We’d like to remind Forumites to please avoid political debate on the Forum.
This is to keep it a safe and useful space for MoneySaving discussions. Threads that are – or become – political in nature may be removed in line with the Forum’s rules. Thank you for your understanding.
Debate House Prices
In order to help keep the Forum a useful, safe and friendly place for our users, discussions around non MoneySaving matters are no longer permitted. This includes wider debates about general house prices, the economy and politics. As a result, we have taken the decision to keep this board permanently closed, but it remains viewable for users who may find some useful information in it. Thank you for your understanding.
📨 Have you signed up to the Forum's new Email Digest yet? Get a selection of trending threads sent straight to your inbox daily, weekly or monthly!
Spain is getting a bailout
Comments
-
This is what no-one wants to accept. We have all benefited from both governments and individuals living beyond their collective means.Thrugelmir wrote: »Easy way out.
No one wants to face the reality of the situation. i.e. a drastic cut in living standard.
Even the prudent benefited from the actions of the f3ckless. Businesses and their employees thrived due to spending by individuals on credit. Germany thrived from exporting goods to the PIIGS.
It was all about spending tomorrow's money today, but unfortunately tomorrow has now arrived with the indebted having to not only begin to live within their means, but also repay their debts. We will all have to get used to a lower standard of living, as what we thought of as the norm was actually an illusion."When the people fear the government there is tyranny, when the government fears the people there is liberty." - Thomas Jefferson0 -
Except that collectively we can't. Collectively, we can only consume what we've produced. Collectively, we can't actually consume tomorrow's production today.MacMickster wrote: »This is what no-one wants to accept. We have all benefited from both governments and individuals living beyond their collective means.
Separately, we can borrow what others have produced, house-buyers from savers, governments from pension funds, against our expected future earnings. But we can only borrow what is there to be borrowed, and the lenders don't have anything better to do with it.
Tomorrow's production will still be there to be consumed tomorrow."It will take, five, 10, 15 years to get back to where we need to be. But it's no longer the individual banks that are in the wrong, it's the banking industry as a whole." - Steven Cooper, head of personal and business banking at Barclays, talking to Martin Lewis0 -
Grim data:
There is a pleasure in the pathless woods, There is a rapture on the lonely shore, There is society, where none intrudes, By the deep sea, and music in its roar: I love not man the less, but Nature more...0 -
Spains banks need another €62bn:
http://www.bbc.co.uk/news/business-18539620
(On top of the recent €100bn.0 -
MacMickster wrote: »Germany thrived from exporting goods to the PIIGS.
Biggest export market for BMW in the boom years was the UK.......0 -
Graham_Devon wrote: »Spains banks need another €62bn:
http://www.bbc.co.uk/news/business-18539620
(On top of the recent €100bn.
Where did the 100 bn go, it just seemed to vanish in to thin air?[FONT="]“I've learned that people will forget what you said, people will forget what you did, but people will never forget how you made them feel.” ~ Maya Angelou[/FONT][FONT="][/FONT]0 -
:laugh: it is almost a comedy in some ways
They haven't used it yet, its all hypothetical. Some guy reckons they'll need this much, and then new data suggests estimates are off, etc
Banks operate on margin so nobody is exactly sure where the line in the sand is or which way the tide is turning, etc
Your question basically sums it up, uncertainty & the unknown. People learned & qualified dont appear to know the answer.
The obvious answer to me is 100% pay off is the only way they can be sure. When the houses is paid for 100% and it cant get any worse then the situation moves forward.
Ironically bankruptcy and default are somehow positives in that they are the 100% scenario. Its the final account and no further calls can be made when that occurs, everyone is certain and your question has an answer.
Till then the banks are being squeeze dried of all capital it seems, I think its that deflationary spiral Ben Bernanke and others always go on about in defence of printing money and other madcap tactics0 -
Some versions of this story say that the 62 billion required is covered by the up-to-100 billion already agreed in principle. Having got some numbers, Spain now goes ahead with a formal application for the money."It will take, five, 10, 15 years to get back to where we need to be. But it's no longer the individual banks that are in the wrong, it's the banking industry as a whole." - Steven Cooper, head of personal and business banking at Barclays, talking to Martin Lewis0
-
Spain formally requested on Monday European aid of up to 100 billion euros for its banks, the Economy Ministry said in a statement.
Spain's Economy Minister Luis De Guindos said in the letter to Eurogroup chairman Jean-Claude Juncker that the final amount of the financial assistance would be set at a later stage but should be enough to cover all banks' needs plus an additional security buffer.
He also confirmed his intention to sign a Memorandum of Understanding for the package, which would include full details, by July 9.
Reuters
Also rumour that Moody's is set to downgrade Spain’s banks later today as well.There is a pleasure in the pathless woods, There is a rapture on the lonely shore, There is society, where none intrudes, By the deep sea, and music in its roar: I love not man the less, but Nature more...0
This discussion has been closed.
Confirm your email address to Create Threads and Reply
Categories
- All Categories
- 352K Banking & Borrowing
- 253.5K Reduce Debt & Boost Income
- 454.2K Spending & Discounts
- 245.1K Work, Benefits & Business
- 600.7K Mortgages, Homes & Bills
- 177.4K Life & Family
- 258.8K Travel & Transport
- 1.5M Hobbies & Leisure
- 16.2K Discuss & Feedback
- 37.6K Read-Only Boards