London Scottish Bank has gone into administration

BlondeHeadOn

From the BBC business pages this morning:

http://news.bbc.co.uk/1/hi/business/7758117.stm

"It specialised in council right-to-buy mortgages and those for high-rise flats."

And

"The FSA acted because London Scottish did not have the amount of cash it needed to continue operating.

HM Treasury issued a statement saying that all retail depositors would get their money back, even those with more than £50,000 in their accounts. Officially, only the first £50,000 is supposed to be protected."

Happy Monday, everyone !!!

moanymoany

What next? Or should I say who's next? Anyone got any ideas?

robin_banks

No surprise this, sub prime lender that they were.

Cannon_Fodder

robin_banks wrote: »

No surprise this, sub prime lender that they were.

but sub-prime must mean that is London, USA...

we don't do that here, according to our illustrious leader.

robin_banks

There always has been and always will be sub prime credit.

neverdespairgirl

I read that article, and it states:

London Scottish Bank has gone into administration after the Financial Services Authority stepped in to stop it accepting deposits.

The FSA acted because the Manchester-based firm did not have the amount of cash it needed to continue operating.



Called "London" and "Scottish" with HQ in Manchester?

BlondeHeadOn

neverdespairgirl wrote: »

I read that article, and it states:

London Scottish Bank has gone into administration after the Financial Services Authority stepped in to stop it accepting deposits.

The FSA acted because the Manchester-based firm did not have the amount of cash it needed to continue operating.



Called "London" and "Scottish" with HQ in Manchester?

Truly a 'global' enterprise!!

Well spotted NDG, I didn't see that gem.

:rotfl: :rotfl: :rotfl:

ad9898_3

robin_banks wrote: »

There always has been and always will be sub prime credit.

Don't tell our great leader, he will swear they are all immigrants from the States, well they must be, mustn't they. After all thats where it all started. If it wasn't for those pesky Americans, Northern Rock would be flying now with their 'new' 135% LTV mortgage.:rolleyes:

Conrad

I've dealt with this lender once as a last chance saloon. Horrendus service from top to bottom.
Now only a handful of subprime lenders left, and those have very tough criteria.

I see a massive underclass emmerging, unable to access mortgages, unable to buy home or remortgage.

Make no mistake, the subprime sector was very considerable in size, indeed it was almost single handedly responsible for keeping packagers (wholesalers) alive, but now the packaging sector is in very fast downward spiral, with companies closing by the dozen each month.

About 18 months ago I told Pauline (R5 Lives money 'expert') live on air we had a significant sub prime sector, and she dismissed me out of hand. Typical 'expert' eh

WTF?_2

ad9898 wrote: »

Don't tell our great leader, he will swear they are all immigrants from the States, well they must be, mustn't they. After all thats where it all started. If it wasn't for those pesky Americans, Northern Rock would be flying now with their 'new' 135% LTV mortgage.:rolleyes:

Yes, I remember very well in the early days of the crisis that the official line, which the media were happy to parrot, was that there was no sub-prime in the UK at all. British mortgages were made on much more sensible, prudent grounds and the house market would hold up just fine.

Amazing how people could tell such bare-faced lies in the face of the facts ... and how the media didn't ask any awkward questions.


I really do wonder how the government think that are going to borrow our way out of a hole that has been caused by excessive borrowing? It seems to me that they genuinely have so much hubris that they feel they can simply direct the markets to behave in the manner they desire and defy economic gravity with no consequences. Seems to be a hallmark of Brown's control-freak regime.

Janebo12

Hi, sorry if this sounds dense, but what will happen to the secured loan I have with these?

Does it just get sold on?

I have approx 18 months left to run on my loan (and no, I am not able to pay it off any earlier)

Thanks in advance for any help.