Topic: CREDIT CRUNCH

[betula]

What a mess our financial system is in.

My first thought was no why should tax payers rescue them but the more I listen and learn I think it will have far reaching consequences on us all.

You will find it very hard to get a mortgage,unemployment will rise and peoples pensions will be affected.That is to name just a few.It will end up costing the tax payer a lot more.

[posie]

My brother was about to cash in his shares in the insurance company that he works for to help pay for part of his wedding - there's no point now that the value has plummeted on them.  It's all looking very scary.  As a student I suppose in a sense I'm lucky in that I don't have to worry necessarily about losing a job and I don't have a mortage, but my grants and loans certainly don't go as far as they did two years ago and both me and my kids have had to seriously tighten our builts over recent months.  My dad's new business however is certainly suffering (he's a plumber).  I guess I can see why the economy needs to be bailed out, however I do have issues in that if Joe Bloggs makes bad business decisions, it's tough and he's bankrupt, yet if city fat cats make bad decisions, they get bailed out.

[ninnyscrops]

Busy looking up recipes for whey now they've taken all the cream!  ::)

[saddad]

I've had to put another four years on my Mortgage to keep the payments at what I can afford, I was inside the last ten!! Why should we bail out mega bonus Bas***ds who got it wrong...  ::)

[kt.]

We have decided to tighten belts more now and increase mortgage payments for the next 3 years to soften the blow when our fixed rate ends.  Our mortgage payments would increase 30% if our current fixed rate was to finish today.

[caroline7758]

I know it's simplistic, but how come governments can find billions of pounds to bail out bank and still miss their targets on reducing child poverty?

[pippy]

It's not the bail out that I object to - It's the fact that they are STILL getting obscene bonuses.  There has to be legislation to stop this.  And It isn't just the banks doing it either ... >:( >:(

[OllieC]

I was saying that to the Mrs today Caroline - there's kids eating mud cakes in Africa (where they add clay to the flour to bulk it out), and we can afford to give all this money to bail out very very rich people. And don't get me started on how much we've spent on this illegal war...

[betula]

They want to bail them out because the economy will go into nose dive if they do not.This is not something that just affects fat cats it will affect us all.

No point in saying why don't they give to this that or the other. :) :)

[Flunky]

I was saying that to the Mrs today Caroline - there's kids eating mud cakes in Africa (where they add clay to the flour to bulk it out), and we can afford to give all this money to bail out very very rich people. And don't get me started on how much we've spent on this illegal war...

I never know about the war thing. I agree it is illegal, but sometimes, i think, maybe it is worth it. Not disagreeing not wanted to go off thread. But i see more money being wasted in other areas.

I am firm believer in if you generate money for someone you deserve a share, you know how it is Ollie, financial services. always comission based from top to bottom.

Its hitting us really hard.

[debster]

i guess hubby and i and lucky, we both have good jobs, though how safe his is remains to be seen, we dont have expensive tastes or hobbies and rarely go to the cinema, pub etc, dont smoke either but do eat out occasionally. we also pay maintenance for 3 children plus their expenses and pocket money etc.
we do not complain about what we have and count ourselves very fortunate but what irritates me is when the government decides to put money towards young people going to the theatre for free why? surely there are better things the money could be spent on in my humble opinion i guess they are trying to bribe the next lot of voters!!!!  ;D

[coznbob]

Think everyone needs to tighten their belts for a bit, things will get tough for everyone at some point.

Know the person who had to make the 370 people redundant regarding the B&B, he was mortified, especially knowing his job was probably next.

The thing is, there would be even worse repercusions if the bail out didn't happen.

OH's job looking pretty ropey at the moment ( works in conveyancing ) so we have to tighten our belts especially hard just in case the worst happens. 4 kids and Christmas coming will make things interesting..... ::)


Maybe we should start a thread on how to survive the credit crunch...  top tips and homemade pressies! :D

[manicscousers]

we're doing just that this year, we have a home made christmas every couple of years, including saved brown paper, decorated..saved tissue paper as wrapping paper and home made crackers..I make creams and salves, ray made calendars last time..it's brilliant..this year, I'm doing chutneys, jams and pickles, strings of dried chillies..of course, we get a gift from the wish list, only up to 10.00 in value  ;D
the kids are the exception, I've yet to find out how to make ben 10 figures  ;D ;D

[Amazin]

I'd jail 'em - 20 years for endangering the welfare of the nation by reckless and wanton disregard. No-one will be untouched by this.

(I'd also remove parts of their anatomy for jewellery purposes, but that's just me)

[Paulines7]

I'd jail 'em - 20 years for endangering the welfare of the nation by reckless and wanton disregard. No-one will be untouched by this.

(I'd also remove parts of their anatomy for jewellery purposes, but that's just me)

If you jail all the bankers and financiers, the economy would crash even more!  I think the media have a lot to answer for in this present situation too as they have caused panic in the financial market.   Let's hope Bush can get an agreement on the bail out in the USA as that will definitely help the British economy.

[kitty]

i'd love the security of knowing that if i ran my business of 25 years in the same cavalier fashion that these bankers have done,i would have the government(i.e. your and my taxes)to bail me out....

bring back the roundheads say i!
kitty
xx

[jonny211]

That's what gets my goat as well - the banks take risks like lending 5x salary self certified mortgages and then expect honest hard working people to fund their losses when the loans don't pay back, sorry but that's a business risk and they should take the losses from their pockets and not ours.

If I were to stop paying my mortgage I'd have my home repossesed and not be bailed out by my neighbours.

PS. Mind you would I be right in thinking that if the US invests all this cash in these failing banks that they're effectively buying the 'bad' debts that they have? Surely these bad debts will pay back their dues plus interest over time netting the government their money back plus a heap of interest? I wonder which fat cats pocket that'll go into?

[OllieC]

As a time served mortgage broker, I can safely say that nobody I'm aware of has ever offered 5 times income on a self certified mortgage.

[jonny211]

Sorry - media hysteria had taken over my keyboard! What's the limit then?

[flowerofshona2007]

After my ill health we had problems as i could not work and i had no help money wise, not even free prescriptions !!!
As a result we hit problems and are now trying hard to sort it.
I have 5 language students living here all winter till next May, its the only way we can keep on top of it all and dig our way out :(
It was so easy to get more cash when we neaded it but it has to be paided back and many people forget that and end up lossing their homes :(
I get angry when i hear about people going on expensive holidays ect and expect others to pay their rent ect !!!!
We have to go back to spending what we have and not wanting everything NOW !!
To be honest saving up for something makes you care for it far more.
My advise is never get ill or take out some good insurance against it as 3 of mine didn't pay out even though i had cancer :(