Quote:
Originally Posted by RichardCoulter
A safety deposit box would be a better option if you can still get one for free.
I've since looked into this a little more. If we do go into negative interest rates, some banks have said that their systems cannot implement it and it doesn't look very good either, so they are more likely to recoup the money by increasing bank charges or reintroducing charges for running our current accounts.
Those with mortgages etc would, in effect, start getting paid for their debt. These payments wouldn't be paid to them, but knocked off the mortgage/loan so that they pay back less than they borrowed.
I wonder if the Government has had a word in the ear of the Bank of England to do this in order that they will be able to get rid of some of the debt that they have racked up?
One of the first things Thatcher did in 1979 was to hike up interest rates. There were lots of complaints from individuals & industry; she retorted by saying that high interest rates are good for some people, namely retired people with savings. It must follow then that if this situation is reversed that the losers would be mainly pensioners, many who traditionally vote Tory.
That's one downside to democracy, in order to stay in power Governments sometimes do what the people want instead of what's the sensible or correct thing to do.
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You’re overthinking the reality of this.
---------- Post added at 23:39 ---------- Previous post was at 23:32 ----------
Quote:
Originally Posted by Pierre
So you’ve written off the economy? What’s next then?
In regards to science, there is no science that shows anything other that lockdowns do nothing but delay the spread of the virus, that’s all.
Things are on the up, but still compared to 6 months ago, we’re nowhere near.
https://coronavirus.data.gov.uk/healthcare
It was predicated, and I posted it on here, that there would be no “second wave” on an equal magnitude to the first, but that there would be an initial wave followed by several Ripples.
This is where we are. |
Haha okay Pierre, let’s let the world run free as your ripples develop into tsunamis of deaths.
It’s a shame as I was briefly considering your posts credible but just a nudge or two away from what others thought.
I’m not writing off the economy - the fact it is built upon a hollow core of driving people into population centres that people do not need to be in means it will die. Capitalism 101. If you don’t have a product worth selling nobody will buy. City centre offices and the property developers that stand behind them? Ouch.
And if you had read and understood my posts to Old Boy there has never been a better time to borrow to invest in a new economy. You and Mrs. Pierre can keep your biscuit tin economics to yourselves then.