Consumer Reports Morning Update

Good Thursday morning. Here are the top stories our editors are keeping an eye on today. Check back with ConsumerReports.org throughout the day for updates and analysis on these topics and many more.

White House Pushing Credit Card Companies:

President Obama, who is said to support efforts by Congress to pass new credit card regulations, is scheduled to meet today with the heads of major credit card companies to discuss lending practices. "The president believes new rules of the road for the credit card industry are needed and he looks forward to having an open and productive conversation tomorrow with the representatives of the credit card industry," White House senior adviser Valerie Jarrett said Wednesday in a written statement. (ABC News)

Obama and some congressional leaders are particularly focused on what they consider to be abusive and deceptive practices that squeeze people into paying much higher fees or interest rates than anticipated. Both the House and Senate are considering a credit card "bill of rights" to limit the ability of credit-card companies to raise interest rates on existing balances and to require greater disclosure. (Associated Press)

Have you had a bad experience with your credit card company? Share your story with Consumers Union.

Consumer Lending Program Struggles:

In its first two months, the government's signature initiative to support consumer lending has fallen well short of expectations, deploying only a fraction of the amount officials had hoped to extend to stimulate auto loans, student loans and credit card lending. The slow rollout of the program has frustrated staff at government agencies working on the effort and diminished hopes that they could engineer a rapid return to healthy lending levels, according to interviews with government and industry sources. (Washington Post)

Housing Crisis Keeps Americans Where They Are:

The housing crisis has dramatically eroded Americans' ability to move, driving the custom of relocating for better opportunities to its lowest level since the Census Bureau began tracking it in 1948, data released Wednesday show. About 35.2 million people moved from 2007 to 2008, about 3.5 million fewer people than the previous year. The moving rate dropped to 11.9% of Americans from 13.2%, the Census Bureau reported. (USA Today)

Falling home prices are starting to ignite bidding wars in a few parts of the U.S. as first-time buyers compete with investors for the same foreclosed properties. In most of the nation, the supply of unsold homes continues to swamp demand. Home prices in many markets continue to fall, and foreclosures, which slowed in late 2008 as mortgage companies delayed taking action against delinquent borrowers, are picking up again. (Wall Street Journal)

Good Economic News Of The Day: Apple Outperforms

Shrugging off a bad economy, Apple Inc. on Wednesday reported a 15.2% jump in profit and an 8.6% uptick in revenue for its first quarter, juiced by sales of its iPhones and iPods. "Apple continues to surprise," said Hudson Square Research analyst Daniel Ernst, who noted that consumer jitters about job losses and lower housing values did not prevent them from buying millions of the relatively pricey iPod Touches, which sell for $229 to $399 depending on the capacity of the disk drive. (Los Angeles Times)

In the market for a new MP3 gadget? Check out the Consumer Reports guide to digital music players.

Consumer Reports Morning Update

Good Wednesday morning and happy Earth Day. Here are the top stories our editors are keeping an eye on today. Check back with ConsumerReports.org throughout the day for updates and analysis on these topics and many more.

Obama Steps Into Credit Card Negotiations:

Credit card CEOs thought they had it bad: The economy has crashed, the credit market is tight and customers are stressed. Now add to that list of woes a White House bent on reforming the industry — by shutting down some of the industry’s most lucrative, and controversial, practices. On Thursday, 14 CEOs of credit card divisions of major banks will be summoned to a White House meeting that reportedly will include President Barack Obama, Treasury Secretary Timothy Geithner and White House economic adviser Lawrence Summers. They are expected to demand that the credit card issuers do something to lower interest rates for vulnerable borrowers and increase disclosure of rates and what they mean. (Politico)

Looking For Solutions On Earth Day:

The Interior Department will announce new rules today that clear the way for the first offshore wind turbines to be erected along the Atlantic Coast. The rules will set long-awaited guidelines for offshore leases, easements and royalty payments that the Bush administration worked on for years but did not complete. The guidelines represent the most aggressive move yet from an administration that hopes to shift the nation's offshore energy supply from oil to wind power. (Los Angeles Times)

With Americans looking to reduce their "carbon footprints," food seems an obvious place to start. Choosing a diet with a smaller carbon footprint means choosing foods that are processed in ways that emit less carbon dioxide — a heat-trapping "greenhouse" gas — into the atmosphere. (USA Today)

Want to know how to go green and save some green? The Consumer Reports Blogs have some Earth Day tips.

Crib Safety In The Spotlight:

Toys "R" Us Inc., the big toy retailer, has stopped ordering drop-side cribs because of safety concerns, the company's Chairman and Chief Executive Jerry Storch said Tuesday. The move comes as federal regulators are planning to launch Wednesday a push to set stronger standards for cribs following a series of recalls. Concerns about the safety of popular crib designs have led to 21 recalls of 4.2 million cribs over the past two years because of hazardous defects. (Wall Street Journal)

Check the Consumer Reports Babies & Kids Blog for more news and advice for your family.

A Bit Of Good Economic News:

While much of the rest of the country remains mired in the depressing gray of recession, this rural town of fewer than 3,500 people on the Georgia-Alabama border, about 80 miles southwest of Atlanta, has somehow managed to draw the winning ticket in the nation’s economic lottery. A new Kia Motors Corporation automobile manufacturing plant is opening here this year, an event that many residents of this former mill town, where life had slowly been ebbing away, can only describe as heaven-sent. (New York Times)

Consumer Reports Morning Update

Good Tuesday morning. Here are the top stories our editors are keeping an eye on today. Check back with ConsumerReports.org throughout the day for updates and analysis on these topics and many more.

20 Criminal Probes Already Looking At Bank Bailouts:

In the first major disclosure of corruption in the $750-billion financial bailout program, federal investigators said Monday they have opened 20 criminal probes into possible securities fraud, tax violations, insider trading and other crimes. The cases represent only the first wave of investigations, and the total fraud could ultimately reach into the tens of billions of dollars, according to Neil Barofsky, the special inspector general overseeing the bailout program. (Los Angeles Times)

Government Lost About $900 Million On Citi:

The U.S. Treasury estimated $900 million in losses as of the end of last year on $301 billion in Citigroup Inc. assets that the government is guaranteeing, according to a new audit report. The Treasury, the Federal Reserve and the Federal Deposit Insurance Corp. have agreed to share in losses on the assets as part of $50 billion that Citigroup has received so far under the Troubled Asset Relief Program, the $700 billion bank rescue effort enacted last year. (Bloomberg)

Drive As I Say, Not As I Drive:

Most motorists in the USA — 78% — call aggressive driving a serious concern yet nearly half admit speeding on major highways in the past 30 days, according to a survey and analysis of research made public today by the AAA Foundation for Traffic Safety. (USA Today)

Did Chrysler Turn Down Loan Over Executive Pay Caps?

Top officials at Chrysler Financial turned away a government loan because executives didn't want to abide by new federal limits on pay, according to new findings by a federal watchdog agency. The government had offered a $750 million loan earlier this month as part of its efforts to prop up the ailing auto industry, including Chrysler, which is racing to avoid bankruptcy. Chrysler Financial officials denied in a statement that the company's executives had refused to accept new limits on their pay, adding that the firm turned down the loan because it no longer needed it. (Washington Post)

Measuring The Car Market By Commercials:

The 2nd Street Tunnel in Los Angeles is probably the most recognizable city landmark most Americans have never heard of. The tunnel has achieved its obscure fame for the number of car commercials shot there. But the light has gone out of the tunnel of late. According to FilmL.A., the nonprofit organization that coordinates on-location shooting in the city, no permits have been issued in 2009 for car commercials. (Los Angeles Times)

For much more on the auto industry, check the Consumer Reports Cars Blog.

Earth Day Is For Everyone:

Environmental activists no longer have a monopoly on April 22. Events this week show that Earth Day is attracting a broad and growing fan base that includes music lovers who flocked Sunday to the National Mall in Washington, D.C., and college students, community gardeners, moviegoers, corporate executives and others. (USA Today)

Finding New Power In Waste:

Scientists at Virginia Tech are experimenting with technology that would convert what you might call an abundant resource here in the Shenandoah Valley into energy. Using a process called pyrolysis, the device super-heats chicken droppings to transform them into three products: an oil that can be used for heating, a slow-release fertilizer and a gas that the researchers hope will one day be recycled to power the machine. (Washington Post)

The Economics Of Your Morning Cup Of Coffee:

The high-end specialty coffee industry isn't immune to the effects of a recession, but many companies are still doing well. Portland Roasting had a slow holiday season, but business is picking up, said owner Mark Stell. "February was a great month for us," he said. "People don't leave coffee ... They just get it differently." (CNN)

Which coffee got the best rating from Consumer Reports? Our subscribers can find out here.

Consumer Reports Morning Update

Good Monday morning. Here are the top stories our editors are keeping an eye on today. Check back with ConsumerReports.org throughout the day for updates and analysis on these topics and many more.

White House To Target Credit Card Rates:

President Barack Obama will soon turn his attention to high credit-card rates, giving a potential boost to congressional efforts to put limits on the industry. The president is "going to be very focused, in a very near term, on a whole set of issues having to do with credit-card abuses," White House economic adviser Larry Summers said on NBC's "Meet the Press" Sunday. He said abuses include charging consumers "extraordinarily high rates that they wouldn't have paid if they knew what they were getting themselves into." (Wall Street Journal)

How Much Do Debt Settlement Companies Help?

With the economy on the ropes, hundreds of thousands of consumers are turning to “debt settlement” companies like Credit Solutions to escape a crushing pile of bills. Consumers who turn to these companies sometimes get help from them, personal finance experts say, but that is not the typical experience. More often, they say, a settlement company collects a large fee, often 15 percent of the total debt, and accomplishes little or nothing on the consumer’s behalf. (New York Times)

Watch Out For Scams:

So many pitches seem so enticing: "I paid $2.99 and got $12,000. Claim yours!""Would you like to earn an extra $200, $900 or even $5,000 everyday! For just 45 minutes work!" "New mortgage with low payments!" Local, state and federal authorities are trying keep up with consumer complaints, but aside from going after fraudsters, officials say one of the best ways to protect yourself is education. (USA Today)

Looking advice about your personal finances? The Consumer Reports Money team has news and tips on what to do and what to watch out for.

Fighting Crime With Smaller Budgets:

With the punishing economic downturn, police officers in many American cities are confronting what they describe as a surge in property crime. At the same time, many are being forced to improvise and make do with less: The recession is shrinking the finances of local governments, limiting the resources of police departments. (New York Times)

Stimulus Package Report Card:

The federal government has committed $60 billion so far for projects from the $787 billion economic stimulus package President Obama signed two months ago, prompting concerns that the money isn't moving fast enough to halt the deepening recession. The money — nearly $1 billion a day — has gone mainly toward highway repairs, financial aid for states, nuclear waste cleanup and other public works, the reports show. (USA Today)

New Hints About Lung Cancer:

Smokers with high levels of two chemicals in their urine were more likely than others in a study to get lung cancer, a finding that may lead to a new test to predict risk in time to prevent or treat the disease. High levels of these chemical byproducts of tobacco smoke in the urine were linked to lung-cancer rates as much as 8.5 times higher than those of other smokers, said Jian-Min Yuan, the study leader and an associate professor of public health at the University of Minnesota in Minneapolis. (Bloomberg)

Are Kids Addicted To Video Games?

A new study concludes that children can become addicted to playing video games, with some skimping on homework, lying about how much they play and struggling, without success, when they try to cut back. In what is described as the first nationally representative study in the United States on the subject, researcher Douglas Gentile of Iowa State University found that 8.5 percent of American youths ages 8 to 18 who play video games show multiple signs of behavioral addiction. (Washington Post)

For the latest about your health, check out ConsumerReportsHealth.org.

Consumer Reports Morning Update

Good Friday morning. Here are the top stories our editors are keeping an eye on today. Check back with ConsumerReports.org throughout the day for updates and analysis on these topics and many more.

Food Safety Gap Filled Without Government:

With huge losses from food-poisoning recalls and little oversight from the federal Food and Drug Administration, some sectors of the food industry are cobbling together their own form of regulation in an attempt to reassure consumers. They are paying other government agencies to do what the F.D.A. rarely does: muck through fields and pore over records to make sure food is handled properly. These do-it-yourself programs may provide an enhanced safety level in segments of the industry that have embraced them. But with industry itself footing the bill, some safety advocates worry that the approach could introduce new problems and new conflicts of interest. (New York Times)

Study Finds Government Doesn't Have The Resources:

Local and state health officials trying to prevent food illness outbreaks are stymied by scarce resources, weak leadership from the federal government and bureaucratic barriers, according to a new study public health experts released yesterday. (Washington Post)

The Consumer Reports Safety Blog has the information you need about food and product safety.

Government To Appoint Chrysler Board:

Chrysler LLC's future leadership will be determined by the U.S. government and Fiat SpA if Chrysler succeeds at merging with the Italian auto maker. Chrysler Chief Executive Officer Bob Nardelli, in a note to employees obtained by Dow Jones Newswires, said a new board of directors will be appointed by the federal government and Fiat once a deal is completed. The majority of the directors will be independent. (Wall Street Journal)

Judge Would Control A GM Bankruptcy:

Any hope of a high-speed bankruptcy by General Motors faces a serious obstacle: a judge — not the Obama administration, not G.M. management and not the company’s creditors — would reign in court. A bankruptcy judge would be required by law to listen to unions, whose members fear for their jobs, benefits and pensions. And the judge would have to pay attention to creditors, including bondholders frustrated by how much they stand to lose if G.M. is broken up into “good” and “bad” companies as the administration is planning. (New York Times)

General Motorsis prepared to argue, if it seeks bankruptcy protection, that hundreds of its suppliers are "critical vendors" who require timely payments, setting the stage for what would be the most sweeping attempt ever to win special treatment for such contractors, people close to the matter say. (Financial Times)

Questions About The Future Of GMC And Pontiac:

GM, in its attempt to push its restructuring plan deeper than first proposed this year, is examining whether it makes sense to keep the GMC and Pontiac brands going, says a source briefed on the discussions. But it may be a tough call: GMC makes money, and the plan for Pontiac was to shrink it to just one or two profitable models. (USA Today)

For the latest news about the auto industry, check the Consumer Reports Cars Blog.

Banks Want Out Of Bailouts:

Six months after Washington rescued Wall Street, exasperated banks insist they want to leave the lifeboat. Jamie Dimon, the chief executive of J.P. Morgan Chase, said yesterday that he regrets accepting $25 billion in federal aid. Other large banks are attempting the same combination of breakup and embrace. Even as they clamor to exit the most prominent part of the bailout program by repaying government investments, firms continue to rely on other federal programs to raise even larger amounts of money. (Washington Post)

Water Bottle Deposits Are On The Way:

A growing number of states are either adding deposits on plastic water bottles or considering doing so to increase revenue and decrease litter. New York, Connecticut and Oregon have joined California, Maine and Hawaii this year in making water bottles part of deposit laws. New York will add a nickel deposit on bottled water starting June 1. The state has had deposits on carbonated beverages and beer bottles and cans for 26 years. Connecticut's 19-year-old deposit law will add water bottles as of Oct. 1. Oregon added them Jan. 1. (USA Today)

Consumer Reports Morning Update

Good Thursday morning. Here are the top stories our editors are keeping an eye on today. Check back with ConsumerReports.org throughout the day for updates and analysis on these topics and many more.

Foreclosure Problems Continue:

The number of homeowners facing foreclosure surged in March as lenders lifted temporary moratoriums and resumed legal actions against delinquent mortgage payers. Foreclosure filings — default notices, auction sale notices and bank repossessions — were reported on 341,180 properties in March, 46% more than a year ago and 17% above February's total, RealtyTrac reports today. (USA Today)

So Do The Efforts To Fight Off The Crisis:

The Treasury Department said yesterday that it has signed contracts with six major mortgage lenders to participate in the Obama administration's $75 billion foreclosure prevention effort. Together, the lenders could be eligible for up to nearly $10 billion in incentive payments for helping troubled borrowers save their homes by agreeing to lower the payments to affordable levels. (Washington Post)

Some People Are Buying Houses:

Lured by a combination of a drastic drop in home prices, expanded Federal Housing Administration (FHA)-insured loans, record-low interest rates, and an $8,000 federal tax credit, newcomers are breathing new life into a beleaguered housing market. Their entry, many hope, will help slow the fall in home prices and sales. First-time buyers bought more than half of the existing homes sold in February, according to the National Association of Realtors, and helped add to the 5.1 percent increase in sales from the month earlier. (Christian Science Monitor)

Have you been hurt by the mortgage meltdown or the housing crisis? Share your story with Consumers Union or watch people who have lost their homes tell their stories.

Small Banks Get Some Help, Too:

The Community First Fund has spent 17 years proving that lending to poor people is good business. It may soon get millions of dollars in fresh capital to help press its case. A little-known provision of the massive $787 billion stimulus law recently passed by Congress doubles federal funding for so-called Community Development Financial Institutions (CDFIs) such as Community First Fund. (USA Today)

Even Those With Jobs Are Cutting Back:

The frugality of millions of Americans who still have their good jobs feed back on the economy, holding down growth and encouraging other worried workers to trim their spending -- causing the whole vicious cycle to run another lap. Economists say many still-flush consumers are handcuffed by psychological traps that cause them to tighten their purse strings even though economic hardship is not their reality. (Washington Post)

Tax Day Brings Protests:

Wednesday’s deadline for filing income tax returns offered some Americans a timely excuse to vent their frustrations as demonstrators attended more than 750 Tax Day tea parties in cities like Boston, Washington, East Hampton, N.Y., and Yakima, Wash. The events were meant to protest government spending, particularly the Obama administration’s $787 billion stimulus package and its $3.5 trillion budget. (New York Times)

What The President Paid In Taxes:

The first family released its 2008 federal tax return Wednesday, showing total household income dropping to about $2.7 million from $4.2 million the previous year. The Obamas paid $855,323 in federal taxes, and made a total of $172,050 in contributions to 37 charities. Their largest gifts were $25,000 each to the United Negro College Fund and the relief organization CARE. (Los Angeles Times)

Guns Sales Soar In Recession:

Purchases of guns and ammunition are surging across the country. Nearly four million background checks -- a key measure of sales because they are required at the purchase of a gun from a federally licensed seller -- were performed in the first three months of 2009. No one knows exactly what is behind the gun-buying craze. Some buyers say they are stocking up for themselves in anticipation of new gun-control laws, while others say they're worried about deteriorating public safety as the economy worsens. But it's also clear that part of the gun-buying rally is driven by people who are buying weapons the way others invest in a hot stock. (Wall Street Journal)

A Savior For Saturn?

An unheralded private equity firm in Oklahoma City emerged Wednesday as the only known suitor for General Motor Corp.'s Saturn brand, promising to keep the marque and its dealership network alive. The firm, Black Oak Partners, said that if it acquires the brand, it would continue to distribute GM-made vehicles through 2011 and would also source vehicles from foreign manufacturers to badge as Saturns. (Los Angeles Times)

For the latest news about cars and the auto industry, check out the Consumer Reports Cars Blog.

Consumer Reports Morning Update

Good Wednesday morning. Here are the top stories our editors are keeping an eye on today. Check back with ConsumerReports.org throughout the day for updates and analysis on these topics and many more.

No Avoiding The Tax Man:

It's here, April 15, the deadline for filing income tax returns, and the IRS has some reassuring words for procrastinators, especially those who can't pay what they owe: Don't panic. The agency also has some advice: File a return anyway, or at least file for an extension. "The worst thing you can ever do with the IRS is ignore them," said Jackie Perlman, an analyst with the Tax Institute at H&R Block. "They don't like to be ignored." (Associated Press)

Most Americans would rather snake a toilet than do their own taxes, but the economic downturn has led to a sharp increase in do-it-yourself tax returns. Through April 10, the number of taxpayers who electronically filed self-prepared returns was up 17% from the same period a year earlier, according to the IRS. (USA Today)

Report Card On Big Banks Coming Soon:

The Obama administration is drawing up plans to disclose the conditions of the 19 biggest banks in the country, according to senior administration officials, as it tries to restore confidence in the financial system without unnerving investors. (New York Times)

This possible move, combined with first-quarter bank earnings and the push by some financial institutions to raise new capital and repay their bailout funds, could lay the groundwork for a new phase in the financial crisis. Within weeks, the stronger banks could emerge free of government shackles and flush with new funds, with weaker ones still reliant on federal largesse. That would transform how investors and the government view the financial sector. (Wall Street Journal)

Economic Predictions From Nouriel Roubini: 

This week, we at Consumers Union were fortunate enough to meet with and ask a few questions of Nouriel Roubini, professor of economics at New York University's Stern School of Business. Roubini is now famous—some would say notorious—for anticipating the scope and magnitude of the current recession, which is now nearly 18 months old. He has a reputation for being, shall we say, pessimistic. (CR Money Blog)

Intel Says Its Market Is Looking Better:

In another sign that the worst of the economic downturn might have passed, Intel said on Tuesday that the personal computer industry had bottomed out in the first quarter of the year. Paul S. Otellini, Intel’s chief executive, said, “The worst is now behind us.” (New York Times)

In the market for a new computer? Find the best laptop or desktop for you with the Consumer Reports Computer Buying Guide.

The Federal Trade Commission yesterday named Georgetown University law professor David Vladeck as director of the agency's Bureau of Consumer Protection. Vladeck is co-director of Georgetown Law Center's Institute for Public Representation, a program for civil liberties, open government and regulatory litigation. The appointment comes a month after several public interest and consumer advocacy groups asked FTC Chairman Jon Leibowitz to quickly fill the post, which has been called the commission's most powerful consumer protection role. (Washington Post)

Consumer Reports Morning Update

Good Tuesday morning. Here are the top stories our editors are keeping an eye on today. Check back with ConsumerReports.org throughout the day for updates and analysis on these topics and many more.

Tax Times Is Almost Here:

Individual federal tax refunds are way up this year, helping to buttress consumer spending amid the recession. But the refund-fueled boost could wear off within a few weeks, posing a challenge to recovery. Internal Revenue Service data show that through April 3, total individual refunds were up by about 15%, to $210 billion, from $183 billion at the same point last year. That extra money in consumers' pockets -- coupled with a drop in gasoline prices -- has helped keep consumer spending surprisingly healthy in recent weeks, economists say. (Wall Street Journal)

Looking for last minute tax help? Get tax tips and advice from the experts at Consumer Reports.

Bailed-Out Banks Boosting Fees:

With the economy in a downturn, there's one thing that's going up: bank fees and interest rates charged to customers. Including those charged by bailout banks that have gotten billions from taxpayers. Take Bank of America and JP Morgan Chase. They got a combined $70 billion in bailout funds. Yet since then, they've doubled credit card interest rates on some customers. (CBS News)

Fighting The Fear Of Frying:

What may be the next big thing in the quest for the perfect low-fat french fry will sprout from Iowa ground this summer. Pioneer Hi-Bred says its genetically engineered soybean will make an oil that has no artery-clogging trans fats. The high-oleic oil is supposed to last three to five times longer in commercial fryers than most zero-trans-fat oils. (USA Today)

GM Recalls Over Fire Risks:

The possibility of engine fires has prompted General Motors to recall nearly 1.5 million passenger sedans manufactured between 1997 and 2003, the National Highway Traffic Safety Administration announced Monday. The recall covers certain mid- and full-size passenger sedans under GM's Chevrolet, Buick, Oldsmobile and Pontiac brands. (CNN)

How Do Small Cars Do In Crash Tests?

Drivers have long wondered how size affects safety in car crashes. Many small cars perform well in safety tests but appear, intuitively at least, to be at a disadvantage in collision with larger vehicles. Now a series of crash tests indicate the disadvantage is substantial, even when small cars collide with vehicles that don't seem that much larger. (Wall Street Journal)

It’s long been known that in a duel between a small, light vehicle and a big, heavy one that the big car usually wins, based solely on the laws of physics. Just how bad it is for small-car occupants has been less clear. Now the Insurance Institute for Highway Safety (IIHS) has started to address that question with offset-frontal crash tests pitting three subcompact cars—the Honda Fit, Smart ForTwo, and Toyota Yaris—against larger ones from the same automaker. The results aren’t so good for occupants of the small cars. The three subcompacts tested all rated a “Poor,” meaning that serious or fatal injuries to the driver were likely. (CR Cars Blog)

Watch IIHS crash test videos on ConsumerReports.org.

Consumer Reports Morning Update

Good Monday morning. Here are the top stories our editors are keeping an eye on today. Check back with ConsumerReports.org throughout the day for updates and analysis on these topics and many more.

Possible Probe Into Bailed-Out Banks Which Raised Rates:

U.S. banks that received money under the Troubled Asset Relief Program (TARP) are facing a probe over increases in rates and fees, the Wall Street Journal said. The Congressional Oversight Panel, the body named by Congress to oversee the federal bailout, is working on a report examining instances of potentially inappropriate lending by banks that got taxpayer capital. (Reuters)

College Kids Might Need A Lesson In Credit:

A new study to be released Monday by Sallie Mae, a college-financing company, finds that the average undergraduate carried $3,173 in credit card debt last year, the highest level since Sallie Mae began collecting this data in 1998. In 2004, the last time the study was done, students carried an average of $2,169 in card debt. The higher the grade level, the greater the card debt, according to Sallie Mae. (USA Today)

Battle Looms Over Student Lending:

The private student lending industry and its allies in Congress are maneuvering to thwart a plan by President Obama to end a subsidized loan program and redirect billions of dollars in bank profits to scholarships for needy students. (New York Times)

Summer's Almost Here, But Wither The Amusement Park?

Four years after waging a brutal proxy battle to become chairman of Six Flags, Daniel Snyder and his management team face a summer that could produce the kind of queasiness riders feel zooming around on the company's Superman roller coasters. The firm, which announced last week that its stock was being delisted from the New York Stock Exchange, faces a more than $300 million payment to preferred stockholders in August that the company says it cannot afford. (Washington Post)

Americans Fall Back On Some Products:

When the economy goes south, Americans apparently reach for the lip balm. It's one of the few items consumers can have that is "feel good," practical and necessary. And Denver-based DGL Consumer Products is appreciating how the slowdown has sped up sales of its balm lines — Twist & Pout and Ballmania — a spherical take on what's typically been a tubular product. (Denver Post)

Real Estate Bargains Bring Miles Of Red Tape:

As bargain hunters turn their attention to foreclosures, many are discovering the toughest challenge is dealing with the banks that repossessed the homes. These banks are usually quick to accept a bid and write a contract. But the closer buyers get to the settlement table, the greater the potential for bureaucratic bungling and the chance the buyers will give up. (Washington Post)

'Surgical' Bankruptcy For GM?

The Treasury Department is directing General Motors to lay the groundwork for a bankruptcy filing by a June 1 deadline, despite G.M.’s public contention that it could still reorganize outside court, people with knowledge of the plans said during the weekend. Members of President Obama’s automotive task force spent last week in meetings and on conference calls with G.M. officials and its advisers in Detroit and Washington. (New York Times)

8 cars for under $18,000:

The term "Econobox" just doesn't mean what it used to anymore. These days, you can get a lot more in a small box than anyone would have thought just a few years ago. For less than $18,000 - or more than 30% less than the cost of the average car - you can get stuff that was only available in upscale cars a decade ago, including power windows and door locks. (CNN Money)

Parental Controls For Your Car:

Think of it as PG-rated driving: MyKey, a new technology system that Ford demonstrated at the New York auto show, allows parents of teenage drivers to restrict what their offspring can do with the family car — in a minimal, not-so-intrusive way, of course. (New York Times)

Looking for a new or used car? Check out all the ratings and reviews from Consumer Reports, plus catch our coverage of the New York Auto Show on the Cars Blog.

Consumer Reports Morning Update

Good Good Friday morning. Here are the top stories our editors are keeping an eye on today. Check back with ConsumerReports.org throughout the day for updates and analysis on these topics and many more.

The Housing Crisis Is Not Over:

From Maine to Hawaii, millions of new McMansions, post-World War II bungalows, modern downtown lofts, exurban town homes and inner-city row houses sit empty. This unprecedented glut of vacant homes — one in nine homes across the USA, according to the Census Bureau — will change the real estate landscape for years. What happens to the 14 million empty houses, condominiums and apartments and the 9.4 million that are for sale? How long will it take to absorb this massive and unprecedented oversupply of housing? (USA Today)

Advocacy groups are moving people into vacant homes, some in secret, others openly, as civil disobedience. The groups say that they have sometimes received support from neighbors and that beleaguered police departments have not aggressively gone after squatters. (New York Times)

President Pushes Refinancing:

In an economic round table with homeowners, President Barack Obama said Thursday that the government's efforts to drive down interest rates have fueled a surge in mortgage refinancing—putting money into many homeowners' pockets during the current crisis. But almost all the refinancing so far involves homeowners with conventional mortgages who are not in serious financial trouble. The president's own programs for helping troubled homeowners are just beginning to get off the ground. (Chicago Tribune)

Some of the nation's biggest lenders, including Bank of America Corp., J.P. Morgan Chase & Co. and Wells Fargo & Co., are beginning to roll out a new program established by the Obama administration as part of its housing-rescue plan to help refinance homeowners who otherwise couldn't get new loans. The program is open to borrowers who are current on their payments, have loans owned or guaranteed by government-controlled mortgage giants Fannie Mae or Freddie Mac and owe between 80% and 105% of their home's current value. (Wall Street Journal)

For advice on how to keep your home a happy and safe place, visit the Consumer Reports Home & Garden Blog. 

Some Good News About The Economy:

After months of nearly unmitigated gloom, glimmers of improvement are emerging in the U.S. economy. On Thursday, retail sales figures showed that the decline in consumer spending that began with a miserable Christmas shopping season might be stabilizing. Wells Fargo & Co. surprised analysts by saying it expected to report a record first-quarter profit despite setting aside $4.6 billion for potential loan losses. Wall Street celebrated by sending bank stocks soaring, and the Dow Jones index rising nearly 250 points. (Los Angeles Times)

Government's Progress Against Food-Borne Diseases Slows:

Efforts to reduce the number of food-borne illnesses in the United States have stalled in the past three years, and some illnesses are on the upswing, giving new urgency to efforts to reform the nation's food safety system, the Centers for Disease Control and Prevention reported yesterday. (Washington Post)

In the case of salmonella, the dangerous bacteria recently found in peanuts and pistachios, infections may be creeping upward. The report, from the Centers for Disease Control and Prevention, demonstrates that the nation’s food safety system, created when most foods were grown, prepared and consumed locally, needs a thorough overhaul to regulate an increasingly global food industry, top government health officials said. (New York Times)

Government To Buy 17,600 Cars From Detroit:

The federal government will speed up its timetable for the purchase of roughly 17,600 fuel-efficient vehicles in an effort to help struggling domestic automakers, the White House announced Thursday. The government will spend $285 million in stimulus funds to purchase the cars before June 1. The accelerated purchase order has been placed exclusively with General Motors, Chrysler and Ford. (CNN)

Specifically, said Obama, the General Services Administration plans to buy about 2,500 hybrid sedans as part of the buy, with order expected to be placed by next Wednesday. For domestic automakers, that most likely puts GM’s Chevy Malibu and Saturn Aura and Ford’s Hybrid Fusion at the top of the list. (Detroit Free Press)

Before buying any car, check the Consumer Reports model ratings and reviews. If you're interested in the latest models, be sure to keep up with our coverage of the New York Auto Show.

Finish Up Those Tax Filings:

Gentlemen (and ladies), start your engines. Tax Day is less than a week away. But as you race toward the finish line, be mindful of common tax-filing errors. Some mistakes could cost you money. Others could raise red flags at the IRS. Tax software will do math and point out tax breaks you might overlook, but these programs are only as good as the information you enter. (USA Today)

Looking for some free tax help? Consumer Reports has the resources you need.