grahamg
Member of DD Central
Posts: 220 
Likes: 62
|
Post by grahamg on Dec 22, 2015 18:53:36 GMT
If i am reading this correctly they appear to owe the bank a very large sum over 1.5 million which is secured against the properties. Then the bank is going to write off over a million of that debt and release the security for Assetz capital the loan paying off the remainder.
I have not come across this particular benevolent world before!!! Please where is it?
|
|
|
|
Post by mrclondon on Dec 22, 2015 19:10:42 GMT
If i am reading this correctly they appear to owe the bank a very large sum over 1.5 million which is secured against the properties. Then the bank is going to write off over a million of that debt and release the security for Assetz capital the loan paying off the remainder. I have not come across this particular benevolent world before!!! Please where is it?
It's surprisingly common.
See this post which does a good job of explaining why this is good business sense for the banks. (It was written by AC's MD Andrew Holgate on the precursor to this forum).
Also bear in mind that many claims for compensation for mis-sold interest swap instruments run into hundreds of thousands of pounds. Many of the debt write offs we see in the p2p sector seem to be in part a settlement for the mis-selling that happened in the early/mid 2000's
|
|
|
|
Post by bracknellboy on Dec 22, 2015 20:40:11 GMT
If i am reading this correctly they appear to owe the bank a very large sum over 1.5 million which is secured against the properties. Then the bank is going to write off over a million of that debt and release the security for Assetz capital the loan paying off the remainder. I have not come across this particular benevolent world before!!! Please where is it?
It's surprisingly common.
See this post which does a good job of explaining why this is good business sense for the banks. (It was written by AC's MD Andrew Holgate on the precursor to this forum).
Also bear in mind that many claims for compensation for mis-sold interest swap instruments run into hundreds of thousands of pounds. Many of the debt write offs we see in the p2p sector seem to be in part a settlement for the mis-selling that happened in the early/mid 2000's
Banks mis-selling financial instruments ? Surely not ? Not from such upstanding institutions surely ? never heard of that before.
|
|
ilmoro
Member of DD Central
'Wondering which of the bu***rs to blame, and watching for pigs on the wing.' - Pink Floyd
Posts: 10,902
Likes: 11,126
|
Post by ilmoro on Dec 23, 2015 1:14:21 GMT
Wonder if they offer discounts to lenders as at least one practice is down the road?  Edit: That said lived here 25yrs & never knew it existed! |
|
baz657
Member of DD Central
Posts: 499
Likes: 187
|
Post by baz657 on Dec 23, 2015 1:38:22 GMT
I feel for this borrower. It happened to me/my company. After battling with the bank for five years (interestingly mine was also a commercial mortgage with the same bank as involved here) and finally jumping through all the hoops required to get support from the Financial Ombudsman Service, my company was repaid excess interest, interest on that interest and financial compensation which all added up to a decent sum which equated to around 25% of the initial mortgage value. I just made it, although all credit cards were maxed out at one point. I even asked the bank for a 3k overdraft exactly two years ago while the paperwork for a personal property sale was going through and that got refused. It got to the stage where I really thought the bank would have preferred the business to fail. At least Dick Turpin wore a mask  |
|
|
|
Post by chielamangus on Dec 23, 2015 11:20:00 GMT
It got to the stage where I really thought the bank would have preferred the business to fail. At least Dick Turpin wore a mask That is exactly what happened. The beancounters at head offices made all the decisions, looking only at short term impacts on their bottom line. When these types of decision were made locally (another age) there was a more measured response taking into account the wider ramifications. But I bet the beancounters are still there, still picking up their huge bonuses, still living in their penthouses in London, or executive style houses/mansions in the home counties, still sending their children to private (public) schools, still enjoying all the material trappings of success. Don't get me started!
|
|
min
Member of DD Central
Posts: 604
Likes: 170
|
Post by min on Dec 23, 2015 15:36:25 GMT
It got to the stage where I really thought the bank would have preferred the business to fail. At least Dick Turpin wore a mask That is exactly what happened. The beancounters at head offices made all the decisions, looking only at short term impacts on their bottom line. When these types of decision were made locally (another age) there was a more measured response taking into account the wider ramifications. But I bet the beancounters are still there, still picking up their huge bonuses, still living in their penthouses in London, or executive style houses/mansions in the home counties, still sending their children to private (public) schools, still enjoying all the material trappings of success. Don't get me started! Too late! 
|
|
