Tuesday, September 18, 2007

Another 4.4 billion pounds of tax payers money injected into the system.

Bank delivers 4.4 billion pound emergency cash injection

The Bank of England pumped an emergency 4.4 billion pounds into money markets on Tuesday to bring overnight interest rates down after they had shot up in the wake of the crisis engulfing Northern Rock. Overnight rates hit 6.5 percent on Monday -- 75 basis points above the Bank's official rate -- on concern the troubles at Northern Rock

Posted by jj @ 01:04 PM (515 views)
Please complete the required fields.

One thought on “Another 4.4 billion pounds of tax payers money injected into the system.

  • In August, US defaults doubled. This is because sub-prime rates “step up” after a short peiod (sometimes called “teaser” loans). Typically this step up could be 6% to 13.25% on the TV programme I watched. This kind of jump triggers defaults, often the borrower is unaware of the timing of these sudden big jumps, and disaster follows.

    Many US borrowers were mis-sold high interest sub-prime mortgages when they could have taken out lower rate mortgages. Cases are now in the US courts.

    When they filter through the system we will have another Tsunami wave of debt defauts. Another credit freeze will kick in.. etc.

    Please complete the required fields.

Add a comment

  • Your email address is required so we can verify that the comment is genuine. It will not be posted anywhere on the site, will be stored confidentially by us and never given out to any third party.
  • Please note that any viewpoints published here as comments are user´s views and not the views of HousePriceCrash.co.uk.
  • Please adhere to the Guidelines

Your email address will not be published. Required fields are marked *

You may use these HTML tags and attributes:

<a href="" title=""> <abbr title=""> <acronym title=""> <b> <blockquote cite=""> <cite> <code> <del datetime=""> <em> <i> <q cite=""> <s> <strike> <strong>