Another banking crisis? - NOT amateur radio

Although the banking sector is supposed to be far more resilient these days, you could be forgiven for thinking otherwise. Bank stocks still look spooked by recent events with SVB and Credit Swisse. I hope this is short lived.

Banks - NOT amateur radio

Allegedly, Barclays Bank is to pay $2billion to settle a US fraud case.

See http://www.bbc.co.uk/news/business-43585546 .

Now, I am no financial expert, but I get sickened by tales of banks not behaving. I am sure Barclays is no worse than many others, but at the height of the financial crisis we bailed out many banks and probably saved the financial sector from total melt-down with taxpayers money. The least we can expect is that our banks are "whiter than white". Meanwhile, the rich get richer and nurses get no pay rises for years. To quote a famous UK politician, " we are all in this together". Oh yes? Oh no we are definitely not.

33 minutes and 3 people (2 overseas) later, I managed to contact Barclays over a query that should have been made clear in a letter I got sent. As far as I am concerned, banks have got worse in the last 40 years. Their customer service is generally crap.

Bank incompetence - NOT amateur radio

My father-in-law would have turned in his grave.

Yesterday, because a bank letter was unclear, I needed to contact my bank. 33 minutes later and 3 people later, I got my answer. 2 of these people were overseas. Not one knew who I was. A clearer letter would have made this call totally unnecessary.  Could they write this basic data in the letter? No -  idiots.

This week, also, we went into a different bank to close 2 accounts that managed to lose money! Then they wrote a letter to say they could not verify the bank details into which funds should be paid. Thankfully, they enclosed a first class stamped envelope. Whilst in the branch all details could have been verified. Again, idiots.

Why would my father-in-law turn in his grave? Because, years ago, banks were personal, you could ring your local branch and bank officials were respected. Now you are just a number in a call centre overseas. I suspect most bank staff have, maybe, a training in domestic studies or football. Most appear to know nothing about banking. Most seem stupid and incompetent.

Maybe I am just a grumpy old man, but is it really too much to ask for a decent, competent and personal service? Every bank, it seems, makes billions in profits. Maybe they should try harder at making customers feeling more valued. They could start with their staff.

UK interest rate rise - NOT amateur radio

UK interest base rates have gone from 0.25 to 0.5%. This is the first rise in 10 years. Modest, but upwards. What will it do for the UK Pound?

See http://www.bbc.co.uk/news/business-41846330 .

UPDATE 1300z: At the moment, the UK pound is down against most currencies. Perhaps they were expecting a bigger rise?

Well, I have come to the conclusion that the best advice is to do the opposite of whatever I suggest! By now, I was expecting the Euro to lose value against the UK Pound.

UPDATE 2215z: So the UK Pound - Euro exchange rate has worsened by 1.74% today. This completely the opposite of what I expected! Will it get even worse tomorrow?

A book worth reading

On one of my other blogs, Miscellaneous Musings, I have reported on a book recently read, whilst on holiday in Switzerland, about the banking crisis and how to fix it. See http://qss2.blogspot.co.uk/2013/05/the-sickness-of-banks.html .

Reading the book left me fuming with anger and sadness that decent, hard working people could be so SHAFTED by greedy, corrupt and deceitful bankers out to make a quick buck. That the financial industry is supposedly such a major part of our economy is surely a sad reflection on the modern age.

The banking crisis is hitting us all and fixing the problems will take years and years. Motto: NEVER trust a banker or government and bury some of your savings in a box in the garden!

The Voice of the Common Man/Woman

This picture appeared on my Facebook pages today. It shows someone on one of the marches across the world protesting at bankers and the mess they have caused.  I think it is excellent and speaks volumes about the concerns of good, decent and ordinary people. Stupid bankers have gambled away OUR pensions and OUR livelihoods for the sake of THEIR short-term gain. Power to the people!!

Bank bonuses - direct action Dutch style

Being really VERY annoyed with the size of totally unjustified bank bonuses in the UK, I was amused to read this article which proves that peaceful and non-violent "people power" can work. No need to spray paint on banks (pointless and unhelpful), just threaten, en mass to withdraw your money.

http://www.guardian.co.uk/business/2011/mar/27/dutch-bankers-bonuses-axed-by-people-power

Corporate Greed

I don't usually get political on my blog, but something has incensed me this week. Goldman Sachs, the huge multi-national finance company, has declared huge bonuses for its staff. In the press yesterday it was reported that their staff now have an average salary+bonus package of $430000 a year!  At the same time I've read that they've slashed their corporate charity giving by a large amount. If these figures are correct, then I believe them to be obscene and a prime example of the corporate greed of some big financial institutions. I am not sure how to respond, but want to email their CEO, but haven't managed to find his email address on the swish corporate website!  In the end, such greed cannot be acceptable. This is the sort of behaviour that festered revolutions a century ago: the seeds are there for it to happen again within 10 years when the ordinary man says, "no more".