Snappy newsletters. Simple Facebook sharing. Spirited comments. Sweet features are waiting… GET THEM NOW!

NEWS ABOUT: subprime crisis

'Consumers Have Thrown In the Towel': Report

Weary from a long fight, consumers are retrenching, cutting purchases across the board

(Newser) - The punches are coming from all directions and consumers, beaten down and out of breath, are clearly ceding the fight through decreased spending, Bloomberg reports. The scorecard released today says it all: consumer purchases were down 0.3% in September, the biggest drop in 4 years, capping the weakest quarter... More »

How Hank Paulson Blew $125B

The banks have the cash, but why is everyone surprised they're not lending?

(Newser) - Not too long ago, critics from left and right were clamoring for Hank Paulson to abandon his plan buy up toxic mortgage-backed securities at auction to unlock credit markets. Instead, they argued, the government should give money directly to banks for them to lend. Too bad Paulson listened, writes Steven... More »

Rescue Plan Rankles Prudent Homeowners

Those who can pay mortgages feel cheated as neighbors get aid

(Newser) - As the feds move ahead with a plan to help homeowners on the brink of foreclosure, others are questioning the scheme's fairness and wondering if it's ripe for abuse, the New York Times reports. “I am beginning to think I would have rocks in my head if I keep... More »

AIG Has Already Spent Most of $123B Bailout

Ailing insurance giant warns it may need more help

(Newser) - Struggling insurance giant AIG, recipient of the largest government bailout in history, has burned through three-quarters of its $123 billion financial lifeline, the Washington Post reports. As of yesterday, AIG has withdrawn $90.3 billion from the Federal Reserve’s credit line, mostly to pay off bad bets insuring toxic... More »

Subprime Crime Wave Floods FBI Casebook

(Newser) - A short-staffed FBI is laboring to keep up with white collar crime linked to the nation's financial crisis, the New York Times reports. FBI officials predicted millions of dollars' in mortgage fraud years ago, but the Justice Department wanted agents focused on counter-terror. When the FBI warned of a fraud... More »

Homeowners Need Bailout, Too: FDIC Chief

Regulator clashes with Paulson, Bernanke over relief for lenders

(Newser) - The FDIC chief is blasting the White House and Congress for focusing the $700 billion bailout on financial institutions and not giving homeowners facing foreclosure more help, reports the Wall Street Journal. Sheila Bair, a Bush appointee, says the government’s insistence that homeowners not profit from its help—while... More »

Out of $3.6B Writedown, JPMorgan Pulls a Q3 Profit

(Newser) - JPMorgan Chase surprised analysts and brought some partly sunny news to a mostly gloomy Wall Street, reporting net income of $527 million, or 11 cents a share, despite mortgage-related writedowns of $3.6 billion and $640 million in losses from its takeover of Washington Mutual, reports the Wall Street Journal.... More »

Private Sector Sparked Subprime Crisis: Fed

Liberal housing policy wasn't at fault—risky betting was

(Newser) - A talk radio campaign blaming the credit crisis on lower-class Americans is up against new federal data, McClatchy reports. Critics argue that government-backed Fannie Mae and Freddie Mac, pushed by Clinton policies, gave subprime mortgages to minority Americans who could not afford homes. But 84% of mortgages were handed out... More »

How-To Films for Tough Times

20 cinematic escapes when you're feeling the Great Depression

(Newser) - Nothing lifts a Great Depression like a visit to the talkies. Gawker recommends 20 films to watch on your iPhone while standing in tomorrow's bread lines—assuming you haven't already sold your iPhone.
  • It's a Wonderful Life: How to survive a bank run, and have a Merry Christmas.
  • Grapes of
... More »

McCain's Housing Rescue Plan: What Is It? Is It New?

Candidate surprises with question-laden bailout proposal

(Newser) - John McCain’s proposal to bail out homeowners by buying up their troubled mortgages, the only policy surprise in last night’s debate, left observers scrambling to understand how it was—if it was—different from the Treasury’s existing bailout plan. The proposal, fleshed out by the campaign, would... More »

Paulson Picks Goldman Alum to Oversee Bailout Fund

35-year-old to keep seat warm until Jan.

(Newser) - Treasury Secretary Henry Paulson will name former Goldman Sachs banker Neel Kashkari to oversee the $700 billion bailout fund approved last week, reports the Wall Street Journal. The appointment is an interim one for Kashkari, 35, currently an assistant Treasury secretary; a new administration would almost certainly appoint its own... More »

The Markets Have Evened Out When ...

Analyst gives four signs of sanity to scan your tea leaves for

(Newser) - The main thing ailing the credit markets is a crisis of information, writes L. Gordon Crovitz in the Wall Street Journal, so it’ll probably end when we have some. Things may be looking up when…
  • Prices are discovered: Right now, there’s no demand for mortgage-backed securities, and hence
... More »

Depression, No—but That Lesson Is Vital

As credit outlook deteriorates, most important word is 'trust'

(Newser) - Constant references to the Great Depression aren’t alarmist, but the analogy isn't perfect, either, writes David Leonhardt in the New York Times. "The basic mechanics of how the economy might fall into a severe recession look quite similar to those that caused the Depression," he explains. "... More »

How to Protect Your Money

Insured accounts best bet as Wall Street tumbles

(Newser) - After the biggest single-day's loss in Wall Street's history, even Americans whose sole investment is a bank account are nervously scratching their heads. Here are some guidelines to the failed-bailout crisis from the New York Times:
  • What happens next? The market's deep dive may scare Congress into passing the bailout
... More »

Where US Consumers Can Turn Now

(Newser) - The failure of the bailout bill to clear the House has American consumers checking their retirement accounts, their wallets, and even their mattresses as they grapple with the implications of the worsening financial situation. With falling oil prices seemingly the only silver lining for the average consumer, MSNBC offers some... More »

What Will Taxpayers Shell Out for All This?

Some bailouts are more risky, some less—and add up to $1 trillion

(Newser) - If a $700 billion federal bailout sounds like a lot, it is—but Washington will actually shell out $1 trillion in all of its present and proposed plans. Between Henry Paulson's plan, and bailouts of Bear Stearns, AIG, and Fannie Mae and Freddie Mac, the Wall Street Journal breaks down... More »

Deal Reached on Bailout

Bill would address exec salaries, hold equity stake for taxpayers

(Newser) - Congress and the Bush administration have agreed on a preliminary plan for the $700 billion bailout bill, Washington leaders said after emerging from talks after midnight this morning. Though details need ironing out, “I think we're there,” announced Treasury Secretary Henry Paulson. Work was to continue with a... More »

Housing Meltdown Not a Racial Issue

Conservative commentators have chosen the wrong scapegoat

(Newser) - Some conservative commentators have bypassed greedy Wall Street firms, reckless lenders, and a government asleep at the wheel to blame minorities for the credit crisis, Cynthia Tucker observes in the Atlanta Journal-Constitution. This a misguided move for many reasons, she writes. For starters, the affirmative action lending programs they... More »

O'Neill on Bush: He Doesn't Get It, and 'It Shows'

Former treasury chief says leaders are acting out of 'panic'

(Newser) - Former Treasury chief Paul O'Neill doesn't have a lot of confidence in the ability of his old boss to find a financial solution, ABC News reports. “I don’t think he understands or knows much about any of this and it shows,” O’Neill said of President Bush.... More »

Bailout Needs Bigger Taxpayer Upside

Public should expect some reward for taking on Wall Street's bad debt

(Newser) - The impending bailout of beleaguered Wall Street behemoths should give the taxpaying public some protection and accountability, writes EJ Dionne Jr. in the Washington Post. The deal should allow the government to claim a stake in financial firms that make money from the bailout, giving taxpayers the chance to reap... More »

Stories 41 - 60 | << Prev   Next >>
NEWS FROM OUR PARTNERS
Other Sites We Like:   24/7 Wall St.   |   Betty Confidential   |   BuzzFeed   |   Cracked   |   Fark   |   Timelines   |   The Frisky   |   Geek Sugar   |   NewsOne