Why was Nationwide at the taxpayers' handout meeting?

purch

why did a representative from the building society attend the meeting?

I'd be more worried if they didn't bother to attend !!!!

They qualify to access these funds if required, so it is better to know about what it entails, and what their competitors will be getting, first hand, rather than reading about it on Pestons Blog !!!

Banks will issue us Preference Shares, and BS PIB's in return for our 'dosh'

dunstonh

iamesbo wrote: »

I think there was a free buffet.

brilliant.

That is so financial services. No lunch, no-one turns up. Free lunch, everyone goes.

RayWolfe

Had some myself. :-p

I,_Brian

It's to keep it level - basically, all the major banks (and Nationwide) borrow and lend money via the commercial markets, which are currently dried up.

It's not because Nationwide or Abbey or HSBC *need* the money - it's because they are all commercial lenders and borrowers, and if Gordy had only ensured the most troubled banks had deep help from the Treasury, it would create unfair competition against the stronger lenders.

Kind of like how Northern Rock has to raise mortgage rates and stop taking savers, because with government backing NR had an unfair commercial advantage.

You help a bunch of lenders, you help all, or else you rescue some and cripple the others for later rescue.

Sapphire

Pssst wrote: »

Simply because they are a major institution,are mutual,are responsible,have large assets,low risks and recognise the need for for unity and to support the Treasury in its endeavors to instill confidence in the British Economy. Dont get paranoid..!

I wasn't getting paranoid. My money is partly with them and I am not removing it. As I said, I was just curious.

Sapphire

Many thanks for all the responses.