HBOS/Lloyds TSB merging

robpw2

isnt nice to see the government are going to force this through if the deal is made and they will announce changes to the competition rules to be able to allow this merger .

cheerfulcat

robpw2 wrote: »

besides our friends at the monopolies and mergers commision wouldnt allow such a huge merger

They are being overridden...disgracefully, imv.

robpw2

4 financial institutions better than 1 ? 39 million customers for one bank wow
6000 branches - is this really a good deal for consumers?

robpw2

cheerfulcat wrote: »

They are being overridden...disgracefully, imv.

yes i know its really bad but it will save the government from having to bail out yet another bank - one that they would not be able to afford to bail out

bristolleedsfan

[quote=dunstonh;14253715 Shareholders will benefit (based on recent share price).


#quote]


HSBC, reported to be not willing to pay anything for HBOS Shares with LloydsTSB reported to have set a limit of 2.00 a share.

http://www.ifaonline.co.uk/public/showPage.html?page=ifa2006_articleimport&tempPageName=815572

debbie42

dunstonh wrote: »

Best thing about Lloyds buying HBOS will be no more Halifax singing adverts!

Whilst the Halifax ads are definitely annoying, the LTSB music is equally so, especially when sung ad infinitum in a squeaky voice by my daughter. Drat, and now I have it in my head again, just thinking about it. I'd better go and put some of my son's thrash metal on to chase it away... :rolleyes:

dunstonh

Its not just the banking side that will end up being merged here. Lloyds own Scottish Widows and Halifax have their own life company to retail products through their branches as well as Clerical Medical who retail through IFAs.

The merger would almost certainly see the end of Halifax life (not a bad thing ) and Clerical Medical (which would be a shame as they beat Scottish Widows in a number of areas).

paparossco

duncaf wrote: »

I actually asked this once before but now it's a reality.
Does anyone KNOW what happens when you have 35K in HBOS and 35K in LLoyds (split on purpose because that's the max compensation) THEN you find one takes over the other? I can't move it as it's in a bond.

I'd appreciate any informed comment. I'm drawing a blank with the BBC on this one too. Maybe it's just tough.

Should I talk to the FSA or whoever oversees this compensation scheme?

Thanks very much indeed.

From BBC http://news.bbc.co.uk/1/hi/business/7620744.stm

And what about our savings account?
You have nothing to worry about.
Both banks are solvent, and the government's desire to make sure no one even thinks that HBOS might be in some sort of difficulty is, effectively, a state guarantee of safety for your savings.
Plus, the Financial Services Compensation Scheme guarantees the first £35,000 of your cash anyway, in the event of an actual insolvency.
You can sleep easy.
But I have an account with both banks. What then?
Under the terms of the Financial Services Compensation Scheme (FSCS), the compensation for savers in bust banks goes up to £35,000 per "authorised institution", not per account.
If a newly merged bank became just one authorised institution with the Financial Services Authority (FSA) then you would have cover for only the first £35,000 of your money, not more. But banks sometimes retain their separate authorisations with the FSA after a merger, as in the case of the RBS and the NatWest.

cheerfulcat

robpw2 wrote: »

yes i know its really bad but it will save the government from having to bail out yet another bank - one that they would not be able to afford to bail out

It is an outrage the way this has been handled. The leaking of news to the BBC, the lack of a timely RNS announcement, the non-suspension of both HBOS and Lloyds shares - and now the plan to push the competitions commission to one side...frankly the whole thing stinks.

DocMartin

As an HBOS customer I'm slightly comforted by the latest news BUT it is a crisis measure and it is worrying that the govt. feels it can make up the law as it goes along. It certainly smacks of crisis management and I don't think anyone should feel particularly comfortable right now. People who say things like "it's inconceivable that... " should be open to any possibility at the moment.