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Buy cash or get a mortgage?


Many homebuyers use a mortgage to buy a home, but there are those who are fortunate enough to be able to pay in cash – and in today’s booming real estate market, cash buyers have a lot more leverage. Is buying a house with cash the best financial decision? If you weigh the pros and cons of buying a home for cash versus getting a mortgage, here are the main points to consider.

When should you consider paying cash for a house?

A single cash offer could be profitable in several ways. Here are a few reasons to consider making one:

To beat other buyers

In today’s market, sellers favor cash offers because they will be able to close the sale faster and without the risk of seeing the deal collapse if a mortgage approval does not go through as planned.

To speed up the process

Paying cash can also simplify the home buying process. There’s no loan application, underwriting, or approval, so you’ll save yourself the potential headaches and stress of dealing with a lender, and you might not have to wait that long. to conclude.

To ignore the upfront fees

If you have the funds, paying cash for a house definitely saves you money, since you won’t have to pay the costs associated with a mortgage. Origination fees, evaluation fees and others closing costs can total several thousand dollars.

To reduce your costs in the long run

Without a loan, you also won’t be spending money each month on interest charges, which add up to the typical 30-year mortgage.

“You don’t have a mortgage payment and paying cash gives you the actual opportunity cost of the mortgage,” says Leon LaBrecque, director of growth and certified financial planner at Sequoia Financial Group in Troy, Michigan. “Not having a 2.875% mortgage is like earning 2.875%.”

When should you consider getting a mortgage?

The question is not simply “Can you buy a house with cash?” ” although. It’s important to ask yourself if you should be spending all that money up front. Here are some of the benefits of borrowing a mortgage instead of using your own funds to buy a home:

To earn more than what you save

A compelling reason to consider getting a mortgage is historically low interest rate. Currently, the benchmark 30-year fixed-rate mortgage is 3,000%, according to Bankrate’s survey of domestic lenders. Locking in a low fixed rate on a 30-year mortgage helps you free up money for other purposes, like a mortgage. emergency fund, investments or the financing of your retirement accounts.

To reduce your tax bill

If you normally itemize deductions on your tax return, getting a mortgage can reduce what you owe because mortgage interest is tax deductible. This can be very important for high earners who typically retail and want to maximize their deductions.

To build credit

Having debt is not necessarily a bad thing. Have a mortgage gives you the chance to make those regular payments that make you look great in the eyes of the major credit reporting agencies. In the long run, managing your mortgage debt on a regular basis can help improve your credit score.

“Mortgage debt is good debt because it is about an asset that appreciates, not an asset that depreciates like a car or a boat,” says Allan Moskowitz, a certified financial planner at Transformative Wealth Management in El Cerrito, in California.

Considerations to Consider When Deciding to Buy a Home with Cash or a Mortgage

When considering buying a home with cash, ask yourself these questions to help guide your thinking:

1. What is the state of the housing market?

If you really want to secure this home, keep in mind that another buyer might feel the same way. If so, an all-cash offer can make all the difference. A recent report Real Estate Brokerage Redfin has found that making an all-cash offer improves the odds of winning a auction war by 290 percent.

2. How much more will you pay with a mortgage?

Suppose you want to buy a house for $ 360,000, making a 20% payment of $ 72,000 for a 30-year mortgage for the remaining $ 288,000, with a fixed interest rate of 3%. The closing costs are typically 2% to 4% of the loan principal, so in this case, that’s between $ 5,760 and $ 11,520.

Using Bankrate Mortgage Calculator, at the end of the loan term, you can estimate that you will pay a total of approximately $ 149,167 in interest. By adding your total interest to your closing costs, you will end up paying an additional $ 154,927 to $ 160,687 over a 30-year period.

This cost could be offset to some extent if you are a taxpayer who itemizes deductions on your return. You could get tax savings every year if you are able to deduct your mortgage interest payments. If you are married, you can deduct interest up to $ 750,000 from qualifying home loans. If you are married and file separately, this limit is halved to $ 375,000. If you are planning to buy a house with cash or take out a mortgage, you can use Bankrate’s mortgage interest tax deduction calculator to understand how a mortgage will impact what you owe.

3. How much money will you have left if you pay cash?

If you are paying cash for a house, you might feel good knowing that you won’t have bills for your mortgage, but make sure you don’t stretch your finances too much to achieve this. You will still need to have an emergency fund in place, and you will need enough money to cover home maintenance and repairs. You’ll also want to make sure that your cash purchase doesn’t impact saving for retirement or other overall expenses.

At the end of the line

Ultimately, the competition between buying a home with cash and a mortgage depends on your overall financial situation, not just the home itself.

Buying cash to save on mortgage interest might not be the best choice if you would otherwise be able to invest the money, in the stock market or elsewhere, for a higher return. If you can lock in a mortgage at today’s low rates, you can take advantage of the lender’s money to purchase your home.

Getting a mortgage can offer great financial flexibility by keeping more of your cash to use in an emergency – but, for retirees or those who want to be debt-free, buying cash can offer certainty. and security difficult to implement. price on. Whatever your age or financial situation, paying with cash gives you the peace of mind that you are not in debt on your most important asset: your home.

If you decide to buy your home with a mortgage, you can easily compare mortgage lenders and offers on Bankrate. Whether you’re looking for a 15-year or 30-year mortgage, you can compare rates from lenders in your area, along with estimated closing costs, to find out the true cost of financing your home.

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Here’s how the small business loan program went wrong in just 4 weeks


Trish Pugh started a trucking business in Ohio with her husband in 2015. Even for a small business, it’s small – they had two drivers, including her husband, until they let go of one. cause of the coronavirus crisis.

And so, his company applied for a loan under the $ 349 billion first round of the Paycheck Protection Program, which the federal government put in place to save small businesses.

It didn’t go well.

First, there was confusion between her, her banker, and the Small Business Administration over the forms needed to apply. And then, once she did, she soon found out that she had missed the money.

“I click on this website and it tells me I have to reapply when more funds are available. I was devastated,” she said.

Not only did that first pot of PPP money run out in 13 days, freelancers like Pugh were only able to apply for a week. after the program opened. This puts them far behind other companies in the first come, first served program.

“We’re basically preparing to lose everything, and it’s really sad because we did it on our own at the start,” Pugh said as she prepared to apply for the second round of the program, which features funding of $ 321 billion. “Now that we need help, we cannot get help.”

Pugh has since informed NPR that she ended up getting a loan of just over $ 10,000. It will help her, but she doesn’t know how long it will keep her business running.

Frustrations like Pugh’s have been common since the launch of the Small Business Rescue Program. But his experience was only part of the problems that plagued the PPP in the first round when the program ran out of money and also the faltering start of the second round. Here is a list:

Some not-so-small businesses, like Shake Shack, have obtained loans

The PPP was created to allow any business with less than 500 employees to obtain loans. But several large companies that operate with fewer employees in separate locations, under a franchise model, have also applied for and received loans. Shake Shack, for example, employs nearly 8,000 people at its 189 US restaurants, but only about 45 at each site.

So the chain applied for and got a $ 10million loan from the SBA, causing public outcry, especially after building up evidence that many small restaurants in need of the cash were unable to obtain. loans. Shake Shack quickly returned the money. The company, which has $ 104 million in cash and cash flow, said he obtained other loans to cover the money allegedly coming from the SBA.

Likewise, the chain of steakhouses Ruth’s Chris Steak House, which has approximately 5,700 employees, received a total of $ 20 million and also returned it.

The LA Lakers also got a loan

Then there were other organizations that are not quite what most people would call a small business. As the Los Angeles Lakers basketball team, the eighth most valuable sports team in the world, valued at an estimated $ 3.7 billion, according to Forbes.

But the Lakers applied and received a $ 4.6 million small business loan. Once again, after media coverage, the Lakers decided to return it.

“Once we found out that the program funds had run out, we repaid the loan so that financial support was directed to those who need it most,” the team said in a statement.

Shortly after public outrage over well-known large corporations escalated, the SBA announced it would take a closer look at PPP loan applications over $ 2 million.

Banks raised $ 10 billion, just in fees

Another big beneficiary of the small business loan program: the banks.

Even though tens of thousands of small businesses were excluded from the program, banks have incurred more than $ 10 billion in fees, according to an NPR analysis of financial records.

SBA guaranteed loans carry very little risk and banks were happy to hand out larger loan amounts, resulting in higher fees.

Much of the money was spent on successful businesses, not struggling

Big business, as we now know, got loans. Now, it looks like businesses haven’t had to struggle to get a loan either.

Chembio diagnosis, a Long Island, NY-based company that manufactures infectious disease tests, has secured nearly $ 3 million from the program.

It was exactly the kind of cash injection the business needed to grow. “In order for us to be able to increase our manufacturing capabilities, we thought having this additional amount or loan would be very helpful,” said Gail Page, Chembio board member and former interim CEO.

The problem is, the program was not designed to help businesses grow. It was meant to save small businesses, nonprofits, and the self-employed who struggled to make their payroll or pay for benefits and utilities.

Some small businesses say loans have too many chains

Business owners lucky enough to get the financing said the money kept their businesses afloat. However, some owners also said The PPP rules do not allow them to use the money in the way they consider best.

Among their biggest complaints: 75% of the amount given back on loans must be spent on payroll. The rest can only be spent on a few categories: rent, mortgage interest, or utilities.

But with many businesses unable to reopen, owners are wondering how to spend so much on wages when they have little to no work for their employees.

“I understand in principle that this encourages us to get people back to work,” said Christian Piatt, co-owner of Brew Drinkery in Granbury, Texas. “But in practice, when you have a retail storefront that is not licensed by local authorities to operate as we did before, there should be some consideration to take that into account.”

Will the loans have to be repaid or will they be canceled?

To further complicate all of this, some businesses and finance professionals are unsure whether loans will need to be repaid or canceled. They were waiting for more details from the SBA on how forgiveness works.

“In some ways they really put these small businesses in a very compromising position because they could end up in a situation where they would spend money to get people back on the payroll which ultimately will not be forgiven. the end, ”said Don Stevens, managing partner of private client services at the accounting firm CohnReznick.

It is important that businesses understand all of this quickly. Forgiveness calculations will be based on how businesses spend their money within eight weeks of receiving it. The program opened on April 3, so there are about four weeks left before the first companies have to report their expenses to the SBA.

And just when you think things couldn’t be worse the site has crashed the first day of the reopening of the second round of financing, April 27.

Copyright 2021 NPR. To learn more, visit https://www.npr.org.

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What is a combined loan-to-value ratio?


The combined loan-to-value ratio (CLTV) is a calculation used by mortgage and loan professionals to determine the total percentage of a homeowner’s property that is encumbered with liens. The CLTV ratio is determined by adding the balances of all outstanding loans and dividing by the current market value of the property. For example, a property with a first mortgage balance of $ 300,000, a second mortgage balance of $ 100,000 and a value of $ 500,000 has a CLTV ratio of 80%.

Lenders use the CLTV ratio along with a handful of other calculations, such as the debt to income ratio and the standard loan-to-value ratio (LTV), to assess the risk of granting a loan to a borrower. The CLTV ratio differs from the standard LTV ratio because the latter only compares the balance of a loan to the value of the property. In the example above, the property has an LTV ratio of 60%, which is obtained by dividing only the balance of the first mortgage by the value of the property.

Many economists attribute the relaxation of CLTV standards to the seizure crisis that plagued the United States in the late 2000s, among other factors. Beginning in the 1990s and especially in the early and mid-2000s, homebuyers frequently took out a second mortgage at the time of purchase instead of making down payments. Lenders, keen not to lose these clients’ businesses to competitors, have agreed to such terms despite the increased risk.

Before the real estate bubble that spread from the late 1990s to the mid-2000s, it was common practice for homebuyers to make down payments totaling at least 20% of the purchase price. Most lenders have kept clients within these parameters by capping the LTV at 80%. When the bubble started to heat up, many of those same companies took steps to allow customers to bypass the 20% bet. Some lenders have raised LTV caps or removed them altogether, offering mortgages with down payments of 5% or less, while others have kept LTV requirements in place but raised CLTV caps, often to 100. %. This maneuver allowed clients to take out second mortgages to finance their 20% down payment.

The foreclosure peak from 2008 underscored why CLTV is important. Having the skin in the game, such as an initial down payment of $ 100,000 for a $ 500,000 home, provides the homeowner with a powerful incentive to maintain their mortgage payments. If the bank forecloses, he loses not only his house but also the pile of money he paid to close. Requiring equity in the property also insulates lenders from falling property prices. If a property is valued at $ 500,000 and the total of the liens amount to $ 400,000, the property can lose up to 20% of its value without any lien holder receiving a short payment upon termination. a foreclosure auction.

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Loan funds attract new money as interest rates rise


State Street Corp Updates

Investors have invested more money in bank loan funds over the past week than at any time in more than a year as rising interest rates have increased the attractiveness of fixed income assets. variable compared to traditional bonds.

Loan funds posted net inflows of $ 925 million in the week to Wednesday, the largest in 55 weeks, according to EPFR Global.

The flows came the same week the benchmark 10-year Treasury yield hit a seven-year high above 3%, and after short-term rates rose sharply this year, in line with rate hike expectations. from the Federal Reserve.

Loans generally pay a variable rate, which increases with the underlying rates. In contrast, rising rates erode the value of fixed-rate securities.

Funds that invest in high yield bonds, which pay a fixed rate, suffered outflows of $ 1.3 billion last week, the EPFR said.

“We’ve certainly seen a lot of interest,” said Matthew Bartolini, head of SPDR Americas research at State Street Global Advisors, citing “the rising rate environment, particularly on the short end of the curve where the [Federal Reserve] has a lot of influence ”.

The US central bank has been raising short-term rates since December 2015, but the pace has picked up over the past year and a half, pushing short-term rates higher. The US three-month Libor rose to 2.33% from 1.45% at the same date last year. Interest on bank loans is usually tied to Libor.

Bank loans tend to take priority over other forms of borrowing, which puts them at the top of the pecking order for payments in the event of a business failure. But these investments are not without risk, especially in times of high demand.

“We have been optimistic, but we are starting to get more cautious,” said Max Gokhman, head of asset allocation at Pacific Life Fund Advisors. “There were a lot of new issues in the first quarter. The problem when borrowers take on more variable rate debt as a percentage of their total liabilities is that it accelerates their inability to pay that variable rate coupon.

The value of the US leveraged loan market broke the $ 1 billion mark for the first time in recent weeks, raising concerns in some quarters. Lending standards can deteriorate when demand is strong, and so-called light covenants, which offer less protection to investors, accounted for 80% of the total issued in April, according to S&P Global.

Elsewhere in EPFR data, which covers the week ended Wednesday, funds investing in Chinese stocks have attracted $ 545 million in new cash, eight straight weeks of net inflows. This is the longest streak since the first quarter of 2013.

Funds that buy stocks in the Greater China region, which includes Hong Kong and Taiwan as well as the mainland, have attracted more than $ 300 million, the most since June 2015.

Investors said enthusiasm for the Chinese economy and the inclusion of domestic Chinese equities, known as A-shares, in the MSCI Emerging Markets benchmark next month outweighed concerns about trade tensions with the United States.

US equity funds also had a good week, with net inflows of $ 8.8 billion, a nine-week high, while emerging market bond funds remained under pressure. Net repurchases of the latter amounted to $ 1.27 billion.

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Who benefits from the student loan forgiveness? It is complicated


The Department of Education (DOE) has given the more than 40 million Americans who have direct federal loans and PLUS loans an extra month of respite. The forbearance extension, the pause in the accumulation of interest and the suspension of collection activities will run until January 31, 2021.

Jill schlesinger

The decision should help borrowers prepare for the future. Although President-elect Joe Biden has not pledged to take any specific action on student loans, he is expected to continue to freeze payments and interest before considering his campaign politics education loan goals, which included : assistance for undergraduate borrowers earning $ 25,000 or less; automatic enrollment in the income-based repayment program, with the option to opt out if borrowers so wish; and changes to the taxation of debt forgiveness. The Biden plan also envisioned canceling up to $ 10,000 in debt for students working in national or community service.

The idea of ​​a wider student loan forgiveness always sounds like a great concept, but is it? The recent Federal Reserve Survey of Consumer Finances (FCS) noted that the nearly $ 1.6 trillion in student debt continued to be the largest source, in terms of dollars, of non-mortgage debt owed by American families. This fact might lead you to think: let’s get rid of it. But critics argue it would favor the wealthier people. The Fed’s investigation highlighted the problem, which became a flashpoint in the conversation: “Student debt has historically been disproportionately held by high-income families, which can likely support their families. loan repayments. Indeed, in each survey, more than half of outstanding student debt belonged to the top 40% of the income distribution, and the bottom quintile never held more than 14% of debt.

Researchers Sylvain Catherine, from the Wharton School of Business at the University of Pennsylvania, and Constantine Yannelis, from the Booth School of Business at the University of Chicago attempted to address the problem in a recent working paper. They found that “forgiveness would benefit the top decile just as much as it did the bottom three deciles combined” and “blacks and Hispanics would also benefit much less than the sales suggest.” And of course, canceling student debt wouldn’t benefit millions of Americans who didn’t go to college at all.

Hal Singer and Shaoul Sussman refute the argument that student debt cancellation is regressive in the American Prospect, saying it would “further reduce the student debt burden for low-income indebted households. In other words, low-income households would get the greatest relief in relation to their income. “

A closer look at the numbers strengthens the case for capping student loan forgiveness at a lower level. The Brookings Institution has found that “a very small fraction of all student loan borrowers have very large loans. Six percent of borrowers have more than $ 100,000 in debt, ”which represents about one-third of outstanding debt. “At the other extreme, 18% of borrowers have less than $ 5,000 in student debt. They collectively owe 1% of the outstanding debt.

While borrowers are likely to be relieved, is forgiveness the best way to stimulate economic activity? Jason Furman, former chief economist to President Obama, is not so sure. He tweeted: “I see very little overall help in this.” The singer and Sussman don’t buy it. They cite research from the Federal Reserve Bank of New York that shows student borrowers refrain from buying homes or cars because of their debt load. Without the debt anvil hanging over them, they might be able to participate more fully in the economy.

Where is this taking us? There are no simple answers, but I hope the post-COVID country is focusing its energy on how to fix the failing higher education system, root and branch, not just the associated loan programs. to diplomas.

Jill Schlesinger, CFP, is a CBS News business analyst. A former options trader and CIO of an investment advisory firm, she accepts comments and questions at [email protected] Check out his website at www.jillonmoney.com.

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US Small Businesses To Get More Money With Pandemic Loan Program Reopened By Reuters


© Reuters. FILE PHOTO: Chinese restaurant and barber shop in Harlem closed,

By Michelle Price and Pete Schroeder

WASHINGTON (Reuters) – The U.S. government was scheduled to reopen its pandemic small business assistance program on Monday with $ 284 billion in new funding and overhauled rules that aim to provide cash to businesses most in need while eliminating fraud and abuse.

The Small Business Administration (SBA) announced Friday that it will launch a third round of the Paycheck Protection Program (PPP) this week, starting with small community financial institutions on Monday and larger lenders in the coming days.

By prioritizing small lenders, the SBA hopes to respond to criticism from lawmakers that minority and female-owned businesses did not get enough money in the first two PPP rounds last year by compared to large companies.

Administration officials told reporters on Friday they expected sufficient funds to meet demand.

Under the program, lenders on behalf of the government distribute loans that can be canceled provided the money is spent on eligible costs, such as payroll and rent. To date, the PPP has distributed $ 525 billion through more than 5 million loans.

Congress authorized the new funds last month as part of another pandemic stimulus package that also relaxed P3 rules on who can get money and what it can be spent on.

Among the main changes, companies that took cash in the first two rounds will be granted a second PPP loan on the condition that they can show a 25% impact on their revenue. To address concerns about fraud, the SBA is also introducing new due diligence checks.

For details on program changes, see FACTBOX [L1N2JJ2XB].

While lenders say the changes are positive, some fear they may cause initial problems, especially since the updated application forms and SBA guidelines were not released until Friday.

“It’s great but it’s really complicated,” said Dan O’Malley, CEO of Numerated, which provides PPP loan processing software.

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Restaurant industry calls for changes to small business loan program


The restaurant industry is calling on Congress to make changes to the Paycheck Protection Program (PPP), as well as provide additional funding to help struggling businesses during the coronavirus pandemic.

The National Restaurant Association wrote to congressional leaders on Thursday asking for revised loan restrictions so restaurants can spend 50% or more of loans on non-salary expenses, up from the currently prescribed 25%.

The group also called for a flexible schedule for using the loans, including extending the eight-week period to use the loan and allowing restaurants to have at least 90 days from their full reopening to rehire employees.

“A growing number of restaurateurs are concluding that the PPP is not going to prevent them from permanently shutting down operations in local communities,” wrote Sean Kennedy, executive vice president of public affairs for the group.

The Senate and the administration are negotiate a deal provide an additional $ 250 billion to the $ 349 billion program that the Department of the Treasury and the Small Business Administration (SBA) deployed applications for the last week.

The letter also calls on businesses applying for loan forgiveness to be allowed to defer payroll taxes due this year over the next two years, loan forgiveness exemptions for restaurants that cannot retain employees, insurance that nonprofits can get loans, deferred tax payments, better access to disaster loans, and improvements to the employee retention tax credit.

“The severity of this pandemic has made it clear that restaurants will remain closed – or severely reduced in service – much longer than originally planned. Once “normal” operations resume, virtually every restaurant in this country, from the favorite restaurant to the local icon, will be a virtual startup in desperate need of money, ”Kennedy wrote.

Kenny called the impact on the industry “devastating” and said that in the first three weeks of the shutdown 3 million jobs were lost and 15% of American restaurants have closed permanently or are likely to shut down. do so over the next two weeks. The group predicts that revenue losses in March and April will be around $ 100 billion.

“The principle of PPP is an important first step for restaurants surviving this crisis, but there are warning signs that it is not providing the relief our industry desperately needs,” Kennedy wrote. “The PPP is funded at $ 349 billion, and we expect lenders to hit that cap shortly.”

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Premier League clubs wait behind the scenes as Fiorentina look to capitalize on Alban Lafont this summer


Alban Lafont is seen as Hugo Lloris’ natural successor for France after breaking through as a teenager … a slew of Premier League clubs wait behind the scenes with Fiorentina ready to capitalize on one of the best prospects goalkeeper from Europe

  • Frenchman Alban Lafont is seen as Tottenham’s Hugo Lloris’ natural successor
  • The 22-year-old is quickly building a reputation for being an excellent marksman
  • Loaned to Nantes, Lafont is considered one of the most promising goalkeepers
  • Fiorentina will look to cash in on Lafont this summer as they seek to raise funds
  • Many Premier League clubs keep an eye on the French U21 international

Alban Lafont is already hailed as Tottenham’s Hugo Lloris’ natural successor, but news of his emergence is spreading beyond France.

The athletic goalkeeper was named Monday in the strong France team for the European Under-21 Championships.

He will start as his nation’s No.1 ahead of Leeds United’s Illan Meslier in the group stage kickoff next week and will be closely watched by scouts from across the continent, including the Premier League. Lafont, loaned to Nantes by the Italian team of Fiorentina, quickly created a reputation for being an excellent marksman.

Nantes lender Alban Lafont is spotted by the biggest European clubs for a summer move

This was further underscored by his exceptional performance last weekend when Nantes claimed a surprise 2-1 victory over Paris Saint-Germain.

Lafont continually thwarted Mauricio Pochettino’s side with a series of saves frustrating Kylian Mbappe, Angel di Maria et al.

And his form has led parent club Fiorentina to consider cashing in this summer as they seek to raise funds after the pandemic. Nantes also has an option to buy it for just £ 6million.

The 22-year-old is seen as the natural successor to Tottenham's Hugo Lloris (above) for France

The 22-year-old is seen as the natural successor to Tottenham’s Hugo Lloris (above) for France

Lafont helped Nantes to a surprise 2-1 win over PSG last weekend

Lafont helped Nantes to a surprise 2-1 win over PSG last weekend

Lafont made headlines in 2015 in Toulouse when he became the youngest goalkeeper in history to play in Ligue 1 at just 16 years and 310 days old and helped the club avoid relegation with eight clean sheets in 24 games.

He went on to make 106 appearances for Toulouse and sparked interest from Arsenal before being sold to Fiorentina at the age of 19 for £ 6million in 2018.

Although he had a few good times at first, the young goalkeeper wanted to leave Fiorentina and the decision was made to loan him to Nantes for two seasons.

There he reaffirmed his status as one of Europe’s top goalkeeper prospects and alerted clubs from England, Germany, Spain and Italy.

Fiorentina will look to take advantage of the athletic goalkeeper this summer to raise funds

Fiorentina will look to take advantage of the athletic goalkeeper this summer to raise funds

Standing at just over 6-4, Lafont started out as an attacking midfielder, which may explain his passer-by skills, but, having embarked on a career in goal, he followed the styles of the he former Manchester United goalkeeper Edwin van der Sar and Manuel of Bayern Munich Neuer is arguably more mobile.

He will take his place in Nantes’ goals on Sunday in what could prove to be decisive for relegation against Lorient before starting for France U21 against Denmark next Thursday.


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US Treasury and Fed Work on Main Street, Municipal Lending Facilities: Mnuchin


WASHINGTON (Reuters) – US Treasury Secretary Steven Mnuchin said on Tuesday that more than 3,000 lenders were participating in a new $ 349 billion coronavirus small business loan program, and that the Federal Reserve and the Treasury were trying to set up facilities to support “Main Street” and municipal borrowers.

FILE PHOTO: Treasury Secretary Steven Mnuchin discusses details of economic relief during the daily coronavirus response briefing as Small Business Administrator (SBA) Jovita Carranza listens at the White House in Washington, US, April 2, 2020. REUTERS / Tom Brenner

“If you can’t get the loan today or tomorrow, don’t worry there will be money,” Mnuchin told Fox Business Network, referring to small business loans. “If we run out of money, we’ll come back and get more.

“There is tremendous demand,” he said. “This is the third day that this program is operational.”

Mnuchin said the initial difficulties in launching the small business lending program were due to banks being “overwhelmed” with demand for loans.

Mnuchin said the small business loans could be considered grants and aimed to support about half of the U.S. workforce for about eight weeks during coronavirus shutdowns and quarantines.

The Treasury and the Fed are hoping the Main Street lending facilities will be “up and running quickly,” he said. This program will tap a $ 454 billion pool of treasury capital to support Fed loans to small and medium businesses with up to 10,000 employees.

The same pool of capital will also support a Fed facility to support municipal bond markets which have largely seized up, preventing cities, states, counties, school districts and hospital groups from raising funds with new bond issues. ‘obligations.

The Treasury will pursue $ 46 billion in direct loans to airlines and national security-related companies under the $ 2.2 trillion coronavirus rescue bill passed in late March.

Discussions on the next phase of the coronavirus economic stimulus have started, but Mnuchin said his top priority was to quickly deploy existing funds to the economy.

“We have $ 6 trillion to invest in the economy, we are meeting with all the airline advisers this week, we are working on it very quickly,” Mnuchin told Fox Business. “So I can assure you that the president has asked us to quickly inject this money into the economy.”

Reporting by David Lawder and Doina Chiacu; Editing by Chizu Nomiyama and Jonathan Oatis

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Advantages and disadvantages of obtaining a personal loan


Personal loans in the USA are provided by various creditors – banks, MFIs, microcredit companies, etc. Nowadays, they have made the credit granting process as easy as possible, which makes the idea of ​​getting personal credit very appealing. However, before asking for money, it is worth weighing up the pros and cons of this decision.

Advantages and disadvantages of personal loans

In general, the advantages of obtaining loans are as follows:

  1. Fast processing – approximately 5 to 60 minutes is spent on obtaining a cash loan. If you are applying for a loan online, this process is even faster. Access to the service is available 24 hours a day.

  2. The high percentage of approvals – zaplo and many other companies have reduced their demands on borrowers. Today, creditors even lend to individuals with outstanding loans or a damaged reputation. As a result, the probability of obtaining credits is close to 95%.

  3. Minimum package of documents – if personal credit is low, you will only need the basic documents to provide.

Of course, getting consumer loans has some drawbacks:

Every financial product has additional fees, interest rates that increase the real cost of credit. These funds cover the salaries of equipment, rent for premises and problem loans. Knowing the amount of fees charged and how the payments are made, one can choose a beneficial consumer loan without a large overpayment. That is why you should trust not the advertisement but your own attention.

Terms and conditions

The obligations of the parties, including the timing and terms of payment, are prescribed in the agreement. For short-term loans, the debt is paid in one or more transfers before maturity. Long term loans are usually paid monthly. To repay the funds, the creditor company draws up a schedule in which the amounts of the payments and the dates of their closing are indicated. For the convenience of customers, there are several ways to repay loans:

  • through online banking;

  • by card on the official website of the creditor;

  • in cash at the creditor’s company cash register;

  • in cash via payment terminals.

The first three methods are executed instantly. The last one can take up to three working days.

With early repayment of loans, most financial institutions recalculate. However, some organizations charge a fee for prepayment. This condition must be provided for in the contract.

Finally, before you borrow money, you should assess your creditworthiness by comparing income to expenses. Payments on the loan should not affect your comfort. An acceptable amount of debt is one that can be repaid without limiting usual purchases. If the money left over from paying utility bills, buying food, and the most essentials isn’t enough for a monthly payment, forget about the loan.

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