More doom

[suityou01]

Linky

The number of loans being offered by banks has continued to fall in spite of the Funding for Lending Scheme (FLS).

The scheme, which began in August last year, was designed to encourage banks to lend more money, both to individuals and businesses, and boost the economy.

But the Bank of England has announced that net lending fell by £2.4bn in the final quarter of last year compared with the previous three months.

However, UK banks have taken up nearly £14bn since the scheme started.

Libor is not shooting up so it must be PPI payouts and stuff still making the banks cautious.

[Martin@AS Financial]

Linky



Libor is not shooting up so it must be PPI payouts and stuff still making the banks cautious.

I think that there are 2 opposing arguments here. Banks will tell you that despite historically low interest rates, people do not want to borrow and take on extra debt in these uncertain economic times.

On the other side of the fence, a first time buyer will argue that they are being let down by the FLS. Whilst it is great that you can now fix for 5 years with a 2% rate, you need 40% deposit to access this. If banks are signing upto this scheme, they need to stop using the money to shore up their balance sheets and start lending it out to those who the government intended the money for.

[vetran]

time for this:

Bank on Dave: one man's crusade to help small businesses raise finance | Money | The Guardian


Loans | Burnley Savings and Loans

[BoredBloke]

And its all a load of bollocks when the Bank of Ireland can decide to change the terms of their tracker mortgage because they were not making enough on it. How soon until the rest do the same?

[Martin@AS Financial]

And its all a load of bollocks when the Bank of Ireland can decide to change the terms of their tracker mortgage because they were not making enough on it. How soon until the rest do the same?

Absolutley.

Although any bank can move their SVR on a whim, increasing it to base rate plus 3.99% shows a complete disreguard for the future of their clients.

As you say, the worrying thing is that once other banks see that BOI can get away with it, they to will more than likley increase their SVR's as well

[TheFaQQer]

time for this:

Bank on Dave: one man's crusade to help small businesses raise finance | Money | The Guardian


Loans | Burnley Savings and Loans

Knowing Dave, I wouldn't trust him to run a bath, never mind a bank.

[TheFaQQer]

And its all a load of bollocks when the Bank of Ireland can decide to change the terms of their tracker mortgage because they were not making enough on it. How soon until the rest do the same?

Depends on the T&Cs. HSBC / first direct don't have any similar clauses to allow them to raise the rate like BoI have / will.

Most have a clause that will allow them to recall the payment in full within a month, though.

[Martin@AS Financial]

BOI are now offering clients £1000 to leave:

Bank of Ireland mortgage customers offered £1,000 to leave lender

Will be interesting to see what the future holds for BOI. The last time i saw something similar was when Mortgage Express started waiving early repayment charges before they closed for new business.

[suityou01]

BOI are now offering clients £1000 to leave:

Bank of Ireland mortgage customers offered £1,000 to leave lender

Will be interesting to see what the future holds for BOI. The last time i saw something similar was when Mortgage Express started waiving early repayment charges before they closed for new business.

goodness me.

[vetran]

Knowing Dave, I wouldn't trust him to run a bath, never mind a bank.

What's the issue Competence or Morals?

but the idea is quite good and works in Germany etc.

It would stop the banks being too big to fail long term.