Personal Fianance and Credit

According to a MarketWatch report, Yahoo Inc. has agreed to sell its HotJobs online jobs-listings site to Monster Worldwide Inc. for $225 million in cash, as the Internet company continues to narrow its focus and shed peripheral businesses under Chief Executive Carol Bartz.

Monster Worldwide Inc said on Wednesday that it will buy Yahoo Inc’s  HotJobs site for $225 million in cash, citing an improving job market.

The sale of HotJobs will give Yahoo "the ability to focus more on its core business," Yahoo said in a statement.

Monster, which controls about one-third of online jobs postings in the United States, does not expect the deal to raise significant issues with antitrust regulators, since HotJobs has a smaller share of the market.

A majority of Americans are in favor of taxing the rich to pay for covering those without health insurance according to a new Associated Press poll.

As Congressional lawmakers debate the best approach to pay for a massive health care overhaul, the only one with majority support was a new income tax on people in the upper-income tax bracket.

The poll found participants sour on other ways of paying for the health overhaul that is being considered in Congress.

Fifty-seven perfect were in favor of the idea, with 36 percent opposed.

In contrast, the public does not favor a tax on high-value insurance plans, something also opposed by organized labor. The AP poll found 56 percent were opposed, with only 29 percent in favor of that idea.

New rules coming for credit cards

Credit cards are undergoing the most sweeping changes in decades. With congressional approval earlier this year, the Credit Card Accountability, Responsibility and Disclosure Act - or CARD Act - figures to make significant alterations in the country’s credit landscape when it goes into effect in February.

The most significant change will be a provision that prevents banks or credit card companies from raising interest rates on existing card balances unless a customer’s payment was 60 days behind, unless the rate change is under a variable-rate formula or unless it comes at the end of a promotional period.

Other changes include requiring a 45-day notice before an interest-rate hike, eliminating charges for consumers who go over their credit limit unless the customer opts to pay a fee in exchange for continued card use and no more late fees unless a bill is sent at least 21 days before the due date.

Another part of the law that could have a big impact is a requirement that statements show how long it would take to pay off a balance (by making) only the minimum payments.

According to an AP report, lawmakers are trying to extend and expand an $8,000 federal tax credit for first-time homebuyers, a stimulus-package tax break that many regard as a significant prop for the still-tottering economy.

The most recent Senate proposal would dismiss the requirement that the credit be available only to first-time buyers, expanding the range of the program but also adding to its cost, estimated by congressional analysts at $16.7 billion.

The backers of that idea, Sens. Johnny Isakson, R-Ga., and Christopher Dodd, D-Conn., chairman of the Senate’s banking committee, have indicated that their measure be attached to another pending bill aimed at throwing a lifeline to people hurt by the recession, an extension of federal assistance to the millions in danger of exhausting unemployment insurance benefits.

While the White House says there will not be a second stimulus package following the $787 billion economy booster enacted last February, extending the homebuyers’ credit and unemployment benefits are among several primary means being pushed by the administration or Congress to help people get through the continuing recession, reports AP.

Citi CEO: U.S. consumer credit remains shaky

MarketWatch reports that Citigroup Chief Executive Vikram Pandit said Citi’s credit costs remain elevated and clearly U.S. consumer credit continues to be the primary issue affecting our near-term results. Pandit said net credit losses went down for the first time since the cycle started but added Citi remains cautious because the fundamental trends remain mixed.

"We are seeing further confirmation of signs of improvement in our international markets, but challenges remain in the U.S.," the CEO said. He is more optimistic that Citigroup’s huge overseas consumer businesses are stabilizing as Asian and Latin American economies start to recover. The company’s regional consumer-banking arm was Citigroup’s strongest performer.

In the U.S., though, Citigroup was less optimistic. While fewer customers are falling behind on certain loans, defaults continue to surge in mortgages, among other areas.