RBS Mucks Up ISAs
My trawl for the Royal Bank of UK Taxpayers, has found this story from the Herald. Here’s the first paragraph.
Some NatWest and Royal Bank of Scotland (RBS) customers have found themselves short-changed in their monthly interest payments in the latest blunder to hit the banks.
It looks like a computer error.
It’s funny, but it seems quite a few of the stories critical of RBS, seem to be in the Herald. Didn’t it uised to be the Glasgow Herald?
Should We Jump On The Peer-to-Peer Bandwagon?
I wouldn’t tell anybody one way or other, but I would advise them to research the reputable peer-to-peer lenders, if they need to borrow money or save for the future.
This article from Julian Knight was published yesterday in the Independent.In the opening paragraph he speculates that you might be able to fund peer-to-peer lending from an ISA.
As he says, it might only be kite flying, but if it is, it is a kite armed with some serious ordnance destined for the banks.
You may dismiss peer-to-peer lending as something for nerds, accountants or gamblers, but even if you do, read the article.
If you decide to act on it, make sure you think before you leap.
What Can The Banks Do For Us?
After writing the previous post about Mark Carney’s thoughts on the pound and Scottish independence, I got to thinking about the nature of different currencies and how I feel about them.
On my travels to Budapest, Stockholm, Palermo and Bilbao, I’ve used Hungarian forint, Swedish, Danish and Norwegian krone and Swiss francs in addition to euro and pounds. Train journeys across Europe could be a nightmare, as like the trip back from Stockholm, each country could be a different currency and you end up with enough change to tear holes in all your pockets, but impossible to understand.
The personal preference, that I like to use cash makes it worse in a non-euro and non-pound country, like Hungary, where I don’t have any natural feel for notes and coins.
I just think that the banks are making it easy for us to handle all these currencies, but some have made a start.
I have a credit card from Nationwide, that just converts the transaction into pounds on my statement and doesn’t charge me any commission, when I use it abroad.
As a customer I like that and I’ve heard one savings expert recommend this credit card for just this reason.
So shouldn’t all credit cards be like this?
But i used to be a world-class computer programmer. Probably to say I used to be is totally wrong, as my mind is still reasonably sharp and it certainly knows what computers can do.
So why when I use my credit card in say Ruritania and I pay for a delicious gluten-free meal with my credit card, does the terminal not show me the cost in both Ruritanian wotsits and English pounds? If I was say a Frenchman and my bank account was in euros, then I would want euros instead of pounds.
All it needs is a bit of clever software.
Come on you bankers!
Carney’s Sense On An Independent Scotland And The Pound
Mark Carney has pronounced on how an independent Scotland would use the pound. It’s reported here and this is the first few paragraphs.
The Bank of England governor has said an independent Scotland would need to give up some power to make a currency union with the rest of the UK work.
Mark Carney said such a move, proposed by the Scottish government, “requires some ceding of national sovereignty”.
He also said the risks of not having a strong agreement had been demonstrated by problems in the Eurozone.
I think it is more complicated than he says, as would a government of what is left of the UK, want to let Scotland share a currency? There are plenty of politicians, who would want to settle old scores
And would Scotland be allowed to use the pound by the European Union?
I don’t care one way or the other, so long as I don’t have to foot the bill for extra taxes to pay for the mess politicians leave us in! Which of course, they always do!
The Bill For RBS Goes Up
On the first of January, I wrote this post, entitled Will We Ever Get Rid Of This Worthless Bank.
But now according to reports, like this one on the BBC, the bill is going to get bigger. The BBC article says that the bank needs another £3.1 billion for claims relating to the financial crisis. As there are sixty three million of us, that means, that even the granny in the council house and the baby just leaving the hospital will have to find another pound a week.
So next time, you look at your bank account or count the change in your pocket, think of the mess that the prudent Gordon Brown, dropped us in.
Now Lloyds Bank Has Card Problems
What is it with the UK banks computer systems, as Lloyds had problems last night, as is reported here.
Beware for a surge of spam targeting Lloyds customers.
It’s Not Their Money It’s Mine!
I haven’t used large amounts of cash for years, but I did a couple of times years ago, when I needed to buy a car, or in one case a truck privately.
However, I do think HSBC are being a bit heavy handed in this story from the BBC. Here’s the reaction of an HSBC customer, when he tried to withdraw £10,000.
Mr Cotton cannot understand HSBC’s attitude: “I’ve been banking in that bank for 28 years. They all know me in there. You shouldn’t have to explain to your bank why you want that money. It’s not theirs, it’s yours.”
Strangely, you’re probably better off using a peer-to-peer lender as an instant access account, as I do. If I needed £10,000 on say the 10th March, I could probably get it in returns from my Zopa account with little difficulty. But I’d have to plan what I was doing. On the other hand my credit raqting is good enough to borrow it from the sdame source, if I needed it urgently.
As peer-to-peer lenders get bigger, more common and flexible, we’ll see all sorts of innovative ways to manage our money.
Banks will probably die in their numbers, as they are incapable of innovation. I like the quote of Paul Volcker, who was once chairman of the Federal Reserve.
ATMs were banking’s only useful technological innovation in the last 30 years.
He is so right.
How To Muck Up A Country
When I was a child in the 1950s and 1960s, Argentina was reckoned to be one of those countries that would be an economic powerhouse in the future. I can remember positive stories about how it was developing a strong motor, aviation and other industries. It was also thought that dictators like the Perons were firmly in the past.
But now we only get stories like this one from the BBC, which talks about restricting on-line shopping and foreign currency transactions to limit the damage on reserves. Here’s the first bit.
Argentina has introduced new restrictions on online shopping as part of efforts to stop foreign currency reserves from falling any further.
Anyone buying items through international websites will now need to sign a declaration and produce it at a customs office, where the packages have to be collected.
The procedure will need to be repeated for every new purchase.
It just shows how politicians can so easuly drag a country into the mire.
Ariel On The Bank Of England
I’ve never thought that the actual building for the Bank of England, was much more than a functional one. Wikipedia says this about the building.
The Bank moved to its current location on Threadneedle Street, and thereafter slowly acquired neighbouring land to create the edifice seen today. Sir Herbert Baker‘s rebuilding of the Bank, demolishing most of Sir John Soane’s earlier building, was described by architectural historian Nikolaus Pevsner as “the greatest architectural crime, in the City of London, of the twentieth century”.
I’d thought it was much older.
As you walk alongside the building up Princes Street, it looks very much like an over-grand prison.
There is though, a gilded sculpture on the roof.
Ariel On The Bank Of England
Surely this isn’t the best place to put a work of art!
Robert Peston On Milliband’s Plan For The Banks
Now that Milliband has actually spoken it is interesting to see what heavyweight commentators are saying. The speech is reported here on the BBC and it also contains these comments from Robert Peston on what would happen if banks were limited as to market share.
Bankers have said to me this would lead to what they call a perverse outcome, that as they approached the maximum size they would dump customers they deemed low quality or loss-making.
It is unclear whether these customers would be able to bank elsewhere.
I wonder how many banks would want me as a customer, given that all I want is a money transfer company. And I don’t buy any other services from my bank, like insurance.
And I don’t see why I should pay for my banking!
The Anonymous Widower 