NI Presbyterian mutual society, Short of funds for withdrawal?

yamis21

Nomad25 wrote: »

It's very heartening to see newbies [warm welcome to all] joining the NI board and in particular making their way to this thread, which hopefully means the word is spreading, albeit slowly, that PMS savers have a "rallying place" and somewhere to come, exchange thoughts and have their say.

:beer: Glad to have this forum to come to and hear what others are saying. Thanks

KingVardas

I'm just joining in to say many members of the public are caught up in Administrations. While they are all different, it is worth looking at others. There is a thread, for example, on Farepack http://forums.moneysavingexpert.com/showthread.html?t=283181. You can also Google "Farepack Administration" and learn a lot there. I realise that doesn't answer all the questions on this thread about specific matters but it might help some of the worried people to understand the whole drawn-out process of Administration.

Nomad25

Thanks KingVardas, I've just used that link and I find it quite disheartening, it looks like priority is given to all the little pigs at the trough, savers would appear to come at the bottom of the list - only eligible for pigswill you might say.

Dee1412

To Goodbyepci

Pull yourself together, we need you
Maybe you'll waken up tomorrow and Gordon will have come good for us

expat68

http://www.belfasttelegraph.co.uk/opinion/letters/presbyterian-loan-deals-14146655.html

All seems very quiet tonight - is it a night of rest in Norn Iron or is there something filthy on UTV?

Hadnt seen or heard this article before - anyone know if it is true. Putting up the interest rate seems odd on the surface but any chance the administrator could be encouraging people to refinance and pay back their loans early? Alternatively if they default he gets the assets and can sell quicker. He may also be trying to eke out the low quality borrowers so he has a decent residual loan book to sell on rather than waiting 15 years? If so maybe not a bad plan...............not great being a borrower and lender as you get to keep paying back you loan while the administrator sits on your deposit.

What I am still hazy on is who they lent the money to for £26m of buy to let properties and thats before I even get to building sites - thats a lot of presbyterians wanting in on the property market. did the directors not think that if investors wanted to put their money into property they could have done it themselves? By my reckoning barring around £12m loans to congregations the entire £300m was invested ultimately in property or land of some description. I wonder if any of the directors had ever heard the term diversification.

All that said a lot of the banks invested in financial assets they didnt even understand so at least the administrator will hopefully have something to sell - and the banks got bailed out so director's poor investing clearly doesnt preclude Gordon bailing you out.

Is there anybody out there?

eldivo

expat68 wrote: »

What I am still hazy on is who they lent the money to for £26m of buy to let properties and thats before I even get to building sites - thats a lot of presbyterians wanting in on the property market. did the directors not think that if investors wanted to put their money into property they could have done it themselves?

I think OldJohn raised the point a lot of buy to let loans could be for people who were employed with Tied accomodation (ie ministers and their manses)
Could explain quite a bit of that So it may not be as bad as it looks.
Still bad tho:mad:

Nomad25

Evening expat68 - yes it seems everyone has gone quiet, maybe no news is good news?

expat68

eldivo wrote: »

I think OldJohn raised the point a lot of buy to let loans could be for people who were employed with Tied accomodation (ie ministers and their manses)
Could explain quite a bit of that So it may not be as bad as it looks.
Still bad tho:mad:

Maybe but the given the write down in book value of the loans by the directors they dont seem to have much faith in their ability to keep paying?? I suspect a lot of the buy to lets were to people hoping to get rich quick - would love to know what loan to value principles PMS applied when they lent.

Nomad25

would love to know what loan to value principles PMS applied when they lent.

is this the sort of information that fall into the public domain or is it all part of the secret squirrel set-up?

expat68

If there is anyone out there who got a loan maybe they could let us know the checks that were done by PMS and how complex or easy the process was. Probably doesnt help much now but something to talk about while we wait for recommencement of some news flow.

i was also thinking about information on who they lent to - for secured loans which I would hope the loans for land and buy to let are the. Would PMS have had to register their interest in the asset anywhere which is in the public domain? Someone mentioned Stubbs Gazette before - what does that include?