Korean Job Discussion Forums

Tiger Beer · Joined: 07 Feb 2003

http://news.yahoo.com/s/ap/20071228/ap_on_bi_go_ec_fi/economy;_ylt=AkMgEsDC1DaXhGf0I9TYXJys0NUE

sojourner1 · Posted: Fri Dec 28, 2007 10:04 pm Post subject:

Yes, credit began tightening in late '05 or early '06. I worked for a mortgage broker last year from the first to the middle part of the year and only about 1 out of every 100 applications qualified for credit. I was a good salesman in getting the applications, but the customers couldn't qualify for credit which made me lose what could had been a good job in the corner office as I was a branch manager trainee. Turned out, the president decided to close the branch and consolidated all 5 branches to the home office since the market was and still is taking a dive. We were expecting at least 30% approval rate, but the computer didn't allow when we ran the applications through. This sucks majorly as I just wanted a good job in my career field after college. A good job that I can prosper and manifest a career in for the next 25 years.

If you can qualify by having a FICO score in the high 700's to 850, the max, then it is still attractive to refinance high interest credit card debt into a low interest equity loan. If you can qualify, you are most likely making good money and always pay your bills in full each month so you wouldn't be forced to have large credit card balances or need credit in order to live. Your $10,000 to $20,000 credit card balance at 18% interest refinanced into a 5.5% equity loan saves you a lot of finance costs if you can qualify in which many home owners did this from 2002 to 2005. The tightening of credit in the past 2 years made it where consumers can't take advantage as brokers and loan officers educated them to do since 2002.

I was just speaking with my best friend in Missouri who is a real estate appraiser and he says things are very slow due to people not qualifying for mortgages and the job market being poor, so people are just sitting tight. There were only 5 home sales made in December in his whole county of 150,000 people; a county that is mostly rural with several small towns. The job market is very sour for people who studied for a finance or business major unless they are already established. Even my friend only made $30,000 off of his business this year when it should be $75,000 to $150,000, so things are very tight right now with a deep recession looming over our lives.

Interest rates have actually been on the decline again this year by a whole point from 5.5% to 4.5% on a savings account, while the economic situation is not improving, but only getting worse.

VanIslander · Posted: Fri Dec 28, 2007 10:19 pm Post subject:

34% decrease !!!!!!!!!!!!!!!!!!!!!!

Yikes.

mistermasan · Joined: 20 Sep 2007 Location: 10+ yrs on Dave's ESL cafe

we hope it will only be a "recession".

Ya-ta Boy · Joined: 16 Jan 2003 Location: Established in 1994

What's the difference between a recession and a depression?

Ilsanman · Joined: 15 Aug 2003 Location: Bucheon, Korea

Length of time.

Captain Corea · Joined: 28 Feb 2005 Location: Seoul

regicide · Joined: 01 Sep 2006 Location: United States

Atavistic · Posted: Sat Dec 29, 2007 2:25 am Post subject:

Ilsanman · Joined: 15 Aug 2003 Location: Bucheon, Korea

A recession has a definition. It means 2 consecutive quarters of negative growth. A depression? Not sure.

regicide · Joined: 01 Sep 2006 Location: United States

mistermasan · Joined: 20 Sep 2007 Location: 10+ yrs on Dave's ESL cafe

before the 1930's, there were only depressions. the term "recession" came into use after the big one to signify a "smaller" downturn.

Ya-ta Boy · Joined: 16 Jan 2003 Location: Established in 1994

fiveeagles · Joined: 19 May 2005 Location: Vancouver

I don't think it is going to be the "depression" yet. Too many world economies are still booming.

I think it will be a short downturn and then with a big upturn for the next few years. Only if Obama or a Republican gets in.