Why are u upset with lenders that don't pass rate cuts on?

System

ILW wrote: »

As a customer you always have the option of taking your business elsewhere.

No you don't, negative equity puts people in a lovely situation where the lender can charge as much as they like and there's nothing you can do except bend over and lube up.

ILW

Joeskeppi wrote: »

No you don't, negative equity puts people in a lovely situation where the lender can charge as much as they like and there's nothing you can do except bend over and lube up.

As said, the companies legal first duty is to their shareholders. Some may think they are doing exactly the right thing.

System

ILW wrote: »

As said, the companies legal first duty is to their shareholders. Some may think they are doing exactly the right thing.

Maybe so, but I didn't quote that bit.

We're discussing why people are angry, the argument "they can move elsewhere" is incorrect in many cases.

Isleman

beecher wrote: »

Because we're in the Anger phase - people who realise they're in negative equity and that their home isn't the cash cow they hoped it would be are now angry. Easier to be angry with the banks and blame them than realise they've made a big mistake in buying at the top. Wait til rates go up!

You got it all wrong mate !
There are loads of people including me who bought a house to live in it and start a family.I did not buy to speculate .
I don't think is fair that I have to be in negative equity and trapped by my mortgage company paying very high SVR. I know there is a risk you have to take when you commit to a mortgage but I think some lenders are just pushing it to the limit.

ILW

Joeskeppi wrote: »

Maybe so, but I didn't quote that bit.

We're discussing why people are angry, the argument "they can move elsewhere" is incorrect in many cases.

Precisely, the fact that some people cannot go elsewhere means the company can charge them higher rates, this means better shareholder value. They are doing what any business would in that situation.

System

ILW wrote: »

Precisely, the fact that some people cannot go elsewhere means the company can charge them higher rates, this means better shareholder value. They are doing what any business would in that situation.

Not true again, many lenders have brilliant deals for people with no equity.

AverageJoe_4

Surely everyone wants the best for themselves, its human nature at the end of the day. Who is going to pay over the odds for a mortgage...?

If you go to tesco and see half price jaffa cakes on one shelf and full price jaffa cakes on the next - which one are you going to buy - the full price so that tesco dont lose out on profit?

Hmm.....

ILW

Joeskeppi wrote: »

Not true again, many lenders have brilliant deals for people with no equity.

Only time will tell which turns out to be the better business model.

System

ILW wrote: »

Only time will tell which turns out to be the better business model.

Well, yes, but now that we've concluded that, I can't see why it's completely beyond some peoples brain capacity to comprehend why those stuck with the lenders with the "get rich now" business model would be angry.

ILW

Joeskeppi wrote: »

Well, yes, but now that we've concluded that, I can't see why it's completely beyond some peoples brain capacity to comprehend why those stuck with the lenders with the "get rich now" business model would be angry.

I can see why people may be angry. But to get it into perspective, many are now payng less than they would have expected due to falls in rates. Most of the anger comes from jealousy of seeing others getting a better deal.