Banks under fire for coronavirus loan tactics
25/03/2020 | news | business | 769
MPs have criticised banks for asking business owners to put their own property up to secure loans.
1
26/03/2020 11:12:52 172 8
bbc
Surprise Surprise enough said.
2
26/03/2020 11:12:52 365 21
bbc
How typical. At a time when the country is pulling together to fight the virus our banks once again look selfishly to their own interests. How mean and self centred to threaten anxious borrowers with repossession and possible ruin, as many will struggle to repay the very loans designed to help them. The banking chiefs who devise these policies are disgusting and shameful parasites.
3
26/03/2020 11:13:52 202 5
bbc
Anyone remember the time HSBC was advising customers how to dodge British tax? Anyone remember what the punishment was? It's odd... it's almost as if they weren't punished at all.... .
562
26/03/2020 13:37:46 9 3
bbc
3 Rate comment number 544 negatively Number of negative ratings for comment 544: 3 Comment number 543. Posted by TV on 9 minutes ago Everyone needs to understand that it's the banks that run and own the government...! --- Not sure how anyone can down-vote this comment, it's basically correct. As they say, dumb criminals enter prison, smart criminals enter politics.
4
26/03/2020 11:13:52 16 1
bbc
Maybourne hotel group lat off most of their staff and not provided any assurance if they would be taken back in as furloughed. #Blame&Shame
5
26/03/2020 11:14:52 74 3
bbc
Banks being bankers, who'd have thought...
6
26/03/2020 11:14:52 9 51
bbc
The choice of topics for hys is really getting tedious BBC. The saddest news today is yet more damage through climate change to the Barrier reef. Sod humans.......
7
26/03/2020 11:14:52 227 9
bbc
Why are banks asking the question when the Government have made it clear they stand as guarantor ?
8
26/03/2020 11:14:52 231 11
bbc
Bottom feeding parasites.
9
26/03/2020 11:14:52 3 8
bbc
Why not just increase everyone's overdraft if you don't need the money don't use it.
10
26/03/2020 11:14:52 41 3
bbc
They are just a shower of bankers ...I said bankers.
11
26/03/2020 11:15:52 24 2
bbc
Q. What's the collective noun for a group of bankers? A. It's a 'wunch'.
12
26/03/2020 11:15:52 288 12
bbc
This is the bank's "Thank you" for being bailed out of their insatiable greed in 2008. They are collectively a 'Mike Ashley'.
13
26/03/2020 11:15:52 32 1
bbc
Be sure the banks will take advantage of any situation. Why are the stock exchanges still open for business? Put them on hold. Has anyone checked what Rees-Mogg is up to. Wouldn't like to think he is free to play the stock market when he has inside information.
14
26/03/2020 11:16:22 189 3
bbc
"It's for up to £24,999, but will come at up to 22% interest, which would initially bankrupt my business." Given interest rates are at only 0.1% if Banks were in any way sensible their loan interest rates would be much lower than 22%.
15
26/03/2020 11:16:22 48 3
bbc
Why have WE let the banks control this? Did we learn nothing from 2008/9? Oh, I see. It's because we have a govt. full of 'bankers' and 'businessmen' who are deeply embedded in the failings of the system.
16
26/03/2020 11:16:22 192 9
bbc
Banks - Don't forget who bailed you out in the 2008 financial crisis. You have a duty to pay us all back.
17
26/03/2020 11:16:32 187 7
bbc
Banks: a virtual virus sucking the life out of the nation.
Scum Removed
19
26/03/2020 11:17:03 37 2
bbc
So far all the policies initiated by the Government to "pump money " into the economies of the world have played into the hands of global financial institutions and mega banks. These faceless "casino players" have no humanity or morals. The better thing would have been to declare a full repayments holiday for all borrowing since 15th March 2020 when interest rates went to 0%
20
26/03/2020 11:17:13 32 2
bbc
Vile corporations. If anything good comes from this pandemic it might be that people start to see the value in humanity rather than money and objects.
21
26/03/2020 11:17:13 12 4
bbc
As always the Tories talk soft with one hand ... And snatch back with the other. It was ever thus. .
22
26/03/2020 11:17:33 13 3
bbc
Greedy bankers bankrupted the world once now they want to do it again
23
26/03/2020 11:17:53 25 1
bbc
PARASITES
24
26/03/2020 11:17:53 12 0
bbc
Leeches. Is this what the Gov't means when it says that it'll "do whatever it takes"? Take being the operative word.
25
26/03/2020 11:18:13 36 0
bbc
So the banks are trying to profiteer - there's a shock. In the spirit of personal responsibility - let's make the people making these decisions *also* personally responsible. Name and shame, and permanently exclude them from the indistry.
26
26/03/2020 11:18:13 28 2
bbc
Disgusting from the banks. They need to be prosecuted. The world needs to get away from credit. We are feeding these monsters. If you want something save up for it.
27
26/03/2020 11:18:33 31 1
bbc
The banks need to remember they were helped, that help caused the country 10 years of pain. Its payback time
28
26/03/2020 11:18:33 28 1
bbc
Same as always. They are unable to resist the urge to be complete ****s
29
26/03/2020 11:18:33 57 3
bbc
Says it all about these pariahs--NHS personnel are working their backsides off to ensure people are protected--the banking executives are merely concerned with making even more money than normal. Banks were given billions of OUR money to help stave off disaster years ago. Downing Street needs to tell them to stop it.I always thought usury was illegal--banks have it of to a fine art-disgraceful!!
30
26/03/2020 11:19:34 8 4
bbc
"Deaths surge by 655 in Spain, taking total to nearly 4,100" We can be sure we won't be having any headlines like this for the UK Our government will just lie about it And we are so stupid that we will put up with it YOU CAN BANK ON IT And what a surprise that Uk businesses can't rely on UK banks I can't remember a time when we could
31
26/03/2020 11:19:34 94 3
bbc
Banks asking for 22% interest on loans up to 25k? Banks demanding people put up their homes as collateral against the loans for which the Chancellor has promised to guarantee up to 80%? Utterly shameless!
32
26/03/2020 11:19:54 76 2
bbc
Perhaps next time the banks need a bailout we can ask the Chief Execs and other board members to put up their personal assets as guarantees...couldn't get a better example of double standards!
A boat full of nurses sank, that's a tragedy for the NHS. A boat full of teachers sank, that's concerning for the education system. A boat full of bankers sank, that's a good start. Removed
34
26/03/2020 11:19:54 10 15
bbc
The problem with having no guarantees is that people can take out whacking great loans and just walk away from them. Then the taxpayer picks up the tab because the loans are ultimately government backed. So it's a case of the banks being damned if they do and damned if they don't. Tricky stuff.
295
26/03/2020 12:06:28 7 0
bbc
"34. Enter name here The problem with having no guarantees is that people can take out whacking great loans and just walk away from them. Then the taxpayer picks up the tab because the loans are ultimately government backed." Sadly, some businesses are going to take advantage of the situation, and so will some banks.
35
GS
26/03/2020 11:20:04 62 4
bbc
The money grabbing snakes return, I hope the government takes action
36
26/03/2020 11:20:04 22 2
bbc
Great to see the bailout of 2008 and the favour returned.
37
26/03/2020 11:20:24 3 5
bbc
An interesting situation, parasites against crooks. I can understand the banks asking for so called businessmen to put up personal wealth as insurance against going bust as I have experience of having to write off large amounts of money to businesses that have closed and the CEO's just walk away.
38
26/03/2020 11:20:24 53 2
bbc
If Government are underwriting 80% of the loan, then surely the banks only need to secure the 20%? All I'm hearing is everybody being turned away anyway, irrespective of security issue. Banks need to get their act together smartish.
39
26/03/2020 11:20:34 36 3
bbc
And to think we bailed out the banks when they were collapsing. Disgraceful behaviour though to be expected from these leeches.
40
26/03/2020 11:20:34 13 12
bbc
Vote for Boris. Expect lies. Vote for bankers. Expect them to look after bankers. Vote for businessmen. Expect them to look after business'. Vote for change. Expect change. Why do we always vote for the stuffed suits people?
98
26/03/2020 11:29:09 5 3
bbc
"40. will Why do we always vote for the stuffed suits people?" Because the other options are far worse. Look what happened when Blair arrived at the head of party that gave the impression of being competent, prudent and ready to govern. They wiped the Tories. However the opposition prefer Comrade Corbyn and the Head Girl.
41
26/03/2020 11:20:34 14 1
bbc
"MPs say that is not fair" If only they could do something about it, so much for the market regulating itself.
42
26/03/2020 11:20:44 5 0
bbc
Never known money to trickle down - only up. Then again - look at your debts and ask why your not getting ahead - probably not for the lack of work, possibly some poor decisions, but mainly due to a mix of life and death.
43
26/03/2020 11:20:54 7 1
bbc
If they just replace the word 'banks' with the word 'Vultures' it will read better.
44
26/03/2020 11:21:14 19 1
bbc
"The government-backed loans are from £25,000 up to £5m," he said. "We got offered a financial product of theirs, another loan which is not part of the coronavirus package". When we come out the other side, are we going to have another PPI style debacle?
45
26/03/2020 11:21:15 4 0
bbc
Banks having questionable morals? Surely not? You'll be questioning people's right to patronisingly tell others what to do next. No, that would be useful and welcome.
46
26/03/2020 11:21:15 8 0
bbc
The Government should just issue the loans via a bank that simply gets an admin fee for doing so . In the meantime bar any bank from demanding repayments of loans or charging more than a notional margin on lending
47
26/03/2020 11:21:25 19 0
bbc
The banks KNOW, that should they fail, the government will bail them out and they can still carry on as if nothing happened. No one will be held to account, no directors etc., and they can carry on as before. The precedent has already been set.
48
26/03/2020 11:21:35 16 2
bbc
All people with money will screw everyone over. We have seen the odd rich person step up to the plate. But most will use this for publicity. Banks will equally use this for profit, yes they have to make profit. However they have a duty to help out the public who helped out them. Many will lose everything, whilst many will just watch on & watch them suffer.
49
26/03/2020 11:21:45 30 2
bbc
Wait until the end of year results to see the nice bonuses and dividends for banks and other financial companies these people award themselves.
50
26/03/2020 11:21:55 61 3
bbc
I work for a bank and this decision odd at best and despicable at worst. Why do they need to ask the question if government already agreed to be guarantor. The public haven’t forgotten the bailout so why become more hated. But please remember 100,000s work for banks and most don’t make the big money. Don’t tar us all with the same brush for most it’s just a job.
51
26/03/2020 11:22:15 16 55
bbc
Comments are hilarious. The next headline will be "banks going under because of reckless lending", banks are not charities and why is it unreasonable for a business OWNER to put their own assets on the line for a LOAN which supposedly they want to save a successful business. World has gone mad.
82
26/03/2020 11:26:38 13 1
bbc
51 banks are not charities.?They had their begging bowls out in 2008.The Black Death did for Feudalism; Covid 19 might do the same for Western Capitalism.
52
26/03/2020 11:22:15 5 0
bbc
Carpetbaggers never go away....
53
26/03/2020 11:22:35 10 0
bbc
And this surprises people?
54
MVP
26/03/2020 11:22:35 7 1
bbc
It looks like the banks are looking after their own interests before anyone else. If they carry on with this behaviour they should not expect another bail out the next time there is a recession
55
26/03/2020 11:22:56 9 0
bbc
It is not just the banks, loan companies, gas electric, water, all of em, you try and get to talk to any of them about your account, I have no income, and fall out of any of the categories that are recieving help from the government (which is a joke). Once Covid 19 finished, watch the suicide rate climb as people try to cope with bills, and trying to find work.
56
26/03/2020 11:22:56 9 0
bbc
We have the biggest crisis facing our country in living memory and what does the Gov't do?...it contracts out the bailout to the private sector! It'd be a joke if it wasn't so serious.
57
26/03/2020 11:22:56 20 0
bbc
Good to see banks acting with empathy, especially after most of them were bailed out by the government during the global financial crash in 2008, oh hang on. This Country doesn't need anyone, or any business profiteering off people's misery and desperation. Boycott any business that does this once we are back to normal.
58
26/03/2020 11:22:56 7 0
bbc
So we have a crisis and businesses needed to generate the profits to pay the taxes to pay for the NHS have to put all their assets on the line so the banks don't loose out ... meanwhile we have billions in unsecured loans backed by the taxpayer to fund the university education system ... honestly the hypocrisy never ceases to amaze me.
59
26/03/2020 11:22:56 14 5
bbc
When a Tory makes a promise always read the fine print, 80% of wages paid has anybody had theirs yet, wait for the caveats.
60
26/03/2020 11:23:06 15 3
bbc
The capitalist mindset, corrupt to the core
61
26/03/2020 11:23:16 77 2
bbc
We bail them out, not so much as a thanks. We ask them to bail us out and they screw us over.
62
26/03/2020 11:23:16 4 4
bbc
It is right that business should bear a share of the risk, but so should the government having ordered the shutdowns. The original annoncements, if I remember rightly, were for interest free loans. The 80% guarantee should only be for interest free loans, if interest is charged the normal bank lending criteria should apply. It's not right for them to have it both ways! Keep it fair
63
26/03/2020 11:23:16 7 1
bbc
The bankers cannot change their ways.
64
26/03/2020 11:23:16 8 3
bbc
What else do you expect from the financial sector. They are just leeches in our society. You never see a poor bank manager!!!! In fact all of the financial sector are just money suckers. They make sure there pockets are lined!!
65
DBM
26/03/2020 11:23:26 15 0
bbc
It was the same with QE in 2008, we need a National Bank for 'times like these'. If there's money to be made the bank's will exploit it. Yet again free for all Britain exposed, i'm no communist but we need to start doing things differently for the good of the people not just the few.
66
dp
26/03/2020 11:23:26 11 1
bbc
What does anyone really expect from these companies. The UK bailed out banks who caused the recession in 2008 and they are making money out of this pandemic. Whilst of course closing branches giving the excuse about reduced footfall when it was always their plan to push people away from cash just to save the banks money.
67
26/03/2020 11:23:36 33 3
bbc
Why doesn't this surprise me, banks are quick to take taxpayer support but are reluctant to reciprocate.
68
26/03/2020 11:23:46 10 1
bbc
Bailed out by people so many times, yet they do not want to pay it back to the people? Surprised? Remember where you bank next time. Perhaps time to change our banking habits. Credit unions, building societies are the future for ordinary people, working classes. So much dirt and greed in banking sector. From funding regimes change to fire arm trading. Sponsored by us. Bank smart, small, locally.
69
26/03/2020 11:23:46 10 2
bbc
Old habits die hard. Vile institutions, but the they have to make sure they can continue to pay those at the top obscene amounts of money and stuff everyone else. Corporate Psychopaths.
70
26/03/2020 11:23:57 11 1
bbc
Remember who these banks are and then switch your accounts to the banks who haven’t requested guarantees
Wan... I mean bankers have always been arseholes. Removed
72
26/03/2020 11:24:17 22 1
bbc
Banks/capitalists not taking advantage of this is like a dog not having a wet nose. Where do people get this idea that banks have any morality from? They lost our money 12 years ago, and the govt bailed them out with more of our money - what do people think banks are?!
73
26/03/2020 11:24:37 60 1
bbc
Barclays has told customers they will be required to sign personal guarantees to access the government-supported emergency finance. HSBC will require a form of personal guarantee for loans over £100,000. RBS, which also owns NatWest, has confirmed it will offer business interruption loans without asking business owners for personal guarantees. Glad I bank with RBS. Shame on the others.
74
26/03/2020 11:24:47 15 0
bbc
Asking people to get into debt for a situation which is not of their making is not on in my book. Government should legislate against profit from interest on debt for the period that this pandemic is going on and then should look to cancel or reduce debts after. Either that or allow people to work after taking the antibody test. So release it. NOW
75
26/03/2020 11:24:47 26 2
bbc
Every time I type bankers my computer replaces the w with a b.
76
26/03/2020 11:24:57 336 9
bbc
2008 - Banks are in crisis: Public forced to bail them out. 2020 - Everyone else in crisis: Banks find a way to profit and screw everyone. Are we surprised?!
167
26/03/2020 11:42:46 10 0
bbc
@76 No one is surprised by this news.These people are parasites.When this is all over we should move our accounts to banks that have acted responsibly.Just like some business owners (you know who i am talking about) we should change our banking and shopping habits to support the people who have treated the public fairly
77
26/03/2020 11:25:17 45 3
bbc
Typical UK banking system - kick and exploit a business when they're down!!Bank CEO's & Directors = Cowards and parasites!
78
26/03/2020 11:25:58 22 1
bbc
Won't be holding my breath waiting for the promised support for the self-employed.
79
26/03/2020 11:25:58 33 1
bbc
Interesting how company "owners" have to give personal guarentees. This hits smaller companies disproportionately as large companies are often owned by shareholders.
80
26/03/2020 11:26:08 4 4
bbc
Strange how Germany manages to keep the death rate so low ... Could it be they care about their society & invest accordingly. That they're not the people who want to control the rest ... Just look after themselves to their best? Yup. Go clear a shelf Britain. As requested .... you'll find the shelf fillers have all gone 'home'. .
81
26/03/2020 11:26:08 24 1
bbc
Surely all Banking Fraternities should cease all repayments for 3 months. They'll get their money just a bit later.. This would help millions out who are struggling financially in the short term.
95
26/03/2020 11:28:39 3 0
bbc
@81, they have to pay for their 35 fancy holidays next year somehow...
51
26/03/2020 11:22:15 16 55
bbc
Comments are hilarious. The next headline will be "banks going under because of reckless lending", banks are not charities and why is it unreasonable for a business OWNER to put their own assets on the line for a LOAN which supposedly they want to save a successful business. World has gone mad.
82
26/03/2020 11:26:38 13 1
bbc
51 banks are not charities.?They had their begging bowls out in 2008.The Black Death did for Feudalism; Covid 19 might do the same for Western Capitalism.
83
26/03/2020 11:26:48 17 1
bbc
2008 all over again. Some business owners will take this & when their business fails due to the excessive interest payments & no way of paying back the capital - they will lose their house & suffer years of mental distress, broken families & homes. GVT good intentions to help - just banks see this as boom time to make profit & bonuses, never change & its just depressing.
84
Jim
26/03/2020 11:26:58 8 1
bbc
Don't they remember 2008?
85
26/03/2020 11:26:58 7 1
bbc
Absolute power has been devolved by Parliament to the Government. Welcome to the Kleptocracy. Come in friend. Have some cash. No questions can be asked.
86
26/03/2020 11:27:18 9 2
bbc
Instead of saying banks, why don't the BBC name and shame the banks involved, as looking at the article it is not all banks doing this. You are happy to single out the likes of Sports Direct/Mike Ashley and Wetherspoons/Tim Martin, so why not? Barclays and other unnamed banks (why unnamed?) are doing this, but RBS/Natwest are not. Stop with the salacious headlines and give us the facts.
87
26/03/2020 11:27:18 14 0
bbc
Always remember the banks exist for their own enrichment as businesses and the enrichment of their shareholders, directors and senior managers. As with other businesses, they will seek to maximise their profit while providing the minimal service to their customers unless forced by law to do otherwise and even then they will seek ways around the law. That is business. Do not be taken in by them.
88
26/03/2020 11:27:18 6 13
bbc
Relax. It will be easy for the Government to put the appropriate pressure on Banks to do the right thing.
89
26/03/2020 11:27:48 20 1
bbc
Absolutely vile to see behaviour like this from the big banks trying to profit from this national crisis.
129
26/03/2020 11:34:12 2 0
bbc
@89 nsk1974 "Absolutely vile to see behaviour like this from the big banks trying to profit from this national crisis." Did you read the BBC biased headline or the whole article? An unnamed bank is quoted as asking for PG's on a loan below the £25k-£5m govt-backed loans. Barclays and HSBC have stated they want PG's for loans over £100k, whilst RBS and Natwest have said they won't.
90
26/03/2020 11:27:58 24 2
bbc
The whole financial sector is just greedy and never takes it's share of the social burden. Credit card companies should be forced to reduce their interest rates as millions of people are forced to use them and not be able to afford the total repayments.
91
26/03/2020 11:27:58 24 0
bbc
I suppose it would be a different kettle of tadpoles if the banks were about to go bust (again!) and they went cap-in-hand to the BoE and the government for a much needed bailout with little or no interest to worry about, while at the same time gifting their CEOs and other investors with nice little bonuses for being complete failures!
92
26/03/2020 11:28:19 13 1
bbc
Businesses to take on large amounts of borrowing. Business owners will have to service this debt from profit and it will be their personal income that is hit to achieve this. Didn't see banks having to pay back the UK taxpayer for the pain and misery they caused in 2008! Nor account for austerity that followed. Banks looking to make money out of this - they are all MORALLY BANKRUPT!
93
26/03/2020 11:28:39 3 2
bbc
This sounds like the students loans system repeated. It's a system that sweeps the matter firmly under the carpet for future generations to worry about. The irresponsible advice to students is you will never have to pay it back. Well the money's been spent so someone will have to pay. There is a huge mountain of debt being built up and this scheme looks like adding to it big time.
94
26/03/2020 11:28:39 5 0
bbc
Anyone know when news censorship of middle east will be lifted ?
81
26/03/2020 11:26:08 24 1
bbc
Surely all Banking Fraternities should cease all repayments for 3 months. They'll get their money just a bit later.. This would help millions out who are struggling financially in the short term.
95
26/03/2020 11:28:39 3 0
bbc
@81, they have to pay for their 35 fancy holidays next year somehow...
96
26/03/2020 11:28:39 8 3
bbc
Ask yourself - whose money is it that the bank lends? The answer -it's yours...
97
26/03/2020 11:28:49 25 0
bbc
We bailed the banks out so the banks can bail us out, we will pay you back at 0.25% interest over 40 years, does that sound fair to everyone ?
40
26/03/2020 11:20:34 13 12
bbc
Vote for Boris. Expect lies. Vote for bankers. Expect them to look after bankers. Vote for businessmen. Expect them to look after business'. Vote for change. Expect change. Why do we always vote for the stuffed suits people?
98
26/03/2020 11:29:09 5 3
bbc
"40. will Why do we always vote for the stuffed suits people?" Because the other options are far worse. Look what happened when Blair arrived at the head of party that gave the impression of being competent, prudent and ready to govern. They wiped the Tories. However the opposition prefer Comrade Corbyn and the Head Girl.
99
26/03/2020 11:29:19 17 0
bbc
And what guarentees did the banks give us when we had to bail them out.
100
26/03/2020 11:29:29 11 1
bbc
Is anyone really surprised by this? Despite what politicians say we are not all in this together - twas always thus and twill always be. The rich and the powerful (an elderly Balmoral couple) versus the rest.