interestrateripoff Report post Posted October 1, 2010 http://www.guardian.co.uk/business/2010/oct/01/banking-northern-rock A new company to unite Bradford & Bingley's mortgages with the "bad bank" of Northern Rock was created today in a move that is intended to help the taxpayer recoup more of its money from the nationalised banks.The new holding company will be called UK Asset Resolution (UKAR) and could one day be sold off alongside the "good" part of Northern Rock, which has begun selling new mortgages again. Bradford & Bingley was nationalised in 2008, but its savings books were sold to Santander. Northern Rock, also taken over the government that year, was split into a "good" and "bad" bank last year, the "bad" part holding its toxic assets being named Northern Rock Asset Management (NRAM). NRAM today said it had repaid £1bn of the £24bn taxpayer loan so far this year, up from the £300m it announced in August for the first six months of the year. Gary Hoffman, Northern Rock's chief executive, will now step down from holding a role at the "bad bank" of the Newcastle-based lender. He said todaythat impairment charges had reduced and arrears stabilised. "This integrated structure, with NRAM and Bradford & Bingley under common management and governance, creates the opportunity to deliver maximum value for the taxpayer and is therefore the right strategy. I wish the new board well for the future," Hoffman said. He disputes the description of NRAM as a "bad bank" as it returned to profitability in the first half while the "good bank" which offers new mortgages continues to make losses. Hoffman continues to be chief executive of Northern Rock plc, the "good" part of the lender. UK Financial Investments, which owns the taxpayers' stakes in the bailed out banks, said the new structure would help to increase returns to taxpayers. Excellent news for the taxpayer.... I can't wait for it to return a profit.... Quote Share this post Link to post Share on other sites
MinceBalls Report post Posted October 1, 2010 http://www.guardian.co.uk/business/2010/oct/01/banking-northern-rock Excellent news for the taxpayer.... I can't wait for it to return a profit.... There is only one thing better than a turd and that is an enormous magic poo. I see no reason why we cant all get our fair share of poo some time soon. Oh good Quote Share this post Link to post Share on other sites
jonb Report post Posted October 1, 2010 'The new holding company will be called UK Asset Resolution (UKAR) and could one day be sold off alongside the "good" part of Northern Rock' do they really think that having offloaded the toxic turd mortgages,the banks will buy them back.pullllleeeease Someone will buy them if the price is right. Unlike properties in Detroit, these mortgages are secured on property that is worth something, possibly about half the 125% mortgage secured on it. Quote Share this post Link to post Share on other sites
lurker07 Report post Posted October 1, 2010 The new holding company will be called UK Asset Resolution (UKAR) and could one day be sold off alongside the "good" part of Northern Rock, which has begun selling new mortgages again. That's the scary part. It should have been closed down and a message sent to all banks. Quote Share this post Link to post Share on other sites
