write summary based on the article and your thoughts

 

Can You Get One of the New Subprime Mortgages?

 

Wells Fargo hit the news recently with the announcement it had dropped its minimum credit score for FHA-insured mortgages from 640 to 600 (the maximum is 850) — into subprime territory.

Wells isn’t the only lender lowering its requirements. “In recent months, a handful of lenders have said that they’re willing to go as low as 580,” writes The Wall Street Journal.

The change doesn’t apply to refinances, only purchase mortgages, the Journal says. (Find out if you qualify from a bank or mortgage broker.)

Borrowers with FICO scores of 720 and higher still get the best rates, though.

Are subprime mortgages back or not?

These moves inspire talk that subprime mortgages are back. But, are they really? As The Wall Street Journal explains, these “FHA-backed mortgages are fully documented, fixed-rate mortgages — not the crazy loans that fueled the subprime mortgage crisis.”

“Subprime” isn’t a precise term. It’s used to describe some lenders, or certain types of loans. It’s also used to describe borrowers with FICO scores under 620 or 640 or 660, depending on who’s talking.

It also describes certain risky mortgage products sold at the end of the housing boom with features like no down payments, no documentation and super-low teaser interest rates that might double or triple after an introductory period.

“Most of these loans went to subprime borrowers, those with credit scores below 660,” Bloomberg Businessweek says.

Subprime also is used to describe lenders who sold risky mortgages or approved borrowers for mortgages they almost certainly couldn’t afford to keep up.

Like old subprime mortgages? No.

Are those infamous loans really back in play? No — not the risky features, anyway. Those features are banned on “qualified” mortgages, those most widely available. Qualified mortgages have new consumer protections. Lenders who abide by qualified mortgage rules are shielded from consumer lawsuits. (Investopedia explains qualified mortgages.)

The federal rules, called for in the Dodd-Frank Act, went into effect at the beginning of this year. They’re enforced by the Consumer Financial Protection Bureau.

On the other hand, yes. Sort of.

You could make a case, however, that subprime loans are back, based on the increased lending to borrowers with lower scores. Wells Fargo is the country’s biggest mortgage lender, so its move made news.

To avoid the taint associated with the word “subprime,” lenders are calling these loans “another chance mortgages” or “alternative mortgage programs,” says Reuters.

Qualifying for a low-credit-score mortgage

Qualifying for a mortgage with a low credit score requires jumping through a lot of hoops – many more than in the pre-bust days. Not everyone with a low score gets approved.

FHA, which insures mortgages, requires credit scores no lower than 580 and a down payment of at least 3.5 percent. With a credit score below 580 you’ll need to contribute at least 10 percent of the loan amount. (Here are FHA rules.)

FHA’s fees are rising and it requires mortgage insurance, making these mortgages increasingly expensive. Mortgages backed by Fannie Mae and Freddie Mac are cheaper, but they’re harder to get.

More hurdles

FHA’s requirements are just the start of a borrower’s hurdles. Lenders add additional requirements (“overlays”). Most demand higher credit scores than FHA does.

Wells Fargo’s criteria for low-credit borrowers are ”strict,” Reuters says. They include “demonstrating their ability to repay the loan and having a documented and reasonable explanation for why their credit scores are subprime.”

In addition, the new federal mortgage rules require tougher scrutiny of mortgage applications. These rules require lenders to look at eight areas before approving a borrower if the lender wants protection from borrower lawsuits.

The eight points:

• Income and assets.
• Employment.
• Child support or alimony obligations.
• Credit history.
• Monthly payments on debts.
• What you can afford to pay monthly on a mortgage.
• Other mortgage costs, like home and mortgage insurance and property taxes.
• Your remaining income.

Another option

There’s an even more costly option for low-credit-score borrowers — a smaller non-bank lender. They can sell “non-qualified” mortgages that fall outside the federal qualified mortgage rules. They are likely to charge higher interest rates and require bigger down payments. So far, non-bank subprime mortgages aren’t a big part of the mortgage market.

MSN Real Estate describes one non-bank lender:

Citadel Servicing Corp. in Irvine, Calif., is one of very few lenders lending mortgage money to borrowers with FICO scores as low as 500. It began in April (2013) making fixed-rate and adjustable mortgages of $50,000 to $750,000 using money raised from private investors. These mortgages don’t qualify for government backing, which makes them considerably more expensive.

Citadel CEO Dan Perl calls himself a “nonprime” lender. The term “subprime” denigrates borrowers, he says. “We’re talking human beings who have had some bumps in the road.”

Citadel may charge interest rates over 10 percent, Reuters says. Prime borrowers, for comparison, pay an average of 4.34 percent right now on a 30-year fixed-rate mortgage.

Learn about qualifying for a mortgage or improving your credit score from one of the local HUD-approved agencies that offer credit counseling and first-time homebuyer counseling for free or at low rates.

Have you gotten a mortgage recently despite a low credit score? Post a comment about your experience below or on our Facebook page.

 

http://finance.yahoo.com/news/one-subprime-mortgages-143058548.html

Weekly tasks or assignments (Individual or Group Projects) will be due by Monday and late submissions will be assigned a late penalty in accordance with the late penalty policy found in the syllabus. NOTE: All submission posting times are based on midnight Central Time.

Understanding the role that coding information plays in health care organizations for claim generation is crucial. The process begins with the collection of information about the patient, the services provided, and the data from the encounter (including medical documentation and charge capture).

List the steps involved in that process, and write a brief explanation for each step.

Note: Be sure to include a description of the chargemaster or charge description master (CDM) and the revenue cycle management process.

Please submit your assignment.

For assistance with your assignment, please use your text, Web resources, and all course materials.

Team Case and Action Plan –Short essay option

 

Guide and Grading Rubric

 

Below you have the situation of troubled, diverse team which you have been just asked to manage. You decide how to approach the situation or problem.  Through a set of short-answer essay questions identify how you would manage this situation as the leader.

 

Short answer essay means that you review each question (listed later in the guide) and answer that question with several sentences to explain your answer.  For most of the questions, you are likely to structure your answer into 2 or more paragraphs, with one topic per paragraph to explain clearly and logically.

 

 

 

The Situation

 

You are the new leader of a 6-person team. The team all works out of a large medical device/pharmaceutical company in NJ. It is tasked with researching an implant/pump that can increase management of insulin release for Type 2 Diabetics.  If successful the project will be highly rewarded—not only will the team’s professionals be developing a profitable product for the company, but the device will be very beneficial to diabetics all over the world.  

 

The team is made up of the following people:

 

John – 43 year old (Afro-American)

 

Julie – 51 year old (Chinese)

 

Jinsoo – 27 year old (Korean)

 

Darius – 32 year male (Iranian)

 

Harpreet – 30 year old female (Indian)

 

Tom – 33 year old (Irish)

 

And you, the new manager (your national culture)

 

Darius and Harpreet joined the team 3 months ago. The rest of the team has been together for more than 9 months. The team has been working on the implant pump that is due to be delivered in 45 days. You, as the leader, have a lot riding on this project, including a promotion.

 

Darius and Harpreet have unique skills and experience that require them to work together on a key part of your project however, they do not get along and have been bickering and complaining about each other for the last month or so. Today, Harpreet complained to you that Darius, as a Muslim, has been deliberately undermining her and does not respect her because she is a woman and a Hindu.

 

The rest of team knows of this tension and are distracted by the situation.   Your project is getting off schedule and the project deadline is now 45 days away.

 

 

 

SCHEDULE: See Assignment link introduction to this assignment.

 

SUBMIT to Turnitin before posting to assignment link.  

 

 

 

Resource Materials

 

Hofstede Cultural Dimensions website:  http://geert-hofstede.com/countries.html 

 

from LEO Course Content links:  

 

·      Weekly Lecture Notes on Change

 

Also helpful:

 

·      Adler Chapter 5 (Multi-cultural teams) and Chapter 4 (Synergy)

 

·      Ader, Chapter 9 on Negotiation

 

You may research additional materials from the UMUC library or the web.

 

 

 

 

 

To format the assignment:

 

1.     Provide a cover page with assignment title, your name, course name, and date submitted.

 

2.     Copy each of the essay questions and its number onto your file document and then write your answer. 

 

3.     Add a reference cite for any source materials used.

 

 

 

4.     Pay attention to sequence of sentences within your essay answers.  Write complete sentences. 

 

 

 

5.     Organize sentences of the essay answer into paragraphs.  Write one paragraph per idea.  Remember:  You are likely to have more than one idea per answer, so for most of the questions you will need more than one paragraph per essay.

 

6.     Check your essay answers for grammar, spelling and punctuation.

 

7.     Submit to Turnitin, then upload to the designated LEO assignment link.

 

 

 

Questions for Short-Answer Essays to plan for your leadership of a diverse team.

 

1.     What course theory is helpful to you as background for your management plan?

 

Identify and then describe a minimum of three (3) theories.  Select one theory from cultural research information such as Hofstede.  Select one theory from Adler (2008) that helps you consider communication in a multicultural team.    Select one theory from Northouse (2013) which suggests a model for leading the team.

 

Identify the theory using an in-text cite.

 

Describe or explain the theory idea in 2-4 sentences.

 

 

 

Add a reference cite for any information used from a source.

 

 

 

YES/clearly explained          NO/without sufficient detail of explanation   (15 points)

 

 

 

 

 

2.      Complete a cultural analysis using Hofstede.   Develop your answer or analysis as a chart or table.    In that chart identify team members and the cultural distinctions, based on the country of origin, then identify the cultural dimension or category that appears to dominate, or has a very high score.  Identify the cultural dimension or category that appears to have a lower or lowest score.  Base your analysis on Hofstede’s website. See link: http://geert-hofstede.com/countries.html   In a final column, add anecdotes about what you may examine or research from individual team members.  Your goal is to gather cultural information helpful to managing a plan.  While Hofstede’s research provides preliminary topics and a category frame, individuals will have their own priorities and values.  What additional information might you ask team members about their values?

 

 REMEMBER:  You are a part of the team as its new leader.  Add a row for your culture.

 

Add a reference cite for use of Hofstede website.

 

 

 

YES/clearly organized         NO/some team member categories skipped  ( 25 points)

 

 

 

3.     Write a plan for action you believe will be effective.  It will showcase your leadership.  In your plan have the following:

 

 

 

·      Identify 1-2 beginning activities and describe your reasons for the actions. For instance, would you ask for an all-staff meeting?  What outcome would you expect?  Would you interview Darius and Harpreet?  What topics would be important to understand?

 

 

 

·      Add a schedule.  In that schedule, identify a vision for the project and how you would communicate the vision.  (See LEO>Course Content Weekly Topic on Change Management, Kotter’s Step Model for a schedule or sequence of activities).

 

 

 

·      List team communication methods you will use as manager.  For example, will you ask for weekly f2f staff meetings, and what are your goals or purpose for them?  Will you use technology for more frequent communication?  How?

 

 

 

·      List deliverables using a general outline.  (NOTE:  An action plan often gets very specific on deliverables, but you have limited information.   You will need to be more generic. For instance, you might organize deliverables as rounds of reports from each team member on his or her progress, and the member’s thoughts of next steps.  How many rounds or reports would you ask for to know performance progress?  One round, three rounds, etc)

 

 

 

·      List your thoughts about ways you will gather information, observe and get feedback as the manager.  Getting the information you need will be challenging.  It will require your leadership. Will you be more directive?  Will you be more of a coach? Will you seek to general lots of energy or use your charisma?   Remember to cite any source used to help you identify your leader role, such as a chapter or idea from Northouse (2013).

 

 

 

·      YES/all items included         NO/or skipped offered too little explanation of a bulleted item  (35 Points)

 

 

 

 

 

4.     What are the markers or signals that suggest success in the team’s performance?  Describe in 3-4 sentences. Be innovative about what signals success.  For some, it is a sense of energy in the room as people are talking through their work.  For many, success is good follow-thru—the capacity to meet deliverables on schedule.

 

YES/clearly explained          NO/without sufficient detail of explanation   (10 points)

 

 

 

 

 

5.     What would you do if your plan of action was not moving forward and was at risk?  Consider resources within the organization such as your superior, HR, or a frank discussion with the team.  This is a back-up plan.  Explain the plan and the reason for this approach in 3-4 sentences.

 

YES/clearly explained          NO/without sufficient detail of explanation   (15 points)

 

 

 

 

 

ABOUT SCORING: Grading Rubric

 

The essay answers will be scored as summary total. Expected range for performance: A score of 80 or above.

• 15% of each answer will be reviewed for logical or sequenced sentence structure and paragraph clarity.  Answers will have correct grammar/spelling or points will be lost.
• 5% meets APA guides for reference cites.

 

 

 

i need u to help me write an essay on the topic born to shine. and tell me what to write. ur old student Hamza thanks