Northern Rock - Nightmare

ixwood

It means they're not allowed to be competitive/market leading, as they're really a bankrupt bank supported by the government/us and it won't be deemed fair.

Bismarck

bunterpunter wrote: »

It appears NORTHERN ROCK don't want your savings either.I have a silver savings online account and have just been given TWO days notice of a 0.25% rate reduction,so assuming the BOE reduces rates by a further 0.25% next week, NR will follow suit thus obtaining a 0.5% rate reduction for their savers.I wrote to them thanking them for their short notice of rate reduction at the same time wondering why rate INCREASES weren't accorded the same speed.I received the following ,in my view,incredible response!
"Dear Customer,
Due to the business plan that Northern Rock has released we will not sustain a prolonged presence as a market leader in the market place or in any other category."
Make of that what you will.... I'm voting with my feet!

Well, at least there was no empty flannel!

All you have to do is hold the door open for everyone else when you leave!

bunterpunter

ixwood wrote: »

It means they're not allowed to be competitive/market leading, as they're really a bankrupt bank supported by the government/us and it won't be deemed fair.

Agreed,but without existing and new investors,quite how the debt is going to be repaid,in the proposed time frame,worries me.A slimmed down mortgage book may well not yield the sums envisaged given the the current and possible future direction of the property market which at worst could lead to negative equity repossessions.The company could then end up in the worst case scenario with a double whammy of a "second bankruptcy."

Sapphire

missk_ensington wrote: »

It might sound mean but if it comes to choosing between yourself and your grandson etc and a load of bloody rescue animals…

You're right – it does sound 'mean' (or worse). In my view the OP is to be commended for rescuing animals, countless numbers of which are being most cruelly treated by humans. How we treat other species is indicative of how we are capable of treating each other.

OP, perhaps you could sell your existing property and rent somewhere outside a city or large town, where rents are bound to be less expensive? That way, also, perhaps you could accommodate your animals?

P.S. I have a sister who rescues a not insignificant number of animals, so I know how you must be feeling. Each one of them is an individual, and it is an incredible wrench when one of them dies. I don't think any of my family could live with ourselves if the situation arose where we would have to part with them…

Good luck for the future.

chappers

bunterpunter wrote: »

Agreed,but without existing and new investors,quite how the debt is going to be repaid,in the proposed time frame,worries me.A slimmed down mortgage book may well not yield the sums envisaged given the the current and possible future direction of the property market which at worst could lead to negative equity repossessions.The company could then end up in the worst case scenario with a double whammy of a "second bankruptcy."

What you say is true in it's purest form but I see NR currently as being like an over crewed ship, with too many men in the rigging making the boat unstable, by trimming the crew and paying back most of it's commercial lending and keeping a sustainable crew on deck, it will then hopefully be in a position in the future to again secure more sustainable borrowing and maybe then offer that money at competitive rates, to borrowers who can meet tighter lending criteria.
Basically pay off it's current high risk/interest borrowing by recapitalising and then borrow at lower risk/interest rates to lend to lower risk borrowers.