April 14, 2008

Attention people of England - get your money out of buy-to-let f*cked lender Bradford & Bingley today. Seriously, get in the queue and get it out NOW


At one point the governments of the US and UK will need to draw a line in the sand and say "no, we're not bailing you out".

Bear Stearns? Sure, no prob.

Northern Rock? One time, never again.

Wells Fargo? Probably.

IndyMac? Are you kidding me?

Bradford & Bingley? No chance.

The US has FDIC protection. The UK has
anarchy. And any saver stupid enough to have more than £33,000 in Bradford & Bingley is a fool.

The crazed
buy-to-let Ponzi Scheme in Great Britain is about to blow up something fierce.

Get your popcorn.

Bank denies cash-raising reports

Bradford & Bingley has denied reports that it is planning to go to the market to raise extra cash to see it through the credit crisis. Sunday papers said Citigroup had been asked to help with a rights issue to raise hundreds of millions of pounds.

But a statement from the bank said that it had a strong capital base and, "had funded its business activities through 2008 and into 2009". Bradford & Bingley is Britain's biggest buy-to-let lender.

14 comments:

Anonymous said...

Northern Rock was just the warm up band

Mammoth said...

The Britishcano economy is tanked, roasted like a hedgehog skewered on a green bamboo spit over a fire.

Why? Because the Britishcano speculator is as irresponsible, greedy, materialistic, immoral, ignorant, pompous, hoity-toity, self-righteous, as Americano.

So is the Britishcano economy toasted or what?

Will Joe-Pint ‘O Stout and Jane Haggis cash out their lorry equity now? (Haaaaa, haaaaa, haaaaa, LORRY EQUITY...)

What will happen to all those big-ass double-decker buses that drive on the wrong side of the road?

Will the Britishcano be toasted as a hedgehog skewered on a stick from head to ass sizzling nicely on a bed of red hot charcoal?

(With apologies to all the HP’ers in England)

Anonymous said...

Bank failures WEEEEEE!!!!!!

Stuck in So Pa said...

"Mammoth said...
The Britishcano economy is tanked, roasted like a hedgehog skewered on a green bamboo spit over a fire......"
============================

Anybody else get the hankering for some good old Arthur Treacher's Fish n Chips. God I used to love those.

First Andy, now
Mammoth, no wonder I'm gaining weight!

Anonymous said...

This bank is toast. With Bear, it took 2 days before most were out of the bank and Bear was under.

I can imagine the lines at this bank right now.

Dny

BondsOfSteel said...

I had to look up 'Buy-to-let'

The OC said...

Mammoth -- what - you take a page out of Andrew's mind? Joe Pint-O-Stout & Jane Haggis -- pretty funny!! (Anyway -- remember, we were once a colony.)

oz said...

from bondsofsteels wikipedia link:

"Buy to let owners (it is argued) can effectively do little work and yet still receive substantial incomes, not only making money from rent, but potentially realising large capital gains on the sale of their housing stock. The suggested result in the UK is that of a wealth divide never seen since Victorian times."

The risk involved in "very little work" is about to change all that... That will be interesting.

Australia will be interesting too. It has (maybe had, I haven't lived there for years now) the reverse of the US mortgage interest deduction. Mortgage interest on your home wasn't deductible, but if it was a investment property being rented out it was deductible.

And negative gearing was *very* common - the rental income did not cover the costs of the rental property but you could then deduct that loss against income from other sources. And with a top tax bracket of 47% (now 45% I believe) the tax office was picking up half the tab.

Of course the assumption was that the price would rise and you'd make a capital gain and hence be profitable. That's not going to work out so well...

Anonymous said...

Fish 'n Chips is so New England [ read MA/ME/NH/RI & to a lesser extent CT/VT ] esp with all the good shrod (a/o haddock) that they have, that it's no longer a British thing in terms of actual quality.

Anonymous said...

I think they just say "get in queue," or "waiting in queue" not "get in *the* queue" or "waiting in the queue."

Generally, I think they leave the article out.

FWIW, Google has 88K for "get in queue" but only 21K for "get in the queue."

But then again, in "Fit But You Know It" by Mike Skinner d/b/a "The Streets," I think he says "the queue" twice.

Keyser Soze said...

Well done Mammoth!
Andy has been an inspiraton to us all!

cr4shw4tcher said...

Yes, it's *the* queue, always. Waiting in line is OK though. Like we never write someone, it's write *to* someone, here. And we don't visit *with* - it's just visit. Simple eh ?

Anonymous said...

It is very amusing to me, that B+B sat they are not planning to go to market to raise cash, as i rent a house from a buy to letter, and B+B have sent him, my landlord, a letter at his house address, which I rent, [I opened the letter, by, aherm, accident! Heeheehee] B+B specifically states that they ARE trying to raise capital from their shareholders, and as such are offfering my landlord, as a buy to letter and shareholder,cut price shares at an Extaordinary General meeting they have called, [read Panic Meeting] at a local hotel, at a massively reduced rate of 48% off per share. I have it in writing that B+B are doing this!!
[Whats scary is that i have an isa with them.]

Anonymous said...

This is very amusing to me, as i rent a house from a buy to letter, and B+B have sent him a letter at his house address, which I rent, [I opened the letter, by, aherm, accident] which specifically states that they are trying to raise capital from their shareholders, and as such are offfering him shares at an Extaordinary General meeting, at a local hotel, at a massively reduced rate of 48% off per share! I have it in writing that B+B are trying to raise cash super quickly. So they can lie all they want. In fact, I have an ISA with B+B so I have a vested interest in lying along with them! But i dont have a house yet, so screw em!