Jump to content
House Price Crash Forum
Sign in to follow this  
The Masked Tulip

Interesting Conversation In The Halifax

Recommended Posts

I paid a largish cheque into the Halifax today. It was my insurance for being sick overt he last 15 months that I had taken out for being self-employed.

(The cheque was welcome as, despite running my own limited company and hence paying NI TWICE both as an employer and employee, I had a phone call from a 'joyous' DHSS lady only yesterday telling me that I was not entitled to incapcity benefit and would receive not one penny sickness pay for the past 15 months. I asked where all my NI was going and she said it was for my pension, which caused me to laugh and to point out that I was thinking of getting one of those nice gravy train public sector jobs instead of taking the risks to run a business that brought REAL money into the country. It went over her head.).

Anyhow, I got the cheque from my insurance company and took it down to the Halifax. It was about a year's average salary after tax and, before I could blink an eye, they had two of their financial advisers asking me what I intended to do with the money and whether I was going to invest it or not. At which point, I trotted out the HPC speel.

To my surprise, both of them agreed completely with me.

They both said that house prices were now ridiculously over-valued, agreed about local prices being 3, 4 and even 5 times higher than 4 years ago, that it was indeed a big bubble and that it was ABOUT to burst - not that it MIGHT burst, or it could burst sometime in the future but that it was ABOUT TO BURST. They then mentioned, from their own knowledge, just how much debt many people had and how a great many people were now unable to repay their debt.

One of them then said it was exactly the same as in 1990 but that this time it was worse and how she could remember people posting their keys back to the building society at the time. She went on to say that she and her husband had just bought a 'small wreck' in 1990 despite peer pressure from friends and family to buy a bigger house that did not need any work. She said that within a year or two they were very glad that they had bought the wreck as most of the people who had told them to buy bigger and better either lost their homes completely or were so weighed down by debt, on a house that was no longer worth the mortgage, that they spent the rest of the Nineties paying it off and basically not living.

I then commented about the The Economist stating that the housing market was the biggest financial bubble in history and they both agreed with one of them saying that all bubbles go pop!

Amazing honesty. I wonder what has changed to make them so open about things?

Share this post


Link to post
Share on other sites

They are cuddling up to you, telling you anything you want to hear so that you invest your windfall with their company which had the great foresight to employ such nice people who agreed with everything you said and must therefore be the most trustworthy people in the financial world........oh c'mon Tulip free strokes is the oldest smoothie in the book.

Share this post


Link to post
Share on other sites

I wonder what has changed to make them so open about things?

Nothing has changed - they are merely stating fact.

I had a similar conversation with an EA a few weeks ago. The EA told me openly that houseprices in my area would fall through the floor - vendors were asking 'silly' prices and that if they didn't reduce their expectations then the area would become a social desert as nobody can afford to buy.

Bring it on

Share this post


Link to post
Share on other sites
They are cuddling up to you, telling you anything you want to hear so that you invest your windfall with their company which had the great foresight to employ such nice people who agreed with everything you said and must therefore be the most trustworthy people in the financial world........oh c'mon Tulip free strokes is the oldest smoothie in the book.

You cynic. I am not that naive - unless they have been trained to whisper and to pause whilst other members of staff walk past. Nope, this was honesty.

Share this post


Link to post
Share on other sites

You cynic. I am not that naive - unless they have been trained to whisper and to pause whilst other members of staff walk past. Nope, this was honesty.

Hey, scratch a cynic and you'll find a romantic bleeding...... but I lost my cherry years ago with car salesmen!

Share this post


Link to post
Share on other sites

They are cuddling up to you, telling you anything you want to hear so that you invest your windfall with their company which had the great foresight to employ such nice people who agreed with everything you said and must therefore be the most trustworthy people in the financial world........oh c'mon Tulip free strokes is the oldest smoothie in the book.

Spot on.

Share this post


Link to post
Share on other sites

They are cuddling up to you, telling you anything you want to hear so that you invest your windfall with their company which had the great foresight to employ such nice people who agreed with everything you said and must therefore be the most trustworthy people in the financial world........oh c'mon Tulip free strokes is the oldest smoothie in the book.

Yep, they know your not going to invest in property anyway - so they lay into the market

Nobody knows what's going to happen...

Share this post


Link to post
Share on other sites

Sorry to hear things have been bad for you, hope you have a better 2006. I`ll tell you what gets me re. self employment, having to pay extra taxes for the privilege of employing people and being an unpaid tax collector for the govt. :angry:

Share this post


Link to post
Share on other sites

Amazing honesty. I wonder what has changed to make them so open about things?

Did the stern looking lady with the whip who appears in your avatar piccie perhpas accompany you?

;)

Cinnamon

Share this post


Link to post
Share on other sites

I paid a largish cheque into the Halifax today. It was my insurance for being sick overt he last 15 months that I had taken out for being self-employed.

(The cheque was welcome as, despite running my own limited company and hence paying NI TWICE both as an employer and employee, I had a phone call from a 'joyous' DHSS lady only yesterday telling me that I was not entitled to incapcity benefit and would receive not one penny sickness pay for the past 15 months. I asked where all my NI was going and she said it was for my pension, which caused me to laugh and to point out that I was thinking of getting one of those nice gravy train public sector jobs instead of taking the risks to run a business that brought REAL money into the country.

As a director of your own (i assume small) limited company you should be paying 3/5's of FA NI anyway - if not your doing it wrong.

I assume you have not paid enough to claim sick.

Share this post


Link to post
Share on other sites

...despite running my own limited company and hence paying NI TWICE both as an employer and employee...

why don't you pay yourself a small salary and collect the rest of your income as a dividend?? There's no NI on the dividend and you pay less tax.

That's what I used to do.

Share this post


Link to post
Share on other sites

I have a largeish amount of money on deposit at the Halifax but my experience is rather more negative.

Three times since October, as I have been paying money in or out, the cashier has said "are you thinking about getting a mortgage, we're doing good deal now". And they're still trying to get me to take out an unsecured personal loan.

There appears to be plenty of air left in the bubble, unfortunately.

Share this post


Link to post
Share on other sites

Nobody knows what's going to happen...

I hope you weren't about to say "it's different this time" :lol:

Welcome to the forum matey. When you've read a bit more, I'm sure you'll work out that it is pretty clear what is going to happen. In fact, it's started already. How severe the downturn will be is £Trillion question.

Share this post


Link to post
Share on other sites

Well just before Xmas I had a chat with the EA who is also the owner of the agency. I played being a bull with him. He said it was a very difficult time to sell property and couldn't believe I thought BTL'ers were still buying in hoardes!!

Share this post


Link to post
Share on other sites

Not sure if this has been posted but it looks like an interesting indicator:

http://news.bbc.co.uk/1/hi/business/default.stm

Corporate insolvencies in the UK jumped by 11% in 2005, according to financial data firm Experian.

Personal insolvency rates are on the up also despite the VI's continuing to lend with abandon. No loans = no commissions. Without any serious watchdogs in place the VIs will loan themselves into the financial grave and take the debtors down into the pit with them.

REGIONAL CHANGES IN CORPORATE FAILURES 2005

City of London -0.7%

London +3.9%

South East + 6.8%

South West +7.1%

Wales -5.0%

West Midlands +19.0%

East Midlands +7.7%

East Anglia +7.0%

North West +11.1%

Yorks & Humberside +12.7%

North East +58.8%

Scotland -0.3%

Northern Ireland +5.4%

Total +10.7

Source: Experian

Edited by Realistbear

Share this post


Link to post
Share on other sites

Its a troll post - sorry to say this again but I don't believe you.

What you have written is just something to try and cheer up the desperate bears. It is also, so plainly the words of a HPC bear and not Halifax staff.

Nice try but it don't fool me. :D

Share this post


Link to post
Share on other sites

It's a nice story, but quite frankly anyone who wants your money is going to tell you exactly what you want to hear.

Perhaps they were completely honest, but sadly this doesn't fit with my experience of this world...

Edited by BandWagon

Share this post


Link to post
Share on other sites

Is it just me or does this thread not read right at parts? Have lots of comments been deleted or something?

defo.. I read at least 3 peoples missing posts - moosetea's etc..

Share this post


Link to post
Share on other sites

defo.. I read at least 3 peoples missing posts - moosetea's etc..

I've seen several posts deleted on different threads over the last day or so.

If you don't agree with the masses there is, quite frankly, no point posting. None of those deleted were offensive imo - just a different viewpoint. A few more could disappear from this thread I think.

Tbh, I'm quite shocked at how blatant it is. I've been on plenty of forums and never seen anything quite like this.

Share this post


Link to post
Share on other sites

It's a nice story, but quite frankly anyone who wants your money is going to tell you exactly what you want to hear.

Perhaps they were completely honest, but sadly this doesn't fit with my experience of this world...

At xmas I met for drinks with some old college buddies in the N.E. One of the girls works as an EA for the Halifax.

I haven't seen her for a while, and the conversation soon got onto house prices, suprisingly this year she's gone all bearish, so much so that she's decided to get out of the sector altogether, and find other work

She said the N.E has seen ridiculous HPI, FTB's dried up some years ago, and now BTL, and there's nothing left to hold the market up. She's getting out as she can't see anything improving.

I walked away from that conversation with a hell of a spring in my step!

Share this post


Link to post
Share on other sites

Join the conversation

You can post now and register later. If you have an account, sign in now to post with your account.

Guest
Reply to this topic...

×   Pasted as rich text.   Paste as plain text instead

  Only 75 emoji are allowed.

×   Your link has been automatically embedded.   Display as a link instead

×   Your previous content has been restored.   Clear editor

×   You cannot paste images directly. Upload or insert images from URL.

Loading...
Sign in to follow this  

  • Recently Browsing   0 members

    No registered users viewing this page.

  • 301 Brexit, House prices and Summer 2020

    1. 1. Including the effects Brexit, where do you think average UK house prices will be relative to now in June 2020?


      • down 5% +
      • down 2.5%
      • Even
      • up 2.5%
      • up 5%



×
×
  • Create New...

Important Information

We have placed cookies on your device to help make this website better. You can adjust your cookie settings, otherwise we'll assume you're okay to continue.