northern rock

angstorey

I have a mortgage with Northern Rock can anyone please tell me what happens to that mortgage if they go down?:o

jamesd

You get told who will be collecting mortgage payments in the future and you continue to do so as usual.

dunstonh

Already answered on the other NR threads.

toonfish

there's more chance of Kylie Minogue going down - the media hysteria over this Northern Rock thing is incredible. Queues outside the branches at 6am for folk to withdraw their life savings.

dunstonh

Queues outside the branches at 6am for folk to withdraw their life savings.

I had to laugh at that when I heard it on the news. What very sad people they are.

homer_j_3

not sad but worried. Why worried, because the media have had a field day.

how many insurance polices get cancelled after a watchdog report? You have to laugh that these media people can get away with potraying half a story to make sure it gets people reading/watching their story

Calchas

dunstonh wrote: »

I had to laugh at that when I heard it on the news. What very sad people they are.

I respectfully suggest that the only reason these so called "sad people" are queueing at their branches is that the banks have acted in an even sadder way: they will not lend to each other, thus causing, or at least partly creating the circumstances in which it is easy for people to over react.

Don't panic say the banks, because they are doing enough panicking for everybody!!! :mad:

kennyboy66_2

dunstonh wrote: »

I had to laugh at that when I heard it on the news. What very sad people they are.

And there will never be a depression like the 1930's ever again?

I would say people are behaving fairly rationally. The chance that Northern Rock will go bust in the next 12 months could be as little as 0.1% or less (which would be once in a thousand year event).

However, if you have significant savings with them, why take the risk.

Perhaps you also laughed at those who did not have GAR policies transfering out of Equitable Life in the 1990's. After all, who would have thought that the worlds oldest mutual insurer would close without being able to find a buyer.

The chance of Northern Rock existing without being taken over in the next 12 months seems fairly slim now. Unless of course Clarence from It's a Wonderful Life appears floating over the Tyne.

jamesd

There are people taking out life savings exceeding 100k. Those people are clearly risk-averse, since sticking that much cash into a building society account isn't a great way to use it. No surprise that risk-averse people will take their money out.

poppy10_2

Calchas wrote: »

I respectfully suggest that the only reason these so called "sad people" are queueing at their branches is that the banks have acted in an even sadder way: they will not lend to each other, thus causing, or at least partly creating the circumstances in which it is easy for people to over react.

Don't panic say the banks, because they are doing enough panicking for everybody!!! :mad:

Exactly, its the banks that are panicking and hoarding their cash, thus jamming up the whole financial sytem.

WTF?_2

dunstonh wrote: »

I had to laugh at that when I heard it on the news. What very sad people they are.

If other banks won't trust NR with their money (and by all accounts, no-one would lend to it at any price) why should the public trust them?

The greater probability was that customer accounts were safe but why take the risk. If I had a substantial amount of money with them, I would certainly move it to a bank with no shadow hanging over it. I'd definitely move out any savings over the 35k compensation limit (and remember that even anything between 2k and 35k is only covered for 90% and could take months to reclaim).