HBOS in crisis
Keith Parkins | 20.03.2008 13:03 | Globalisation | World
"There has been a series of rumours in the market today. A number of ill-founded and malicious rumours about the UK banking system in the markets. These rumours have not a shred of substance whatsoever. They are lies." -- HBOS
"There has been a series of completely unfounded rumours about UK financial institutions in the London market over the last few days, sometimes accompanied by short-selling." -- UK Financial Services Authority
Yesterday saw HBOS shares go into free fall, a 17% drop in a single day.
http://news.bbc.co.uk/1/hi/uk/7306122.stm
HBOS blamed speculators for spreading rumours, but was this a smokescreen to cover massive black holes? Does the bank protesteth too much?
http://news.bbc.co.uk/1/hi/business/7305039.stm
I have an account with Halifax. They have been zapping it with unlawful charges, which I refuse to pay. They have twice agreed to pay this money back, but because I refuse to sign a declaration that I will have no further claim against the bank, I have yet to receive a single penny of what is owed.
http://www.indymedia.org.uk/en/2007/02/363556.html
Now the bank is chasing me with cowboy debt collectors. When I offer to counter sue, they back off.
Speaking with a friend, he has experienced exactly the same problem with Halifax. Multiply that up over all their account holders, and a massive multi-million pound black hole opens up.
The property market is expected to crash in 2010. Halifax is a major mortgage lender. Revalue all their assets, a multi-billion pound black hole opens up in their accounts.
All it will take is one picture of a queue outside a Halifax branch, and HBOS will go the same way as Northern Rock.
I was at a meeting a couple of years ago at which Treasury people were present. It was an open secret that the banks were facing meltdown. It was not openly discussed for fear of triggering the very crisis they feared.
The problem is debt and bad lending. Debt that is not sustainable.
All the banks are chasing bad debts which they know are unrecoverable. Debts that should be written off.
This morning the major banks went cap in hand to the Treasury demanding credit to bail them out.
http://news.bbc.co.uk/1/hi/business/7306058.stm
"There has been a series of completely unfounded rumours about UK financial institutions in the London market over the last few days, sometimes accompanied by short-selling." -- UK Financial Services Authority
Yesterday saw HBOS shares go into free fall, a 17% drop in a single day.
http://news.bbc.co.uk/1/hi/uk/7306122.stm HBOS blamed speculators for spreading rumours, but was this a smokescreen to cover massive black holes? Does the bank protesteth too much?
http://news.bbc.co.uk/1/hi/business/7305039.stm I have an account with Halifax. They have been zapping it with unlawful charges, which I refuse to pay. They have twice agreed to pay this money back, but because I refuse to sign a declaration that I will have no further claim against the bank, I have yet to receive a single penny of what is owed.
http://www.indymedia.org.uk/en/2007/02/363556.html Now the bank is chasing me with cowboy debt collectors. When I offer to counter sue, they back off.
Speaking with a friend, he has experienced exactly the same problem with Halifax. Multiply that up over all their account holders, and a massive multi-million pound black hole opens up.
The property market is expected to crash in 2010. Halifax is a major mortgage lender. Revalue all their assets, a multi-billion pound black hole opens up in their accounts.
All it will take is one picture of a queue outside a Halifax branch, and HBOS will go the same way as Northern Rock.
I was at a meeting a couple of years ago at which Treasury people were present. It was an open secret that the banks were facing meltdown. It was not openly discussed for fear of triggering the very crisis they feared.
The problem is debt and bad lending. Debt that is not sustainable.
All the banks are chasing bad debts which they know are unrecoverable. Debts that should be written off.
This morning the major banks went cap in hand to the Treasury demanding credit to bail them out.
http://news.bbc.co.uk/1/hi/business/7306058.stm
Keith Parkins
Comments
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Chain reaction.
20.03.2008 14:16
They took over The Bank of Scotland and got rid of staff who had worked for the BOS for years. They didn't do this fairly, used dirty methods to make people resign. One worked for BOS for over 30 years, they harassed her so much she had a breakdown and had to leave for the sake of her health.
BOS was derived from North west Securities and other similar credit companies who specialised in pushing people to borrow money regardless of whether they could afford it. It was a loan shark type outfit who did well and grew as a result. This was partly due to the fact they specialised in tax avoidance and did their best not to pay any tax on their huge profits.
Hope they sink without trace.
Jolly Roger