SmartMoney - The Wall Street Journal

The mortgage settlement: A borrower’s guide; Aid may take months, and eligibility depends on who owns your loan

WASHINGTON (MarketWatch) — The record $26 billion foreclosure-abuse settlement that states and the Obama administration reached last week with five big banks is being billed as a program that will help more than 1 million U.S. homeowners.

10 ways to get the most out of your IRA

BOSTON (MarketWatch) — When it comes to individual retirement accounts, better known as IRAs, you might think you’ve got it all figured out. After all, these accounts have been around since 1974 and, with few exceptions, haven’t changed all ...

Friday's Personal Finance Stories

Don’t miss these top stories: Housing crisis could play key role in election Congress approves extension of payroll-tax cut Gasoline lifts consumer prices 0.2% in January

Mortgage delinquencies, foreclosures fall; Delinquencies halfway back to pre-recession levels: MBA

CHICAGO (MarketWatch) — The percentage of mortgages at least one payment past due fell in the fourth quarter of 2011 and fewer loans entered the foreclosure process, reflecting improvement seen in the economy, the Mortgage Bankers ...

Saving for College; What to Do With Leftovers in 529 Plans; If you haven't used all the money in your college savings plan, don't just cash it in. You have other options.

Most parents worry about not having enough money in their 529 savings plans to pay for their kids' college expenses. But sometimes you can end up with more cash in these accounts than you need—if, say, a child doesn't go to college or ...

Making 529 Plans Work

Last year's wild rides in the stock market—along with stressed household budgets—are taking a toll on college savings. Net contributions to its 529 college-savings plans fell 1% last year compared with 2010, says Vanguard Group, which ...

College Coffers Are Filling Up, But Costs Are Slow to Come Down

With college endowments enjoying healthy returns, parents are hoping to finally catch a break when it comes to tuition costs. They shouldn't hold their breath.

Cash-Strapped States Cut College Financial Aid

College financial-aid season has just kicked off, and experts say students seeking state grants had better act fast. At least six states, including Illinois, Kentucky and Tennessee, now have "until funds depleted" policies on grants, meaning ...

College Savings Without the Tax Bite; For many parents it's the best way to save for college. Here's why.

Thinking about investing in a 529 plan? Join the club. Since 529 plans became exempt from federal taxes in 2002, the market for them has exploded into a multi-billion dollar business.

The College-Savings Superpage; There are now more college investment options than ever before.

Think the only way you'll be able to foot your son's or daughter's future college bills is by winning the lottery? Think again. While the soaring costs of college can be overwhelming, a bit of careful planning can help you leap over this ...

The College Tax Breaks Explained; College costs may be soaring, but these goodies will make paying those bills a little easier.

If you've got college-bound kids, we don't need to tell you that the cost of college these days is staggering. Mercifully, Washington has delivered some valuable tax breaks over the past few years to parents trying to foot those bills. ...

The College-Aid Shuffle

College applications are in, and some lucky students already have received acceptance letters. For many parents, though, the real work is just beginning.

The Scholarship Game

Don't assume your child has to be a valedictorian to qualify for scholarships. There are a range of merit-based scholarships aimed at rewarding students for community service, athletic prowess or interest in specific subject areas, such as ...

Stable-value funds are shaky 401(k) options; Commentary: Fed pushes savers to diversify and take risk

BOSTON (MarketWatch) — My sister Carole runs a small franchise business and recently started a retirement plan for her employees. She asked me to review the mutual fund choices she could offer.

The 529 Basics; What you need to know before you sign up for a 529 college savings plan.

When considering a 529 plan, the first thing you need to know is that these plans come in two flavors: "prepaid college tuition plans" and "college savings plans." We'll admit, we're pretty partial to the latter (for reasons you'll ...

The biggest threat to your credit score; Commentary: Patience can keep you out of financial trouble

BOSTON (MarketWatch) — We were all taught as children that patience is a virtue. No one said it’s good for our credit scores too. It might seem obvious — those who have patience don’t feel the compulsive need to use credit to get something ...

Prepaid-Tuition Plans; A quick rundown of prepaid college tuition 529 plans.

As the name implies, a prepaid-tuition plan allows you to pay now to cover tuition costs further down the line. With tuition prices soaring, it's easy to see the appeal.

College-Savings Plans; Investing in a 529 college-savings plan could also affect your financial-aid eligibility.

Section 529 plans come in two models: The college savings plan and the prepaid tuition plan. Of the two, college savings plans are considerably more flexible, making them a better choice for most families. Here's how they work.

Tales from the mutual-fund crypt; Commentary: These funds deserved the big dirt nap in 2011

BOSTON (MarketWatch) — No one mourns the loss of a mutual fund, but investors should not ignore for whom the bell tolls. Counting all share classes, the mutual fund industry killed off about 1,300 of its laggards, stragglers and strugglers ...

401(k) plans add lifetime-income options

SAN FRANCISCO (MarketWatch) — Some companies are now letting workers invest in annuities, so that their 401(k) savings will eventually yield an income stream, but there are advantages and pitfalls to this new retirement option.

Give yourself a ‘get out of debt’ card; Commentary: Firms can stiff creditors, but people need a strict plan

BOSTON (MarketWatch) — The ink was barely dry on the bankruptcy filing of AMR Corp., the parent company of American Airlines, when Chris in Tulsa, Okla. wondered “why companies can get away with things that individuals can’t.”

The Tax Mess Deepens

Epic failure in Washington is causing epic uncertainty for taxpayers. This week, Congress's special 12-member deficit-cutting committee failed to agree on even a broad outline for addressing the U.S.'s fiscal woes. It marked the third year ...

Ask Next; Paying Taxes on IRAs; Taking distributions, Social Security survivors, and helping grandkids save

I am 78 and have been taking minimum distributions from my IRA. I use TurboTax and haven't encountered a provision to separately account for the after-tax contributions I've made. As far as I can tell, I am paying full tax on my ...

Fees for 401(k)s will be revealed in 2012

SAN FRANCISCO (MarketWatch ) — Save the date. Come April 2012, some 65 million workers with 401(k) plans are in for a change. For the first time ever, sponsors of 401(k) plans — employers — will have to disclose what workers are paying for ...

States' Benefits for 529 Plans Not Created Equal

For all the risks that come with investing in 529 college-savings plans in a period of market tumult, investors in most states have one certainty: that they'll receive state tax benefits for their contributions to their home state's plan. ...

It's Not Too Early to Apply for Financial Aid

Financial aid may be tougher to get this year—at a time when college costs are rising and some families need aid more than ever. "College endowments have taken big hits and state support is drying up in states like California," says Allen ...

Richard Cordray: ‘Standing up for consumers’; Full text of blog post by Richard Cordray, the new head of the CFPB

SAN FRANCISCO (MarketWatch) — President Barack Obama on Wednesday appointed Richard Cordray, formerly the attorney general of Ohio, to lead the Consumer Financial Protection Bureau.

Saving for College; Benefits of 529 Plans Vary Widely; The state-tax savings for families depend very much on where they live

For all the risks that come with investing in 529 college savings plans in a period of market tumult, investors in most states have one certainty: that they'll receive state tax benefits for their contributions to their home state's plan. ...

Schools Offer Guarantees

More colleges are offering four-year degree guarantees, where you don't pay extra if your child's education spills over into additional semesters.

Start Paying College Loans

Attention, spring college graduates: It's almost time to start paying back those students loans. The typical six-month grace period is about to end for many borrowers, and the first payments are due within 30 to 60 days, depending on loan ...

The Game Plan; How some people are saving for retirement—and what financial advisers think of those strategies

The Game Plan takes a look at how individuals and families are saving for retirement—and then asks financial advisers to comment on those strategies. You're invited to share your own retirement-savings plans by sending an email to ...

Consumer delinquencies mixed in third quarter; ABA data show improvement on many closed-end types of loans

WASHINGTON (MarketWatch) — Delinquency rates for consumer loans were mixed in the third quarter, with higher delinquencies for bank cards and lower delinquencies for home-equity loans, according to a report released Thursday by the American ...

Don't Buy Too Much Insurance! Firms are pushing everything from cancer coverage to tuition protection. We check the latest policies—and lay out what you really need.

In this age of hurricanes, tsunamis, market crashes and banking crises, it isn't any wonder that people are feeling insecure. Companies are responding by rolling out a raft of newfangled insurance policies designed to protect against ...

Tax Breaks for Students

It's application season, and not just for high-school and college seniors. The weak economy is also prompting older workers to return to school to refresh their skills or acquire new ones.

Know your investing ‘comfort zone’; Commentary: ‘Optimal’ portfolio isn’t always right

SAN FRANCISCO (MarketWatch) — Tammy is a 24-year-old college graduate who recently got her first “real job” in nursing, complete with a savings plan and a future.

Get Smart About College; Parents and students like to think they're rational when it comes to picking a college and paying for it. They aren't.

It's the time of year when families start to think about colleges. But very few take a crucial first step: thinking about how they think. Parents and students like to believe they're purely rational when they make big decisions about what ...

529 Plans Roll Out New Perks; Years of Rocky Results Have Spooked Investors; Adding 'Open Architecture'

What to do when a college-savings plan gets whipsawed by volatile markets? Plan sponsors think they have answers—but some of their solutions are better than others.

3 Tax-Savings Deals at Your Job; Open enrollment time is right around the corner. Here's how to take advantage.

Times are tough, and conserving cash is important. One easy way to do that is by taking advantage of tax-saving opportunities at your job. Soon it will be time to sign up for these deals for 2012 during your employer's open-enrollment ...

Ohio State University Prices 'Century' Bond

NEW YORK—Ohio State University sold $500 million worth of 100-year bonds late Wednesday, becoming the first public university to issue a so-called "century" bond.

Don't Go, Parents: 529 Plans Change Again; Just as they may face another market-driven exodus, several states are making changes to their college savings plans, hoping to keep parents calm and invested.

Just as they may face another market-driven exodus, several states are making changes to their college savings plans, hoping to keep parents calm and invested.

Consumer bureau details mortgage-probe strategy; Examiners seek to ensure borrowers aren’t charged illegal fees

WASHINGTON (MarketWatch) — The Consumer Financial Protection Bureau on Thursday released its approach for examining big and midsize banks servicing mortgages, focusing on loans in default as part of an effort to ensure that troubled ...

Start-ups aim to change how you bank; Financial firms that offer new ways to exchange, save, borrow money

LONDON (MarketWatch) — “A little informal exchange club” is how TransferWise co-founder Taavet Hinrikus describes the early days of the London-based money-changing start-up he co-founded in January.

Children’s Social Security numbers easy hit; ID theft spotlights vulnerability of personal data

NEW YORK (MarketWatch) –– The first hint of trouble came when Adora McLemore tried to get her children state medical benefits, and was almost denied because her one-year-old daughter, Kenna, was apparently earning income.

Great Places to Retire—and Find a New Job

Not too long ago, the whole point of retirement was not working. But today's retirees are increasingly counting themselves among the job seekers.

Don’t let these 3 retirement risks hit you

This column is part of a series of special reports from MarketWatch, based on live panel discussions hosted by senior columnists and editors from MarketWatch with experts in the field of retirement planning and benefits. This segment of ...

Reality Check; Student Aid: Take Then Give

Quoted: "We want you in school. But we shouldn't saddle you with debt when you're starting off. "So that's why since taking office, we've made it a priority to make college more affordable, reduce your student-loan debt."

Education Department Has Improved Student Loans

Your Sept. 30 editorial "Washington's Quietest Disaster" and the letters of Oct. 11 raise important concerns about the debt burdening college students but miss the mark in describing the role of the federal student-loan program and its ...

Obama set to unveil student-loan plan

WASHINGTON (MarketWatch) — President Barack Obama is set to unveil Wednesday a plan to reduce the burden of student loans on college graduates as the amount of debt for higher education surges.

Consumer-credit delinquencies rise

WASHINGTON (MarketWatch) — Delinquency rates for consumer loans rose in the second quarter, as employment weakness persisted and higher gas and food prices pressured family budgets, according to a report released Wednesday by the American ...

Tight on Cash, One State Taps 529 Plan Reserves; A new report suggests Nevada put budget woes ahead of savers' interests. Could other states follow?

Recent controversy over one state's use of the funds in its college savings plans has raised new concerns for parents and students across the country with money in 529 plans.

More Dropouts For 529 Plans; Real-Time Advice: Withdrawals from college-savings plans are at highest level since 2008, according to data released this morning.

Applying for Scholarships? Think Small

Forget about scoring that one big scholarship or grant to cover the rising cost of college. Students are finding that smaller is often more lucrative.

Bad Marks for College-Savings Plans May Not Call for a Time Out

Third-quarter report cards are in for college-savings plans and the results are likely to trouble many parents. The new figures, from fund researcher Morningstar Inc., show that investments in 529 plans fell an average of 9.5% in the third ...

Big borrowers face larger down-payments, rates; Government-backing for big loans ends October 1

WASHINGTON (MarketWatch) — Many borrowers in the country’s most expensive housing markets will be forced to make higher down-payments and pay higher rates for large 30-year-mortgages starting Saturday.

Employment outlook still weak: Manpower; Employment outlook: relatively stable, but low

WASHINGTON (MarketWatch) — Employers’ hiring plans for the fourth quarter are “relatively stable” — slightly down from the third quarter, but a tick higher than in the prior year, according to the Manpower Employment Outlook survey released ...

Got Medicare? You may be paying too much; Older Americans often don’t pick the Advantage plan that’s best for them

DECATUR, Ga. (MarketWatch) — Medicare Advantage plans can save older Americans money, but difficulty choosing among the many available plans often prevents them from realizing substantial cost-savings.

For Student Borrowers, a Hard Truth; More people are defaulting on their student loans -- and discovering the consequences are far-reaching.

As many students and parents struggle to make payments on their student loans, many are finding this debt comes with some serious strings attached.

Sizing Up the President's College-Debt Initiatives

With student-loan debt exceeding credit-card debt for the first time last year, President Obama recently announced initiatives designed to help ease college graduates' debt burden.

A Three-Year Countdown to Saving for College

How are we going to pay for college? That's the question families are increasingly asking themselves as they see education costs soar while their savings dwindle.

Beyond 529 Plans: How to Save Money for Kids; A 529 isn't the only option when it comes to saving for kids. Here are three alternatives.

When families think of investing for a child's future, they often turn to 529 college-savings plans. But there are other types of accounts that parents may find valuable -- and that can be used to teach children about the value of ...

Get the Real College Costs

How much will college really cost? For families, the answer may soon become clearer. Starting Oct. 29, any college or university participating in federal student-aid programs must have a net-price calculator on its website.

Editor's Note

Few topics are more cringe-inducing for both parents and kids than college. Especially when it comes to picking the right one and paying for it. Is there anything that can make you feel quite as powerless? Or anxious? Or in over your head?

The Aggregator; Market Takes Another Bite Out of 529 Plans

Third-quarter report cards are in for college-savings plans and the results are likely to trouble many parents. The new figures, from fund researcher Morningstar, show that investments in 529 plans fell an average of 9.5% in the third ...

Graduates With Debt Owe an Average of $25,250

The average debt of college seniors who graduated in 2010 with student loans rose 5% from a year earlier to $25,250, according to a report. That figure doesn't include data from for-profit colleges, like the University of Phoenix, whose ...

From Strangers to Business Partners

Concerned about his job security and unable to find a new position, Martin Luther Simms IV recently decided to pursue an idea he had for an Internet business. But the venture he envisioned required certain talents he lacked.

Stress Test; South Korea pauses as teens take a crucial college entrance exam. High marks on the College Scholastic Ability Test are crucial for entry to a top university which in turn is seen as key to securing a good job.

Flights were halted and parents prayed as more than 693,000 students nationwide took the crucial College Scholastic Ability Test on Thursday in Seoul. Here, junior students salute seniors in front of Gyeonggi High School in Seoul to wish ...

The Game Plan; How some people are saving for retirement—and what financial advisers think of those strategies

The Game Plan takes a look at how individuals and families are saving for retirement—and then asks financial advisers to comment on those strategies.

States Rejigger Their 529 Plans to Ease Fears

Several states are making changes to their college-savings plans, hoping to keep parents from making a market-driven exodus. In recent weeks, at least five states have revamped their 529 plans or added new investment options in the hope of ...

10 Things Student Loan Companies Won't Say; Sure, they'll help pay for college. But good luck paying them back.

1.Your co-signer could do you more harm than good Before they will lend thousands of dollars to a college-bound 18-year-old, many lenders will require a cosigner. Approximately 80% or more of private loans have a cosigner, according to the ...

Plan Embroils Tuition Rules in a Hot Issue

ALBANY—New York's top education officials recommended Monday that the state open its financial-aid programs and college scholarships to illegal immigrants, a significant shift that even its supporters conceded would be a uphill political ...

Paying Grandkids' Tuition; Sorting out 529 plans, Social Security and ex-spouses, and Medicare moves

I established a 529 plan for my daughter for her master's degree, but she did not go for graduate study. She had twins, and she opened 529 accounts for them. Should I transfer the money to their 529s or keep ownership? I am 67, and the ...

9-9-9? Nein. A transcript of the weekend's program on FOX News Channel.

Paul Gigot: This week on "The Journal Editorial Report," from Herman Cain's 9-9-9 plan to Rick Perry's flat-tax proposal, is real tax reform finally possible? Plus, with many Occupy Wall Street protesters demanding relief from student loan ...

30 Last-Minute Tax Tips; The Deadline Is Fast Approaching—But Don't File Your Return Until You've Grabbed Every Last Break. Here's a Guide

Are you ready for tax day? First, some good news: This year's deadlines are unusually late. Because April 15 coincided with a District of Columbia holiday, 2010 tax payments are due Monday, April 18. The deadline for those with ...

Why a mortgage puts a home buyer at a disadvantage; More cash offers make it tougher for borrowers to snap up deals

CHICAGO (MarketWatch) — For home buyers who need to finance their purchase using a mortgage, a cash buyer can be their worst enemy. That’s because when a buyer makes a cash offer, the seller knows it’s a solid deal — and that financing ...

When Benefits Bite Back

The Supreme Court is set to answer a question with huge implications for workers: Are employers' promises of benefits such as pension payments and health-care insurance worth the paper they are written on?

Mortgage-loan forms to get overhaul; Consumer agency seeks comments on proposed disclosure forms

SAN FRANCISCO (MarketWatch) — The Consumer Financial Protection Bureau, the agency created by the Dodd-Frank financial-reform law, is testing a new home-loan disclosure form to make it easier for consumers to shop for a mortgage, the ...

Recalculate Withholding to Avoid Overpaying

Many taxpayers could save some money merely by doing a little extra homework. As of March 4, the Internal Revenue Service had received about 60.5 million individual income-tax returns. It had issued more than 52 million refunds, up 1.1% from ...

Fixed-Rate Student Loans—With a Catch

With tuition bills due in a few weeks, a growing number of banks are offering stretched parents and students new, fixed-rate loans that promise protection from the specter of rising rates -- for a price.

Nine reasons to be optimistic about retirement; Commentary: We need to plan, save and work a little more

Updates to correct the attribution of a quote from Stephen P. Utkus, a director at the Vanguard Center for Retirement Research, regarding the “new realism” about retirement savings.

How You Can Pull a GE on Taxes

There's been a firestorm this week over the news that General Electric will pay no tax—at least, no federal corporate income tax—on last year's profits.

Not Just Kid Stuff: Why Mom Might Want a 529 Plan, Too

Funding a child's higher education isn't the only thing parents can do with a 529 college-savings plan: They also can use it to pay for their own schooling.

A Bull Market in Rental Housing

Five years into the real-estate bust, the market for single-family homes seems weaker than ever. According to the most recent S&P/Case-Shiller housing data, prices fell 3.3% nationwide in February from a year earlier.

How to Cash Out in Retirement; A look at four strategies that could help stretch a retiree's savings

There's no rest for retirement investors. They spend decades worrying about the best way to put money into their accounts—and then they have to find the best way to take it out.

Retailers wage back-to-school price war

NEW YORK (MarketWatch) — With costs for everything from apparel to food on the rise, retailers are waging a price war this back-to-school shopping season.

New Losses for College Savers; For the second time in three years, the markets are taking their toll on 529 plans -- even for soon-to-be freshmen

The back-to-school blues just got a little worse. As colleges are about to send tuition bills, the markets have taken yet another toll on the most popular college-savings accounts in the country: 529 plans.

financing your future; Nest Egg: Break Here; New services can help convert your retirement savings into a steady paycheck

It's among the most important and difficult questions would-be retirees face: How much of my nest egg can I afford to spend each year? The financial-services industry has some answers for you.

With 529s, You Can't Judge The State From the Cover

Guess what these college savings plans have in common: Putnam 529 for America, Vanguard 529 College Savings Plan, Upromise College Fund and USAA 529 College Savings Plan.

States Use Sweepstakes to Boost 529 Plans; Recession-battered 529 college-savings plans are trying to lure investors with the chance to win thousands.

Among other ways Cale and Catherine Coulter are saving for college for their two children, the Oklahoma couple hopes to win the lottery. They have entered a sweepstakes aimed at parents saving for college; two lucky families will win more ...

Before You Choose That College... Financial advisers offer parents and students suggestions for getting the biggest bang from their education bucks

As college acceptance letters start to roll in, parents will soon have a better idea of their children's educational options for the years ahead.

Retirement 101: How to Figure Out What You'll Need

Millions of Americans fear retirement. They fear the unknown. They fear not having enough money to live comfortably. They fear that they are going to end up living in poverty and eating cat food, as the cliché goes.

How to Manage Student Loans After Graduation

In 2010, two thirds of bachelor's-degree recipients graduated with education debt, including roughly $25,000 per person in student loans, according to estimates by FinAid.org. On average people take 16 to 18 years to repay this debt, ...

529 Plans Offer Free Cash

Battered during the recession, some state 529 college savings plans have developed the ultimate pitch to lure investors: Free money! With cash incentives, more states are now encouraging parents to save for kids' college costs – and to ...

Finding your dream career in retirement; Don’t just earn money in retirement, enjoy your new career

This column is part of a series of special reports from MarketWatch. The reports are based on live panel discussions hosted by senior columnists and editors from MarketWatch with guest panelists who are experts in the field of retirement ...

10 Things Test-Prep Services Won't Tell You; True or false: Coaching companies can boost scores. The answer, unfortunately, is more is complicated.

1. Big improvements? We're exaggerating. It's common for test-prep programs to tout big score gains on college admissions tests like the SAT and the ACT. But critics say these coaching companies have little hard evidence to back up ...

Making Room for Mom and Dad

The extended family is making a comeback—and presenting new financial opportunities and challenges for those willing to share living arrangements.

Have Private Student Loans Become Smarter?

Deferred payment plans. Rock-bottom rates. Even loan balances wiped out for good behavior. These are all features of new loans designed to help college students and parents swallow the increasing costs of college – but they may not be as ...