Virgin Money, the financial arm of Richard Branson's Virgin conglomerate, has signed a deal to buy the bailed-out bank Northern Rock from the British government, said the companies on Thursday.
Virgin Money, Richard Branson's banking arm, is buying Northern Rock for £747m, almost four years after the bank collapsed and was taken over by the UK government.
Question: My sister and brother-in-law have announced that they are broke, and want to borrow money. They went bankrupt a few years ago, but have since blown two inheritances on high-risk investments. They also borrowed extensively from our parents and never repaid the loans. Although both are college educated, neither has had a regular job for years, and now they say they can't find work. We turned down their loan request, and now my brother-in-law is threatening to never let us see my sister and nephew again. What are your feelings about loaning money to relatives, particularly when they have a history of not repaying loans? --Elaine
When Brian Hetherington complained to his father two years ago about the weighty 9% rate he and his wife were paying on their home-equity line of credit, Jim, the senior Hetherington, had an idea. He could lend the couple the $100,000 to pay off the loan and charge them only 6%. It's been win-win ever since. "We haven't missed a payment," says Brian, 43. And his folks are still earning a return on their money.
I could not have bought my first house long ago without borrowing the down payment from Mom and Dad. Their loan got me started down the home-equity path, and it's paid dividends ever since.
Money Magazine: Find funding for a bizupdated: Fri Dec 26 2008 08:33:00
If you're considering starting a business in 2009, you're probably wondering how the heck you'll finance it. Raising start-up capital has always been a challenge, but the downturn has made a hard process harder.
One enterprising freshman is using e-mail to ask strangers to kick in $25,000. And the craziest part? It's working
Dear FSB: Way back when, there were low-interest rate loans from the government for women and minorities in small business. They no longer exist, business advisors say. Why is this? I am an older woman in business and find it all but impossible to get a loan.
A woman wearing a T-shirt with the slogan "Go fund yourself" across her chest offers me a grilled shrimp hors d'oeuvre. Another woman, dressed as a "Georgette" (a female version of George Washington), hands out dollar bills with a blank face on the front. The scene? A launch party in Boston for Richard Branson's new company, Virgin Money USA. The message? Branson's new firm will change the face of money by replacing inflexible loans from big banks with a more personal, nimble approach to lending.
Easy money: Richard Branson helps fund U.S. entrepeneurs
Northern Rock PLC will hold accelerated takeover discussions with a consortium led by Virgin Group, the battered mortgage lender said Monday
CNN's Shakuntala Santhiran speaks with Lim Advisors director Peter Churchouse about the outlook for the banking sector.
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