'We lost everything gambling on shares'

Luz

The problem is this peoples have a name that does,t go with many .

There has been lots of problems with institution,s in UK but the victims have a different name on the case .

Like I have seen so much made out of PPI ,that in some cases makes nonsense ,yet it carries on with bank having to put aside Millions to pay for this .

In my view this is well out of order in some cases, as many peoples asked for loans with nothing to back up those loans but their wages .But if they lost their job who would pay those loans ? they borough money the bank lend it ,and now have to compensate them for lending them money?

Here is quite different ,this peoples did not sign up for any loans ,they were sold a leverage account ,that by all means needs to be tested for suitability .And it will ,and the ATI will disappear altogether ,as there is no need to credit peoples accounts with cash ,that brokers don,t know if the customer have ,unless their accounts have taken a ride like what we heard yesterday .

With today fastest internet service ,you can deposit money into the account in seconds ,no need to upfront cash .

If we go to a bank and ask for a loan ,it will take a few hours to feel all the forms ,and the loan has to be according to you,r wages nothing more .Then you have to wait to get that loan at around 5 days to be approved ,so why do brokers upfront money to buy shares ? and who gives them this powers to do it ? and where does this money come from ? and last why they want to do this ? im sure this is not complicated to answer .If the banks cannot lend money so easy ,then the same should apply to brokers ,and this was what they tould this idiots when they open the account for them .IF YOU DON,T HAVE A DIRECT DEBIT YOU WILL HAVE TO FUND YOU,R ACCOUNT FIRST TO BUY THE SHARES .And this is on tape .

BillJones

Luz wrote: »

Do you know the meaning of fraud? FRAUD IS COMMITTED WHEN MONEY IS OBTAIN BY DECEPTION.

This couple have been pretty foolish, but they've not, so far as I can see, committed fraud. They willingly gambled their money on shares, and lost it. As adults they have this right, and it's probably good that they serve as an example to others of the risks f gambling.

Barclays have done nothing even vaguely wrong, from what we can see.

enator

I bought £5,000 worth of Marconi shares and eventually got a cheque for £2 back.


I am certain that I was mis-sold them, so is there anybody I can complain to & get my £4,998 returned?


LOL.

BillJones

Luz wrote: »

IF THEY DO NOT SELL THE SHARES WHEN THE CUSTOMER ASKS...

I wonder if perhaps you aren't clear on how the market works. At any time there will tend to be a bid price and an offer price. If you want to sell immediately you can ask your dealer to hit the bid, and to keep hitting it until the order is filled. You can also put in a "limit" order, which in effect says "do not sell below this level". If you take this latter route then there is a good chance that the market will just move away from you, and you'll not sell anything.

You need to remember, no-one can be forced to buy just becauuse you want to sell. Sometimes you need to bite the bullet and just hit whatever bid is there if you want to get out. Trying to hold out for a higher level is a risky game.

Linton

Perhaps I am being thick, but after reading through this thread I still cant work out what these people did. With any online account you can sell a share and buy another immediately with the platform settling in say 3 days time. But this doesnt give you access to any credit, it's just that the payments and receipts happen 3 days later.

So what feature of the Barclays account is different from any of the other diy platforms?

EdGasket

Linton wrote: »

Perhaps I am being thick, but after reading through this thread I still cant work out what these people did. With any online account you can sell a share and buy another immediately with the platform settling in say 3 days time. But this doesnt give you access to any credit, it's just that the payments and receipts happen 3 days later.

So what feature of the Barclays account is different from any of the other diy platforms?

Nothing.
The higher quality brokers will let you trade on credit until settlement; the cut-price brokers demand payment in advance of trading. They were allowed an initial £10K credit to buy shares but once bought, this increased due to the value of shares in their portfolio. Barclays have done nothing wrong except to allow muppets to become extreme muppets!

Linton

EdGasket wrote: »

Nothing.
The higher quality brokers will let you trade on credit until settlement; the cut-price brokers demand payment in advance of trading. They were allowed an initial £10K credit to buy shares but once bought, this increased due to the value of shares in their portfolio. Barclays have done nothing wrong except to allow muppets to become extreme muppets!

So how can one become an extreme muppet except by explicitly paying cash into one's trading account? The thread has raised the question of credit and suggested there is some sort of loop hole. But if Barclays are the same as all the other major online brokers there is actually no credit involved. Any buying you do after selling is also on T+3 and so you are never actually in debt.

Luz

The higher quality broker,let you trade on credit till settlement ,and after settlement day ? after what do they do put the account on minus ,sell there shares to recover the money owed to them, or carry on funding this account ?

Linton

Luz wrote: »

The higher quality broker,let you trade on credit till settlement ,and after settlement day ? after what do they do put the account on minus ,sell there shares to recover the money owed to them, or carry on funding this account ?

Say you have bought share X worth £100....

You sell share X. You wont get the money for X until 3 days time. But on all the major platforms you can buy share Y for £100 in the meantime. You wont actually own share Y till 3 days time, but you can sell it immediately and buy share Z.

The transactions legally happen 3 days later but at any point in time you still only have up to £100 to play with. I can see no way in this system to get into real debt - it works as if the transactions were instantaneous with shares being bought and sold using the money you yourself have placed in the account.

Luz

Linton ,

Better example from a customer ,that had an account with this broker,
Here it is ,Customer has share Z on his account because this share has been paid strait way he can buy share Y backed up by share Z buy now worth only 60 , so he bought Y , on the 3 day settlement his credited another 100, backed up share Z worth only 60 and share Y that has not been paid and the value is now 80 , he USES THIS TO BUY NAOTHER Y now cheaper .
So losing money already on all those shares , is already out of pocket ,

So at this stage the broker charges him 40 pounds plus interest and says he had to pay this with 5 working days or they will sale the shares at their end ,so the customer dose,t sale on the hopping to recover his money,So the broker on day 5 sales all this positions ,and the customer lost all his money ,his 100 plus fees all sold for lets say 30 ,pounds altogether ,But the broker adds all buys and sell , after selling his portfolio at a huge loss ,he then credits all that money back ,not 30 pounds but 300 altogether after selling all at a loss .The customer can buy again without any money on the account and no direct debit at all .