Bank Spiffing Wheeze no. 231
Posted: Mon Oct 31, 2011 1:23 pm
As you know our wonderful government is really giving the banks hell. That VInce Cable has been "waging war" on bank lending to small businesses like nobody's business.........allegedly.
Well some of my mates who run businesses have been on the receiving end of this spiffing banking wheeze.
1. Government agrees with banks annual lending targets to small businesses.
2. Banks get in touch with mates and tell them they no longer have overdraft facilities with bank.
3. Oh no!!!!. However, there is an exciting loan offer that the bank can make in return for the overdraft facility going down the toilet pan.
4. Yes you have got it, cost of the same amount of money as a loan facility is much more expensive than as an overdraft facility.
5. And it counts towards the bank lending targets!!!!!
Great eh?
Cheers
D
PS Yes I know the Labour government did bugger all on controlling banks. And just don't start me on Thatcher - 25 years this month since the Big Bang when she set the whole bank deregulation thing going.
Well some of my mates who run businesses have been on the receiving end of this spiffing banking wheeze.
1. Government agrees with banks annual lending targets to small businesses.
2. Banks get in touch with mates and tell them they no longer have overdraft facilities with bank.
3. Oh no!!!!. However, there is an exciting loan offer that the bank can make in return for the overdraft facility going down the toilet pan.
4. Yes you have got it, cost of the same amount of money as a loan facility is much more expensive than as an overdraft facility.
5. And it counts towards the bank lending targets!!!!!
Great eh?
Cheers
D
PS Yes I know the Labour government did bugger all on controlling banks. And just don't start me on Thatcher - 25 years this month since the Big Bang when she set the whole bank deregulation thing going.
