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Realistbear

Daily Mail: Britain's Debt Mountain Is "staggering"

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http://www.thisismoney.co.uk/news/article....e_id=2&ct=5

Banks to write off £4bn as debt soars

Simon Watkins and Dan Atkinson, Financial Mail

30 July 2006

THE staggering scale of Britain's debt mountain
will become clear this week when top banks write off billions in bad loans and official insolvency figures show that more than
270 people are going bust every day
.
HBoS, Lloyds TSB, Barclays and Royal Bank of Scotland are forecast to report bad-debt provisions of about £3.8bn over the next five days. Global giant HSBC's bad debts will come in at about £4bn, which is likely to include several hundred million for the UK.
With the £98m written off last week by Alliance & Leicester, Bradford & Bingley and Northern Rock, this will take the half-year total debt write-off for the UK to well over £4bn - up a third on the same period in 2005.

The "Miracle Economy" in all its glory! :lol::lol::lol:

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More a product of what happens if you simultaneously make credit easier to get and personal insolvency easier to get out of....

Irrational lending, raging inflation (in non-discretionaries), softening housing market, looming recession, rising unemployment, growing twin deficits and pressure to raise taxes, catastrophic oil prices, geo-political instability all add together to form a witches brew for the collapse of Gordon's Miracle Economy that is built on nothing but debt.

Edited by Realistbear

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Irrational lending, raging inflation (in non-discretionaries), softening housing market, looming recession, rising unemployment, growing twin deficits and pressure to raise taxes, catastrophic oil prices, geo-political instability all add together to form a witches brew for the collapse of Gordon's Miracle Economy that is built on nothing but debt.

I think someone got out of bed on the wrong side this morning... :D

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http://www.thisismoney.co.uk/news/article....e_id=2&ct=5

Banks to write off £4bn as debt soars

Simon Watkins and Dan Atkinson, Financial Mail

30 July 2006

THE staggering scale of Britain's debt mountain
will become clear this week when top banks write off billions in bad loans and official insolvency figures show that more than
270 people are going bust every day
.
HBoS, Lloyds TSB, Barclays and Royal Bank of Scotland are forecast to report bad-debt provisions of about £3.8bn over the next five days. Global giant HSBC's bad debts will come in at about £4bn, which is likely to include several hundred million for the UK.
With the £98m written off last week by Alliance & Leicester, Bradford & Bingley and Northern Rock, this will take the half-year total debt write-off for the UK to well over £4bn - up a third on the same period in 2005.

The "Miracle Economy" in all its glory! :lol::lol::lol:

Articles like this are really annoying. We went of £1 TRILLION of personal debt back in 2004 and this has grown to £1.2 TRILLION this year, so its hardly fair to say that 'it will become clear this week'. People should stop sticking their heads places they don't belong.

AFP

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I think someone got out of bed on the wrong side this morning... :D

You may well be Spartacus but I'm Brian and so's my wife! B)

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Patrick Boyden, personal insolvency partner at the leading accountancy company PricewaterhouseCoopers, said he expected the figure to keep rising in 2007. 'We could see 150,000 insolvencies next year,' he warned. Checking your credit history is the first step to dealing with debt. This is Money has teamed up with a leading credit agency to offer access to credit files in a free trial. Find out more. The figures are already far higher than during the last recession in 1992, when personal insolvencies reached 32,000. Some argue that the rise is caused by people abusing insolvency rules to avoid repaying their debts.

Sadly the bears amongst us are being proved right in spades. It must be clear to anyone now that a major crash is gathering momentum.

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http://www.thisismoney.co.uk/news/article....e_id=2&ct=5

Banks to write off £4bn as debt soars

Simon Watkins and Dan Atkinson, Financial Mail

30 July 2006

THE staggering scale of Britain's debt mountain
will become clear this week when top banks write off billions in bad loans and official insolvency figures show that more than
270 people are going bust every day
.
HBoS, Lloyds TSB, Barclays and Royal Bank of Scotland are forecast to report bad-debt provisions of about £3.8bn over the next five days. Global giant HSBC's bad debts will come in at about £4bn, which is likely to include several hundred million for the UK.
With the £98m written off last week by Alliance & Leicester, Bradford & Bingley and Northern Rock, this will take the half-year total debt write-off for the UK to well over £4bn - up a third on the same period in 2005.

The "Miracle Economy" in all its glory! :lol::lol::lol:

I think this post deserves to last a little longer. These are the statistics one associates with a crash.

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Articles like this are really annoying. We went of £1 TRILLION of personal debt back in 2004 and this has grown to £1.2 TRILLION this year, so its hardly fair to say that 'it will become clear this week'. People should stop sticking their heads places they don't belong.

AFP

Haven't mortgage rates gone up as well as credit card rates? If so, then this makes paying the 1.2trillion a little bit more difficult.

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http://money.guardian.co.uk/consumernews/s...1832397,00.html

Card limits 'to cut overspenders'

This is very telling.

You are queuing up to buy an armful of stuff at John Lewis. You've really been bashing the plastic over the past few days, but you've got some money coming your way in a few weeks. When you get to the till, the cashier tells you your card has been refused.

You are fairly certain you haven't gone over your credit limit. So what has happened? The answer: your card company thinks you are spending too much money and is taking action to rein you in.

These are not the only companies changing their small print. It has emerged that HSBC is set to charge some of its cardholders extra interest by changing the way it schedules repayments. From Tuesday, customers will pay off the most expensive transactions (such as purchases and cash withdrawals) last, and the cheapest debt (such as transferred balances) first.

# and we thought it was only the fake bank on the nationwide ads #

They could just cut the limits and force people to pay back more. Oo there'll be some squealing going on.

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http://money.guardian.co.uk/consumernews/s...1832397,00.html

Card limits 'to cut overspenders'

This is very telling.

You are queuing up to buy an armful of stuff at John Lewis. You've really been bashing the plastic over the past few days, but you've got some money coming your way in a few weeks. When you get to the till, the cashier tells you your card has been refused.

You are fairly certain you haven't gone over your credit limit. So what has happened? The answer: your card company thinks you are spending too much money and is taking action to rein you in.

These are not the only companies changing their small print. It has emerged that HSBC is set to charge some of its cardholders extra interest by changing the way it schedules repayments. From Tuesday, customers will pay off the most expensive transactions (such as purchases and cash withdrawals) last, and the cheapest debt (such as transferred balances) first.

# and we thought it was only the fake bank on the nationwide ads #

They could just cut the limits and force people to pay back more. Oo there'll be some squealing going on.

What a bizarre idea - trying to micromange their customer's spending. Heck, if I've just taken out a 12months interest free credit card with a 2k credit limit to spread the cost of some big planned purchases and I get embarrassed in some shop I'd be utterly p*****d off!

WHy don't these idiots stop handing out cards like smarties with unrealitically high credit limits to anyone with a pulse instead to trying to have their cake and eat it?

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What a bizarre idea - trying to micromange their customer's spending. Heck, if I've just taken out a 12months interest free credit card with a 2k credit limit to spread the cost of some big planned purchases and I get embarrassed in some shop I'd be utterly p*****d off!

WHy don't these idiots stop handing out cards like smarties with unrealitically high credit limits to anyone with a pulse instead to trying to have their cake and eat it?

i **think ** i'm right in saying that if a bank "bounces" a cheque when there is , in fact, enough cleared funds to cover it, one can sue them for defamation of character.

i wonder if the same would hold true here ; punter goes to pay with credit card only for the computer to literally say no due to said micromanagement. one for m'learned friends, methinks... :P

bizarre how they are all running scared though. :unsure:

Edited by gasket37

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Guest muttley

Don't forget that the bankrupty rules have changed recently.

This makes going bankrupt an easier and more attractive alternative to refinancing to pay off the debt.

It still affects your credit rating though.

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  • 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%



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