spyguy

In short, yes.

http://www.ft.com/cms/s/0/67d28d36-d0cc-11e5-92a1-c5e23ef99c77.html#axzz3zqItIjiy 'Businesses are preparing themselves for cuts to prized tax breaks for corporate debt, in a Budget crackdown that would raise hundreds of millions of pounds a year. The move to reduce tax deductions for interest costs is likely to hit scores of multinationals, as well as companies in the utilities, property and private equity sectors.' Good luck with the argument that over leveraged LLs are being singled out.

#Urgh. What a disgraceful tnuc.

Just a more complex version of clipping gold coins.

There have but they are 20 years too late.

They need low rates to stop their loans from 2000-2007 from defaulting, destroying their capital. But they also need higher rates for new business i,e, interest rate spread. Thats the deadlock when you get when you do not let banks fail.

http://www.ons.gov.uk/ons/rel/lifetables/national-life-tables/2012-2014/stb-life-tables-2012-2014.html A newborn baby boy could expect to live 79.1 years and a newborn baby girl 82.8 years if mortality rates remain the same as they were in the United Kingdom in 2012–2014 throughout their lives. In 2012–2014, a man in the UK aged 65 had an average further 18.4 years of life remaining and a woman had an average further 20.9 years of life remaining. The most common age at death for men was 86 and for women was 89. Life expectancy at birth in the UK has increased since 1980–1982 by 13.5 weeks per year on average for men and 9.8 weeks per year on average for women Start at 1980, 26 years ago. Average life expectancy has increased by just over 9 years. The UK retirement age has only just started to be bumped up. Thats a lot.

Could that be explained by the move from DB to DC in the private sector? The company is no longer shouldering liabilites? And are public sector pension liabilities kept out?

Not fast enough. OK, rather than banning IO how about correctly priced? At the moment they are way too low considering the risk the bank is taking on.

But doesn't that cause a gross mispricing of Gilts and cause yields to rise?

2. Disagree. You need some means to cap the payout to allow for longer lifetimes. If the pub,ic sector is to continue with PAYG then the pension being paid out need to be reduced or they need to be drawn at a much later date - say 75. 4. Yes but .... IO mortgages, which ought to be banned.

+1,000. Its being seen as a solution to todays problem without thinking thru what the longterm outcome will be. CB + economists - idiots. There's a number of keeping low IRs. 1) The banking/finance sector will contract. We are seeing it now. Banks make their proft on the spread. Low rates = no spread = no profit = no banks. Look at the collapse of the banks share prices. 2) What money you save on your mortgage, you have to more than double in saving for your pension. With low rates no one will be able to retire - they are destroying saving and returns. You cannot have a system where the public sector, on unfunded pensions, gets given huge pensions when the private sector on DV pensions get f-all. 3) The number of banks and financial companies, which are located around the South, in and out of London, are cutting jobs rapidily. 4) If rates are low then the lending multiples need to very low too - banks should not be lending more than 2 times the main salary at the moment. Banks mortgage lending models are fcked!

'In any event, it will not come into force until 2019 at the earliest and most likely only in stages over several years.' Well, he's wrong on that. It comes in force in 2019. Banks will have to move to comply a couple of years before i.e. now-ish. Ah, just checked - a real towering intellect of banking. A quick google of 'Precise Mortgages' shows someone hovering around the loan shark level, operating in the adverse credit mortgage market. What could go wrong? http://www.ftadviser.com/2016/01/15/ifa-industry/companies-and-people/precise-mortgages-parent-in-sale-talks-dNiAfspnHH5coNZKlUhRLK/article.html 'Charter Court Financial Services - including Charter Savings Bank, Precise Mortgages and Exact Mortgage Experts - is sounding out the market for a new backer, FTAdviser understands.'

Is there? AFAICT all three groups barely have a pot to p1ss in.

Some do, a lot don't. A 67 YO female headteacher/council-made-up-job has been gifted an unfunded lottery ticket. Ditto a 55 YO copper or fireman. Pension provision for someone 55 working in the private sector with a DC pension will be significantly less. My mum, 72, has never worked in a job where she's paid tax. Maybe a few quid when she did some extra shifts. She's probably 10 times more from her pension than she ever paid in tax.

Well its debt - the levels of debt have run far ahead of the UKs ability to pay for it. In the late 80s boomers were in their 40s - 20 odd years before pulling down on unfunded pensions. Now they are pulling down on those pensions.

Yah - the camp will move to Dover is not credible. The migrants accumulate in Calias as that is where the port is. As soon as they cross the channel - poof! - off to London, bradford, Luton, or Slough.

They rush to go into a market, then they rush to get out. See Oil loans, Mittla loans and other credit advanced to misc. commodity plays.

From memory - 80% working.

Oil goes up, oil goes down. But the idiots in the North Sea have allowed their costs to get so far out of control that they have shat in their own well!

My working figures for the UK are: ~10% of adults are illiterate - cannot read anything. ~20% cannot follow an instruction guide i.e. functionally illiterate. - 50% cannot perform simple maths - percentages and the like, stuff you do at 14 at school. These percentages are spread across all age ranges.

3:1 !!! I wish!!! Most of the 4-8 house BTLers Ive chatted to have a leverage of around 15+:1. Thats why its so fcking insane.

I have problems as, as a tax payer, Im on the hook when it blows it - B+B leftover mortgage is junk. Leverage IO-only BTL is toxic junk that mainstream banks should not be in. The risk is too large.

Thats the reason for me starting the thread. In December, when I started the thread, polls were coming back with 40% OUT 60% IN. A quick poll of people I know came back opposite. And this was before the Eagles of Death metal shoot up and Cologne.

Im not sure. I think its combination of Disability scams, TCs, O+G, and taking out loans secured on the house.