Libor Rate Fixing Scandal - Reclaiming?

john10001

Does anyone know if Martin Lewis will be putting up a guide at any stage for people who wish to make claims against their banks etc for the fraud that was committed with the Libor rate fixing scandal that I believe Barclay's, HSBC and RBS were all involved in?

I believe the Libor rate effects the interest rates on Credit Cards, Overdrafts, Mortgages and other loans and there could potentially be millions of people who have suffered massive losses and detriment because of this. There are people who have lost their homes in the last three four years that we know this has been going on for and when rates are artificially inflated above what they should be by corrupt bankers it has a major impact on ordinary hard working people. I believe this corruption and fraud could have been a major contributing factor in the repossessions and loss of people's homes, as well as contributing significantly to the mounting debts of many people during the economic troubles when everything has come to a head.

I am not saying banks are completely to blame for wasteful spending of the last 15 years and I like everyone have to take responsibility for my own debts and learn to manage my own money better, but it certainly doesn't help having rates fixed and this fraud and corruption compounding people's problems and misery. For me the greater percentage of the blame lies with the banks, and quite a bit with government as well. They were all at it and it is my firm belief that people high up in the previous government were deeply involved in the fraud and knew that the Libor rate was being manipulated.

I believe this could be bigger than PPI claims and the Bank Charges saga.

Do you believe like I though that this current government will also try and brush it under the carpet and let the banks get away with it? I am convinced they will try and prevent any action being taken against them, especially now at the moment that with a few huge banks the government essentially is the bank so if we do have a case against them, would we then still only be shooting ourselves in the foot and machine gunning our brains out because that would mean the government forking out the money or bailing out these banks anyway and our taxes then going up to re-coup it back given that as I said a couple of the major banks we are essentially the owners of as taxpayers?

That is question one. My final quick question is do you believe the big banks and especially the ones involved in the fraud and corruption should be broken up or lose their banking license to operate in the UK?

I believe some of the big banks that were bailed out by government should eventually be privatised again but they should be split into several much smaller banks and it should be done by region.

The banks that are presently private, and reasonably involved in the Libor scandal I believe they should be forced to sell 60% of their branches in the UK minimum, or lose their banking license altogether if they were heavily involved as in the case of Barclays. Nationalise it briefly with the government taking over, then break it up and sell it off to other banks or new companies given the banking license instead. Even let supermarkets or companies from other sectors get the banking license to bring about or force change and innovation in a stale industry that refuses to change and modernise to the needs of the 21st Century.

Would love to hear your veiws and if you think it likely that people will be able to make claims for the Libor scandal and rate fixing, and if there will be a reclaiming guide done by Martin on this site like the other useful guides he has provided in the past.

Cheers,

John

roonaldo

I think you've misunderstood the barclays libor rate scandal. they were fixing it so their rates were lower. no customer got ripped off, if anything they were better off as a result of it.

There will be no 'Claims' as there is nothing to claim.

burnsie37

Not according to Barclay First Plus interest rates which have remained at 11% and they have used the excuse they go by the Libor rate for not lowering them

dunstonh

burnsie37 wrote: »

Not according to Barclay First Plus interest rates which have remained at 11% and they have used the excuse they go by the Libor rate for not lowering them

So you are saying that if the LIBOR rates had been higher that you would have got a lower rate?

roonaldo

burnsie37 wrote: »

Not according to Barclay First Plus interest rates which have remained at 11% and they have used the excuse they go by the Libor rate for not lowering them

thats the lenders standard variable rate, which is high because they are a subprime lender. your rate being high is unrelated to any libor rate fixing.

the scandal is about them manipulating the rates so they remained low, if Libor went up its likely so would First plus' SVR.

i dont see how it affects you.

~Brock~

john10001 wrote: »

Does anyone know if Martin Lewis will be putting up a guide at any stage for people who wish to make claims against their banks etc for the fraud that was committed with the Libor rate fixing scandal that I believe Barclay's, HSBC and RBS were all involved in?

I believe the Libor rate effects the interest rates on Credit Cards, Overdrafts, Mortgages and other loans and there could potentially be millions of people who have suffered massive losses and detriment because of this. There are people who have lost their homes in the last three four years that we know this has been going on for and when rates are artificially inflated above what they should be by corrupt bankers it has a major impact on ordinary hard working people. I believe this corruption and fraud could have been a major contributing factor in the repossessions and loss of people's homes, as well as contributing significantly to the mounting debts of many people during the economic troubles when everything has come to a head.

I am not saying banks are completely to blame for wasteful spending of the last 15 years and I like everyone have to take responsibility for my own debts and learn to manage my own money better, but it certainly doesn't help having rates fixed and this fraud and corruption compounding people's problems and misery. For me the greater percentage of the blame lies with the banks, and quite a bit with government as well. They were all at it and it is my firm belief that people high up in the previous government were deeply involved in the fraud and knew that the Libor rate was being manipulated.

I believe this could be bigger than PPI claims and the Bank Charges saga.

Do you believe like I though that this current government will also try and brush it under the carpet and let the banks get away with it? I am convinced they will try and prevent any action being taken against them, especially now at the moment that with a few huge banks the government essentially is the bank so if we do have a case against them, would we then still only be shooting ourselves in the foot and machine gunning our brains out because that would mean the government forking out the money or bailing out these banks anyway and our taxes then going up to re-coup it back given that as I said a couple of the major banks we are essentially the owners of as taxpayers?

That is question one. My final quick question is do you believe the big banks and especially the ones involved in the fraud and corruption should be broken up or lose their banking license to operate in the UK?

I believe some of the big banks that were bailed out by government should eventually be privatised again but they should be split into several much smaller banks and it should be done by region.

The banks that are presently private, and reasonably involved in the Libor scandal I believe they should be forced to sell 60% of their branches in the UK minimum, or lose their banking license altogether if they were heavily involved as in the case of Barclays. Nationalise it briefly with the government taking over, then break it up and sell it off to other banks or new companies given the banking license instead. Even let supermarkets or companies from other sectors get the banking license to bring about or force change and innovation in a stale industry that refuses to change and modernise to the needs of the 21st Century.

Would love to hear your veiws and if you think it likely that people will be able to make claims for the Libor scandal and rate fixing, and if there will be a reclaiming guide done by Martin on this site like the other useful guides he has provided in the past.

Cheers,

John

Well done John.

You are clearly an expert in this field and must have thought long and hard about all aspects of your suggestions, including all potential unintended consequences..

I suggest you bypass Martin altogether - he's just a journalist with a big website - and instead arrange a meeting with Mervyn King and Martin Wheatley, who are both likely to be eternally grateful for your pearls of wisdom and obvious solutions to the ongoing plight of adequate bank regulation. They may even refer you over to the US Congress as a sort of 'Red Adair' style fixer to the wider international banking issues.

When you get back, please let us all know how you get on.....:money:

meer53

People have lost their homes and got into huge debt usually because they've spent more than they earned. It's not rocket science. Or anything to do with the Libor rate.

roonaldo

It just seems people are hunting around for ways to profit from a scandal, perhaps to go on holiday. The OP has probably been reading the CAG website.

Alpine_Star

roonaldo wrote: »

The OP has probably been reading the CAG website.

That sounds par for the course. CAG have even opened a sub-forum ''for those affected by Libor/rate fixing'' (?)

jockdock

(Barclays) First Plus give 3 reasons to the Ombudsman for current high interest rates:

1. Bank of England rate
2. Libor
3. Competitiveness

FACT - Interest rates are at all time low - (Barclays) First Plus have refused to lower.
FACT - Barclays have been found guilty of fixing the Libor rate obviously to increase profits. (Barclays) First Plus cite Libor rate as reason not to lower.
Fact - First Plus have paid out millions in missold PPI, have been closed to new business for some time and therefore are not in competition.

The few customers they have not destroyed are now paying for their financial and moral mis-management of this company. Had they honoured the spirit of the loan agreements they would have lowered interest rates substantially in recent years. They haven't, they have used every dirty underhand trick to avoid honouring their customers and whether we agree or not the effect of the Libor fixing scandal they have been found guilty and any possible effects must be punished.

antrobus

What people don't realise about the LIBOR rate fixing scandal, is that 'fixing LIBOR' means that one or more banks lied so that a LIBOR rate was set at (say) 5.18% instead of 5.17%. Now, if you're a Big Bank with a £100 bn in LIBOR linked loans, one extra basis point can be worth a few million in your back pocket. If you're a Little Borrower who owes £10k you would, even if you could demonstrate that you borrowing cost was connected with LIBOR in any way, only have suffered the loss of £1.

Given what the Royal Mail charge these days, it would even be worth writing a letter of complaint over the loss of £1.