cannot believe how people have let the panic set-in and are queuing down the street to withdraw their savings.

 

very sad.

 

think it will ultimately bring NR to its knees.

cannot believe how people have let the panic set-in and are queuing down the street to withdraw their savings.

 

very sad.

 

think it will ultimately bring NR to its knees.

 

Will it fook, their business is based on mortgages not savings. A load of half-wits withdrawing what small amount of saving they have isn't going to make that much of a difference.

cannot believe how people have let the panic set-in and are queuing down the street to withdraw their savings.

 

very sad.

 

think it will ultimately bring NR to its knees.

 

 

i saw it on the news last night. i imagine it will go on and on till that happens

Edited September 15, 200718 yr by hughesy

Yesterday customers withdrew 1% of NR's cash reserves, it won't bring them down!!!

Will it fook, their business is based on mortgages not savings. A load of half-wits withdrawing what small amount of saving they have isn't going to make that much of a difference.

 

Indeed, they only have liquidity issues, because they finance themselves with short term loans and rates have rocketed

 

The Bank of England will tide them over until that's resolved

 

 

All because the fookin yanks have been dishing out mortgages to people with proven bad financial history

Yesterday customers withdrew 1% of NR's cash reserves, it won't bring them down!!!

 

?1billion, nearer 5%, more to come today, but you're right.

share priced dropped over 30% yesterday.

 

things are not right there and the panic will continue.

 

pity, cos when I had my mortgage with them, thought they were okay.

share priced dropped over 30% yesterday.

 

things are not right there and the panic will continue.

 

pity, cos when I had my mortgage with them, thought they were okay.

They'll come out of it OK at the other end.

The shares might be worth looking at if they drop any further!

http://www.boltoneveningnews.co.uk/display...s_its_doors.php

Scaremongers

the media are entirely responsible for causing this widespread panic. wait a couple of weeks and buy some of their shares.

They have have to offer some market beating rates to attract any savers in the coming months.

out of interest (haha, yeah i know, but we lost) if they did go bust, what happens to my debt to them?

out of interest (haha, yeah i know, but we lost) if they did go bust, what happens to my debt to them?

 

It would be transferred to someone else (NR's creditors I guess).

 

This is from my solicitor

 

"If the mortgage is transferred from one lender to the other the transfer will be subject to the existing conditions and the new lender cannot simply change them unilaterally. Transfers of mortgage portfolios have happened for years and for many reasons."

A worrying bit about this on Sky News this morning and I more-or-less quote:

 

Don't worry about Northern Rock going bust. These things are covered by certain guarantees and are underwritten by the banking industry.

 

The Banking Association (or whoever they're called) guarantees your savings as follows:

 

First ?2000 guaranteed at 100%

Next ?18000 (making up to ?20,000) guaranteed at 90%

No further guarantees given.

 

So, if you had savings of ?100k and NR did go bust, the banking association would guarantee to pay you ?18,200 losing you ?81,800

 

 

IF, and it's a big if, I had more than ?20k in NR I too would be stood in a queue at 8.00 this morning (when I went past) to make sure my money was put somewhere a little bit safer.

IF, and it's a big if, I had more than ?20k in NR I too would be stood in a queue at 8.00 this morning (when I went past) to make sure my money was put somewhere a little bit safer.

 

That's fair comment. But IMO 99% of those in the queue probably had a lot less than that and were just panicking over media reports.

It would be transferred to someone else (NR's creditors I guess).

 

This is from my solicitor

 

"If the mortgage is transferred from one lender to the other the transfer will be subject to the existing conditions and the new lender cannot simply change them unilaterally. Transfers of mortgage portfolios have happened for years and for many reasons."

 

Thought it were ?35k - but the point still stands.

Thought it were ?35k - but the point still stands.

 

That's savings, not debt.

 

http://www.fscs.org.uk/consumer/how_to_claim/deposits/

Edited September 16, 200718 yr by Exiled Girl

All silver surfers stood outside the NR this morning again. Queue was bigger than ever.

What happened to people stashing money under the floor-boards?

How the hell are burglars and fraudsters meant to make a living these days?

All silver surfers stood outside the NR this morning again. Queue was bigger than ever.

What happened to people stashing money under the floor-boards?

How the hell are burglars and fraudsters meant to make a living these days?

 

The aren't silver surfers, they are carpet baggers. Most of them will be withdrawing the grand they've got stashed.

why would anyone leave money in northern rock ?

 

you can get rate that are just as good elsewhere.

 

 

there is very little risk but you can stick your money elsewhere with no risk.

Looked like the Living Dead outside NR on Saturday morning, no wonder it didn't kick off - average age of customer there was about 70.

Bloody joke this, all this idiots trying to withdraw their cash. Once again Alistair Darling had to go on the Today programme and go over, once again, the fact that the Bank of England would lend the money to a failing bank. The fact is that becaus eof NR's business model they are more susceptible to the fluxtuations in the world ecomony espcially the sub prime market in America, but that real reason for asking for their loan is that banks are not lending to each other whilst the effects of the America mortage market are felt.

 

They only thing bringing NR down is the stupidity of its own customers. The govt won't want to be seen to allow the bank to fail as they want to reassure the public that they, along with the BoE, put enough mesures in place at the beginning of August. However, the best outcome now for the G'vt - and what will probably happen - is that NR share price will drop so low that there will be a take over and everything can calm down.

 

As I owe NR money I'm really not all that fussed either way! Oh, other than at around Weds/Thurs I will be buying NR shares!

As I owe NR money I'm really not all that fussed either way! Oh, other than at around Weds/Thurs I will be buying NR shares!

 

A problem for Northern Rock borrowers is that one way Northern Rock could get back some of the money it is losing is by putting up interest rates/penalties for leaving on its loans.

Edited September 17, 200718 yr by george

A problem for Northern Rock borrowers is that one way Northern Rock could get back some of the money it is losing is by putting up interest rates/penalties for leaving on its loans.

 

 

Possible but hughly unlikely. Its not a loan but a mortgage, so they couldn't change the agreement under banking regulations. I very much doubt - in fact they just wouldn't - charge people who have just borrowed money from them - its what the loan is for (which they haven't yet used) and they'll be taken over before it comes to that.

 

This is just really bad PR from NR - also their structure leaves them much more open to changes in the western housing market effecting them.

 

I think the media have been pretty responsible in the reporting of this, i just can't believe that people panic without finding out the facts.