Why Next Debt Limit Fight Could Convulse the Market
The debt ceiling, or debt limit, is the maximum amount of money that the federal government can borrow to meet its existing legal obligations. In 1917, the debt ceiling was created by Congress via the Second Liberty Bond Act. Prior to the creation of the debt ceiling, there were parliamenta...
Student loan refinancinginvolves moving loan debt from multiple servicers to a single private lender. This can lead to a single, lower overall interest rate and monthly payment. While consolidation retains the benefits of federal loans, like access toincome-driven repayment (IDR) plansand forgiveness...
When filing separate returns, the head of the household could claim an EITC and a child tax credit. Note that one parent does so, the other parent qualifies for neither credit. This means that the head of the household could be awarded a refund, while the other parent would likely owe ta...
There’s a very real possibility the government will stop issuing Social Security payments after the debt limit is hit. Scary as that prospect is, however, the alternative might be even worse: A little-known provision of a 1996 law could be interpreted to allow the ...
Since, in a health insurance plan, the insurance provider does not pay for the entirety of your yearly medical costs, you have to pay a certain portion of these costs from your pocket. The deductible is one of these out-of-pocket payments. Before your insurance kicks in, you must first ...
Remember: your score depends largely on how much available credit you’re tapping into. Even if your spending habits don’t change, you may reduce the amount of your credit limit by shutting down a card. Plus, losing an old card from your credit history can make you look less experienced...
Effects on stop-loss orders: Stop-loss orders are designed to sell a security once it hits a specified price to limit potential losses. However, they do not guarantee that a trade will execute at that exact stop price. During a gap, if the price opens significantly lower than the stop-lo...
When the Federal Reserve implements monetary policy, it does so with the following objectives in mind: To promote maximum employment To have stable prices To keep long-term interest rates at a moderate level Although there are three goals, it is known as the dual mandate because the first two...
Safe haven assets are attractive investments for people who want to limit their exposure and vulnerability to the ever-moving financial markets. In the same way a safe haven is seen to provide safety and shelter from something scary or dangerous, a safe haven investment offers some protection in...