Tilley Posted 17 September 2008 Posted 17 September 2008 HBOS, which owns Halifax and Bank of Scotland took drastic measures on Tuesday to stave off a flood of customers rushing to withdraw their cash in fear of the crisis that’s engulfing the world’s financial markets will affect their savings, regulator and HBOS sent immediate statements to reassure its 15 million savers that their money was safe.HBOS shares took a tumble on Tuesday and at one point fell by 41 percent, the share price closed at 182p, down 22 percent on the day, on Monday the price had already taken a knock down by 18 percent. The share price downslide came after a top rating agency questioned HBOS’s financial strength. State side, one of the world’s largest insurers American Insurance Group (AIG) who are also Manchester United’s sponsors were close to collapse, The New York Governor, David Paterson who is coordinating the rescue plan, announced that AIG only has one day left to resolve its financial problems and warns “catastrophe” if it doesn’t find a rescue plan, if this Insurer Giant falls it will bring a whole new meaning to the word “credit crisis” as every leading bank has exposure to it. People around the globe will be waiting in anticipation as to the outcome of AIG. All my money is with Halifax, as is my Mum's & my Step-Dad's, Worrying.
Tilley Posted 17 September 2008 Author Posted 17 September 2008 Why? Because I had an E-Mail, from Halifax, explaining not to withdraw my money, as they are currently in talks etc etc. & I don't want the bank to collapse. As every penny to my name is with this bank.
Tilley Posted 17 September 2008 Author Posted 17 September 2008 AIG have been given a rescue package. I was reading an article about them. & they were asking, if shirt sponsorhip, is cursed <_<
Bellend Sebastian Posted 17 September 2008 Posted 17 September 2008 http://news.bbc.co.uk/1/hi/business/7620483.stm How exciting
James. Posted 17 September 2008 Posted 17 September 2008 Because I had an E-Mail, from Halifax, explaining not to withdraw my money, as they are currently in talks etc etc.& I don't want the bank to collapse. As every penny to my name is with this bank. Your money is safe. Withdrawing it exacerbates the problem.
davieG Posted 17 September 2008 Posted 17 September 2008 What is worrying is that the solution seems to be merge with someone else making them bigger and supposedly stronger - now that may be the case. But if and when these 'bigger' businesses go bust then the affect will be even more catastrophic. My knowledge of financial institutions is limited but it would seem size hasn't saved Lehmans and wont save AIG, well not by themselves so I worry about this rush to merge.
Ric Flair Posted 17 September 2008 Posted 17 September 2008 If Halifax go bust, do I get my mortgage paid off?
James. Posted 17 September 2008 Posted 17 September 2008 What is worrying is that the solution seems to be merge with someone else making them bigger and supposedly stronger - now that may be the case. But if and when these 'bigger' businesses go bust then the affect will be even more catastrophic.My knowledge of financial institutions is limited but it would seem size hasn't saved Lehmans and wont save AIG, well not by themselves so I worry about this rush to merge. I see your point but do bear in mind that HBOS is a very different business to Lehman Brothers and AIG. It may have serious problems that could get worse as house prices fall further but it also has the largest deposit base in the UK (apparently £1 in every £5 is saved there) and there are other UK banks that actually have higher funding requirements than HBOS. To some extent HBOS is a victim of short selling by hedge funds and other institutions. The problem is that this can often become self fulfilling when creditors to the bank are unnerved by a rapidly declining share price and decide to pull their funding.
davieG Posted 17 September 2008 Posted 17 September 2008 If Halifax go bust, do I get my mortgage paid off? It's a question I've asked but don't seem to get an answer. Not that I have mortgage now.
James. Posted 17 September 2008 Posted 17 September 2008 If Halifax go bust, do I get my mortgage paid off? No. The boys will come round with a can of petrol and a box of matches and demand the money up front.
Ric Flair Posted 17 September 2008 Posted 17 September 2008 No. The boys will come round with a can of petrol and a box of matches and demand the money up front. I'll be quite happy for them to set the fooker on fire and me walk away. I've had it 3 years now and i'd be about £20,000 in negative equity if I tried to sell up. So if Halifax could do me a favour and die, then that would be great.
The People's Hero Posted 17 September 2008 Posted 17 September 2008 I'll be quite happy for them to set the fooker on fire and me walk away. I've had it 3 years now and i'd be about £20,000 in negative equity if I tried to sell up.So if Halifax could do me a favour and die, then that would be great. Yeah, what DOES happen if Halifax go bust? I can't believe AIG pretty much went to the wall.
hairy Posted 17 September 2008 Posted 17 September 2008 If Halifax go bust, do I get my mortgage paid off? I am sure someone will buy the mortgage lending side of Halifax if nothing else. They are the biggest mortgage lenders in the UK. Should be worth a few bob in profit. I'll start the bidding £1.62
Ric Flair Posted 17 September 2008 Posted 17 September 2008 I am sure someone will buy the mortgage lending side of Halifax if nothing else. They are the biggest mortgage lenders in the UK. Should be worth a few bob in profit.I'll start the bidding £1.62 It might be worth cancelling my direct debit to them, call their bluff.
James. Posted 17 September 2008 Posted 17 September 2008 Yeah, what DOES happen if Halifax go bust? I would imagine that the administrators would look to recoup the outstanding debt as quickly as possible or it would be sold to a third party. You certainly wouldn't get away with not paying it as the money you owe will be vital to paying off the creditors that have a claim on the company's assets (including your mortgage).
Ric Flair Posted 17 September 2008 Posted 17 September 2008 I would imagine that the administrators would look to recoup the outstanding debt as quickly as possible or it would be sold to a third party. You certainly wouldn't get away with not paying it as the money you owe will be vital to paying off the creditors that have a claim on the company's assets (including your mortgage). They can have my debt very quickly.
Dr The Singh Posted 17 September 2008 Posted 17 September 2008 They can have my debt very quickly. Feck em Ric, sell the house and do a runner with the money, they will have gone bust and you will be scott free!!!
Master Fox Posted 17 September 2008 Posted 17 September 2008 What about personal loans and credit cards? Surley these would be bad debts to company written off?
Head Honcho Posted 17 September 2008 Posted 17 September 2008 All my money is with Halifax, as is my Mum's & my Step-Dad's,Worrying. Unless you have over £35k in the bank then your money is safe, whoever you bank with! This may actually have increased since the Northern Rock fiasco
Tabou Posted 17 September 2008 Posted 17 September 2008 After the Northern Rock scenario last year, I would be surprised if the FSA (F*ckingStupidA*seholes) and Bank of England/MPC would stand by and watch a Major financial institution go the same way as NR. The consequences of such an occurance would be catastrophic for our housing and mortgage markets. I can't see it happening. I can, however, see Mortgage Rates increasing in response to this news. As alot of money lent by HBOS was tied in a way to Lehman Bros... I wait with Baited Breath for a certain posters' response to this delicate issue..
Ric Flair Posted 17 September 2008 Posted 17 September 2008 After the Northern Rock scenario last year, I would be surprised if the FSA (F*ckingStupidA*seholes) and Bank of England/MPC would stand by and watch a Major financial institution go the same way as NR. The consequences of such an occurance would be catastrophic for our housing and mortgage markets. I can't see it happening. I can, however, see Mortgage Rates increasing in response to this news. As alot of money lent by HBOS was tied in a way to Lehman Bros... I wait with Baited Breath for a certain posters' response to this delicate issue.. Now that is not good news as I am on a variable rate. I think a reposession might be in order, i'm really not that bothered. If so, i'll try and milk a few more grand out of any old credit source before hand. Orient on the champagne!
James. Posted 17 September 2008 Posted 17 September 2008 What about personal loans and credit cards? Surley these would be bad debts to company written off? Why, it's the bank that would go bust, not you... I don't have a clue about liquidation law but I don't see why the debt would be written off. Like mortgages it would be sold to a third party or collected by the liquidator themself.
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