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HDFC Bank, India's largest bank in market value, has sold a housing loan portfolio worth $717 million to reduce its credit load due to regulatory pressures. The portfolio was sold to several state-controlled banks through private deals. The bank also sold a pool of car loans worth $1.2 billion through a fixed income product called pass-through certificates. These sales are part of HDFC Bank's efforts to shrink its retail loan portfolio and improve its credit-deposit ratios. The buyers of the pass-through certificates included ICICI Prudential AMC, Nippon Life India Asset Management Ltd., SBI Funds Management Pvt., and Kotak Mahindra Asset Management Co. The bank's credit-deposit ratio has worsened in recent years as credit growth outpaced deposits. [Extracted from the article]

Vice President Kamala Harris' campaign criticized Donald Trump for his comments on the Federal Reserve's rate cut, accusing him of prioritizing his own political interests over the well-being of American families. Trump had called the rate cut a "political move" and suggested that the central bank should be under executive branch control. The Harris campaign's response came ahead of a speech by Trump in North Carolina, where he was expected to address economic issues. Harris' senior policy adviser argued that Trump's policies could lead to economic disaster, citing potential inflationary effects of higher tariffs and tax cuts for the wealthy. [Extracted from the article]

Close Brothers Group Plc has agreed to sell its wealth unit to Oaktree Capital Management for up to £200 million ($265 million) in order to strengthen its balance sheet amid a regulatory review of its motor finance practices. The deal is expected to be completed in early 2025 after receiving regulatory approvals. Close Brothers is among lenders awaiting the outcome of an investigation by the Financial Conduct Authority into allegations of unfair pricing of car loans. The sale is expected to increase the group's common equity tier 1 capital ratio by approximately 100 basis points. [Extracted from the article]

Thailand's new prime minister, Paetongtarn Shinawatra, has outlined her government's top 10 priorities, including addressing household debt, modernizing the farm sector, and providing economic stimulus for the poor. However, economists have criticized the lack of specific details and time-bound outcomes in her plan. The public and financial markets are eagerly awaiting more information from ministers regarding implementation timelines. Political stability is seen as crucial for the government to follow through with its pledges, as Paetongtarn faces legal petitions seeking her ouster. The immediate priority is to sustain the post-pandemic economic recovery, which has lagged behind neighboring countries. The government is set to announce a cash handout to economically vulnerable individuals, although it is smaller in scale compared to previous pledges. Some economists express concern about the focus on cash handouts and debt moratoriums, suggesting a need for measures that improve the business climate and create long-term growth. Paetongtarn's administration will need to reassure foreign investors, avoid clashes with the central bank, and drive policies to sustain economic recovery. [Extracted from the article]

Thailand's new prime minister, Paetongtarn Shinawatra, has outlined a roadmap to address pressing issues such as household debt, slow economic growth, and an aging population. However, economists are concerned that the plan lacks specific details and time-bound outcomes. The government has yet to provide implementation timelines and finer details, leaving the public and financial markets eagerly awaiting more information. Political stability is seen as crucial for the government to follow through with its pledges, as the new prime minister faces legal petitions seeking her ouster. The immediate priority is to sustain a post-pandemic economic recovery, which has been slower compared to neighboring countries. The government plans to announce a cash handout to economically vulnerable individuals, but some economists argue that a focus on reforms and job creation would have longer-lasting effects. [Extracted from the article]

FirstRand Ltd., Africa's largest bank, experienced its slowest profit growth in four years due to increased provisions related to an ongoing investigation at its UK vehicle-finance unit. Net income rose 4% to 38 billion rand ($2.1 billion) in the 12 months through June, compared to 36.6 billion rand the previous year. The bank set aside 3.3 billion rand in response to a UK probe into its vehicle-financing practices. FirstRand's shares have risen 16.5% this year, but have underperformed the FTSE/JSE Banks Index. Mary Vilakazi recently became the CEO, replacing Alan Pullinger. [Extracted from the article]

Ally Financial Inc. saw a decline in its stock price after its Chief Financial Officer, Russ Hutchinson, expressed concerns about the deteriorating credit quality of its borrowers and the possibility of underperformance. Hutchinson stated that borrowers have been showing signs of vulnerability throughout the year, and recent job data in the US has further highlighted these stresses. The main source of pain for the company is its retail auto loan book. As a result, Ally may need to increase reserves to cover bad loans. The firm is known for auto lending but also offers other financial services. [Extracted from the article]

US consumer borrowing in July increased by $25.5 billion, the largest increase since November 2022. This growth was driven by an increase in non-revolving debt, such as loans for vehicles and education, as well as credit card balances. The rise in borrowing contributed to a significant increase in retail sales, particularly in the automotive sector. However, there is a concern that carrying larger credit card balances and high-interest loans could pose a risk to consumer spending. While the Federal Reserve is expected to reduce their benchmark rate, it may take time for this to translate into lower financing costs for consumers. A recent report from the New York Fed also highlighted an increase in delinquency rates for auto and credit card loans. [Extracted from the article]

Lloyds Banking Group's Chief Financial Officer, William Chalmers, has called for a swift resolution to the UK regulators' investigation into car loans, following complaints of unfair practices. The Financial Conduct Authority (FCA) has extended the probe due to delays in receiving data and legal challenges, with the next steps of the review now expected to be outlined in May 2025. Chalmers expressed concerns about the uncertainty caused by the postponement and its impact on investors. Lloyds has already set aside £450 million ($589 million) to cover potential compensation and other costs related to the investigation. [Extracted from the article]

Thailand's electric vehicle (EV) sales are expected to fall short of targets this year due to cautious lending practices by banks and high levels of household debt. The Electric Vehicle Association of Thailand predicts that only 80,000 EVs will be registered this year, compared to the earlier forecast of 150,000 units. This decrease in sales is concerning for Chinese automakers like BYD and Great Wall Motor, who have invested in local production to take advantage of government incentives. The slowdown in EV sales is attributed to economic issues and tightening lending rules, rather than a decline in demand. [Extracted from the article]

Thailand's electric vehicle (EV) sales are expected to fall short of their target this year due to cautious lending practices by banks and high levels of household debt. The Electric Vehicle Association of Thailand predicts that only 80,000 EVs will be registered this year, compared to the earlier forecast of 150,000 units. This reduction in sales is concerning for Chinese automakers like BYD and Great Wall Motor, who have invested in local production to take advantage of government incentives. The slowdown in EV sales is attributed to economic issues and difficulties in obtaining loans, rather than a decline in demand. [Extracted from the article]

An introduction is presented to a series of articles on sports betting, with topics including impact of gambling on sports media, state spending of tax revenue from bets, effect of gambling on the lives of football players, and corporate protection of leagues, players, fans and athletes from cheating.

Complaints from bank customers in the UK regarding financial products increased by 70% in the last quarter compared to the previous year, with credit cards and car loans being the main sources of disputes, according to the Financial Ombudsman Service. The rise in complaints is concerning, especially given the cost-of-living crisis, said Abby Thomas, the chief executive and chief ombudsman of the FOS. The Financial Conduct Authority has warned motor finance firms to prepare for additional costs as it reviews car finance products, and the FCA and Payment Systems Regulator are also investigating the sale of insurance products and rising fraud claims, respectively. The ombudsman encourages consumers to bring their complaints directly to the FOS, as using professional representatives does not necessarily lead to a more favorable outcome. The FOS is considering implementing a case fee for professional representatives to help cover its costs. [Extracted from the article]

New Yorkers are facing a growing debt problem due to high inflation rates and stagnant incomes, according to a study by the Office of the New York City Comptroller and the Federal Reserve Bank of New York. Consumer debt in New York City is increasing faster than household earnings, and the cost of servicing that debt is becoming burdensome for residents. The inflation rate in the city has risen to 4.1%, the highest among major cities in the mainland US, while real wages have fallen to an eight-year low. The study also highlights concerns about the impending expiration of the pandemic student-debt amnesty, which may further strain households with student loans. [Extracted from the article]

The Consumer Financial Protection Bureau (CFPB) recently released a proposal to regulate earned wage access (EWA) as credit, a move that will negatively impact low-to-moderate income wage earners. EWA allows workers to access a portion of their paychecks when needed, providing a low-cost alternative to payday loans. However, the CFPB's new regulations will stifle competition, increase costs for workers, and potentially deny access to EWA for those who need it most. EWA providers and advocates have called for regulations specifically designed for EWA to protect consumers while promoting market competition and innovation. [Extracted from the article]

US consumers are increasingly worried about falling behind on their bills, with delinquency expectations reaching the highest level since the start of the pandemic, according to a survey by the Federal Reserve Bank of New York. The average likelihood of missing a minimum debt payment in the next three months rose to 13.3%, particularly among those earning less than $50,000 a year and those with a high school degree or less. Perceptions of credit access compared to a year ago also worsened, and expectations of household spending growth fell to the lowest level in over three years. The labor market is weakening, with hiring slowing in July and the unemployment rate rising unexpectedly to 4.3%, the highest level in nearly three years. A separate report by the New York Fed showed that the share of auto loan balances and credit card debt becoming newly delinquent were the highest in at least a decade. [Extracted from the article]

Electric vehicles (EVs) and plug-in hybrids accounted for over 50% of all vehicle sales in China in July, a significant milestone for the country's auto market. Despite a 2% drop in overall car sales, sales of EVs and plug-in hybrids reached 879,000 units, making up 50.8% of total sales. This achievement highlights the strong momentum of the EV industry in China, even as global demand slows. The decline in July's car sales was attributed to automakers idling production for their annual summer break and a reduction in discounts after an industry price war. The Chinese government has implemented measures to boost consumption, including increased subsidies for trading old cars for new ones and relaxed requirements for auto loans. [Extracted from the article]

According to the Federal Reserve Bank of New York's Quarterly Report on Household Debt and Credit, Americans are increasingly turning to home equity lines of credit (HELOCs) to tap into the rising equity of their homes while maintaining low mortgage rates. After a 13-year decline, HELOC balances have rebounded by 20% since the end of 2021. However, high borrowing costs have led to fewer mortgage originations in the second quarter. Overall consumer debt delinquency remains unchanged at 3.2%, but the delinquency rates for auto and credit card loans continue to rise. The drop in mortgage origination is part of a broader slowdown in the housing market, which became overheated during the pandemic. HELOC balances have been used by homeowners to pay down other debt or meet large expenses. Overall household debt increased by $109 billion in the second quarter, with mortgage debt increasing by $77 billion, credit card balances rising by $27 billion, and auto loan balances increasing by $10 billion. Despite the stabilization in overall delinquency, consumers are still struggling with their debt payments, with the delinquency rates for auto loans and credit card debt reaching their highest levels in years. [Extracted from the article]

Pagaya Technologies Ltd. has partnered with OneMain Holdings Inc. to expand its presence in the auto-lending industry. The partnership aims to use artificial intelligence to leverage more data in the loan-underwriting process, allowing OneMain to provide loans to more consumers, including those with less creditworthiness. Pagaya has similar partnerships with other lenders, and the Federal Reserve Bank of New York's data shows a high rejection rate for auto loan applications. OneMain's Chief Operating Officer expressed excitement about the partnership and the opportunity to broaden their enterprise partnership with Pagaya. [Extracted from the article]

Pagaya Technologies Ltd. has partnered with OneMain Holdings Inc. to expand its presence in the auto-lending industry. The partnership aims to use artificial intelligence to leverage more data in the loan-underwriting process, allowing OneMain to provide loans to more consumers, particularly those with less creditworthiness. Pagaya already has similar partnerships with other subprime auto lenders. The Federal Reserve Bank of New York's June survey data showed that the average probability of an auto loan application being rejected was over 29%. OneMain's Chief Operating Officer expressed excitement about the partnership and the opportunity to further access to auto loans for hardworking Americans. [Extracted from the article]

The UK's Financial Conduct Authority (FCA) has stated that it is more likely to intervene in motor finance practices, potentially leading to compensation for customers who were sold car loans by firms such as Lloyds Banking Group, Close Brothers Group, and Barclays. The FCA's probe has been delayed due to data delays and a legal challenge from Barclays, and the regulator now plans to outline the next steps of the review in May 2025. Lloyds has already set aside £450 million for possible compensation, while Close Brothers has suspended dividend payments for the 2024 financial year. Barclays has not made a provision, citing its low market share and lack of complaints. The FCA has received the necessary data for its assessment, but the timeline has been affected by the legal challenge. The FCA will also extend the pause on the eight-week deadline for motor finance firms to respond to complaints until December 2025. [Extracted from the article]

D.R. Horton Inc., a homebuilder, reported lower-than-expected quarterly orders due to high mortgage rates affecting the entry-level market. In the three months leading up to June, buyers signed contracts for 23,001 homes, which was a 1% increase from the previous year but fell short of analysts' estimates. D.R. Horton is particularly vulnerable to economic pressures as it caters to price-conscious customers. The company currently has 42,600 homes in inventory, with 26,200 of them unsold. Despite this, D.R. Horton shares remained relatively unchanged in early trading. [Extracted from the article]

Ally Financial Inc. has reported better-than-expected net charge-offs and loan loss provisions as it deals with high interest rates. Net charge-offs increased by over 9% to $435 million, below analysts' average estimate of $481.3 million. Loan loss provisions increased by 7% to $457 million, less than the expected $488.3 million. Despite a decrease in total US auto loan originations, Ally's CEO highlighted the strength of the firm's auto dealer financial-services franchise. Ally also executed its first credit risk transfer during the quarter and expects to do more in the future. The company did not comment on the recent cyberattacks on CDK Global. Ally's net interest margin exceeded expectations, and it revised its full-year outlook. However, it performed the worst among its peers in the Federal Reserve's stress tests. [Extracted from the article]

Ally Financial Inc., a consumer-focused lender, has reported stronger-than-expected debt management results. Net charge-offs increased by over 9% from the previous year to $435 million, which was below analysts' average estimate. Loan loss provisions also increased by 7% year-over-year to $457 million, lower than the expected amount. Despite a 6% decrease in total US auto loan originations, Ally's CEO highlighted the strength of the firm's auto dealer financial-services franchise. The company did not comment on the recent cyberattacks on CDK Global, which affected lending capabilities. Ally's net interest margin exceeded expectations, and the firm adjusted its full-year outlook accordingly. However, Ally performed the worst among its peers in the Federal Reserve's stress tests. [Extracted from the article]

China's property market downturn is impacting the issuance of ESG-labeled securitized debt in the Asia Pacific region. Data shows that there has been an 86% drop in the issuance of securities tied to climate or social objectives, with only $2.8 billion raised in the first half of the year. The cooling housing market in China has resulted in fewer loans available for green securitizations. Additionally, greater scrutiny of ESG labeling and the lack of regulation in Asia may also be contributing factors. Chinese developers and Korea Housing Finance Corp., major issuers in previous years, have been absent in 2024. However, China's EV producers have been supporting issuance in the region. [Extracted from the article]

Elliott Investment Management has accused Banco Santander of hindering its lawsuit against the bank by using an auto-deleting messaging platform, specifically in relation to a take-private deal. Elliott alleges that relevant evidence has been destroyed through the use of Signal messages by Santander Chair Ana Botin and Santander Consumer USA Holdings CEO Mahesh Aditya. The filing sheds light on the bank's discussions regarding the buyout and asks the Delaware judge to impose a higher burden of proof for contradictory testimony due to the alleged loss of evidence. The trial is scheduled to begin on September 16th. [Extracted from the article]

China's property market downturn is impacting the issuance of ESG-labeled securitized debt in the Asia Pacific region. Data shows that there has been an 86% drop in the amount raised in the first half of the year compared to the previous year. The cooling housing market in China has resulted in fewer loans available for green securitizations. Additionally, greater scrutiny of ESG labeling and the lack of regulation in Asia may also be contributing factors. Chinese developers have traditionally used this funding for energy-efficient buildings, but doubts have been raised about the climate-friendliness of these projects. [Extracted from the article]

Canada's financial regulator, the Office of the Superintendent of Financial Institutions (OSFI), has announced a one-year delay in implementing regulations that would require Canadian banks to calculate lending risks using a standardized model instead of internal methods. These changes are part of the global Basel III accords, which aim to limit financial contagion during crises. The delay will allow the regulator to consider the pace of implementation in other countries and give Canadian banks more time to comply. The original plan for implementation had the potential to reduce lending to households and firms by about 9% of nominal GDP, according to Bank of Nova Scotia Chief Economist Jean-Francois Perrault. The delay is seen as removing a potential economic headwind and providing relief to Canadian banks. [Extracted from the article]

US auto sales likely slowed in June due to high prices, steep borrowing costs, and a cyberattack that affected dealerships across the country. Analysts predict that vehicle sales will have decreased to an annualized rate of around 15.8 million vehicles, compared to 16.1 million the previous year. Affordability has become a challenge for car buyers, with the average annual percentage rate on new-car loans rising to 10%. The cyberattack on CDK Global disrupted dealers' operations but is not expected to cause significant sales losses. [Extracted from the article]

US auto sales are expected to slow down in June due to high prices, high borrowing costs, and cyberattacks on dealerships. Analysts predict that vehicle sales will decrease to an annualized rate of around 15.8 million vehicles, compared to 16.1 million the previous year. Affordability has been a major issue for consumers, with higher interest rates contributing to the hurdle. Automakers have started offering more discounts, but many consumers are waiting for prices to drop further. The recent cyberattack on software provider CDK Global also impacted sales, with some purchases being pushed into the third quarter. However, experts believe that sales will not be severely affected in the long term. [Extracted from the article]

Financial stress in the workplace has a significant impact on employee productivity, costing businesses billions of dollars each year. Employers are increasingly recognizing the importance of supporting employees' financial wellness to improve overall business health. Automated debt repayment and savings tools are essential for helping employees effectively manage their finances and reduce stress. Financial stress is on the rise, with inflation, economic uncertainty, and increasing household debt contributing to employees' financial challenges. This stress negatively affects productivity, with employees spending significant time thinking or dealing with financial issues at work. Employers have a responsibility to address these challenges and can do so by offering financial wellness programs that include automated debt repayment, automated savings, and financial health assessments. These programs not only support employees but also benefit businesses by improving productivity, reducing healthcare costs, and boosting job satisfaction and morale. [Extracted from the article]

If you have a loan that's about the same amount as the lump sum you receive, you might decide to pay off that loan rather than paying off the next loans in line under the method you choose to use. Paying off your student loans Getting into the specifics of paying off your loans, the two most popular methods people use are the debt snowball and the debt avalanche. You pay the minimum on everything but the loan with the highest interest rate and put every extra dollar toward the highest interest rate loan until it's paid off. [Extracted from the article]

Sites such as CarCostCanada (carcostcanada.com) and Unhaggle (unhaggle.com) allow you to see the dealer invoice price, or the price that the dealer has paid to the manufacturer for the new car. The dealer's advertised price should include all fees and charges they will collect, excluding HST and licensing. Once you see the dealer price for the specific version of the vehicle you want, you add in some mandatory fees, a sales tax and a reasonable profit margin, then tell the salesperson that's the most you'll pay. [Extracted from the article]

Outputs of 427kW and 750Nm boasted by the Turbo Cabriolet were out of reach for Bugatti 30 years ago, and even then, the French manufacturer had to deploy double the cylinders and turbochargers of the 992. PORSCHE 911 TURBO CABRIOLET: Lose the roof, lose the point? Shaping the power and torque curves in this way gives the Turbo an incredibly linear feel to its delivery and is achieved in part by the variable geometry turbine turbochargers. [Extracted from the article]

The article reflects on reasons due to which interest rates varied so much among borrowers with similar credit scores. It mentions that consumers spend no more than 10 percent of their income on car debt because paying more than you can afford poses serious financial risks, including default. It presents the views of John Van Alst, an attorney and expert on auto lending at the National Consumer Law Center, on the same.