Taxpayer may get £500bn liability

ianmoticon

I'm closing my RBS accounts. I don't trust them with my money.

bubblesmoney

maybe there should be a movement among savers and tax payers to only use banks that dont take taxpayer bailouts. that way people can vote with their feet and support only the banks that have less risky practices. stop using the !!!!! banks that took the tax payers for a ride. then no amount of bailouts will save them. once the govt catches on to this tactic they will stop bailing out the useless banks and will encourage prudent practices among banks rather than recklessness and bailouts.

vote with your money. use only banks that show prudent practise in their business and dont need taxpayer bailouts. i have accounts with the !!!!!! banks but have moved almost all of my funds out of them into banks that havent needed taxpayer bailouts and just maintaining minimal amounts to keep the accounts open for my records purposes. when the !!!!!! banks contact you as to why you moved your funds out or dont use their current account for crediting your salary anymore, then use that opportunity to tell them why and make sure they get the message. i told lloyds people that when they last contacted me, will be telling RBS if and when they contact me as well.

ianmoticon

That's interesting BUBBLESmoney. Which are the banks which have not been bailed out?

Is Barclays one?
What about Abbey?

overlander

That would be a start who has not been bailed out. I have switched to the Coventry as i have always found their customer service to be excellent.

overlander

I for one would support banks who have not been bailed out.

SamIAm_3-2

bubblesmoney wrote: »

vote with your money. use only banks that show prudent practise in their business and dont need taxpayer bailouts.

Wouldn't it be a bad thing for tax payers if everyone followed this policy? By forfeiting all the banks that have received tax payer’s money then the bank will have no customers, which removes any possibility of the bank’s survival.
If this happens wouldn't the government have to effectively write off the bailouts, which ultimately means all that tax payers money has disappeared down a black hole?

Or have I missed something?

I'm not suggesting you are wrong to have moved your money, it's just I can't see everyone doing this resulting in anything but disaster!

ad44downey

dandy-candy wrote: »

More unwelcome news ...

http://news.bbc.co.uk/1/hi/business/7906922.stm

1.3 TRILLION pounds is the grand total we're all in for now. This is going to end in tears.

MyLastFiver

Generali wrote: »

It's more like a drunk blaming the pub landlord.

I don't buy that, mon ami.

1. To take and spend cheap money is not exactly an aberration - it is classic and predictable market behaviour; an example of supply leading demand.

2. The banking crisis was not caused by people defaulting on their debts; the crisis was caused by banks buying those overvalued debts, and their complete failure to mitigate and manage risk. This was done through a mixture of incompetence and greed.

The missing trillions are not because American sub-prime borrowers have failed to pay their mortgages; it was always plain as day that those people couldn't afford the products they were sold. The black hole is in the difference between the pricing of securitized assets based on those loans, and their actual value.

Rochdale_Pioneers

ad44downey wrote: »

1.3 TRILLION pounds is the grand total we're all in for now. This is going to end in tears.

Yes, its £1.3tn. Assuming that the banks are defaulted on every penny they are owed. And assuming that every penny of assets the banks own are utterly worthless.

So yes, if you set aside reality and make up the numbers, we're all in for £1.3tn. Does repeating this fictional number make you feel better or worse?

Cannon_Fodder

If these toxic assets are so damned attractive, future-proof, and profitable why are there not private equity funds queueing up around the block to grab some juicily discounted deals?

To make a huge killing on in a couple of years time. No brainer, surely?

Perhaps Messrs Madoff and Stanford are putting together a group to take advantage, as we speak...