Getting out
of debt involves a lot more than just the debt snowball or avalanche methods.
The amount
of debt involved dictates this matter, with affordability achieved by increasing the number of monthly repayment sums.
Each type
of debt involved can have a different impact on your credit score, and perhaps on the credit repair process.
This depends on several factors, including state law, the type
of debt involved and how much you earn.
But, when there are 13 figures worth
of debt involved, chances are the ramifications are far - reaching and span across multiple generations.
Not exact matches
Consumer advocates would like to see the agency require every company
involved in selling, buying, or collecting
debts to ensure the integrity and accuracy
of the information used in the process.
This year's winners incorporated the advent
of the information age and developed models
of how markets can also respond to day - to - day and minute - by - minute information, such as the minutiae
involved in the current budget battle and
debt - ceiling talks in Congress.
(Terms were not disclosed, but Forbes reported the deal
involved US$ 50 million up front and a total cost, including assumed
debt,
of $ 240 million.)
It's possible that large private equity firms are more willing to consider big buyouts
of struggling enterprise companies in light
of the blockbuster Dell and EMC deal, a complex transaction
involving Dell raising $ 45 billion in
debt financing to help carry it through.
The Times cites Robyn Smith, a lawyer with the National Consumer Law Center, who «has seen shoddy and inaccurate paperwork in dozens
of cases
involving private student loans from a variety
of lenders and
debt buyers, which she detailed in a 2014 report.»
The Globe and Mail reports that the transaction is expected to be worth close to $ 300 million, with about half
of that
involving debt that the new investment consortium would assume.
And anything with an unusual deal structure, or one that
involves a lot
of debt, is expected to still be scrutinized.
The Telegraph has a good analysis
of how everyone
involved in the negotiations knew Greece could never repay the
debt the IMF and the EU had extended to the country.
A customer - service rep named Talia Jane, who worked for the company's food delivery arm Eat24, wrote an open letter to Yelp CEO Jeremy Stoppelmann on Friday explaining how she could not afford to pay groceries, had stopped using her heater, spent 80 %
of her income on paying rent in San Francisco, and was «balancing all sorts
of debt and trying to pave a life for myself that doesn't
involve crying in the bathtub every week.»
In addition to the scrutiny
of its crisis - era mortgage business, the investigations
involve JPMorgan's
debt collection practices and its hiring
of the children
of Chinese officials.
-- Deleveraging and the reverse wealth effect: I've written in lots
of places how
debt bubbles, like those
involving mortgages, take a lot longer to work through then equity bubbles.
Rapid growth not only outstrips management's abilities but all too often
involves assumption
of excessive
debt for financing expansion.
There are a number
of risks
involved in investing in
debt instruments.
Lower - quality
debt securities
involve greater risk
of default or price changes due to potential changes in the credit quality
of the issuer.
A real solution to the
debt problem, in other words, may
involve initially a transfer
of debt onto the government balance sheet, but ultimately Beijing must then take real steps to lower
debt relative to
debt capacity.
This may
involve using privatization proceeds to pay down
debt, higher corporate taxes, and even higher income taxes if other forms
of wealth transfer are robust enough to support them, but one way or another total government
debt must be reduced, or at least its growth must be contained to les than real GDP growth.
Even achieving the present trajectory
of domestic demand that we have, which has left the economy with a bit
of spare capacity, has
involved some net rise in the ratio
of household
debt to GDP.
Although the bond market is also volatile, lower - quality
debt securities, including leveraged loans, generally offer higher yields compared with investment - grade securities, but also
involve greater risk
of default or price changes.
• Lower - quality
debt securities generally offer higher yields but also
involve greater risk
of default or price changes due to potential changes in the credit quality
of the issuer.
It offers insight into two different types
of funding options: traditional SBA loans, which require monthly interest payments, and 401 (k) business financing, a
debt - free option that
involves only minimal monthly maintenance fees, so you can see how each technique affects the business's bottom line.
Such strategies
involve investing predominantly in corporate credit, including senior secured and mezzanine loans and high yield, distressed and high grade
debt securities, private equity controlled positions, real estate investment and investment in pools
of non-performing loans in Europe and Asia.
Investing in higher - yielding, lower - rated, floating - rate loans and
debt securities
involves greater risk
of default, which could result in loss
of principal — a risk that may be heightened in a slowing economy.
Once it does, the process
of deleveraging, like rebalancing, is inevitable, and it too can occur in many different ways, all
of which
involve forms
of «
debt forgiveness», usually involuntary.
In 2011, when congressional Republicans were threatening to allow the government to default on its
debts if their policy wish list was not met, Powell met with a number
of GOP lawmakers, urging them to reconsider their strategy by pointing out the serious risks
involved.
These Lower - quality
debt securities
involve greater risk
of default or price changes due to potential changes in the credit quality
of the issuer.
But the case that has dogged Mr. Malkin
involves a 1996 deal to restructure Angola's $ 5 billion
debt to Russia, an arrangement that has become a symbol
of official plundering in Africa among anticorruption advocates.
Hansson's skepticism is in line with opposition by a minority
of officials including Bundesbank President Jens Weidmann, who has argued that sovereign -
debt purchases
involve unwarranted risks and undermine the incentive
of governments to make economic reforms.
The details
of the plan were left undetermined, which means we don't know how much
debt will be
involved in the end.
Though Jones won't be directly
involved in the investigation per se, she saw her fair share
of real estate - related cases
involving allegations
of fraud or troubled
debt during her time as a federal judge.
The governments
of Malaysia and Abu Dhabi reportedly reached an agreement on a partial
debt settlement in the case
involving scandal - ridden fund 1Malaysia Development...
The investor should note that vehicles that invest in lower - rated
debt securities (commonly referred to as junk bonds)
involve additional risks because
of the lower credit quality
of the securities in the portfolio.
While growing a business often
involves going into
debt, it's important to acknowledge there are two types
of debt: good and bad.
FBN Capital
of Lagos was
involved as either a mandated lead arranger or financial adviser in a long list
of debt deals valued at about $ 3 billion in 2013, maintaining its lead role in Nigeria's fast - growing market for project finance and structured finance.
Alternative investments, such as hedge funds, private equity / private
debt and private real estate funds, are speculative and
involve a high degree
of risk that is suitable only for those investors who have the financial sophistication and expertise to evaluate the merits and risks
of an investment in a fund and for which the fund does not represent a complete investment program.
HFRI Event Driven Index maintains positions in companies currently or prospectively
involved in corporate transactions
of a wide variety including, but not limited to, mergers, restructurings, financial distress, tender offers, shareholder buybacks,
debt exchanges, security issuance, or other capital structure adjustments.
Investments in high - yield («junk») bonds
involve greater risk
of price volatility, illiquidity, and default than higher - rated
debt securities.
From the perspective
of someone interested in making investments with 20 + year holding periods in mind, you need to be careful
of owning banks because
of the
debt to equity levels
involved in the investment, you need to be wary
of technology companies because they must constantly be innovating to remain profitable and relevant (unlike, say, Hershey, which could stick with its business model
of selling chocolate bars for the next century), and retail stocks which are always subject to the risk
of a new low - cost carrier arriving on the block.
Debt consolidation
involves taking all
of your
debts and combining them into one.
As Chief Financial Officer from 1990 to 1999, he was
involved in the negotiations
of the Sadiola and Yatela mine joint ventures with Anglo American and the US$ 400 million in project
debt financings for development
of the mines.
In 2002 he co-founded STL Capital Partners, LLC, which, until 2015, advised middle market companies
involved in various capital market transactions including private placements
of debt and equity securities, mergers and acquisitions, leveraged buyouts and valuations
of securities, and provided merchant capital in private transactions.
Debt consolidation can simply be from a number
of unsecured loans into another unsecured loan, but more often it
involves a secured loan against an asset that serves as collateral, most commonly a house.
Puerto Rico's total public sector
debt adds up to 104 percent
of GDP and it's multiples
of the roughly $ 20 billion
involved in Detroit's restructuring, for example.
As I've written before, an effective program
of mortgage -
debt forgiveness would effectly
involve identifying those homeowners who are deepest in
debt, and most willing to walk away from their obligations, and giving them tens
of thousands
of dollars in relief.
Examples
of these risks, uncertainties and other factors include, but are not limited to the impact
of: adverse general economic and related factors, such as fluctuating or increasing levels
of unemployment, underemployment and the volatility
of fuel prices, declines in the securities and real estate markets, and perceptions
of these conditions that decrease the level
of disposable income
of consumers or consumer confidence; adverse events impacting the security
of travel, such as terrorist acts, armed conflict and threats thereof, acts
of piracy, and other international events; the risks and increased costs associated with operating internationally; our expansion into and investments in new markets; breaches in data security or other disturbances to our information technology and other networks; the spread
of epidemics and viral outbreaks; adverse incidents
involving cruise ships; changes in fuel prices and / or other cruise operating costs; any impairment
of our tradenames or goodwill; our hedging strategies; our inability to obtain adequate insurance coverage; our substantial indebtedness, including the ability to raise additional capital to fund our operations, and to generate the necessary amount
of cash to service our existing
debt; restrictions in the agreements governing our indebtedness that limit our flexibility in operating our business; the significant portion
of our assets pledged as collateral under our existing
debt agreements and the ability
of our creditors to accelerate the repayment
of our indebtedness; volatility and disruptions in the global credit and financial markets, which may adversely affect our ability to borrow and could increase our counterparty credit risks, including those under our credit facilities, derivatives, contingent obligations, insurance contracts and new ship progress payment guarantees; fluctuations in foreign currency exchange rates; overcapacity in key markets or globally; our inability to recruit or retain qualified personnel or the loss
of key personnel; future changes relating to how external distribution channels sell and market our cruises; our reliance on third parties to provide hotel management services to certain ships and certain other services; delays in our shipbuilding program and ship repairs, maintenance and refurbishments; future increases in the price
of, or major changes or reduction in, commercial airline services; seasonal variations in passenger fare rates and occupancy levels at different times
of the year; our ability to keep pace with developments in technology; amendments to our collective bargaining agreements for crew members and other employee relation issues; the continued availability
of attractive port destinations; pending or threatened litigation, investigations and enforcement actions; changes
involving the tax and environmental regulatory regimes in which we operate; and other factors set forth under «Risk Factors» in our most recently filed Annual Report on Form 10 - K and subsequent filings by the Company with the Securities and Exchange Commission.
If you're looking for a business story to intrigue your readers, try one on predatory lending, something that
involves the ever - popular topics
of money, politics and consumer
debt.