CityAM - Big mortgage borrowers rejoice, savers and renters getting hammered

RenovationMan

geneer wrote: »

pow. what a zinger.
and heres me thinking you would react well to being called out as deluded about your complicity in the financial meltdown and your unwarranted crowing about thoughtlessly benefiting from emergency base rates you never saw coming and that when you get down to it actualy assist bulls and bears alike.

just so we're clear like.

You are as clear as mud. I have no idea, seriously, no idea what you are talking about.

movilogo

Why do we tend to think borrow = bad, save = good?

All businesses need to borrow to generate profit and employing people.

Whenever someone borrows, he takes a risk (that he has to payback the debt). Savers are not taking any risk (they just want a guranteed return). History always favoured who took risks.

Savers can still enjoy higher returns via several investments (with higher risks) but again, they just want profit without taking any risk.

No risk, no gain.

PS: I have a tracker mortgage, so I do have vested interest in rate staying low

Thrugelmir

movilogo wrote: »

All businesses need to borrow to generate profit and employing people.

Companies need working capital to operate. Profit is a seperate issue.

As profit is often made on paper not reflected as cash in the bank.

geneer

RenovationMan wrote: »

You are as clear as mud. I have no idea, seriously, no idea what you are talking about.

oh i think we understand each other quite well rm.
your daft laddie act does of course speak volumes.;)