Why are we in this mess?
We are in the current economic situation because of excessive lending over the last few years.
What is the government's preferred solution? To drop interest rates to ridiculously low levels and to force the banks to continue to lend at unsustainable levels. That's about as sensible as offering a drug addict cheaper heroin and forcing the dealers to supply as much as the addict wants.
Who is being punished?
Savers!! The people who are prudently saving for their retirement or living off their savings.
The problem is not the cost of lending. it is the availability of lending. Ask yourself a simple question "Who provides the funds to lenders?" - the answer is simple, SAVERS. So why make it less attractive to savers at the very time you need them?
Next - 0% Interest Rates?
The spectre of ZERO% interest rates is looming and that is not funny.
Its time the down trodden saver did something. To date we've had no power but this website aims to change this.
| No Partial Securitisation of Mortgages |
 |
 |
 |
|
Banks and building societies should only securitse mortgages for their full term One of the main reasons we are in the current financial mess is that banks and building societies have securitised massive amounts of debt with no regard to the risk of failing to roll this debt over when it expired. If contingent libabilities are kept on balancesheet then this problem will not arise in the future and savers will know how risky the institutions are where they keep their deposits. Banks and building societies will of course be able to securitise the mortgages for their whole term - legitimately removing the risk entirely their off their books. |