Housing Will Soon Help the Economy, but Not by Much

The analysts at Capital Economics are holding fast to their forecast that the downturn in the housing market is drawing to a close. As a result, they say housing should soon start to boost economic growth, but as housing now makes up only a small share of the economy, the sector is unlikely to add much more than 0.2 … Continue reading Housing Will Soon Help the Economy, but Not by Much

Americans dipping into savings More Americans digging into their savings, skimping on college funds, adding more debt

As households struggle to keep up, people skimp on college funds, rely on credit cards. NEW YORK — More than four years after the United States fell into recession, many Americans have resorted to raiding their savings to get them through the stop-start economic recovery. In an ominous sign for America’s economic growth prospects, workers … Continue reading Americans dipping into savings More Americans digging into their savings, skimping on college funds, adding more debt

Additional Servicers May Join in AG Settlement

Additional Servicers May Join in AG Settlement The settlement negotiations between the state attorneys general and the top five servicers have dragged on for more than a year now throughout frequent reports that a settlement is “close.” Working out a deal that banks feel is fair and that attorneys general feel serves their states’ residents … Continue reading Additional Servicers May Join in AG Settlement

Housing Crisis to End in 2012 as Banks Loosen Credit Standards

Capital Economics expects the housing crisis to end this year, according to a report released Tuesday. One of the reasons: loosening credit. The analytics firm notes the average credit score required to attain a mortgage loan is 700. While this is higher than scores required prior to the crisis, it is constant with requirements one … Continue reading Housing Crisis to End in 2012 as Banks Loosen Credit Standards

Illinois AG sues S&P for alleged ratings fraud

Wednesday, January 25th, 2012, 3:42 pm   Illinois Attorney General Lisa Madigan sued the parent company of Standard & Poor's Wednesday for allegedly assigning its highest ratings to the mortgage-backed securities issued in the run-up to the crisis. S&P is a subsidiary of McGraw-Hill Cos. (MHP: 47.42 +0.06%). The suit was filed in Cook County … Continue reading Illinois AG sues S&P for alleged ratings fraud