should erps be banned?

luckyfool

ninky wrote: »

actually i am not "paying for a benefit" because i rightly don't see the benefit of being tied in with erps.

How about the benefit of being allowed to borrow £90,000?

Nobody forced you to take out your mortgage. If you feel so strongly about mortgages and financial products why do you have a mortgage? I'm confused as to why you have not stayed in rented accomodation until you could save up enough to buy a property for cash? I assume you have cut up any bank cards and hold no bank accounts. I also presume you do not believe in money and have reverted to a barter based economy with your wealth kept in gold ingots under your bed.

We can all harken back fondly to the days of Dickensian England when mortgages were not necessary and homeowners paid cash for their houses. . . and if you didnt own a house you got to live rent free in the poorhouse. Those were the days!

TroJon

ninky wrote: »

actually i am not "paying for a benefit" because i rightly don't see the benefit of being tied in with erps.

as for having zero understanding of the financial sector.....banks do not simply lend out money that has been deposited in savings. if this was the case the amount of money in circulation would stay the same. it clearly doesn't. therefore, they lend out money that has been artificially created by the fact someone is going to take out a debt. for the system to sustain there must always be more and more money (or more and more debt). like the pyramid scheme it is it is clearly unsustainable (although govts have tried to buy it time with QE etc etc).

maybe it is you who needs to find out about how our economy works?

http://gaianeconomics.blogspot.com/2007/01/where-does-money-come-from.html

*Slaps forehead.

That link does nothing to help you.

You do realise governments don't really just make money and hand it out to a bank to keep, in times of QE if/when it is given, it's to benefit the economy and passed on to the general public not for the bank to keep and laugh at. Further to that, much of the economy is as normal, driven by new resources, more raw materials, commodities etc. etc. If you want to go really deep into where it's all coming from, it's basically the Sun (serious) but let's not go into that.

At the end of the day you have a random perception that banks are picking money out of the internet or have a special money farm where every year it just drifts down and banks have more and more money- if that were the case things such as libor and indeed recession etc. wouldn't be possible at all.

I think at primary school people can sometimes learn that banks borrow money as well. I think that's the only real point you need to grasp at the moment.