Rate on 30-year mortgage falls to 3.88 percent

WASHINGTON » The average rate on the 30-year fixed mortgage dropped near its all-time low this week, making home-buying and refinancing a bargain for those who can qualify.

Mortgage buyer Freddie Mac said Thursday that the rate on the 30-year loan fell to 3.88 percent from 3.98 percent. That’s just above the rate of 3.87 percent reached in February, the lowest since long-term mortgages began in the 1950s. The 15-year mortgage fell to a fresh low of 3.11 percent from 3.21 percent last week. The previous record of 3.13 percent was hit last month.

Mortgage rates are lower because they tend to track the yield on the 10-year Treasury note. Last week’s disappointing report on March job growth led more investors to sell stocks and buy Treasurys, which are considered safer investments. As demand for Treasurys increases, the yield falls.

No need to force lunch breaks, court rules

SAN FRANCISCO » In a case that affects thousands of businesses and millions of workers, the California Supreme Court ruled Thursday that employers are under no obligation to ensure that workers take legally mandated lunch breaks.

The unanimous opinion came after workers’ attorneys argued that abuses are routine and widespread when companies aren’t required to issue direct orders to take the breaks. They claimed employers take advantage of workers who don’t want to leave colleagues during busy times.

The case was initially filed nine years ago against Dallas-based Brinker International, the parent company of Chili’s and other eateries, by restaurant workers complaining of missed breaks in violation of California labor law.

But the high court sided with businesses when it ruled that requiring companies to order breaks is unmanageable and that those decisions should be left to workers. The decision provided clarity that businesses had sought regarding the law.

The opinion written by Associate Justice Kathryn Werdegar explained that state law does not compel an employer to ensure employees cease all work during meal periods. It stated that while employers are required to free workers of job duties for a 30-minute meal break, employees are at liberty to use the time as they choose even if it’s to work, she wrote.

Federal agency softens credit card fee limit

WASHINGTON » The Obama administration’s consumer financial watchdog agency is backing off a plan to limit big upfront fees on credit cards.

The Consumer Financial Protection Bureau acknowledged Thursday that its proposal would increase costs for cardholders and allow banks to charge more in fees.

Banks aren’t allowed to charge fees totaling more than 25 percent of a person’s credit limit in the first year that the account exists. But there’s no limit to the fees they can charge before the card is activated.

State bill to let parents freeze kids’ credit

ANNAPOLIS, Md. » As more and more children are having their credit ratings damaged by identity theft before they think of borrowing a dime, Maryland lawmakers have approved a first-of-its-kind measure to enable parents to take steps to protect their kids.

The Maryland Child Identity Lock bill, which a spokes woman for Gov. Martin O’Malley said he is likely to sign, will allow parents to take the step of freezing their child’s credit at any time. Supporters hope it will be a model for other states to protect not only children, but also disabled and elderly people, who can be particularly vulnerable to identity theft.

“This just freezes the information to ensure that it’s not used for ill purposes,” said Delegate Craig Zucker, a Demo crat who sponsored the bill in the House of Delegates.

Credit agencies do not knowingly create credit reports for minors under the age of 18. When credit bureaus collect data for people applying for credit from lending partners, they get a name and Social Security number, but they don’t have data to double-check someone’s actual age due to a lack of information-sharing between credit reporting agencies and the Social Security Administration.

Applications for unemployment aid tick up

WASHINGTON » More people sought unemployment benefits last week, suggesting the job market’s recovery remains slow. The increase also likely reflects some seasonal volatility because applications for unemployment aid frequently rise around the Easter holiday. Many school employees are temporarily laid off during spring breaks and can file for benefits.

Weekly unemployment benefit applications jumped 13,000 to a seasonally adjusted 380,000, the Labor Department said Thursday. The previous week’s figures were also revised higher. The four-week average rose to 368,500.

Struggling Sony to lay off 10,000

TOKYO » Faced with mounting losses, Sony Corp. said Thursday it will slash 10,000 jobs, or about 6 percent of its global workforce, and try to turn around its money-losing TV business over the next two years.

New CEO and President Kazuo Hirai outlined his business strategy at a press conference where he vowed to revive the electronics and entertainment company. Sony earlier this week more than doubled its annual net loss projection for the fiscal year through this past March to ¥520 billion, or $6.4 billion. That would be its fourth straight year of red ink and worst loss ever.

“As CEO I take this very seriously. But at the same time, it strengthened my resolve to transform Sony,” Hirai told hundreds of journalists. “Employees too want to restore Sony to its former glory and go beyond.”

ON THE MOVE

American Savings Bank has announced the following promotions, transfers and hires:
» Aimee Yamamoto as residential appraisal manager.
» Chris Abbott as the new director of business banking.
» Diana Carroll as first vice president and director of consumer analytics.
» Larry Ishii to senior vice president and commercial banking manager.
» Lisa Burgin to senior vice president and director of communications.
» Julie Haddock as Kapolei branch manager.
» Gunjan Doshi as business relationship manager.
» Mila Orlando has returned as a senior loan officer in the residential loan department.
» Dustin Matsudaira to branch manager of American’s Hawaii Kai Branch.