crash2006 Posted March 22, 2008 Share Posted March 22, 2008 THE buy-to-let mortgage specialist Bradford & Bingley has had a key credit-rating cut by Moody’s, amid a sharp jump in the number of customers falling behind with repayments.B&B’s “bank financial strength rating” (BFSR) has been cut by the agency from C+ to C, with warnings of further downgrades to come. The ratings agency describes the BFSR as “a measure of the likelihood that a bank will require assistance from third parties such as its owners, its industry group or official institutions”. http://business.timesonline.co.uk/tol/busi...icle3602076.ece Quote Link to comment Share on other sites More sharing options...
Its time to buy Posted March 22, 2008 Share Posted March 22, 2008 They have been downgraded from C+ to Crap. Quote Link to comment Share on other sites More sharing options...
Its time to buy Posted March 22, 2008 Share Posted March 22, 2008 Next rating is D for Dead in the water. Quote Link to comment Share on other sites More sharing options...
bazzer Posted March 23, 2008 Share Posted March 23, 2008 isn't C turd? or is this a different rating system base? Quote Link to comment Share on other sites More sharing options...
mayjay Posted March 23, 2008 Share Posted March 23, 2008 Completely f***ed. Northern Rock Mk II Quote Link to comment Share on other sites More sharing options...
right_freds_dead Posted March 23, 2008 Share Posted March 23, 2008 garr, those bradford and bingley f+ckers. Quote Link to comment Share on other sites More sharing options...
MRMX9 Posted March 23, 2008 Share Posted March 23, 2008 And I remember when they used to pride themselves on being a secure home for your money! How times have changed (for the worse) - they should have stayed a building society. Quote Link to comment Share on other sites More sharing options...
Nicholas Cage Posted March 23, 2008 Share Posted March 23, 2008 Nice one Bloomberg, The surge in credit costs has choked off lending to consumers in the U.K., especially for new home loans. Banks including Alliance & Leicester Plc, Bradford & Bingley Plc and HBOS Plc Scotland have withdrawn loan offers and raised the cost of borrowing in recent weeks. Just found it ominous Quote Link to comment Share on other sites More sharing options...
agb41 Posted March 23, 2008 Share Posted March 23, 2008 (edited) I'm pretty sure it doesn't go down to D. Anything below BBB- is considered "junk" (or high risk of default). The ratings cuts means ****** all in some cases though. If you look at MBIA (ticker: MBI) it was down over 90% of it's value in mid January from its high in July, and it still has AAA rating (but that's another story). You may laugh at this, but I did an internship in "Structured Credit" - read the soon to be infamous Collateralised Debt Obligation (CDO) and Credit Default Swap (CDS) - some 2 years ago. Did I dodge a bullet, eh? Edited March 23, 2008 by agb41 Quote Link to comment Share on other sites More sharing options...
Realistbear Posted March 23, 2008 Share Posted March 23, 2008 http://business.timesonline.co.uk/tol/busi...icle3602076.ece The "rumours" were evidently true. The American troubles have begun here in earnest. As March and April are the two earliest significant "reset" months we should see some real action very soon. Quote Link to comment Share on other sites More sharing options...
Bloo Loo Posted March 23, 2008 Share Posted March 23, 2008 Is this misreporting? they are going down from C+ to C with warnings of further de-rating? This is outrageuous. either they ARE a C or they are not. For a ratings agency to say they are likely to fall further means they really are in a bad way and dont deserve a C- NOW. This rumour needs to be investigated by the FSA. Quote Link to comment Share on other sites More sharing options...
Guest_Bosworth_* Posted March 23, 2008 Share Posted March 23, 2008 This rumour needs to be investigated by the FSA. So write to the FSA and ask them to - why should someone else do this for you? Quote Link to comment Share on other sites More sharing options...
Guest_Bosworth_* Posted March 23, 2008 Share Posted March 23, 2008 You may laugh at this, but I did an internship in "Structured Credit" - read the soon to be infamous Collateralised Debt Obligation (CDO) and Credit Default Swap (CDS) - some 2 years ago. Did I dodge a bullet, eh? Disagree. You would have made shed-loads of money for 2 years and then either seen the trouble coming and got out of the game or lost your job. Either way, net-net, you probably would have been better off my taking the gamble... Don't flame me - just an opinion Quote Link to comment Share on other sites More sharing options...
grey shark Posted March 23, 2008 Share Posted March 23, 2008 http://www.investopedia.com/articles/03/102203.asp Moodys , C = junk Quote Link to comment Share on other sites More sharing options...
Bloo Loo Posted March 23, 2008 Share Posted March 23, 2008 So write to the FSA and ask them to - why should someone else do this for you? They should be watching- thats what we pay them for. If i was BB I would complain. Furthermore, my post was a reference to the overreaction to the highly publicised FSA INVESTIGATE a rumour designed to destroy a UK bank- in spite of the fact that these rumours are a daily occurence, indeed, are part of the process of trading in the city. Quote Link to comment Share on other sites More sharing options...
Justice Posted March 23, 2008 Share Posted March 23, 2008 Does this have something to do with the insurance companies that turn bad stock into AAA are now refusing to pay up. Why has this been moved to off topic Quote Link to comment Share on other sites More sharing options...
Waiting Patiently Posted March 23, 2008 Share Posted March 23, 2008 Why has this been moved to off topic I was just wondering that meself! This is a highly significant development which should be on the main board, why is it being buried in some backwater? Is somebody keen not to upset Bradford and Bingley after the furore over supposed "rumours" about HBOS last week? Quote Link to comment Share on other sites More sharing options...
libspero Posted March 23, 2008 Share Posted March 23, 2008 http://www.investopedia.com/articles/03/102203.aspMoodys , C = junk Did you see the risk associated with a moody's C rating?? "High risk / In Default" Quote Link to comment Share on other sites More sharing options...
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