Why Do Banks Get All The Blame?

AliceJenkins

StevieJ wrote: »

Not a very good example as Tesco will have banked the profits on sale, alcohol abuse or not whereas the banks will have to write off dodgy loans and take a loss.

It's a perfect example, people get themselves into messes and then wont take any responsibility.

AliceJenkins

TruckerT wrote: »

Customers simply take what's offered

We've not talking about a need here, we're talking about a want. People living beyond their means. We're not talking about the price of food that people cannot avoid.

robmatic

It's certainly easier to blame a faceless minority rather than accept personal and collective culpability.

We voted for governments which promised spending without taxation. We carpetbagged most of the mutuals and building societies. We MEWed. We deposited our money with Icelandic banks because they paid the highest interest (no questions asked). We bought investment properties 'offplan' purely for speculation. We spent thousands on credit cards. There was always a choice.

Even now, we grumble about the behaviour of our universal banks that are too big to fail when there are clear alternatives available: the remaining building societies and mutuals, credit unions, peer-to-peer lending. Mind you, the returns might not be as good...

TruckerT

AliceJenkins wrote: »

It's a perfect example, people get themselves into messes and then wont take any responsibility.

Do you mean like the banks?

TruckerT

TruckerT

AliceJenkins wrote: »

We've not talking about a need here, we're talking about a want. People living beyond their means. We're not talking about the price of food that people cannot avoid.

I'm talking about some basic priniples of good business practice. needs and wants don't come into it, except that businesses exist in order to satisfy the needs and wants of the customers (in order to make a profit for themselves)

TruckerT

TruckerT

robmatic wrote: »

It's certainly easier to blame a faceless minority rather than accept personal and collective culpability.

We voted for governments which promised spending without taxation. We carpetbagged most of the mutuals and building societies. We MEWed. We deposited our money with Icelandic banks because they paid the highest interest (no questions asked). We bought investment properties 'offplan' purely for speculation. We spent thousands on credit cards. There was always a choice.

Even now, we grumble about the behaviour of our universal banks that are too big to fail when there are clear alternatives available: the remaining building societies and mutuals, credit unions, peer-to-peer lending. Mind you, the returns might not be as good...

I only just noticed your post, I'm sorry to say

I like your list of possible alternatives to banks, but they would only cover the need for an effective 'retail' banking system - ie what most of us need more than anything in our daily lives is a facility to handle our wages and our bills and expenses

As well as credit unions etc, I feel certain than organisations such as betting shops and pawnbrokers, supermarkets and chains of charity shops would be very capable of setting up suitable systems

Banks with a capital B are not remotely interested in such mundane activities, and would probably be pleased to be relieved of the burden

The blanket argument that we cannot survive without banks ignores the distinction between two completely separate types of banking business

TruckerT

AliceJenkins

TruckerT wrote: »

Do you mean like the banks?

TruckerT

The banks have taken ALL the responsibility, thats the point of the topic, did you miss that?

AliceJenkins

TruckerT wrote: »

I'm talking about some basic priniples of good business practice. needs and wants don't come into it, except that businesses exist in order to satisfy the needs and wants of the customers (in order to make a profit for themselves)

TruckerT

A profit by giving you a choice, no one makes you buy luxury goods or take out loans. These are not essentials.

TruckerT

AliceJenkins wrote: »

The banks have taken ALL the responsibility, thats the point of the topic, did you miss that?

AND SO THEY B****Y WELL SHOULD !!!!!!!

TruckerT

TruckerT

AliceJenkins wrote: »

A profit by giving you a choice...

But they didn't make a profit, did they? They gave their money away on loss-making deals

And then got bailed out

TruckerT