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There is a company doing business loaning money to individuals at a interest rate of 80 or more. Is that even legal?
Wiki User
∙ 16y ago
Most states have usuary laws that limit the percentage of interest that can be charged. Anything above that limit would be illegal. Check with your specific state laws for the limits.
Wiki User
∙ 16y ago
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Can interest paid on credit cards be claimed on taxes?
This would depend on where you live. In the UK, if the items purchased on the credit card were purchased solely for the business then the interest paid to the credit card company until these items were paid off might be considered a business expense. Essentially the business would be paying the credit card company interest for loaning it the money to purchase the business items. In this case proof of the interest accrued should be retained for tax records in addition to the receipts for the items purchased.
What does the scripture say about business?
The Bible does not condemn or prohibit businesses. It does expect business people to be honest and charitable toward the poor. The Old Testament restricts loaning money at interest (usury).
What term describes loaning money for a fee?
"Scam" If someone is loaning, they do not charge an upfront fee unless they are scamming you. Loans are paid back with interest, not an upfront fee.
What do banks with some of the profits they make by loaning out the money?
pay interest on savings accounts
What is the difference between dividends and interest?
It is very important that the self directed investor understands the difference between dividends and interest.-Dividends- Dividends are generally paid to shareholders of a publicly traded company.-Interest- Earning interest would be from loaning your money. If you put your money in the bank or buy bonds you are actually loaning your money.The single most important reason for knowing the difference is tax. Dividends are taxed at a different rate than interest earned. It is suggested to seek professional accounting advice on how these tax rates affect you.
What do banks do with some of the profits they make loaning out the money in their customers saving accounts?
pay interest on savings accounts
In what way are bondholders and banks similar?
In effect, these are both instances of an institution taking a loan from an individual. When you put your money into a bank, you are in essence loaning your money to the bank. They pay you interest on the money, and then they loan it out at a higher interest rate and keep the difference. Likewise, when you take out a bond you are in effect loaning your money to the government, which will pay you back with interest at a later time.
How does a bank make money from issuing money market certificates?
They make money by taking the money that you have deposited and loaning it out to another individual, business, or bank at a higher interest rate than they are paying you. For example, they may be paying you 1.5% interest and then loaning the money in a mortgage at 6%. This is true of all interest-bearing accounts. When a bank issues a money market certificate it pays interest to the certificate holder in exchange for the bank being able to keep the money for a specified amount of time. During the time that the bank is holding the money they invest it at higher interest rates, such as mortgage loans. The difference between what they earn on the investments and what they pay in interest is profit for the bank.
Is Loaning money to another company through a promissory note an asset source transaction?
FALSE
What does it mean to own a bond in a company?
Company BondsThere are two general ways to invest in a company. You can by stock in a company or you can purchase company bonds. By buying stock in a company you become a partial owner of that company. This entitles you to any dividends that may be paid and in general the more successful the company is the more your shares are worth.By buying bonds related to a specific company you are basically loaning that company money. That money is to be paid back at a specified rate of interest for a specified amount of time. You take on the roll of the bank in that you give the company a loan and now they must pay you back with interest. Should the company go out of business bond holders are more likely to get their money back than shareholders through the bankruptcy process. You will unlikely get all of your money back but you may get some of it. For that reasons companies that are considered riskier must pay a higher rate of interest to their bond holders.
Do Banks and credit unions earn interest on your money by loaning it to others?
Yes they do, as your money means nothing to them and they are crispy briefcase WANKERS
Does Sallie Mae loans have good interest rates?
Sallie Mae the loaning company is well known for giving their customers lots of problems. From losing payments, to losing records of over payments and terrible customer service, most people avoid them.
