Qatar Cuts Interest Rates

Decline in Bank Loan Growth

April 5 (Bloomberg) -- Qatar’s central bank cut interest rates for the first time in eight months after a slowdown in credit growth.

The bank lowered the benchmark overnight lending rate by 50 basis points to 5 percent and the deposit rate by the same amount to 1 percent, Governor Abdullah Al Thani said today in a telephone interview. He didn’t give a reason for the moves. The last reduction in August aimed to counter deflation and low borrowing costs worldwide, the central bank said at the time.

Growth in Qatari bank credit dropped to 10 percent in February, the slowest pace since 2009, according to central bank data. The decline came amid political turmoil in the Middle East, with unrest in Tunisia and Egypt spreading into some of Qatar’s Persian Gulf neighbors such as Bahrain.

“We see the cut in lending and deposit rates as a move to support private-sector credit growth,” said Monica Malik, an economist at Cairo-based investment bank EFG-Hermes Holding SAE. “There is substantial room to reduce the lending rate.”

Qatar, the world’s fastest-growing economy, held interest rates at levels higher than in other Gulf nations as the global financial crisis crimped borrowing in the region. Its inflation rate rose to 1.8 percent in February, after the country experienced deflation for most of 2010.

Qatar forecasts economic growth of 15.7 percent this year, slowing to 7.1 percent in 2012. The largest exporter of liquefied natural gas, it has a population of about 850,000 and the world’s highest per-capita gross domestic product, according to the CIA World Factbook. The yield on Qatar’s 4 percent dollar bond maturing January 2015 dropped 4 basis points to 2.98 percent today, according to Bloomberg prices.

Qatar’s benchmark stock index has declined about 2 percent this year after climbing almost 25 percent in 2010.

--With assistance from Vivian Salama and Dana El Baltaji in Dubai. Editors: Heather Langan, Louis Meixler, Ben Holland, Susan Lerner.

To contact the reporter on this story: Camilla Hall in Dubai at chall24@bloomberg.net.

To contact the editor responsible for this story: Claudia Maedler at cmaedler@bloomberg.net

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America Loan Backstop

Bank of America Loan Backstop

On January 16^th 2009, Bank of America (BofA) disclosed with its first ever quarterly loss of $1.79 billion, a US government loan backstop for $118 billion on assets mostly from its government encouraged Merrill Lynch acquisition¹. The loan backstop is designed to cover a pool of financial instruments, assets, for up to $118 billion with maturities up to 10 years through the Treasury and FDIC with the Federal Reserve providing the actual non-recourse loan². The non-recourse loans means in the event BofA cannot repay the loan, the government is entitled to seize the risky assets being pledged by BofA as collateral, but if the loan value exceeds the value of the risky assets, it cannot go after BofA for the remaining loan amount.

There are a few strict limits imposed on BofA when using this loan facility: executive compensation must be submitted and approved by the government, dividends on common shares cannot exceed $.01 per share per quarter for three years without government approval, $4 billion of preferred stock with an 8% dividend rate along with other fees are to be paid to the government, and any material disposal of the risky assets in the pool by BofA has to be approved by the government².

As of July 2009, the overall confidence of the economy has picked up and BofA has never used the funding provided by the government loan backstop. Both sides, the government and BofA, agree the accord was never signed, but the government wants BofA to pay fees in the range of $2-4 billion for having the implicit government guarantee and potential access to the loan facility³.

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Loan Fraud

Fraudulent loans

Mortgage Fraud

Mortgage fraud is the most common form of loan fraud, and the most costly. The victims can be banks or individuals. And sometimes individuals can perpetrate fraud without even knowing it. “Creative financing” is a term that has been used in the mortgage industry for a long time now. Unfortunately, many times it forces the consumer to commit fraud without even realizing it. Here are a few examples of some things that a mortgage applicant may do which would constitute mortgage fraud:

• Over appraising a property value. Happen to be good friends with an appraiser? Maybe he bumped up your house value by a little bit to help you get a higher selling price. If that’s the case, it’s mortgage fraud.
• Applying for a “stated income” mortgage? Maybe you exaggerated your income a little bit to help get a lower interest rate. That’s not creative financing, that’s mortgage fraud.

Kickbacks, false deposits, lying about residency, lying about employment, repayment of gifts, and many other common activities may be construed as fraud. Unfortunately, some unscrupulous mortgage brokers looking for a quick buck may actively encourage you to engage in fraud, and even convince you that it’s perfectly legal. According to the FBI, mortgage fraud is defined as “any material misstatement, misrepresentation or omission relied upon by an underwriter or lender to fund, purchase or insure a loan .

Other Types Of Fraudulent Loans

Other types of fraudulent loans may include applying for a loan with a fake identity, forging loan documentation, or even posing as a financial institution in order to collect a down payment on an alleged loan, and disappearing after receiving the cash.

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Five banks given responsibility

Five banks given responsibility of the A$7 billion IPO

The government of Queensland has picked up five investment banks to manage the public offering of QR National. The total worth of the IPO is expected to be close to A$7 billion.
Credit Suisse, Goldman Sachs, JBWere, Merrill Lynch, RBS and UBS are going to the ones, said the treasurer secretary of Queensland, Andrew Fraser.
QR is into the business of coal, freight and infrastructure servicing. The announcement that it would go public came on December 8.

A Banker appointed as Chief of Australia Post

A banker has been appointed as chief executive of Australia Post. The Government owned mail service has appointed Ahmed Fahour, Former National Australia Bank chief, as chief executive of Australia Post. This was done after a long international search of four months.
Mr Fahour, who headed NAB's Australian business, was also a member of the prime minister's Social Inclusion Board and a trustee of the Melbourne Cricket Ground. He also held some senior roles with Citigroup, Boston Consulting Group and most recently Gulf Finance House.

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Online Payday Loan Sites

Consumers Warned of Online Payday Loan Sites

The Consumer Federation of America (CFA) is warning consumers to exercise extreme caution when using Internet payday loan sites, where loans due by the next payday, can cost up to $30 per $100 borrowed and borrowers typically face annual interest rates (APRs) of 650%.
According to a CFA survey of one hundred Internet payday loan sites, small loans involving electronic access to consumers' checking accounts pose high risks to consumers who borrow money by transmitting personal financial information via the Internet."Internet payday loans cost up to $30 per $100 borrowed and must be repaid or refinanced by the borrower's next payday," said Jean Ann Fox, CFA's director of consumer protection. "If payday is in two weeks, a $500 loan costs $150, and $650 will be electronically withdrawn from the borrower's checking account."borrower's checking account."Online payday loans are marketed through e-mail, online search, paid ads, and referrals. Typically, a consumer fills out an online application form or faxes a completed application that requests personal information, bank account numbers, Social Security Numbers and employer information. Borrowers fax copies of a check, a recent bank statement, and signed paperwork. The loan is direct deposited into the consumer's checking account and loan payment or the finance charge is electronically withdrawn on the borrower's next payday.
"Internet payday loans are dangerous for cash-strapped consumers," stated Ms. Fox. "They combine the high costs and collection risks of check-based payday loans with security risks of sending bank account numbers and Social Security Numbers over web links to unknown lenders."
CFA's survey of 100 Internet payday loan sites showed that loans from $200 to $2,500 were available, with $500 the most frequently offered. Finance charges ranged from $10 per $100 up to $30 per $100 borrowed. The most frequent rate was $25 per $100, or 650% annual interest rate (APR) if the loan is repaid in two weeks. Typically loans are due on the borrower's next payday which can be a shorter term.
Only 38 sites disclosed the annual interest rates for loans prior to customers completing the application process, while 57 sites quoted the finance charge. The most frequently posted APR was 652%, followed by 780%.
Although loans are due on the borrower's next payday, many surveyed sites automatically renew the loan, withdrawing the finance charge from the borrower's bank account and extending the loan for another pay cycle. Sixty-five of the surveyed sites permit loan renewals with no reduction in principal. At some lenders, consumers have to take additional steps to actually repay the loan. After several renewals, some lenders require borrowers to reduce the loan principal with each renewal.
Contracts from Internet payday lenders include a range of one-sided terms, such as mandatory arbitration clauses, agreements not to participate in class action lawsuits, and agreements not to file for bankruptcy. Some lenders require applicants to agree to keep their bank accounts open until loans are repaid. Others ask for "voluntary" wage assignments even in states where wage assignments are not legal.

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Why You Need The Best Payday Loans

The Best Payday Loans

It can happen to anyone. There's no one among us that's such a good money manager that they can't accidently forget to pay a bill and then find themselves a little short when the notice comes in the mail that they're overdue.
We can't foresee when our car is going to break down either and generally we don't have lots of money just sitting in the bank to cover those costly repairs. Those are just a few of the reasons that everyone should have the advantage of knowing where they can get the kind of payday loans that will help them smooth over the trouble spots. These are a great way to get a cash advance on the Internet that's hassle free.
A Hassle Free Cash Advance
First and foremost you to understand why the best place to look for one of these loans is on the Internet. The Web became the preferred way of doing business a few years ago for several reasons but at the top of the list was the way the Internet has of disposing with red tape.
No where is that straight to the point aptitude more obvious than with payday loans. When you start searching for the place that will suit your needs and budget, you'll soon see that the best of the firms that offer this service provide great features like competitive rates and no application fees.
Easy To Apply Online
That makes it all the more easy for you to apply online for one of these loans and get an answer usually within minutes. It's not uncommon to look for the money to be in your possession on the next business day. There are a variety of reasons why this type of cash advance is popular.
Medical Bills. With the state of the nation's healthcare up in the air, it's important to know that you've got a backup plan in case you're in between policies now and need to know that you can get some money should you need a little coverage. There are items that you might not account for in the daily budget like glasses and prescription drugs.
Rent. It's often hard to keep all the loose ends of any financial situation together and even the most responsible people can forget their rent and get stuck between paychecks.
The point is simple. Getting to understand all the things that the right payday loans company can do for you is a solid investment in your piece of mind.

Searching for a direct deposit cash advance?

Are you counting the days until your next payday? Do you lose sleep every night wondering how you are going toLet our payday cash advance matching service help you out of your financial difficulties. Start to afford to make your next car payment on time? If you answered yes to any of those two questions, you maybe in serious financial risk and things will only get worse unless you do something about it.
Well fret no further, because the good people at Check Free Cash have the solution for you! With our service, we find lenders who will direct deposit cash advances to you. Therefore, you can meet your current cash needs with even a little extra to spare. All you have to do in order to get your payday loan is fill out a quick form and you will have your money in a flash. No more waiting which means you can use your money when you want to. Our lenders have exceptional customer service, and are willing to work with clients of any background or financial history. day

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Borrow Money Through a Personal Bank Loan

Instructions

1. Assess your current financial situation by listing your assets, detailing your monthly income and deducting any liabilities, debts or expenses.
2. Ask your employer for a letter confirming your monthly income and job security, and back it up with pay stubs or, if your salary is deposited directly into your bank account, invoice statements.
3. Do some shopping. You may or may not qualify to get a personal loan through your regular bank. If you don't, there are dozens of lenders out there who specialize in personal loans
4. Compare not only interest rates, but also repayment terms. Find out if your monthly loan payment is fixed or variable, and opt for a fixed term whenever possible. Ask about any up-front fees, and make sure you know whether the loan is disbursed all at once or in installments.
5. Offer collateral to get a lower interest rate. Even if you have excellent credit, an unsecured personal loan will always come at a higher interest rate than a secured one.
6. Complete all application materials in full, including supporting documentation listing your assets, liabilities and income
7. Complete all application materials in full, including supporting documentation listing your assets, liabilities and income
8. Repay the loan according to the terms outlined in your agreement. If you default, you risk losing the collateral you offered up to secure your loan. If you have an unsecured loan, failure to make payments will have a profoundly negative impact on your credit rating.

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