Where do I go now? My saving plan is ruined.

nilrem_2

Jake'sGran wrote: »

The F word is obviously part of your normal vocabulary but I still object to it in a forum even with the letters the wrong way round.

I have to agree with you and TBH I am glad to find I am not alone with this view, I am amazed that the owners of this site allow it and for the profanity filter to be overridden this way!

HankMcSpank

aqueoushumour01 wrote: »

Deflation: a persistent decrease in prices. Sounds great doesn't it - until, of course, wages start falling, nobody spends in anticipation of further price falls and unemployment sky rockets. Just ask the Japanese...

Well, I've seen it coming, prepared for it...so yes, erhmm it is great. What's more it's needed.

You simply can't have the BIGGEST global binge in the history of mankind, then just a couple of quarters where GDP falls & then everything carries on as normal.

If the average Joe loses his job, recent reports suggest he only has enough savings to see him through somewhere between 13-56 days .....with such a lack of foresight, tough luck (it's likely he's simply spunked it upon Plasmas, Holidays & 4x4s)

I've tucked away enough during the good times to see me through a LOT of years....so bring on that deflation....the hatches are well & truly battened down this end.

SGE1

theAnarchist wrote: »

Thanks I will. Its glum reading all of this.

What the fcuk are the government doing to help us Savers???

We are loosing money at the expense of bailing out others that have become debt ridden through sheer ignorance.

No, you aren't losing a penny. You're just making less of stashing your dosh than you would have otherwise.

And to be honest, interest rates have been quite high until now. So you've made a fair bit over the last couple of years, to the detriment of those with mortgages.

Stop moaning.

Old_Slaphead

SGE1 wrote: »

No, you aren't losing a penny. You're just making less of stashing your dosh than you would have otherwise.

And to be honest, interest rates have been quite high until now. So you've made a fair bit over the last couple of years, to the detriment of those with mortgages and funded an uncontrolled spending binge. Borrowing is at record highs.

Stop moaning.

What drivel !

It's the fact that mortgage interest has been so low that it's driven property prices up to an unsustainable level.

The government, builders, estate agents and banks have all been complicit in this (cos they've made loads of money at the property buyers expense).

As regards interest rates for savers - don't forget it's us that provide your mortgage. If we stop saving there's no money for your loans and mortgages so you, for a change, would have to save to fund your own purchases.

LongTermLurker

Mikeyorks wrote: »

How do you think you got your money back from Kaupthing. The Icelandic fairies?

Iceland doesn't have fairies, they have elves - and trolls.

ps - not saying OP is a troll.

LongTermLurker

Old_Slaphead wrote: »

Ahh, let's look after those idiots who had £50,000+ of unguaranteed investment with dodgy foreign banks but stick 2 fingers to those who had their small pensions invested with the same failing pension company as the MPs (before they extracated themselves on favourable terms).

What is it about this Government and fairness?

Earlier this year the forum was all about help, advice and support but I see there are a small number of miserable bugg'rs about these days who just want to winge and moan and argue politics :mad:

I'd love to at least see something constructive from these people once in a while, rather than the constant destructive comments.

Old_Slaphead

LongTermLurker wrote: »

Earlier this year the forum was all about help, advice and support but I see there are a small number of miserable bugg'rs about these days who just want to winge and moan and argue politics :mad:

I'd love to at least see something constructive from these people once in a while, rather than the constant destructive comments.

What's that got to do with politics - the Government illogically favours some categories of savers over others. Not equal opportunity for all. Saving is a lottery.

If you want me to stick to original subject....."Where do I go now. My savings plan is ruined".

Simple answer, tought, life's like that. Check out best rates available, bearing in mind how long you want to invest for, on somewhere like moneysupermarket.com, stop winging and get on with it!

LongTermLurker

Old_Slaphead wrote: »

What's that got to do with politics - the Government illogically favours some categories of savers over others. Not equal opportunity for all. Saving is a lottery.

If you want me to stick to original subject....."Where do I go now. My savings plan is ruined".

Simple answer, tought, life's like that. Check out best rates available, bearing in mind how long you want to invest for, on somewhere like moneysupermarket.com, stop winging and get on with it!

I thought you were saying that everyone was being treated the same?

My point was that this Government sees fit to indemnify ALL private savers even those who have acted very irresponsibly by ignoring the £50,000 (originally £32000) FSCS/passport guarantee limit whilst at the same time ignoring many long-suffering EL pension annuitants who were penalised due to abject failure of the Gov'ts financial regulatory system.

Your "simple answer" is actually the correct one, as people above have said - rates rise, rates fall; last year they rose and we earned good interest and those with enough flexibility were able to secure cracking savings rates >6% until the end of 2009 (well, November anyway). Those that were less flexible/attentive/astute have only low rates to look forward to.

The truth of the matter is that many people have mortgages and savings. It's inconceivable to suggest people should save £100k, £150k, £200k or whatever to buy a house, but yes, a minimum of 10% deposit should be necessary and offers should not have been as wild as they were. I see posts where people slag off all home owners for being irresponsible, when in reality it's only the lenders that were irresponsible and a small portion of the buyers were either gullible or desperate. People say they could have rented, but as there are fewer council houses available, renting just feeds the buy-to-let landlords who have turned the housing market into a free for all.

Savings rates have been good for a while, so I don't see why people who have no mortgage but have savings should slag off those of us who still work to pay our mortgages and would like a lower debt rate.

It's the fact that mortgage interest has been so low that it's driven property prices up to an unsustainable level.

Don't know about you, but my mortgage rate hasn't been that low for a long time, then again, I didn't go for a super-low rate as I believe, long term, it's false economy.

a7man

You have been conditioned to think that you deserve a good interest rate, why is this? Because the economy has been booming for the last few years and now its in trouble? Do you want the countries economy to go into chaos with hyper inflation and company collapses so you can have your measley 2% extra per year? Why dont you think outside the bank route if you are so frustrated and choose commodities or equities instead.

Old_Slaphead

a7man wrote: »

You have been conditioned to think that you deserve a good interest rate, why is this? Because the economy has been booming for the last few years and now its in trouble? Do you want the countries economy to go into chaos with hyper inflation and company collapses so you can have your measley 2% extra per year? Why dont you think outside the bank route if you are so frustrated and choose commodities or equities instead.

I have been conditioned to expect a fair rate and given that rates are at their lowest for 50 years I feel decidedly (or will do when fixed rates run out) impoverished.
Ps it’s not a measly 2% it’s 3% and counting.

That the economy has been, as you say, booming is because it was predicated on cheap credit – that’s a fact. Low mortgage rates have allowed buyers to bid houseprices up to astronomical levels – resulting in an unsustainable bonanza to many sectors of the economy. The Gov't/BOE should have attempted to engineer a soft landing, clearly with lack of foresight this was beyond them (maybe some banking regulation would have helped - but they were clearly too in awe of the sector).

Hyperinflation, deflation what’s it to be - anybody know? Anybody experienced either. Tecchie goods, clothes prices etc have been falling for years but it doesn’t affect sales.

Not all company problems relate solely to cash. Many are suffering huge increases in utility costs (ie gas prices up 100% for many in 2009). Many have too high labour/pension costs. They’ve experienced a few good years and have expanded in the expectation that this would continue – after all they were told boom & bust were a thing of the past. Those that have been cautious over the last few years and have saved some of their cash will continue to prosper.

We all know that the economy is in a mess (I wonder why?). Last year all we heard was (a) people don’t save enough (b) pension provision is woefully inadequate (c) UK levels of debt are the highest in the western world. So what do we do – encourage both public & private spending like there’s no tomorrow and keep our fingers crossed. No idea whether it will work but if, as many commentators fear that it won’t then we really are up the proverbial creak without a paddle.

I pity the 20 and 30 somethings who’re going to be saddled with this legacy for many years.

Ps sorry LTL for being a miserable bugg’r. This will be my last posting on the subject.

FWIW savings returns have only been 'very good' for last 12 months. Two or 3 years ago base rate was around 4% with loans being virtually 'given away'