Resentment against SVR hikes grows, Economists call for BOE to drop rates to 0%

abaxas

HAMISH_MCTAVISH wrote: »

No, the obvious solution would be for bankers to get back to historically normal, prudent and sensible levels of deposit requirements.

Where the average credit rating or better, a 5% to 10% deposit and a decent job were enough to get a mortgage at non-punitive rates.

In which case they would have absolutely no problem issuing 150K to 200K mortgages a month to people who were a good credit risk.



The only one floundering here is you, and the perverse incentive is the one we have now.

Where bankers have been allowed to engage in cartel-like behaviour and drive up mortgage profit margins by 300%, while reducing lending by two thirds, so making the same money for a third of the work and screwing the economy over in the process.

So you are advocating a 50-60% crash in house prices?

Which I find strange coming from you.

ILW

HAMISH_MCTAVISH wrote: »

No, the obvious solution would be for bankers to get back to historically normal, prudent and sensible levels of deposit requirements.

Where the average credit rating or better, a 5% to 10% deposit and a decent job were enough to get a mortgage at non-punitive rates.

In which case they would have absolutely no problem issuing 150K to 200K mortgages a month to people who were a good credit risk.



The only one floundering here is you, and the perverse incentive is the one we have now.

Where bankers have been allowed to engage in cartel-like behaviour and drive up mortgage profit margins by 300%, while reducing lending by two thirds, so making the same money for a third of the work and screwing the economy over in the process.

Do you have any evidence of a cartel amongst banks?