7 Ways Consumers Can Protect Themselves from Rising Interest Rates

April 16, 2010 -- For the second time in two weeks Canadian banks are raising their fixed mortgage rates. “This

is a growing concern among many clients who come to the Credit Counselling Society for help,” states Scott Hannah, President & CEO. “Don’t wait until the rates rise beyond your ability to manage, take steps now to protect yourself,” says Hannah. Here are some suggestions to consider:

1. Avoid buy now, pain later plans Those who choose to buy now and pay later may have to pay higher interest rates or make larger payments when their repayments begin. If people choose to take advantage of deferred payment plans, they should make sure that they can afford higher payments later.

2. Pay down debt as quickly as possible With interest rates still near historic lows, the more debt someone can pay down now, the less impact higher interest rates will have on them later.

3. Spend less than you earn As interest rates rise, it will only get more expensive for many people to maintain their life styles. Consumers can protect themselves from rising interest rates by spending less than they make.

4. Houses aren’t a personal ATM Home owners who find that they can barely afford their mortgage payments right now will face real challenges as their payments and cost of living increase. Those who have relied on re-finances for extra cash during this time of low interest rates will likely renew their mortgages at higher interest rates later. Home owners should start planning now so that their lenders don’t have to make these tough decisions for them.

5. A house can earn its keep There are many things that home owners can do right now to generate a little extra income. Options may include renting a room to a student or offering an unused storage space for rent. If someone has an apartment with an extra parking spot, they could consider renting it to the guy who needs a spot to park his motorcycle.

6. Consider locking into a really long term mortgage For those who are concerned about their ability to manage payments if mortgage rates rise substantially, now is a great time to consider locking in their mortgage for the long term. Seek reliable advice as this may be a smart option.

7. Stop depending on a money tree

Bloomberg BusinessWeek Partners with ZoomProspector.com to Find Top 10 Cities for Startups

San Francisco, CA April 27, 2010 -- Bloomberg BusinessWeek partnered with ZoomProspector.com

(http://zoomprospector.com/) to identify the top 10 cities for starting a new business According to the article, “ZoomProspector.com, a business location Web site, says smaller cities have become the best places to start new companies.”

In its debuting magazine edition under the Bloomberg BusinessWeek title since Bloomberg’s acquisition to combine Bloomberg and Businessweek, the magazine outlined the unique selling points of each location for startups. According to the magazine, In order to come up with this list, “ZoomProspector.com weighed a total of 11 factors, including the number of startups, quality of the workforce, number of patents, universities, and venture capital to determine the best place to build the next Apple or Google.”

Businesses can leverage ZoomProspector.com’s patent-pending search technology to analyze tens of thousands of communities and available properties nationwide to find the best possible location to match their needs. Using GIS and sophisticated online mapping technology, ZoomProspector.com enables businesses to search by type of commercial real estate, including office, industrial, warehouse, retail, vacant land, call center and flexible space. Once they find a property, businesses are able to conduct in-depth analysis around that location.

Website visitors can also search demographics for every community in the USA, while economic development organizations around the nation have listed themselves on ZoomProspector.com with dedicated Community Connection Pages providing contact information and additional community details.

Coalition Launches New Campaign to Fight Loan Modification Scams

April 23, 2010 Washintgon, DC – The Loan Modification Scam Prevention Network, led by Fannie Mae, Freddie Mac

(NYSE:FRE), the Lawyers' Committee for Civil Rights Under Law and NeighborWorks America, today announced a national campaign to prevent loan modification scams through public education, complaint reporting and coordination with local, state, and federal enforcement agencies.

As part of the campaign, the Network launched a consumer-friendly Website, www.PreventLoanScams.org , which supports national, state and local law enforcement efforts. The Website serves as a nationwide clearinghouse and destination for loan modification scam information on complaints filed, laws and regulations, and enforcement actions.

The Website includes:

An electronic complaint form that can be filled out easily by an individual who has been scammed or by counselors or friends helping a victim of fraud;
Names of individuals and organizations who have been identified by enforcement agencies to have allegedly committed a loan modification scam;
Information on how to avoid a loan modification scam;
State-by-state information about rules, regulations and resources available to homeowners; and
News and information on enforcement efforts.
Homeowners who believe they may have been a victim of a loan modification scam, can also call the Homeowners Hope Hotline at 888-995-HOPE to log a complaint and to receive free foreclosure prevention counseling.

"We've joined forces with government agencies and other industry leaders to help fight loan scams across the country," said Jeff Hayward, Senior Vice President, Fannie Mae. "This effort links homeowners to free, legitimate counseling and helps to put scammers out of business. The goal of this campaign is to educate homeowners and empower those who have fallen victim to scammers to report and prevent future fraud."

"By working together we can help the public identify alleged loan modification scam artists, learn how these scams work, and give them a new way to fight mortgage fraud," said Senior Vice President Hollis McLoughlin, Freddie Mac. "The Network's new website form will enable citizens to report fraud artists to law enforcement agencies before other borrowers are swindled out of their homes."

Loan modification scams are schemes in which people take advantage of vulnerable homeowners. Scammers prey on homeowners in distress by guaranteeing to help the homeowner obtain a modification of their mortgage to save their home. Frequently, the borrowers pay money up front but receive no help at all and their home is lost to foreclosure.

"Receiving complaints about loan modification scammers throughout the country is crucial to supporting enforcement efforts," said Joseph Rich of the Lawyers' Committee for Civil Rights Under Law. "By encouraging homeowners to take action and report fraud to the Loan Modification Scam Prevention Network, we hope to help federal, state and local enforcement officials bring actions against scammers."

"We're pleased to be a part of this coalition, which complements and supports our ongoing efforts to educate consumers about the warning signs of loan fraud," said Marietta Rodriguez of NeighborWorks America. "We want homeowners to know they have a place to turn to if they think they are being scammed."

"It's a real shame to hear stories from consumers who are already financially struggling and who learn they have paid large amounts of money, unwittingly, to a loan modification scam organization," said Josh Fuhrman, Vice President for Programs of the Homeownership Preservation Foundation.