The money men I had in mind were those nice people at Northern Rock, for example. Offering people 120% mortgages. With no proof of income. That sort of thing. Madness.
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olgitgooner
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LDB
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I must admit to not being overly familiar with mortgage/banking regulation in this country, Im sad but not that sad.olgitgooner wrote:No probs, LDB. Rants are what this place is for.
The money men I had in mind were those nice people at Northern Rock, for example. Offering people 120% mortgages. With no proof of income. That sort of thing. Madness.
However, i wouldn't be surprised if governments finger prints are all over those sorts of practices. In the US there was a massive relaxation of mortgage regulation so that clinton could feather his political nest by getting more blacks & hispanics in the south onto the housing ladder. Where the US goes the UK generally follows so i would wager a fair sum that our mortgage/banking regulation went through a similar process.
The banks are culpable in as far as they had the information available to see that there was a real stinker brewing in the system, but is it really the perogative of any individual commercial bank to ask those sorts of questions?
Politics is all about discourse and the politicians have embedded a powerful discourse that just blames the banks and attacks bankers bonuses. These politicians arent as ignorant or impotent as they let on - they've fucked us all, the banks are the just the symptom of the illness.
LDB wrote:By reckless money men i guess you mean governments and central banks?olgitgooner wrote:The UK is fucked, just like Ireland. And for much the same reasons. Reckless money men lining their pockets and pushing up housing prices to a ridiculous level. Very nice for well off people who have built up a property portfolio based on "buy-to-let" mortgages. It's a bastard for people paying expensive private rent. And with no hope of buying their own places anymore. House prices should be allowed to crash, just like the early 1980's.
Grrrrrrrrrrrrrrrr.
It was they who made a concious decision to encourage a housing boom with ludicrously low interest rates thereby flooding the market with credit. It was they who introduced guidelines and legislation (especially in the US under clinton) to encourage people unisuitable for home ownership onto the housing ladder. Prosperity = votes, right? Have a search for the leaked email exchange between alan greenspan and gordon brown in 1997, its quite revealing.
The banks and 'moneymen' were just reacting to the conditions placed infront of them, as they always do and always will do.
not really aiming this at you by the way, just fancy a rant
I googled it and got a link to this thread.
fractional banking based on money lent to to people who cant pay back was going to shaft us all sooner or later, and now we all have to pay back the wealth that did not exist until it was loaned as debt.
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LDB
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hmm, well it was a few years ago now that i read it, cant remember where the link was from. Im such a sad person that i was voluntarily reading about all this shit before it became trendyRNTGOONER wrote:LDB wrote:By reckless money men i guess you mean governments and central banks?olgitgooner wrote:The UK is fucked, just like Ireland. And for much the same reasons. Reckless money men lining their pockets and pushing up housing prices to a ridiculous level. Very nice for well off people who have built up a property portfolio based on "buy-to-let" mortgages. It's a bastard for people paying expensive private rent. And with no hope of buying their own places anymore. House prices should be allowed to crash, just like the early 1980's.
Grrrrrrrrrrrrrrrr.
It was they who made a concious decision to encourage a housing boom with ludicrously low interest rates thereby flooding the market with credit. It was they who introduced guidelines and legislation (especially in the US under clinton) to encourage people unisuitable for home ownership onto the housing ladder. Prosperity = votes, right? Have a search for the leaked email exchange between alan greenspan and gordon brown in 1997, its quite revealing.
The banks and 'moneymen' were just reacting to the conditions placed infront of them, as they always do and always will do.
not really aiming this at you by the way, just fancy a rant
I googled it and got a link to this thread.
fractional banking based on money lent to to people who cant pay back was going to shaft us all sooner or later, and now we all have to pay back the wealth that did not exist until it was loaned as debt.
