interest rates – Medielys http://medielys.com/ Sun, 20 Mar 2022 16:12:59 +0000 en-US hourly 1 https://wordpress.org/?v=5.9.3 https://medielys.com/wp-content/uploads/2021/08/favicon-2-150x150.png interest rates – Medielys http://medielys.com/ 32 32 Consolidation pushes nonprofit NFCs out of space as lending market heats up https://medielys.com/2022/03/20/consolidation-pushes-nonprofit-nfcs-out-of-space-as-lending-market-heats-up/ Sun, 20 Mar 2022 16:12:59 +0000 https://medielys.com/2022/03/20/consolidation-pushes-nonprofit-nfcs-out-of-space-as-lending-market-heats-up/ Banking and finance company executives have seen Skilled Nursing (SNF) facilities not only change hands more and more over the past year, but also move from tax-exempt and purpose-built status. non-profit to a for-profit institution. This is according to comments collected during a survey of leaders published by specialist investment bank Ziegler and the National […]]]>

Banking and finance company executives have seen Skilled Nursing (SNF) facilities not only change hands more and more over the past year, but also move from tax-exempt and purpose-built status. non-profit to a for-profit institution.

This is according to comments collected during a survey of leaders published by specialist investment bank Ziegler and the National Investment Center for Seniors Housing & Care (NIC).

Don Husi, managing director of the housing and aged care finance team at Ziegler, said the shift from non-profit to for-profit NFCs via transactions is a trend that has been brewing for five years. years, but like many industry trends has been accelerated by the pandemic.

“The driver of this is the inability to find workers, as opposed to just declines in occupancy. It’s so hard to find workers and agency costs have really skyrocketed – it’s hurting a lot of nonprofit providers, he added.

What Husi calls “sponsorship transitions” have also been happening for some time, when one nonprofit organization sells to another nonprofit entity, consolidating that part of the industry to begin with.

The survey also found nursing homes were in the middle of the pack in terms of active loans between the fourth financial quarters of 2020 and 2021, behind assisted living/memory care and independent living.

Continuing Care Retirement Communities (CCRCs) and active adult apartment living sectors saw less lending activity than SNFs.

All sectors saw a decline in lending between the fourth quarter of 2020 and the fourth quarter of 2021, according to the survey.

Still, long-term care lending has “significantly picked up” in the second half of 2021, executives said, as more banks feel comfortable enough to return to the market. Marlet.

One respondent, who submitted anonymous feedback with their survey responses, noted a $100 million difference in closed deals between 2021 and 2020 as the lending environment became more competitive.

Participants were able to leave anonymous comments as part of the survey.

“Our activity in 2021 doubled from 2020 as market acceptance and awareness of the impact of COVID stabilized,” another respondent said.

In terms of challenges in the lending environment, executives named inflation – as it relates to new construction – labor shortages and rising interest rates across the long-term care continuum. duration, among the current concerns.

A closer look at operating margins is also likely in the future, according to the comments, as occupancy continues to stabilize.

“We will not know how these labor markets and [personal protective equipment, or PPE] costs and everything else is going to impact stabilized margins for a while, until we see some of the data,” Husi said. “The different accounting rules, how and when they counted PEP funds or healthcare provider funds… not everyone did it the same way.”

It appears lenders are also looking at debt differently, with different methods of underwriting expenses and income related to COVID-19, the researchers said.

Lenders exclude all Covid-related income and expenses, excluding income but including expenses, or including all pandemic-related income and expenses.

“Covid-specific expenses are increasingly difficult to separate – things like PPE can be standardized, but side effects such as increased labor, supply and food costs are considered as potentially permanent and must be subscribed,” said one respondent.

It is difficult for lenders to determine what will be stabilized expenses in the future, said another participant, when underwriting loans. “Little weight” is given to these expenses, said one respondent, with more attention given to how a facility operates with less Covid pressure compared to pre-Covid.

“One of the things I found interesting was just the very different ways people underwrite Covid income and expenses and how that equates to assessments; it seems to be all over the place,” Husi said.

Ziegler partnered with NIC to conduct an industry-wide study assessing the lending climate for providers across the long-term care continuum.

Respondents included major banks and financial firms that lend to long-term care communities, including Skilled Nursing (SNF) facilities. Of the 131 lenders to respond, the majority of participants being regional banks and finance companies.

The survey includes results for the second half of 2021 versus the fourth financial quarter of 2020; the most recent data was collected between January 13 and 28 of this year.

Although most respondents are regional, more than half said they cover the national landscape. About 44% reported lending to the private and tax-exempt sectors, 44% only lent to private sector owners and operators, while 12% only loaned to the tax-exempt sectors.

For skilled nursing facilities (SNF), loan-to-value (LTV) percentages were highest among independent living, assisted living/memory care and new construction at 76% to 80%, depending on the ‘investigation.

The LTV is the maximum amount a bank is willing to finance based on the appraised value and cost of a new construction project.

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Ellington Financial Announces Estimated Book Value per Common Share as of February 28, 2022 https://medielys.com/2022/03/16/ellington-financial-announces-estimated-book-value-per-common-share-as-of-february-28-2022/ Wed, 16 Mar 2022 20:57:36 +0000 https://medielys.com/2022/03/16/ellington-financial-announces-estimated-book-value-per-common-share-as-of-february-28-2022/ Enter Wall Street with StreetInsider Premium. Claim your one week free trial here. OLD GREENWICH, Conn.–(BUSINESS WIRE)–Ellington Financial Inc. (NYSE: EFC) (the “Company”) today announced its estimated book value per common share of $17.85 as of February 28, 2022. This estimate includes the effect of the previously announced monthly dividend of $0.15 per common share, […]]]>

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OLD GREENWICH, Conn.–(BUSINESS WIRE)–Ellington Financial Inc. (NYSE: EFC) (the “Company”) today announced its estimated book value per common share of $17.85 as of February 28, 2022. This estimate includes the effect of the previously announced monthly dividend of $0.15 per common share, payable on March 25, 2022 to holders of record on February 28, 2022, with an ex-dividend date of February 25, 2022.

Warnings

The estimated book value per common share is subject to change upon completion of the Company’s month-end and quarter-end valuation procedures for its investment positions, and any such change could be material. There can be no assurance that the estimated book value per common share of the Company as of February 28, 2022 is indicative of what the results of the Company are likely to be for the three-month period ending March 31, 2022 or for future periods. , and the Company undertakes no obligation to update or revise its estimated book value per common share prior to the issuance of the financial statements for such periods.

This press release contains forward-looking statements within the meaning of the safe harbor provisions of the Private Securities Litigation Reform Act of 1995. Forward-looking statements involve numerous risks and uncertainties. The Company’s actual results may differ from its beliefs, expectations, estimates and projections and, accordingly, you should not rely on these forward-looking statements as predictions of future events. Forward-looking statements are not historical in nature and can be identified by words such as “believe”, “expect”, “anticipate”, “estimate”, “project”, “plan”, “continue”, ” intend to”, “should”, “would”, “could”, “aim”, “aim”, “will”, “may”, “seek” or similar expressions or their negative forms, or by references to strategy, plans or intentions. Examples of forward-looking statements in this press release include statements regarding the company’s book value per common share. The Company’s results may fluctuate from month to month and quarter to quarter depending on a variety of factors, some of which are beyond the Company’s control and/or are difficult to predict, including, without limited to, changes in interest rates and the market value of the Company’s investments, changes in mortgage default rates and prepayment rates, the Company’s ability to borrow to fund its assets , changes in government regulations affecting the business of the Company, the ability of the Company to maintain its exclusion from registration under the Investment Companies Act 1940, the ability of the Company to maintain its qualification as as a real estate investment trust, or “REIT”, and other changes in market conditions and economic trends, including changes resulting from the economic effects related to the pandemic of COVID-19, and responses associated with the pandemic. In addition, forward-looking statements are subject to risks and uncertainties, including, among others, those described in Item 1A of the Company’s Annual Report on Form 10-K, accessible through the Company’s website at ‘address www.ellingtonfinancial.com or on the SEC website (www.sec.gov). Additional risks, uncertainties and factors that could cause actual results to differ materially from those projected may be described from time to time in the Company’s filings with the SEC, including reports on Forms 10- Q, 10-K and 8-K. The Company undertakes no obligation to update or revise any forward-looking statements, whether as a result of new information, future events or otherwise.

This press release and the information it contains do not constitute an offer of securities or a solicitation of an offer to buy securities.

About Ellington Financial

Ellington Financial invests in a wide range of financial assets, including residential and commercial mortgages, residential and commercial mortgage-backed securities, consumer loans and consumer loan-backed asset-backed securities , secured loan obligations, non-mortgage and mortgage-related derivatives, equity investments in loan origination companies and other strategic investments. Ellington Financial is externally managed and advised by Ellington Financial Management LLC, a subsidiary of Ellington Management Group, LLC

Investors:

Ellington Financial Inc.

Investor Relations

(203) 409-3575

info@ellingtonfinancial.com

Where

Media:

Amanda Shpiner/Sara Widman

Gasthalter & Cie.

for Ellington Financial

(212) 257-4170

Ellington@gasthalter.com

Source: Ellington Financial Inc.

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Folk2Folk Set To Post Record Profits As Alternative Finance Market Consolidation Expected https://medielys.com/2022/03/09/folk2folk-set-to-post-record-profits-as-alternative-finance-market-consolidation-expected/ Wed, 09 Mar 2022 05:14:18 +0000 https://medielys.com/2022/03/09/folk2folk-set-to-post-record-profits-as-alternative-finance-market-consolidation-expected/ Alternative loans The alternative lender says its unaudited accounts show it is on track to report pre-tax profits of £1.98m for the year to January 2022, nearly doubling profit by 1.1 million pounds made the previous year. Image source: Roy Warren/Folk2Folk Folk2Folk expects to report record profits of almost £2m for 2021 and foresees further […]]]>
Alternative loans

The alternative lender says its unaudited accounts show it is on track to report pre-tax profits of £1.98m for the year to January 2022, nearly doubling profit by 1.1 million pounds made the previous year.

Image source: Roy Warren/Folk2Folk

Folk2Folk expects to report record profits of almost £2m for 2021 and foresees further consolidation in the alternative finance market.

The alternative lender says its unaudited accounts show it is on track to report pre-tax profits of £1.98m for the year to January 2022, nearly doubling profit by 1.1 million pounds made the previous year.

He said the rise in profits marked the third consecutive year the Cornwall-based market was in the black.

Folk2Folk provides financing to regional business owners. It was founded in 2013 and became FCA authorized three years later.

Folk2Folk has identified several highlights in 2021, including double-digit loan portfolio growth, an annual loan record of £108m, a move to Northern Ireland and a multi-million pound investment commitment from British Business Investments, a subsidiary of British Business Bank.

In 2020 he signed a deal with German company CrossLend which connects loan originators with institutional investors as the Cornwall-based lender sought to expand its investor base.

Chief executive Roy Warren said he expects further consolidation in the alternative finance market.

Warren said: “We see huge opportunities to underwrite considerable volumes of loans across the UK, and institutional investing is a key part of our strategy to support this.

“We also expect the alternative finance market to continue to consolidate and provide us with the opportunity to acquire loan portfolios on other platforms.”

An example of a recent loan book deal saw Allica Bank acquire a £600m loan book from AIB Group last year.

Warren added, “We see this as a growth area for us and are actively looking to the market moving forward.

“We have to anticipate that 2022 is likely to be a difficult year for everyone, against the backdrop of inflation, rising interest rates and hostilities in Eastern Europe, all of which fuel an uncertain external environment.

“This makes it all the more important to have a strong and solid foundation for any business.

“With only a small handful of lending platforms making a profit, our high profit levels are a testament to Folk2Folk’s stability in terms of finances, activity levels and governance, and we know this builds investor confidence and borrowers in us.”

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Will a debt consolidation loan affect my credit rating? https://medielys.com/2022/03/08/will-a-debt-consolidation-loan-affect-my-credit-rating/ Tue, 08 Mar 2022 18:09:05 +0000 https://medielys.com/2022/03/08/will-a-debt-consolidation-loan-affect-my-credit-rating/ Our goal at Credible Operations, Inc., NMLS Number 1681276, hereafter referred to as “Credible”, is to give you the tools and confidence you need to improve your finances. Although we promote the products of our partner lenders who pay us for our services, all opinions are our own. (The Credible Money Coach explains the possible […]]]>

Our goal at Credible Operations, Inc., NMLS Number 1681276, hereafter referred to as “Credible”, is to give you the tools and confidence you need to improve your finances. Although we promote the products of our partner lenders who pay us for our services, all opinions are our own.

(The Credible Money Coach explains the possible credit impact of a debt consolidation loan.)

Dear Credible Money Coach,

Is it true that when you take out a debt consolidation loan, it hurts your credit? —Twila

Hello Twila and thank you for your question. Debt consolidation affects your credit differently depending on how you structure it and manage loan repayments. This can be a smart way to manage multiple high interest debts without hurting your finances.

If you’re considering a personal loan for debt consolidation, compare rates from multiple lenders to get the best deal. Credible, it’s easy to view your prequalified personal loan rates in minutes.

Why do people consolidate their debts?

When you consolidate debt, you open a new credit account, such as a personal loan, credit card, or home equity loan, to repay several existing debts. This leaves you with one payment instead of multiple accounts to manage.

If you have good credit, you may be able to get an interest rate that’s lower than the combined effective rate you’ve paid on multiple debts. This saves money in the long run.

Ways to Consolidate Debt

There are several options for consolidating debt, including:

Each of these options has advantages and disadvantages. For example, personal loan interest rates are generally lower than credit card rates. But if you continue to incur credit card charges, you could go into more debt.

Doing a 0% balance transfer could save you interest for 12 months or more. But if you don’t repay the entire balance before the end of the promotional period, the interest rate could increase significantly.

If you sign up for a debt management plan with a credit counselor, they can negotiate with your creditors to pay less than you owe, lower your interest rate, or extend your repayment period. But if you can’t repay a debt management plan as agreed, your credit may suffer.

Risks of a debt consolidation loan

A debt consolidation loan can lower your credit scores in the short term. This is because new credit applications cause your scores to drop. And if you use the loan to pay off a credit card and then close it, you reduce your total available credit, which leads to lower credit scores. (It’s best to keep a paid credit card open so you have more credit available in your name.)

However, if you make your new loan payments on time each month, your credit should recover fairly quickly from the slight hit it took when you opened the loan.

Should you get a debt consolidation loan?

A debt consolidation loan is not for everyone. I advise you to think twice before emptying a retirement account to pay off debt or putting your home at risk with a home equity loan or line of credit.

And if bad spending habits are causing your debt, working with a qualified credit counselor to improve your financial habits may be more helpful than lowering your interest rate with a debt consolidation loan.

If you decide a personal loan is right for you, Credible can help. compare personal loan rates from multiple lenders without hurting your credit.

Ready to know more? Check out these articles…

Need Credible® advice for a money-related question? Email our credible financial coaches at moneyexpert@credible.com. A Money Coach could answer your question in a future column.

This article is intended for general information and entertainment purposes. Use of this site does not create a professional-client relationship. Any information found on or derived from this website should not replace and should not be taken as legal, tax, real estate, financial, risk management or other professional advice. If you require such advice, please consult a licensed or competent professional before taking any action.

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About the Author: Laura Adams is a personal finance and small business expert, award-winning author and host of silver girl, a weekly audio podcast and top notch blog. She is frequently quoted in the national media and millions of readers and listeners benefit from her practical financial advice. Laura’s mission is to empower consumers to live richer lives through her work as a speaker, spokesperson and advocate. She earned an MBA from the University of Florida and lives in Vero Beach, Florida. Follow her on LauraDAdams.com, instagram, Facebook, Twitterand LinkedIn.

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What to know about student loan consolidation https://medielys.com/2022/02/25/what-to-know-about-student-loan-consolidation/ Fri, 25 Feb 2022 18:57:18 +0000 https://medielys.com/2022/02/25/what-to-know-about-student-loan-consolidation/ Our goal at Credible Operations, Inc., NMLS Number 1681276, hereafter referred to as “Credible”, is to give you the tools and confidence you need to improve your finances. Although we promote the products of our partner lenders who pay us for our services, all opinions are our own. Federal student loan consolidation can simplify the […]]]>

Our goal at Credible Operations, Inc., NMLS Number 1681276, hereafter referred to as “Credible”, is to give you the tools and confidence you need to improve your finances. Although we promote the products of our partner lenders who pay us for our services, all opinions are our own.

Federal student loan consolidation can simplify the repayment process. (iStock)

When you consolidate federal student loans, you combine multiple student loans into one convenient loan. Consolidation can help simplify the repayment process and may even result in a better interest rate, which can save you money (just be aware that this is not guaranteed).

The CARES Act, which was passed in March 2020 in response to the COVID-19 pandemic, suspended the repayment of federal student loans. This pause has been extended until May 1, 2022. But with that deadline looming, you might want to consider student loan consolidation to simplify your return to reimbursement.

Let’s take a look at how federal student loan consolidation works, the benefits of consolidation, and what to do if you’re a private borrower.

If you have private student loans, you can compare student loan refinance rates in minutes with Credible.

What is student loan consolidation?

Student loan consolidation involves combining multiple federal loans into one direct consolidation loan with a new interest rate that is a weighted average of the interest rates on your other loans. Ideally, you’ll get a lower interest rate than you were paying before, but that may not be the case. Now, instead of having separate student loans to juggle, you can focus on paying off just one.

How does student loan consolidation work?

Managing multiple federal student loan repayments can be stressful. Consolidating them into one loan with one monthly payment can simplify the repayment process.

When it comes to federal student loan consolidation, you can get a longer repayment period, which can lower your monthly payments. You also have the option of converting any variable rate to a fixed interest rate loan, which means your rate will never change. Additionally, if you consolidate other types of federal loans in addition to direct loans, you can access additional income-based repayment plans and loan forgiveness programs, such as public.

Consolidation vs Refinancing of Student Loans

The term “consolidation” only refers to federal student loans, and although you can sometimes get a lower interest rate through consolidation, you may not. You cannot consolidate private student loans into a direct consolidation loan.

For private student loans, you can refinance to combine them (or a combination of federal and private loans) through a private lender. With refinancing, the lender will pay off your current loans and give you a new loan, which may come with a new repayment term and, ideally, a lower interest rate.

While you can refinance a combination of private and federal student loansyou should think carefully before refinancing federal loans into a private loan – if you do, you will lose access to federal protections such as forbearance and loan forgiveness.

What to Know About Consolidating Federal Student Loans

If you only have federal student loans, consider whether you qualify to consolidate them and if it’s the right decision for you.

When to Consider Federal Student Loan Consolidation

If you have multiple federal student loans from different loan servicers, consolidating them into one loan can make it easier to manage your debt. If you’re struggling to repay your federal student loans, getting a longer repayment term through consolidation can lighten your financial burden each month. But you’ll likely pay more interest in exchange for extending your repayment period.

Eligibility for Federal Student Loan Consolidation

To benefit from the federal student loan consolidation, you must have federal student loans in repayment or in grace period. You generally cannot consolidate an existing direct consolidation loan, but you can if you are able to add an additional qualifying loan into the consolidation.

If you have a defaulted loan and want to consolidate it, you must first make three consecutive monthly loan payments or agree to repay your new direct consolidation loan under one of four focused repayment plans. on income. If your wages are garnished or collected due to a court order due to a delinquent loan, you cannot consolidate the loan until the wage garnishment is lifted or the judgment against you was not canceled.

Types of Loans Eligible for Federal Student Loan Consolidation

Most federal (not private) student loans are eligible for consolidation, including:

  • Subsidized direct loans
  • Direct unsubsidized loans
  • Direct Loans PLUS
  • FFEL Consolidation Loans and Direct Consolidation Loans (only under certain conditions)
  • Federal Subsidized Stafford Loans
  • Unsubsidized and Unsubsidized Federal Stafford Loans
  • PLUS loans from the Federal Family Education Loans Program (FFEL)
  • Additional Student Loans
  • Perkins Federal Loans
  • Nursing Student Loans
  • Nursing College Loans
  • Health Education Loans
  • Student loans for health professions
  • Loans for disadvantaged students
  • Federal Insured Student Loans
  • Guaranteed student loans
  • Direct National Student Loans
  • National Defense Student Loans
  • Parent loans for undergraduate students
  • Auxiliary loans to help students

How long does it take to consolidate federal student loans?

The federal student loan consolidation process is quite quick. You must complete the application in one session, which usually takes less than 30 minutes. Once your direct consolidation loan is disbursed, you will start paying it back within 60 days. Your loan officer will tell you your first due date and you will make payments according to the repayment plan you chose when you applied for your direct consolidation loan.

What to know about refinancing private student loans

Although you may not be able to consolidate private student loans into a direct consolidation loan, you do have the option of refinancing them through a private lender, which may offer similar benefits to student loan consolidation. federal. You can also refinance if you have a combination of federal and private student loans and want to combine them into one loan.

The private lender will pay off all your existing student loans and give you a new one with new terms and a new interest rate. Lenders will consider your credit score, income, work history and other factors to determine the rate and terms to offer you.

Credible, it’s easy to compare student loan refinance rates from various lenders.

When to consider refinancing a private student loan

Not sure if refinance your private student loans is the right way to go? Here are some situations where refinancing a private student loan may be right for you:

  • You have good credit. If you have a good credit score, you can potentially qualify for a lower interest rate than you currently have, which can save you money over the term of the loan.
  • You are not satisfied with your repayment period. Refinancing can give you the flexibility to choose a repayment period that better suits your needs. You can opt for a longer repayment period to lower your monthly payments, or refinance for a shorter term to save money on interest.
  • You are a parent who has taken out loans on behalf of your child. When you refinance, you may be able to transfer the loans you took out to your child, as long as you both agree.

Keep in mind that if you plan to refinance a combination of private and federal student loans, you will lose the federal protections useful for any federal student loan. For example, if you refinance a federal student loan into a private loan, you will lose access to temporary loan payment relief during approved periods, such as deferment or forbearance. You will also lose access to any income-based repayment plans or loan forgiveness programs.

Eligibility for refinancing a private student loan

When you apply for private student loan refinance, lenders consider factors such as your income, work history, and credit score. Each lender has their own unique qualification standards, so you’ll need to do your research and find the best private lender for your unique situation.

Types of Loans Eligible for Private Student Loan Refinancing

  • Private student loans — You can refinance to combine private student loans through a private lender.
  • Federal student loans — You can also refinance any federal student loan into a private loan.

How long does it take to refinance private student loans?

The time it takes to apply and get approved private student loan refinance depends on the lender, but you can expect the process to go fairly quickly. You may be able to complete an online application in one sitting.

Visit Credible for compare student loan refinance rates from multiple lenders, all in one place.

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Advantages and disadvantages of student loan consolidation https://medielys.com/2022/02/18/advantages-and-disadvantages-of-student-loan-consolidation/ Fri, 18 Feb 2022 15:30:12 +0000 https://medielys.com/2022/02/18/advantages-and-disadvantages-of-student-loan-consolidation/ Consolidating your student loans involves combining some or all of your federal loans into one direct consolidation loan. By doing this, you will end up with one monthly payment instead of several with different interest rates. Consolidation is a great way to get your monthly payments under control, and in some cases it’s a necessary […]]]>

Consolidating your student loans involves combining some or all of your federal loans into one direct consolidation loan. By doing this, you will end up with one monthly payment instead of several with different interest rates.

Consolidation is a great way to get your monthly payments under control, and in some cases it’s a necessary step to access federal student loan repayment and forgiveness plans. However, there are times when consolidation might not be the best idea.

Benefits of Student Loan Consolidation

Consolidating student loans is a smart step for many federal borrowers; here are some of the benefits:

Disadvantages of Consolidating Student Loans

Although consolidation can be a useful tool, there are still some drawbacks to be aware of before making the decision:

  • Pay more interest over time: Choosing to pay off your loan over 30 years will lower your monthly payment but cost you more in interest over time. You will also be in debt for a longer period of time, which could affect other aspects of your finances.
  • No interest rate cut: The main appeal of refinancing is that you can often find a lower interest rate than what you are currently paying. With consolidation, your interest rate is calculated as the weighted average interest rate of the loans you consolidate, rounded to the nearest eighth of a percent. Because of this, your interest rate might be slightly higher than what you are currently paying.
  • Losing progress to federal pardon programs: Consolidating your loans could cause you to lose any progress you’ve made on federal programs like the PSLF or an existing income-based repayment plan.
  • Interest is added to your balance: If you have any outstanding interest on the loans you are consolidating, this interest will be added to your main balance when consolidating. Interest will then accrue on this higher balance.

Should I consolidate my student loans?

Consider loan consolidation carefully. Whether or not to consolidate your student loans depends on the type of loan you have and your financial situation.

You need to consolidate if:

  • You have old FFEL or Perkins loans and want to get a loan forgiveness.
  • You are having difficulty keeping track of your monthly payments.
  • You have significant student loan debt.

You should reconsider consolidation if:

  • You don’t have a lot of student loans.
  • You are about to meet the requirements for a loan forgiveness program.
  • You can repay your loans quickly.

Can I consolidate my private student loans?

You cannot consolidate private student loans, since the consolidation is done by the US Department of Education. However, you can refinance your private student loans, which is a similar process in theory – you’ll be swapping multiple private loans for a new loan. This could help you manage multiple payments or get a lower monthly bill.

Should I refinance or consolidate my federal loans?

One of the biggest benefits of student loan consolidation is that it keeps your federal student loans with the federal government. While consolidation doesn’t necessarily save you money, it does ensure that you retain access to things like the COVID-19 forbearance period and loan cancellation options.

That being said, some borrowers may choose to refinance instead of consolidate. When you refinance, your federal loans will convert to private loans, so you will lose federal benefits. However, refinancing could allow you to get a much lower interest rate on your loans, which could help you pay them off faster and at a lower cost.

Next steps

Before applying for a direct consolidation loan, consider what you stand to gain and lose. Once you have assessed your financial situation and decided that consolidation is the path you want to take, you apply through a online application on the Federal Student Aid website.

If you are unable to determine your next move, the Department of Education loan simulator can help you decide whether to consolidate or not. You can also run the numbers with a refinance calculator to better compare the impact on the cost of your loan.

Learn more:

]]> Ellington Financial Announces Estimated Book Value per Common Share as of January 31, 2022 https://medielys.com/2022/02/17/ellington-financial-announces-estimated-book-value-per-common-share-as-of-january-31-2022/ Thu, 17 Feb 2022 22:24:00 +0000 https://medielys.com/2022/02/17/ellington-financial-announces-estimated-book-value-per-common-share-as-of-january-31-2022/ Ellington Financial Inc. (NYSE: EFC) (the “Company”) today announced its estimated book value per common share of $18.17 as of January 31, 2022. This estimate includes the effect of the previously announced monthly dividend of 0 $.15 per share. shares, payable on February 25, 2022 to holders of record on January 31, 2022, with an […]]]>

Ellington Financial Inc. (NYSE: EFC) (the “Company”) today announced its estimated book value per common share of $18.17 as of January 31, 2022. This estimate includes the effect of the previously announced monthly dividend of 0 $.15 per share. shares, payable on February 25, 2022 to holders of record on January 31, 2022, with an ex-date of January 28, 2022.

Warnings

The estimated book value per common share is subject to change upon completion of the Company’s month-end and quarter-end valuation procedures for its investment positions, and any such change could be material. There can be no assurance that the estimated book value per common share of the Company as at January 31, 2022 is indicative of what the results of the Company are likely to be for the three-month period ending March 31, 2022 or for future periods. , and the Company undertakes no obligation to update or revise its estimated book value per common share prior to the issuance of the financial statements for such periods.

This press release contains forward-looking statements within the meaning of the safe harbor provisions of the Private Securities Litigation Reform Act of 1995. Forward-looking statements involve numerous risks and uncertainties. The Company’s actual results may differ from its beliefs, expectations, estimates and projections and, accordingly, you should not rely on these forward-looking statements as predictions of future events. Forward-looking statements are not historical in nature and can be identified by words such as “believe”, “expect”, “anticipate”, “estimate”, “project”, “plan”, “continue”, ” intend to”, “should”, “would”, “could”, “aim”, “aim”, “will”, “may”, “seek” or similar expressions or their negative forms, or by references to strategy, plans or intentions. Examples of forward-looking statements in this press release include statements regarding the company’s book value per common share. The Company’s results may fluctuate from month to month and quarter to quarter depending on a variety of factors, some of which are beyond the Company’s control and/or are difficult to predict, including, without limited to, changes in interest rates and the market value of the Company’s investments, changes in mortgage default rates and prepayment rates, the Company’s ability to borrow to fund its assets , changes in government regulations affecting the business of the Company, the ability of the Company to maintain its exclusion from registration under the Investment Companies Act 1940, the ability of the Company to maintain its qualification as as a real estate investment trust, or “REIT”, and other changes in market conditions and economic trends, including changes resulting from the economic effects related to the pandemic of COVID-19, and responses associated with the pandemic. In addition, forward-looking statements are subject to risks and uncertainties, including, among others, those described in Item 1A of the Company’s Annual Report on Form 10-K, as amended, accessible via the Company’s website. the company at www.ellingtonfinancial.com or on the SEC website (www.sec.gov). Additional risks, uncertainties and factors that could cause actual results to differ materially from those projected may be described from time to time in the Company’s filings with the SEC, including reports on Forms 10- Q, 10-K and 8-K. The Company undertakes no obligation to update or revise any forward-looking statements, whether as a result of new information, future events or otherwise.

This press release and the information it contains do not constitute an offer of securities or a solicitation of an offer to buy securities.

About Ellington Financial

Ellington Financial invests in a wide range of financial assets, including residential and commercial mortgages, residential and commercial mortgage-backed securities, consumer loans and consumer loan-backed asset-backed securities , secured loan obligations, non-mortgage and mortgage-related derivatives, equity investments in loan origination companies and other strategic investments. Ellington Financial is externally managed and advised by Ellington Financial Management LLC, a subsidiary of Ellington Management Group, LLC

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Affordable debt consolidation https://medielys.com/2022/02/16/affordable-debt-consolidation/ Wed, 16 Feb 2022 23:09:09 +0000 https://medielys.com/2022/02/16/affordable-debt-consolidation/ Credit card spending has increased in the United States due to financial constraints caused by COVID-19. Texas leads the pack behind California for states with the highest increase in credit card debt, according to a Sept. 21 study by WalletHub. And low mortgage interest rates haven’t translated into low credit card interest rates. Surprisingly, the […]]]>

Credit card spending has increased in the United States due to financial constraints caused by COVID-19. Texas leads the pack behind California for states with the highest increase in credit card debt, according to a Sept. 21 study by WalletHub. And low mortgage interest rates haven’t translated into low credit card interest rates. Surprisingly, the median interest rate on all credit cards in the Investopedia Card Database for October 2021 is 19.49%.

These high interest rates can create financial hardship for people who have significant credit card debt. High payments can make it impossible to cover rising living expenses. Debtors who have fallen behind face relentless collection calls and sometimes debt collection lawsuits. Fortunately, there are solutions to this crippling debt. Let’s look at the most common options.

Secured or unsecured debt consolidation loans:

Unsecured debt consolidation loans involve taking out a low interest loan to pay off higher interest credit card debt. Since these loans have no collateral that the lender can seize or repossess, they require high credit scores and excellent debt-to-income ratios to reduce their risk. Most secured debt consolidation loans use home equity as collateral. In Texas, your home must be maintained at less than 80% when using equity, so not all of the equity is available through a refinance or 2nd mortgage . However, if you have sufficient equity, the credit score requirements are lower than for an unsecured loan because your home is collateral.

Debt management plan with credit counseling:

A credit counseling program can offer some of the benefits of a debt consolidation loan, including the need to make one monthly payment and lower interest rates. There is no need to take out a new loan since the rates on your existing debts are reduced, so good credit scores are not required, but you must afford the monthly payments. However, this is considered a “hard” program, so if you want to take on more debt (and have the ability to pay for it), then this is not a program you should consider. Based on your current interest

rate, the monthly payment is likely to be lower than your combined minimum payments, and these programs are designed to pay off the debt in about five years or less.

Debt Negotiation for Debt Relief

Debt negotiation, also known as debt settlement, is another common way to resolve crippling credit card debt and personal loans. This is a hardship program, and similar to credit counseling, it is not an option if you plan to apply for more debt before completing the program. These programs are usually structured to last around 24-48 months, depending on your monthly budget and negotiated amounts. Monthly program payments can cost less than half of minimum payments. A reputable program will not charge trading fees until a debt is settled.

The savings are the result of not making monthly payments to your creditors. Instead, money is deposited in an FDIC-insured special purpose account while debts are negotiated and settled for less than the total balances, one at a time. The program is ideal for those who are about to fall behind or those who have already fallen behind, as failure to make minimum payments will negatively affect a credit score. However, it can be a great alternative to bankruptcy, and since the program can be completed much faster than most other options, you can also start rebuilding your credit score quickly. All debt negotiation programs are not created equal. Debt Redemption trading fees are often 20-40% lower than foreign firms. They also have special resources to help Texans who have been sued by a creditor or debt collector.

Chapter 7 or 13 Bankruptcy:

Bankruptcy may be the shortest and cheapest way to settle a debt if you can qualify for Chapter 7. Many people with large incomes or non-exempt assets have issues that prevent Chapter 7 filing and chapter 13 might be the only form of bankruptcy available. In some cases Chapter 13 will be more expensive than a debt negotiation program, and in other cases it will be less expensive. If you are considering this option, consultation with a Texas bankruptcy attorney is necessary. Debt Buyback does not provide legal advice.

Get Free Debt Relief Consolidation

Affordable Debt Consolidation in San Antonio, TX also has several offices in the Lone Star State to help Texans struggling with crippling debt. If you’re considering debt consolidation loans, credit counseling, or debt settlement, a Texas Debt Specialist can provide you with a free, no-obligation phone or office consultation. We can also refer to Texas bankruptcy attorneys when needed. Learn about your options for resolving your debt today so you can start living your debt-free life. Call 800-816-1003 or visit https://affordabledebtconsolidation.com

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Credit Card Consolidation Can Save You Thousands of Dollars as Personal Loan Rates Are at All-Time Highs https://medielys.com/2022/02/10/credit-card-consolidation-can-save-you-thousands-of-dollars-as-personal-loan-rates-are-at-all-time-highs/ Thu, 10 Feb 2022 12:57:30 +0000 https://medielys.com/2022/02/10/credit-card-consolidation-can-save-you-thousands-of-dollars-as-personal-loan-rates-are-at-all-time-highs/ Borrowers with good credit may be able to save thousands of dollars by consolidating credit card debt into a new loan. (iStock) Making minimum payments on high-interest credit card debt is an expensive way to pay off your balances. Credit card interest accrues daily, which adds to the total cost of paying down debt over […]]]>

Borrowers with good credit may be able to save thousands of dollars by consolidating credit card debt into a new loan. (iStock)

Making minimum payments on high-interest credit card debt is an expensive way to pay off your balances. Credit card interest accrues daily, which adds to the total cost of paying down debt over time.

A personal loan is a common way to consolidate credit card debt. This is a type of unsecured lump sum loan that you repay in fixed monthly installments at a lower interest rate. And since personal loan rates are lower than they’ve ever been, paying off credit card debt can save you more money than ever before.

In the fourth quarter of 2021, the average two-year personal loan rate set a new record at 9.09%, according to the Federal Reserve. During the same period, the average credit card rate for interest accounts was much higher, at 16.44%.

Personal loan rates vs credit card rates

Keep reading to learn more about credit card consolidation and visit Credible to compare personal loan rates for free without affecting your credit score.

MILLIONS OF AMERICANS FEAR MISSING DEBT PAYMENTS, NY FED REPORTS

Despite Rising Credit Card Debt, Consolidation Is Cheaper Than Ever

Americans increasingly rely on credit cards as debt balances soar, says the Federal Reserve Bank of New York. Outstanding credit card debt rose 6.5% in the fourth quarter of 2021 as consumers added a record $52 billion to their balances.

Credit card debt, NY Fed

In an age of skyrocketing credit card balances, consolidating debt into a personal loan at a lower interest rate is more beneficial than ever.

A recent analysis estimates that paying off $10,000 in credit card debt with a two-year personal loan at a rate of 9.09% can save borrowers more than $4,000 in interest costs per compared to the simple minimum payment by credit card. By refinancing using this credit card repayment strategy, borrowers can pay off their balance 10 years faster by adding just $57 to their monthly payments.

Pay off $10,000 in credit card debt

It may also be possible to save money over time and lower your monthly payments by consolidating a longer-term personal loan. Keep in mind that longer personal loan terms usually result in higher rates, but you may still be able to get a lower fixed interest rate than what you’re currently paying on your credit cards.

The average fixed rate on a five-year personal loan was 12.65% for qualified applicants who took out a personal loan on Credible during the week of January 31. Paying off $10,000 of credit card debt under these personal loan terms can potentially reduce your monthly payment by $174 while saving you over $1,500 over the repayment period.

You can estimate your personal loan repayment terms on Credible for free and see how much you can save using a credit card consolidation loan calculator.

HOW TO GET A BALANCE TRANSFER CREDIT CARD

How to consolidate credit card debt with a personal loan in 5 steps

Using a personal loan for credit card debt consolidation can help you save money while paying off your debt in predictable monthly installments. Here’s what the personal loan application process looks like:

  1. Add up all your credit card balances. This will help you determine how much personal loan you need to borrow to pay off your credit card debt. You can consolidate the balances of one or more credit cards into one personal loan payment.
  2. Check your credit score. Since personal loans are unsecured and do not require collateral, lenders use your credit history to determine your risk and eligibility. Applicants with very good to excellent credit, defined by the FICO model as a credit score of 740 or higher, will see the lowest personal loan rates.
  3. Shop around for personal loan rates. Most lenders will let you see the terms of your loan, including estimated interest rates, with a soft credit check through a process called prequalification. You can compare personal loan rates from multiple lenders at once using Credible.
  4. Choose the best personal loan. When comparing offers, you need to consider the interest rate, origination fees, loan amount and loan term. Once you’ve chosen a lender, you’ll need to submit a formal application, which will require a thorough credit check.
  5. Use the loan to pay off your credit cards. If your application is approved, you will receive a personal loan the next business day. It can usually be deposited directly into your bank account. You can then use your personal loan balance to pay off your credit cards.

HOW TO CHECK YOUR CREDIT REPORT FOR FREE WITHOUT PENALTIES

Although your credit card balances may be reduced to zero, it’s important to avoid racking up more debt while you’re paying off your personal loan. You should always prioritize paying off your credit card debt in full each month to avoid paying interest.

You can learn more about debt consolidation loans from online lenders by visiting Credible. Also, browse the current personal loan interest rates in the table below to decide if this method of debt repayment is right for your financial situation.

BALANCE TRANSFER CARDS WITH 0% APR INTRODUCTORY PERIODS ARE DISAPPEARING QUICKLY

You have a financial question, but you don’t know who to contact? Email the Credible Money Expert at moneyexpert@credible.com and your question might be answered by Credible in our Money Expert column.

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6 reasons why a personal loan is ideal for debt consolidation https://medielys.com/2022/02/10/6-reasons-why-a-personal-loan-is-ideal-for-debt-consolidation/ Thu, 10 Feb 2022 11:32:42 +0000 https://medielys.com/2022/02/10/6-reasons-why-a-personal-loan-is-ideal-for-debt-consolidation/ Image source: Getty Images The right personal loan could make your debt much cheaper and easier to pay off. Key points Personal loans allow you to borrow money for almost any reason. They often come with affordable interest rates. Personal loans can be used to consolidate debts. This means that you take out a new […]]]>

Image source: Getty Images

The right personal loan could make your debt much cheaper and easier to pay off.


Key points

  • Personal loans allow you to borrow money for almost any reason.
  • They often come with affordable interest rates.

Personal loans can be used to consolidate debts. This means that you take out a new personal loan and use it to pay off several existing creditors. You can use a personal loan to pay off credit cards, medical debts, other personal loans, etc.

But why would you want to do that? Here are six main reasons why a personal loan can be the ideal tool to use to consolidate your debts.

1. You can use the loan proceeds for anything you want

Most personal loan providers offer great flexibility in how the borrowed money is used. They may not even ask you what you will do with the loan proceeds.

Therefore, after borrowing, you are free to pay off just about any debt you want, from credit cards to medical debt to other personal loans.

2. Personal loans often offer competitive interest rates

The interest rate on a personal loan is often much lower than the rates for other common types of debt, such as credit card debt.

If you can lower the interest rate on your borrowed funds, repayment should be less expensive over time because you won’t have to give the lender so much money to have the privilege of accessing credit.

3. Many personal loans allow you to borrow a large sum

It is often possible to borrow a large sum of money when taking out a personal loan – sometimes as much as $50,000 or $100,000, depending on your income and other financial qualifications.

Since you can borrow a lot, you should hopefully be able to use your personal loan proceeds to pay off most or all of your outstanding debt. This will simplify the debt consolidation process since you won’t have to choose which debts to pay off with your consolidation loan, and you won’t end up with multiple creditors when you’ve completed the process.

4. You can lock in your interest rate with a personal loan

Many lenders offer you the option of choosing a fixed rate personal loan. If you refinance variable rate debt into a fixed rate loan, you won’t have to worry about rising rates and your debt going up.

You’ll have absolute certainty about what you’ll pay each month because your monthly payments and borrowing costs will never change.

5. Personal loans come with fixed repayment schedules

When you apply for a personal loan, you decide on a fixed repayment schedule for your personal loan, such as three years or five years. This time frame will not change once you sign your loan agreement and commit to borrowing.

As a result, you’ll know exactly when you’ll complete your debt repayment plan and be free from any debts you’ve consolidated.

6. You don’t usually put your assets at risk when you take out a personal loan

Typically, you will use an unsecured personal loan when consolidating debt. This means you don’t need to use any assets as collateral, unlike a home equity loan, where your home secures the loan.

Each of these benefits distinguishes personal loans from other debt consolidation options, such as home equity loans or balance transfers. If you’re hoping to consolidate your debt this year, a personal loan should be considered when deciding what new credit to take out to pay off your existing lenders.

The Ascent’s Best Personal Loans for 2022

The Ascent team has scoured the market to bring you a shortlist of the best personal loan providers. Whether you’re looking to pay off debt faster by lowering your interest rate or need extra money to make a big purchase, these top picks can help you reach your financial goals. Click here for the full rundown of The Ascent’s top picks.

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