Wednesday, Feb 27, 2008

Banks may be forced to change the way they do business

BBC Economy: FSA sees credit squeeze on banks

FSA chief executive Hector Sants said banks will never again be able to raise as much money as cheaply as they had been doing by selling off their loans.

In an exclusive interview with the BBC, he said they will have to keep more of their loans on their own books.

That, in turn, may permanently push up the cost of borrowing for all of us.

"Banks themselves need to give consideration to how their business models will need to adapt to the changed market circumstances they have seen," said Mr Sants

Posted by ram @ 06:48 AM (152 views) Add Comment

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