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Posts Tagged ‘Credit’

Credit cards and generated mixed feelings in some people.
Some plastic cardholders consider this very useful in their daily lives, while others it just by listening to them goose bumps.

Where is the difference? In the form of use. The most important thing is to have responsibility for credit and only buy what you can pay your court date, thereby avoiding interest charges.
It involves generating a debt settlement penalty interest and collection costs, not to deal with the stress of not meeting financial commitments and earn “taches” in the credit bureau.

Therefore, I will discuss some recommendations for the use of commercial credit cards, ie those issued by shops and only allow the purchase in the same establishments, which also apply to plastic bank.
Recommendations: Read the rest of this entry »

The quality of the portfolio of bank loans to corporate sector faced a swing in 2010 that led her to reach their highest default rate since September 2008 when he originated the global financial and economic crisis.

According to figures from the National Banking and Securities Commission (CNBV), last November the expired business credit portfolio reported a growth of 4.29 percent or 760 million pesos from the previous month.

This increase caused the Delinquency Rate (IMORA) of the loan portfolio to rise from 1.82 to 1.88 percent, which added his second consecutive month the rise, after the August to September this indicator down from 2.00 to 1.81 percent. But it was in July past when delinquencies in this portfolio reached its highest level since the start of the recent crisis, which caused many corporate losses recorded at up to 2.16 percent. In fact, from September to December 2008, the business portfolio Imora increased from 1.09 to 1.72 percent, down in December to 1.39 percent, however, in January 2009 rose to 1.61 percent and 1.70 percent in February, then declined in March to 1.65 percent. However, April to September this indicator reported upward trend, going from 1.85 to 2.13 percent, to then decrease from October to December of 2.09 to 1.89 percent. In January last year the business Imora rose again to 1.95 percent in February and low of 1.93 recorded in March and 1.87 percent respectively, while in April and May increased to 2.07 and 2.13 percent in June and then shrink to 1.95 percent. In July rose to 2.16 percent after declining to 2.00 per percent and then in September to 1.81 percent.

During this period of comparison, the coverage ratio of nonperforming loans with Preventive Estimates (Ichor) is located in a range close to 200 percent, as well as representing a low percentage in the portfolio total in this segment. The President of the CNBV, Guillermo Babatz Torres, announced the development of a new scheme that allows loss reserves in the corporate loan portfolio, it is expected to be ready this year. From October to November Last year, the total balance of this portfolio increased from 972 000 839,600,000 to 981,000 676.0 million pesos. The CNBV reported that the information available for analysis, HSBC was the bank with the most amount of credit granted in the corporate segment in October 2010 with 13 thousand 517 million pesos, and the greatest number of loans granted to 31 000 285. HSBC presented an average credit of 432 thousand pesos, the lowest in the banking system, with an average interest rate of 9.22 percent. Banorte bank was the second largest grant in the period, reporting a given amount of 11 thousand 736 million pesos, associated to two thousand 784 credits, with an average credit of 4.2 billion pesos and an average rate of 8.57 percent. He explained that among the main providers of business credit, Banamex stood out with the average interest rate lower than the market, 7.52 percent. He said that in the distribution of corporate credit portfolio by economic activity at the end October trade sector classification remains the greatest concentration of credit granted by banks, with 23 percent of the total analyzed.

Citizens may rescind consumer credit without penalty or obligation to provide evidence, as prescribed by the draft Law Consumer Credit Contracts, approved today by the Council of Ministers.

The justice minister, Francisco Caamaño, told the press conference after the Council of Ministers that the consumer has the “right to withdraw from a contract without penalty or justification, and only referred to arbitration of consumption.”

The new law also regulates the early repayment of credit to the customer, indicating the amount of compensation to the lender for its potential costs and the possibility of consumer to arbitrate disputes relating to these contracts.

This Act, which repeals the previous March 23, 1995, incorporates EU Directive of 23 April 2008 and is on track to achieve full harmonization of the laws, regulations and administrative provisions of Member States concerning consumer credit. Read the rest of this entry »

When they hear the word ” business “, many people think only about business and relationships between men own economic empires, or at least heads of small factories. The truth is that relations at the enterprise level as such, they may result from small distributors of products or people who even without a business have something to sell and someone willing to pay for it. Understood this part, you could start talking about a form, a service, a tool within the business world, as want to call, which always occurs between two organizations or individuals involved, ie it is a bipartisan operation ( shared) called corporate credit .

The operations or transactions made ??within a business credit should be obligatory agreement between the parties, making it one of the actions within the world of finance more complementary, meaning mutual support and complementary constant which characterizes this type of relationship.

The business loans , if necessary to divide them into types, this classification depends only on what kind of business transaction or financial representation belonging both parties intermingled, or differences in effect may exist between them. So a kind of corporate credit can be given between two companies with executive, managers and employees who choose to have a cooperative relationship and that can provide a representative amount of money or cost sharing maintenance of the two companies in order to strengthen each one of the firms without any detriment. This form of business credit is the oldest and most used: well be considered as a standard business credit. From this follows the other divisions of business loans will be below. Read the rest of this entry »