Mervyn King: Raising rates would cause another recession

suburbanwifey

ILW wrote: »

Seems odd that you seem to dislike BTL landlords. Low interest rates are one of the best reasons to become one and many are doing very nicely due to the low rates.

On the contrary, I don't dislike them (if I was a renter I sure would) I do regret I didn't buy a few more houses and become one, its one of the easiest ways to gain wealth from what I can see. Good luck to any that are BTL'ers - I was merely saying that I feel sorry for those stuck in that trap, lining a BTL'ers pocket. In no way would I ever have become one, I'm not daft enough to line someone else's pocket I like to line my own but I am not insensitive to the needs of others, which is why I agree interest rates should stay low indefinitely to give others a chance to achieve what I and many others have done.

Graham_Devon

suburbanwifey wrote: »

which is why I agree interest rates should stay low indefinitely to give others a chance to achieve what I and many others have done.

Low rates are partially stopping people dong what you did. It's halted any natural market decline, and kept prices higher than they otherwise would be.

Low rates also don't benefit anyone apart from those already with housing.

MrRee_2

Low Rates only benefit those with debts .... regardless if they are home owners or not.

Mr._Pricklepants

MrRee wrote: »

... you've just got to get up off your rearend and get on with it, too many just sit there believing the world owes them a living.

Bravo :T

You should be motivational coach, Mr.Ree

Thrugelmir

MrRee wrote: »

Low Rates only benefit those with debts .... regardless if they are home owners or not.

Your statement shows how financially illiterate we've become as a nation. Debt costs money to service. Leveraging with debt requires an exit route. Cross one's fingers in hope is as much use as backing a horse in the Grand National.

MrRee_2

^^ EH? ^^

I have no debts - own a few properties - have a lot saved in cash, shares, ISA's, Bonds, etc.

Low rates do me no favours whatsoever ..... leverage means nothing to me, I don't lever off anything else - I buy what I want from what I have.

Like I said ... IR at low levels benefit those in debt.

Fella

MrRee wrote: »

I like how Mervyn says "All groups in society are suffering" .... well, he knows, and we all know, that's NOT true!!

He isn't suffering, you can be assured of that ... neither are the Bankers

I know it's fashionable (especially among Labour MPs & Union leaders looking to whip up a bit of class warfare) to blame bankers for everything, but let's be sensible for a moment. If it was actually the hugely well-paid & easy life it get's portrayed as then we'd all become bankers wouldn't we? There's a good reason we don't & that's because most people wouldn't actually be able to do the job. So they prefer to moan about bankers & blame them for everything instead.


Like all professions Banking undoubtedly has it's share of scumbags but almost certainly no more than most. Everything else is just politicians & numbskulls jumping on the bandwagon of blaming bankers for everything.


In the case of the politicians it's particularly despicable since it was them that created the environment that led to the credit crunch & then did everything they could to encourage the banks to run riot.

A._Badger

Fella wrote: »

In the case of the politicians it's particularly despicable since it was them that created the environment that led to the credit crunch & then did everything they could to encourage the banks to run riot.

And one particular bunch of politicians at that!

DervProf

MrRee wrote: »

It's hard for me to believe that there is suffering as I live and work in a very affluent area - I work and socialise with winners.

I would have thought that a man of your wealth and experience would have no problem in believing that there is suffering. You sound like you live in a bubble, rather than getting out there and seeing the bigger picture.

From my "humble" position, I see a lot of wealth, a lot of "poverty" and everything in between.

Good job your are not a politician. Mind you, to see the actions (or lack of) of some politicians, you could be.