Where has the money gone?
 

This is a question that has been asked many times but remains unanswered.

The blame has been put on the US banks for the downfall of many economies in the world and the global downturn.

If a mortgage is granted a charge is laid on the property.
Bricks and mortar are supposed to be the foundation of all we believe in.
A mans home is his castle.
If a house is repossed for any reason it is my understanding that the house be sold to pecoup the loss to the lender.

Where has the money gone?

Re: Where has the money gone?
 

Now that is a good question... were does it go... prices go up because the price to transport goods has gone up.. the price of food goes up because the price of feeding livestock has gone up....companies lose billions.. if there is a loser then there must be a winner... so were has the money gone?.. who are the winners?... at some stage someone is making a hell of alot of money out of all this!

Re: Where has the money gone?
 

it is a good question, beats me.:confused: what really confuses me also, is all these debts the banks buy up or sell off, who in their right mind buys debts?:confused::confused:

Re: Where has the money gone?
 

Mind you.. perhaps quite abit of it disappeared into Royboy and Cashy's pension funds!! ;)

Re: Where has the money gone?
 

Chunks of it went on buying Porches, designer gear, and gourmet meals with champagne

Re: Where has the money gone?
 

Well it all began when bankers started lending money to people that could not pay it back and we are talking tens of thousands for property that was worthless but the bankers had done the business so took the commission.

They then sold the mortgages on to other finance company's for a fee who thought they were on to a good thing,once again taking bonuses and comm. worth millions.

It only came to light when one idiot decided to find out exactly what they had by now spent billions on and found property worth nothing.

Seams all the top bankers still got paid bonuses and comm. worth billions for sales that were worthless.

So all the people that borrowed billions between them have legged it.

Hope that helps.

Re: Where has the money gone?
 

We all have £33,000.00 each - Have a nice day:confused::confused:

Re: Where has the money gone?
 

eh Margaret... was that supplied under the freedom of information act on Cashy's pension fund? :eek:

Re: Where has the money gone?
 

So now that the money has evoporated, houses aint worth owt, shares are worthless, pension funds are empty the govenment is technically bankrupt what the hell are we going to survive? Printing more cash aint going to work as this can, even with low intrest rates fuel inflation. After world war one Germany tried it and ened up in a real mess. If we think its bad look at what happened in Zimbabwae. There are little clubs popping up in the states that wiegh in there old gold to make a few bucks as they reckon gold bullion is safe. So do we go the sameway or spend all our time in and out of the pawn shop?

Re: Where has the money gone?
 

and lets not forget that the Iron Chancellor Gordon sold of our gold reserves, and yet we still end up with a couple of Trillion pounds of debt, have a nice day:rolleyes:

Re: Where has the money gone?
 

I fail to believe that the houses are worth now't....The people who have been thrown out of these houses must need somewhere to live so why not offer them on rental agreement at a reduced. affordable rent. Better generating revenue than writing them off as 'Toxic Assets'.
Someone, somewhere is sitting on a goldmine. If they have been written out of profits and discarded, the answer still remains: Who owns them and who is going to profit in the end?
I cant imagine for one minute that the properties are being handed over for nothing on a first come - first served basis.
The ground they stand on is a tangible asset or is that to be classed as toxic as well?

Re: Where has the money gone?
 

I have no idea about the situation in the US - maybe both the land and buidling on the land is 'toxic' having been built on land that was unsuitable for house building.

But from what I have heard, about the massive losses posted by the former HBOS - they have put evrything that might be remotely classed as a bad debt into their latest figures. Possibly some of that debt might be repaid at some time - which would then make their profits look better when it is repaid, because if it has been written off once any money received would be a 'bonus' to the bank.

Here in the UK the land would have some value, as would the property on the land, but only if -
a) someone wanted to buy it and
b) there was money available to buy.

As regards where the people whose homes have been repossessed have gone too - I can't answer, they have possibly moved intot the private rented sectoe. But, I can tell you that currently in Hyndburn there are appox 2300 empty properites. And I have been trying to find out if this figure includes houses that are for sale by the mortage companies.

Re: Where has the money gone?
 

What gets me about this toxic debt is, the government have nationalised the debt, but not the profit making elements of the banks.
Perhaps it would have been better to give every current tax payer a share of the money that was given to the banks to bail them out.....at least the money would have been circulated....people would perhaps have spent it on refurbishing their homes(jobs for local traders)....or bought a new car(again ensuring the manufacturing sector stays solvent) they may have paid off their mortgages....getting rid of debt.
Instead the banks have taken the money and done precious little to help businesses, communities, and their customers.
Money needs to constantly flow to do the work that is necessary to ensure good financial stability.

Re: Where has the money gone?
 

In the first part or your post.
Your not suggesting banks are bent are you? :D
In the UK only a small parcel of land which a house stands on is worth money and I understand where you are coming from.
In the US we are talking about whole estates where people have lost their houses. Parcels of land like that just cant be written off, surely?

Re: Where has the money gone?
 

thats the beauty of being answerable to no-one i can say they are well bent.:D;)

Re: Where has the money gone?
 

I'm sure you will all be relieved to know that we don't have this problem in Canada:) What we do have is a Bank Act that regulates how banks behave and a strong Bank of Canada .... :mosher:

Re: Where has the money gone?
 

and that is what was missing over here.
I hope the government has learned its lesson......and is now going to act and form some kind of responsible regulatory body.

Re: Where has the money gone?
 

Would I dare suggest that banks are bent :rolleyes:.

As I said before I don't really know enough detail about the US situation, other than US banks lent to people that they knew would never be able to pay off their mortgage debt and then sold that debt on to another bank. Selling on of debt (especially bad debt) is very common practice - there are several UK companies who buy up debts from financial institutions and then persue the debtors for that debt. They even quite often after the debt becomes statute barred (which of the top of my head I thnik and even without solid proof that the debtor signed a legally enforceable credit agrrement (or have the voice recordings to prove a verbal contract). These companies pray in people who do not know their legal rights regarding credit/loan agreements.

Re: Where has the money gone?
 

It was the banks and big business that helped those in power today to attain power. As such there had to be a trade off/fat reward and I dont mean titles. The money men got what they wanted when the chancellor passed on responsibility on regulation. Now the cowpats are flying it all lands on the govenment. Those with the power in business can pass the buck by saying the govenment opened the stable door so the horse ran for freedom thus dont blame the horse for taking advantage.

Re: Where has the money gone?
 

There was no effective regulation and that is what was missing...now we are saddled with a debt that won't be paid off in my lifetime.

Re: Where has the money gone?
 

It will never be paid it will hang around the necks of us all until we shuffle off this mortal coil. Sadly I doubt they will learn and will consider it a blip and the blinkers will stay on.

Re: Where has the money gone?
 

Spuggie, I am sure you are right.
They ought to hang their heads in shame.

Re: Where has the money gone?
 

That is an illegal practice and surely heads must roll, not only in the loss of pension rights but by bringing criminal charges for wholesale fraud and deception not only in the US but also in the UK if they were a party to the scam. Ignorance is no excuse, or so I am told.
I like your choice of 'roll eyes' I should use it more often.

Re: Where has the money gone?
 

Heads role criminal charges peff I have more chance of being the next US President. They are too well protected by those with power and influence especially if they have profited from these deeds. Ignorence in the banking world gets you away with anything they want.

Roll eyes??? Is there a little man on your shoulder?

Re: Where has the money gone?
 

Not at all.....A tut is better than a wink to a blind man. :rolleyes:

Re: Where has the money gone?
 

interesting article in todays New york Times

http://www.nytimes.com/2009/03/04/bu...l?ref=business

seems some of the bankers who caused the crash by making bad loans are now using all their millions of bonus money to buy up the defaulted loans at knock down prices :eek:


as they used to say in the cowboy movies .......get a rope

Re: Where has the money gone?
 

The dirty scumbags!!!!! Hanging is to good for these people. Get a mob together n wreck what they buy!

Re: Where has the money gone?
 

That is the point I was making...I will pay for the rope. :eek:

Re: Where has the money gone?
 

Money will always look after Money.you n i do not count its that simple.:(

Re: Where has the money gone?
 

I agree, but are we all simple? :confused:....I think not

Re: Where has the money gone?
 

not simple but toothless, sod all we can do about the faceless ones, n ANY goverment is part of that 1%.

Re: Where has the money gone?
 

You in your immediate past have been a union leader. dont tell me you are toothless....stand up and say what you think about the current and passed governments. If you think that any faceless ones are pulling the wool over your eyes, say so?

Re: Where has the money gone?
 

i always have done, quite simply don't give a toss anymore, i know well what goes on,n the public have always chose to ignore it. apart from the "Barrack Room Lawyers" who are a complete waste of space. i know n so do you what happens, most folk are wrapped up in there own little spaces to take things on board. i am retired from my barrel thumping n someone like you will certainly not draw me out. i will just continue to say as i see, ya either like it or ya don't, makes no odds to me.

Re: Where has the money gone?
 

That was the answer I expected of you...good luck pal. :D

Re: Where has the money gone?
 

thats good, i smelt the coffee years ago, maybe you have lost yer sense of smell.:D

Re: Where has the money gone?
 

Pot of tea is more to my liking....and a drop of brandy at 4.59 Euros a bottle...giving rum a rest. :)

Re: Where has the money gone?
 

Would you dare suggest that banks are bent:confused::confused::confused: well you could claytonender and I think 99% of the british people would agree with you:D but that don't include Fred Goodwin:rolleyes: