I don't suppose it is the done thing to laugh ...

posh*spice

I read about a woman in the US who was given a loan for 180% the value of a property, with a rate that (after the teaser rate) she couldn't afford - the mortgage was for 30 years....she was 80:eek: Go figure:o

amcluesent

Had a pub-conversation with a city chap last year, maybe early summer. I asked about their position on >100% mortgages; his view was -

a) We take an upfront arrangement fee of £££, just for a few taps on the keyboard
b) If peeps can't service the dept, no worries as we reposess and cream off the capital gain.

Yep, that was their 'strategy'.

Max_Headroom_3

amcluesent wrote: »

Had a pub-conversation with a city chap last year, maybe early summer. I asked about their position on >100% mortgages; his view was -

a) We take an upfront arrangement fee of £££, just for a few taps on the keyboard
b) If peeps can't service the dept, no worries as we reposess and cream off the capital gain.

Yep, that was their 'strategy'.

Then thank goodness us tax payers are here to bail them out. Where would they be if their clear headed foolproof strategy had gone awry otherwise, poor chaps?

_bankrupted

I like the reference to the broker fee of 6K. They feel hard done by and are questioning the "value" obtained from such a fee.

Well they earn jointly 400k a year (or did). What value have they added to society to justify that sum. They don't work in a industry that creates material wealth from the manufacture of goods, development of new technologies/medicines. They are not adding to man (and womans) understanding of the world. No they work in an virtual industry that in part has created the disaster we face today.

I would question whether they have earnt their 400k just as they question that of the broker.

PasturesNew

GracieP wrote: »

These people's combined basic income is £446k

When I finish working and retire, that will be equivalent to my entire life's earnings. Jesus!

moanymoany

GracieP wrote: »

These people's combined basic income is £446k pa. While I don't equate earnings with intelligence I'd imagine anyone with that kind of salary has to have a rudimentary understanding of finance. How can they have the temerity to blame anyone else for their current circumstance?

Abso - bloomin - lootly!

They are hoping to get the loan made nul and void and so not have to pay it. Remember the £100,000 borrowers with learning difficulties with Lloyds? They are trying that on a MUCH larger scale!

neverdespairgirl

Them saying, "We are victims of irresponsible lending which was unsustainable" irritates me no end.

A couple earning £11k+ per month after tax should be able to do some basic sums themsevles.

Pathetic.

Incisor

_bankrupted wrote: »

I like the reference to the broker fee of 6K. They feel hard done by and are questioning the "value" obtained from such a fee.

Well they earn jointly 400k a year (or did). What value have they added to society to justify that sum. They don't work in a industry that creates material wealth from the manufacture of goods, development of new technologies/medicines. They are not adding to man (and womans) understanding of the world. No they work in an virtual industry that in part has created the disaster we face today.

I would question whether they have earnt their 400k just as they question that of the broker.

I would hazard a guess that their particular talent which nets them their money is to be bright enough to do some city role but dumb enough to believe what is explained to them and to do as they are told. I suspect that they are rather spectacular examples not of those who have instigated the present crisis, but those who carry out the orders of the instigators. [Not that it makes me any more sympathetic]

GDB2222

neverdespairgirl wrote: »

Them saying, "We are victims of irresponsible lending which was unsustainable" irritates me no end.

A couple earning £11k+ per month after tax should be able to do some basic sums themsevles.

Pathetic.

Actually, this appears to be one example of responsible lending. After all, the bank got its money back plus interest. The borrowers seem to be trying to invent a responsibility of the bank to advise them, but that is so far outside the law that it surely must fail? They have lost their £250k deposit, sadly, and I suppose they'll be going for their mortgage adviser.

BTW, I cut myself today - it was a paper cut on a letter I received from the bank. I'm consulting my solicitor on Monday to find out who is blame, as it sure isn't me.

ruggedtoast

I cant believe they thought they were 'victims'. Who are these people who work in the City, idiots on an institutional and personal level?