The speed with which the stimulus package under consideration by Congress can be deployed to help individuals and small businesses affected by the coronavirus pandemic will be crucial in deciding the plan's overall success. One of the lessons learned from the last financial crisis is that homeowners suffered because the policy response was "penny-wise and pound-foolish," according to Neel Kashkari, who helped run the Troubled Asset Relief Program. This time around, there are already concerns that the IRS is not equipped to distribute stimulus checks quickly.
Mortgage companies are expecting some homeowners will not be able to make their April 1 payments, which will hinder the firms' ability to pay mortgage bond investors. Treasury Secretary Steven Mnuchin has assembled a task force that will make recommendations on what to do about the cash crunch by March 30.
Stripe made a $20 million investment in fintech Fast, which is creating a universal "buy" button for digital payments. The partnership will give Fast access to Stripe's network of merchants.
The Federal Reserve's decision to again use BlackRock to manage its emergency vehicles, despite the potential for controversy, shows the wartime mentality authorities are adopting in managing the crisis.
Leading a company through a crisis requires a strong team with a clear direction, according to three senior advisers with McKinsey. Communication should be clear, honest and stable, they say.
US mortgage applications to purchase a home or to refinance fell 29.4% last week compared with the previous week, the biggest percentage drop since January 2009, according to the Mortgage Bankers Association. The decline comes as coronavirus fears disrupt open houses and discourage buyers.
Bank of Hawaii is supporting efforts to fight the coronavirus pandemic with a $100,000 donation to the Healthcare Association of Hawaii. The bank is also donating 1,000 N95 masks and about 200 face shields.
The US "may well be in a recession," but the response actions by the Federal Reserve will help ensure the economy recovers after the coronavirus pandemic abates, Fed chairman Jerome Powell said. On the question of when the economy should be allowed to re-open, Powell echoed the sentiments of Dr. Anthony Fauci by saying, "The virus is going to dictate the timetable here."
The Senate has voted 96-0 to pass a $2.2 trillion stimulus package to aid industries, small businesses and workers affected by the coronavirus pandemic. The House is scheduled to act on the bill Friday.
Citigroup, JPMorgan Chase, US Bank, Wells Fargo and 200 state-chartered banks and credit unions are offering three months of forbearance on mortgage payments for homeowners harmed by the coronavirus pandemic, California Gov. Gavin Newsom says. Bank of America is offering 30 days of relief, he says.
- Page 1