s important to understand both the pros and cons.

Advantages of stacked loans

It could save you money. PMI can cost between 0.3% and 1.5% of your loan amount per year. So if your mortgage is $250,000, you might have to pay between $750 and $3,750 in PMI premiums each year. This translates to a monthly payment of $62.50 to $312.50 plus the principal and interest payment to your lender, plus property taxes.

Depending on the cost of the second mortgage in monthly installments, you might end up paying less than you would with PMI. But it could easily go either way, DiBugnara says. “Some second mortgages used for piggyback loans will carry a much higher interest rate,” he adds. “In this case, it is very likely that the payment will be greater than a PMI payment.” Be sure to do the math to find out which option is best for your situation.

You can deduct the interest on both loans. The IRS allows you to deduct interest paid on up to $750,000 of qualifying mortgage debt ($375,000 if you’re married but file your taxes separately). This includes home equity loans and HELOCs used to buy, build, or significantly improve the home used as collateral.

Adding these savings into your calculation of whether a piggyback loan can save you money can make things more complicated. Plus, it can be hard to know exactly how much you could save — or even whether it makes sense to itemize your deductions and claim the mortgage interest deduction — unless you speak with a tax professional.

You may keep a HELOC for other purposes. A home equity loan is an installment loan, which means that you get the full amount of the loan as a lump sum and pay it back in equal installments. With a HELOC, however, you’ll get a form of revolving credit during the drawdown period, which you can repay and borrow again over time to pay for home improvements and other expenses.

Disadvantages of Layered Loans

Closing costs could reduce the value. In addition to paying the closing costs of your first mortgage, you may have to pay the closing costs of your home equity loan or HELOC. However, some lenders offer home equity products with low or no closing costs. You’ll want to know what the lender is charging so you can include it in your calculations.

Even if the closing costs are low, the math still may not work in your favor, and paying the PMI could end up being cheaper than taking out a second home loan.

This could make refinancing difficult. If you get your piggyback loan from a different lender than your first mortgage, which is typical, refinancing your home for cash or a lower interest rate could be more difficult. later.

This is because both lenders will have to accept the refinance unless you take out a refinance loan large enough to pay off the second mortgage. Convincing both lenders can be difficult, especially if the value of your home has gone down since you bought it.

The cost could increase over time. If the second loan you take out is a HELOC with variable interest rates, don’t base your calculations solely on the current cost of each option.

A variable interest rate may fluctuate with the market index interest rate. There is no way to know exactly how much a variable interest rate may cost you, as it is impossible to predict movements in market interest rates. If your budget is tight and you can’t handle your mortgage payments increasing over time, an adjustable rate piggyback loan may not be a good choice.

How to qualify for piggyback loans?

It can be difficult to qualify for a piggyback loan, as second mortgage lenders may have different eligibility criteria. Although the details may vary from lender to lender, here is what you will generally need to get approved for both loans:

  • Credit score. You will generally need a FICO score of 620 or higher for the primary mortgage, but the minimum for the secondary mortgage may be 680 or higher.
  • Debt to income ratio. Mortgage lenders like to see a debt-to-income ratio of 43% or less, and that includes both primary and secondary home loans.

Note that a smaller down payment will also generally result in higher interest rates.

Piggyback Loan Alternatives

Look for loans without PMI. Some lenders offer conventional loans without PMI even if you don’t have a 20% down payment. Depending on the lender, this may be limited to a first-time home buyer or a low-income program, or you may have to accept a slightly higher interest rate.

Like a piggyback loan, work out the numbers to make sure you’re not paying more in the long run with a higher rate than you would with PMI.

Pay off your balance quickly. Conventional mortgage lenders typically add PMI to your loan if your loan-to-value ratio is above 80%, but your loan balance should eventually fall below this threshold. Lenders are required by law to automatically remove the PMI once your LTV reaches 78% based on the original loan and home value.

If you’re expecting a large windfall or have the cash to make additional payments, this could help reduce your loan balance more quickly and get you to the point where you no longer need the insurance.

While you’re working to pay off your balance, if you think your home’s value has gone up and you’re at 80% or less, you can have the home appraised. If you are correct, you can ask the lender to manually remove the PMI.

Wait until you have saved enough. While there are ways to buy a home now and avoid PMI, you might be better off waiting until you have enough cash on hand for a 20% down payment.

Saving the 20% you need to avoid PMI can take years. But if you think you can save enough money quickly, it may be worth the wait.

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Personal loans used to buy cars secured Oportun’s $400m ABS https://sendika12.org/personal-loans-used-to-buy-cars-secured-oportuns-400m-abs/ Wed, 11 May 2022 16:35:00 +0000 https://sendika12.org/personal-loans-used-to-buy-cars-secured-oportuns-400m-abs/ Oportun Issuance Trust, 2022-A, aims to raise $400 million from capital market debt, by issuing notes that will be secured by auto-securitized installment loans. Oportun, Inc., sponsoring the asset-backed securities (ABS) deal, which is secured by non-preferential loans. The agreement has a renewable period of 24 months, according to Morningstar | DBRS. During the revolving […]]]>

Oportun Issuance Trust, 2022-A, aims to raise $400 million from capital market debt, by issuing notes that will be secured by auto-securitized installment loans.

Oportun, Inc., sponsoring the asset-backed securities (ABS) deal, which is secured by non-preferential loans. The agreement has a renewable period of 24 months, according to Morningstar | DBRS. During the revolving period, eligible receivables will be sold to the trust subject to concentration limits and eligibility criteria. This structure is a change from the previous transaction, the Oportun 2021-C.

In support of the 24-month renewable period, there is a required Overcollateralization (OC) amount of 2.25%. If the trust does not maintain the required overcollateralization amount, the renewal period will end and the bonds will amortize sequentially.

The deal will issue notes across four classes, and DBRS plans to assign ratings ranging from “AA” on the $289 million Class A notes to “BB” on the $11.2 million Class D notes. of dollars, DBRS said. Based in San Carlos, Calif., and certified as a Community Development Financial Institution (CDFI), Oportun serves consumers who it believes are underserved by mainstream and mainstream financial institutions for a variety of reasons.

Oportun Inc. and MetaBank created the loans in the collateral pool. PF Servicing will serve as the repairer and administrator of the agreement, while Systems & Services Technologies will serve as the backup repairer, according to DBRS.

For credit enhancement, Oportun Issuance Trust, 2022-A, has a fully funded reserve account, equivalent to 0.25% of the original principal note balance, DBRS. Initially, the amount of the additional cost required is equivalent to $9.2 million, according to DBRS. The notes will also benefit from subordination in the form of class B, C and D notes, as well as an excess spread. The notes will bear fixed interest rates, to be determined at the price transaction. The deal is expected to close on May 18, DBRS said.

Oportun has disbursed over $4.9 million in loan funds, totaling approximately $12.0 billion in credit granted. Among Oportun’s outstanding loans, balances range from $300 to $11,000, with an initial weighted average (WA) term of approximately 35 months (compared to the industry’s secured personal loan balance of $2,525 to $20,300, with terms of 24 to 66 months).

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NAHB: Banks report weaker demand for home loans https://sendika12.org/nahb-banks-report-weaker-demand-for-home-loans/ Tue, 10 May 2022 20:04:38 +0000 https://sendika12.org/nahb-banks-report-weaker-demand-for-home-loans/ The Federal Reserve Board’s opinion survey of bank lending practices showed a “significant net share” of banks reporting more relaxed lending standards and weaker demand for most categories of lending. residential real estate loans in the first quarter, according to the NAHB. Large net bank shares signaled weaker demand for all categories of RRE loans […]]]>

The Federal Reserve Board’s opinion survey of bank lending practices showed a “significant net share” of banks reporting more relaxed lending standards and weaker demand for most categories of lending. residential real estate loans in the first quarter, according to the NAHB. Large net bank shares signaled weaker demand for all categories of RRE loans other than subprime residential mortgages.

Meanwhile, lending standards and demand for all categories of commercial real estate (CRE) loans, except multifamily loans, remained unchanged. For loans secured by multi-family residential properties, banks reported looser lending standards and stronger demand. In the first quarter of 2022, net demand for multifamily loans was 18.5% stronger. In the survey, 26.6% of banks reported moderately stronger demand and 66.2% of banks reported unchanged demand. The issues were subdivided between large commercial banks and other commercial banks.

Bank lending standards for loans secured by non-residential non-farm property remained unchanged from the previous quarter and demand for such loans also remained unchanged.

Demand for residential real estate loans was weakest for qualified mortgages (QMs), with 51.9% of banks reporting weaker demand. 17.6% of banks reported higher demand for home equity revolving lines of credit, outpacing the shares of banks reporting higher demand in other RRE categories. Bank lending standards have eased most visibly for jumbo QM and non-QM loans, the segment that excludes many first-time home buyers.

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Interest rates on bank deposits and loans: March 2022 https://sendika12.org/interest-rates-on-bank-deposits-and-loans-march-2022/ Thu, 05 May 2022 10:16:03 +0000 https://sendika12.org/interest-rates-on-bank-deposits-and-loans-march-2022/ 05/05/2022 – Press releases -The weighted average interest rate on new deposits remained unchanged at 0.04% in March 2022, while the weighted average interest rate on new loans increased to 3.82%.-The interest rate differential between new deposits and loans increased to 3.78 percentage points.-The weighted average interest rates on outstanding deposits remained unchanged at 0.03%, […]]]>

05/05/2022 – Press releases

-The weighted average interest rate on new deposits remained unchanged at 0.04% in March 2022, while the weighted average interest rate on new loans increased to 3.82%.
-The interest rate differential between new deposits and loans increased to 3.78 percentage points.
-The weighted average interest rates on outstanding deposits remained unchanged at 0.03%, while the weighted interest rate on outstanding loans remained almost unchanged at 3.49%.
-The interest rate differential between outstanding deposits and loans remained virtually unchanged at 3.46 percentage points.

1. Interest rates on new deposits and loans denominated in euros

New deposits

The weighted average interest rate on new deposits remained unchanged at 0.04%.

In particular, the average interest rates on overnight deposits placed by households and by non-financial corporations remained unchanged at 0.02% and 0.00% respectively. The average interest rate on household deposits with a maturity of up to 1 year remained virtually unchanged from the previous month, at 0.13%.

New loans

The weighted average interest rate on new loans to households and non-financial corporations increased by 9 basis points to stand at 3.82%.

More specifically, the average interest rate for consumer loans with no defined maturity (a category that includes credit cards, revolving loans and overdrafts) remained unchanged at 14.69%.

The average interest rate on variable-rate fixed-term consumer loans fell by 18 basis points to 11.19%. The average interest rate on variable rate mortgages increased by 5 basis points to 2.44%.

Average interest rates on new business loans and loans to individual entrepreneurs with no defined maturity remained virtually unchanged at 3.89% and 6.51%, respectively.

In March 2022, the average interest rate on variable-rate fixed-term corporate loans increased by 23 basis points to 2.83%. The interest rate on variable-rate fixed-term loans to small and medium-sized enterprises (SMEs) remained almost unchanged from the previous month, at 3.17%.

Regarding the structure of interest rates according to the size of the loans granted, the rate for loans up to €250,000 increased by 10 basis points to 4.52%, that for loans over €250,000 and up to 1 million euros increased by 9 basis points to 3.55% and on loans above 1 million euros increased by 25 basis points to 2.63%.

2. Interest rates on outstanding deposits and loans denominated in euros

Deposits

The weighted average interest rate on outstanding deposits (including demand deposits) remained unchanged at 0.03%.

In particular, the average interest rates on outstanding deposits with a duration of less than or equal to 2 years placed by households and by non-financial corporations remained virtually unchanged at 0.08% and 0.11% respectively.

Loans

The weighted average interest rate on outstanding loans remained virtually unchanged at 3.49%.

In particular, the average interest rate on outstanding housing loans over 5 years and the corresponding rate on consumer and other loans to individuals and private non-profit institutions remained virtually unchanged at respectively 1.92% and 6.32%. The average interest rate for business loans over 5 years remained unchanged at 3.01%, while the corresponding rate for loans to individual entrepreneurs remained almost unchanged at 4.24%.

Table 1: Average interest rates on new deposits and loans denominated in euros (percentages per year)

January 2022

February

2022

March 2022

DEPOSITS

Household overnight stay

0.03

0.02

0.02

Overnight of non-financial corporations

0.00

0.00

0.00

Households with an agreed maturity of up to 1 year

0.14

0.14

0.13

Weighted average rate on all deposits

0.04

0.04

0.04

LOANS

Consumer without defined maturity

2:65 p.m.

14.69

14.69

Company without defined maturity

3.91

3.91

3.89

Individual entrepreneurs with no defined maturity

6.56

6.54

6.51

Variable rate housing

2.36

2.39

2.44

Consumer with a defined variable rate maturity

11.88

11:37

11.19

Corporate with defined maturity at variable rate:

2.80

2.60

2.83

– amounts up to €250,000

4.37

4.42

4.52

-amounts over €250,000 and up to €1 million

3.46

3.46

3.55

-amounts over 1 million euros

2.69

2.38

2.63

Variable Rate Small and Medium Business Fixed Term Loans

2.69

3.15

3.17

Weighted average rate on all loans

3.90

3.73

3.82

Interest rate spread

3.86

3.69

3.78

Table 2: Mediuminterestratesonexceptionalthe amountsof denominated in euros depositsandloans (percentages per year)

January 2022

February

2022

March 2022

DEPOSITS

Households with an agreed maturity of up to 2 years

0.09

0.09

0.08

From non-financial corporations with an agreed maturity of up to 2 years

0.10

0.10

0.11

Weighted average rate on all deposits

0.04

0.03

0.03

LOANS

Housing with more than 5 years of maturity

1.90

1.91

1.92

Consumer loans and others to individuals and private non-profit institutions with a duration of more than 5 years

6.29

6.31

6.32

Company with more than 5 years of maturity

3.03

3.01

3.01

To sole proprietors with a maturity of more than 5 years

4.22

4.23

4.24

Weighted average rate on all loans

3.51

3.50

3.49

Interest rate spread

3.47

3.47

3.46

Remarks:

1. The interest rate spread is the difference between the weighted average rate on all loans and the weighted average rate on all deposits.
2. For the calculation of the weighted average interest rate on all outstanding deposits, demand deposits are also taken into account.
3. Floating rate loans also include loans with an initial rate fixation period of up to one year.
4. New business refers to new contracts that were entered into during the reporting month and not actual loan disbursements.

Related information:

The full set of data on interest rates on bank deposits and loans is published in the subsection “Interest rates on bank deposits and loans” on the Bank of Greece website.

The next April 2022 press release will be published on June 2, 2022, according to the publication schedule on the Bank of Greece website.

Related links:

Bank deposit and loan interest rates

Release calendar

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IDA Provides Loans to County Businesses Affected by COVID | News, Sports, Jobs https://sendika12.org/ida-provides-loans-to-county-businesses-affected-by-covid-news-sports-jobs/ Wed, 04 May 2022 05:40:22 +0000 https://sendika12.org/ida-provides-loans-to-county-businesses-affected-by-covid-news-sports-jobs/ Four Chautauqua County businesses are receiving loans to help them recover from COVID-19. At the recent county Industrial Development Agency meeting, board members approved the issuance of Federal Economic Development Administration revolving loan funds to Merritt Estate Winery Inc., Artone LLC, Heritage Ministries and Labyrinth Press Company Inc. The money was left over […]]]>

Four Chautauqua County businesses are receiving loans to help them recover from COVID-19.

At the recent county Industrial Development Agency meeting, board members approved the issuance of Federal Economic Development Administration revolving loan funds to Merritt Estate Winery Inc., Artone LLC, Heritage Ministries and Labyrinth Press Company Inc. The money was left over from previous loans issued.

IDA project manager Kristine Moribato explained that Forestville-based Merritt Estate Winery previously applied for an $82,000 working capital loan from the federal CARES Act, which was designed to help small businesses. businesses to recover from the pandemic. However, IDA had reduced the loan by 50% due to the number of companies applying.

“They still had a need” said Moribato. “They couldn’t buy all the grapes they needed for processing and making wine.”

County IDA agreed to another $41,000 loan with a seven-year repayment plan with an interest rate of 2.44%. Board member Kevin Muldowney abstained from voting due to Merritt Winery being one of his tenants.

For Artone LLC, IDA project manager Carol Rasmussen explained that the Jamestown company originally requested a working capital loan of $250,000. This amount has been reduced to $125,000.

“They had 100 employees and they were down to 50,” she says. “They have now regrouped.

They have new demands that are increasing, so this working capital is needed for new employees, for payroll and for training. »

Rasmussen said the hospitality furniture business had up to 99 employees. Their newly approved $125,000 loan will be for seven years with an interest rate of 2.44%.

For heritage ministries, Rasmussen said he requested a working capital loan of $250,000, which was reduced by 50%. “They provide safe and serene housing for seniors, but COVID-19 has really put a strain on them, especially with testing supplies. It really weighed on their cash flow,” she says.

Rasmussen added that Heritage Ministries had a mandate to purchase new equipment. This time, Heritage applied for a $100,000 loan, which the IDA board approved. It will be for seven years at 2.44% interest.

Labyrinth Press Company, a cafe and restaurant on Fourth Street in Jamestown, applied for an EDA loan from the county IDA. They asked for a loan of $100,000 over seven years at 2.44% interest. Unlike the other three companies, they had not received a loan before due to COVID-19.

According to Rasmussen, Labyrinth recently purchased Maurice’s beauty salon, located downstairs from their restaurant. “They bought this because they need to expand their kitchen,” she says.

When COVID hit, the company had to reduce its workforce from 21 people to 11. Since then, the company has been able to regroup and increase its workforce. Rasmussen said the money will be used for their new hires, including training expenses.

The county IDA unanimously backed the remaining three loans.



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loans to help businesses affected by COVID | News, Sports, Jobs https://sendika12.org/loans-to-help-businesses-affected-by-covid-news-sports-jobs/ Wed, 04 May 2022 04:19:20 +0000 https://sendika12.org/loans-to-help-businesses-affected-by-covid-news-sports-jobs/ Four Chautauqua County businesses are receiving loans to help them recover from COVID-19. At the recent county Industrial Development Agency meeting, board members approved the issuance of Federal Economic Development Administration revolving loan funds to Merritt Estate Winery Inc., Artone LLC, Heritage Ministries and Labyrinth Press Company Inc. The money was left over […]]]>

Four Chautauqua County businesses are receiving loans to help them recover from COVID-19.

At the recent county Industrial Development Agency meeting, board members approved the issuance of Federal Economic Development Administration revolving loan funds to Merritt Estate Winery Inc., Artone LLC, Heritage Ministries and Labyrinth Press Company Inc. The money was left over from previous loans issued.

IDA project manager Kristine Moribato explained that Forestville-based Merritt Estate Winery previously applied for an $82,000 working capital loan from the federal CARES Act, which was designed to help small businesses. businesses to recover from the pandemic. However, IDA had reduced the loan by 50% due to the number of companies applying.

“They still had a need” said Moribato. “They couldn’t buy all the grapes they needed for processing and making wine.”

County IDA accepted another $41,000 loan with a seven-year repayment plan at an interest rate of 2.44%. Board member Kevin Muldowney abstained from voting due to Merritt Winery being one of his tenants.

For Artone LLC, IDA project manager Carol Rasmussen explained that the Jamestown company originally requested a working capital loan of $250,000. This amount has been reduced to $125,000.

“They had 100 employees and they were down to 50,” she says. “They have now regrouped. They have new demands that are increasing so this working capital is needed for new hires, for payroll and for training.

Rasmussen said the hospitality furniture business had up to 99 employees. Their newly approved $125,000 loan will be for seven years with an interest rate of 2.44%.

For heritage ministries, Rasmussen said he requested a working capital loan of $250,000, which was reduced by 50%. “They provide safe and serene housing for seniors, but COVID-19 has really put a strain on them, especially with testing supplies. It really weighed on their cash flow,” she says.

Rasmussen added that Heritage Ministries had a mandate to purchase new equipment. This time, Heritage applied for a $100,000 loan, which the IDA board approved. It will be for seven years at 2.44% interest.

Labyrinth Press Company, a cafe and restaurant on Fourth Street in Jamestown, applied for an EDA loan from the county IDA. They asked for a loan of $100,000 over seven years at 2.44% interest. Unlike the other three companies, they had not received a loan before due to COVID-19.

According to Rasmussen, Labyrinth recently purchased Maurice’s beauty salon, located downstairs from their restaurant. “They bought this because they need to expand their kitchen”, she says.

When COVID hit, the company had to reduce its workforce from 21 people to 11. Since then, the company has been able to regroup and increase its workforce. Rasmussen said the money will be used for their new hires, including training expenses.

The county IDA unanimously backed the remaining three loans.



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Illinois Environmental Protection Agency provides loans for water supply, groundwater, drinking water and sewer projects https://sendika12.org/illinois-environmental-protection-agency-provides-loans-for-water-supply-groundwater-drinking-water-and-sewer-projects/ Mon, 02 May 2022 16:56:21 +0000 https://sendika12.org/illinois-environmental-protection-agency-provides-loans-for-water-supply-groundwater-drinking-water-and-sewer-projects/ The Illinois Environmental Protection Agency announced the issuance of $182,222,203 in water infrastructure loans to local governments and health districts for the third quarter of fiscal 2022, January through March. . This round of funding included projects in Madison County, including the City of Highland, which will install hardened sewer line in place, and received […]]]>

The Illinois Environmental Protection Agency announced the issuance of $182,222,203 in water infrastructure loans to local governments and health districts for the third quarter of fiscal 2022, January through March. .

This round of funding included projects in Madison County, including the City of Highland, which will install hardened sewer line in place, and received more than $2.2 million, including $336,916 in principal rebate. . The Village of Maryville will install sewer lines and manholes, abandoning an existing pump station. The village received $820,984 for the project.


In Sangamon County, the Village of Dawson will construct a water treatment plant for iron removal aimed at ensuring the village has a clean water supply and will receive over $5.3 million including $400,000 in main discount.

The Illinois EPA State Revolving Fund (SRF) program provides low-interest loans that finance wastewater, stormwater, and potable water projects. Of the 33 loans, 20 were eligible for a total of $8,571,149.62 in capital relief for disadvantaged communities, providing additional benefits to recipients meeting the loan rules for the small community rate or the hardship rate.

These projects are in addition to more than $9.6 million in funding and principal forgiveness previously announced for lead service line replacement projects issued by the Illinois EPA in the third quarter.

“Through our strong state revolving fund, the Illinois EPA continues to meet the needs of the communities and water districts that depend on this funding to meet the ongoing challenges of deteriorating infrastructure,” said the IEPA Director John J. Kim in a statement. “The Illinois EPA remains committed to helping loan recipients, especially disadvantaged communities, with funding that will meet their wastewater and drinking water needs while protecting public health and the environment.”

The Illinois EPA SRF includes two loan programs, the Water Pollution Control Loan Program (WPCLP) which funds both wastewater and stormwater projects and the Public Water Supply Loans (PWSLP) for drinking water projects. The programs receive federal capital funding each year, which is combined with state matching funds, interest income, repayments, and the sale of bonds, to provide the source of funding for these projects. infrastructure.

State matching funds for the 2020-2024 fiscal year are provided through the bipartisan Rebuild Illinois Capital plan, increasing the funding capacity of both loan programs.

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Goldman Sachs brings Bitcoin-backed loans to traditional finance https://sendika12.org/goldman-sachs-brings-bitcoin-backed-loans-to-traditional-finance/ Fri, 29 Apr 2022 22:39:13 +0000 https://sendika12.org/goldman-sachs-brings-bitcoin-backed-loans-to-traditional-finance/ Lending and borrowing have become words associated with Bitcoin. It’s the same with traditional finance where lending and borrowing remains a big part of the ecosystem. However, there was no intersection of these three. This stems primarily from traditional finance’s distrust of bitcoin. The digital asset, which remains largely unregulated, has not provided the kind […]]]>

Lending and borrowing have become words associated with Bitcoin. It’s the same with traditional finance where lending and borrowing remains a big part of the ecosystem. However, there was no intersection of these three. This stems primarily from traditional finance’s distrust of bitcoin. The digital asset, which remains largely unregulated, has not provided the kind of support traffic has been seeking. That’s until now.

Loans secured by Bitcoin in Tradfi

Investment bank Goldman Sachs has announced the introduction of Bitcoin-backed loans. In what is a first for a major US bank, Goldman Sachs has expanded its crypto offerings to include these bitcoin-backed loans. This is the first of its kind secured lending facility that will lend cash backed by BTC.

Related Reading | Number of Bitcoin Millionaires on the Rise as Accumulation Continues

Most of the time, banks have avoided cryptocurrency due to its highly volatile and unregulated nature. Nevertheless, various institutions have started providing crypto-focused services such as asset and wealth management, trading, and investing. All of this is a far cry from cash loans that use bitcoin as collateral.

A move like this will not only see Wall Street adopt cryptocurrency faster, but other factions in traditional finance will begin to move in this direction.

BTC succumbs to bears | Source: BTCUSD on TradingView.com

Goldman Sachs has undoubtedly evolved in its view of bitcoin over time. Less than two years ago, the bank did not believe cryptocurrency was an asset class. Since then, it has not only recognized it as an asset class, but offers its clients a way to trade cryptocurrency. It also has a crypto research team that publishes reports on the crypto market. Over the months, these reports have mostly been bullish on digital assets such as Bitcoin and Ethereum.

Cryptographic guarantees

Although this is the first time a major bank has accepted bitcoin as collateral for a loan, it is by no means a new concept. The rise of the decentralized finance (DeFi) space has allowed users to borrow against their crypto holdings for a long time. There are DeFi protocols dedicated to this in space.

Related Reading | Bitcoin briefly tops $40,000 as more countries embrace crypto

In this regard, traditional finance is catching up with DeFi which requires no paperwork for individuals to obtain a loan. With a deal like the one offered by Goldman Sachs, it can help bridge the gap between traditional finance and decentralized finance.

Bitcoin is trading at $38,927 at the time of this writing, down 2.64% in the last 24 hours.

Featured image from Bitcoin Lending, chart from TradingView.com
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