Northern Rock Share Discussion Threads

[diydan] 21/10/2008 16:41

GreycIoud - 20 Oct'08 - 12:29 - 13917 of 13919


"My quote was from a newspaper!!

Maybe you should read some papers with more words in and less pictures...

[dumbarton2] 21/10/2008 10:39

I have just put some money into EKT stakebuilding going on the shares are trading at a discount to net asset value and it pays a net dividend of near 5%.

[scribbler101] 21/10/2008 10:34

Must be right then ?

Please provide link so we can see their basis of claim.

Maybe 1 in 36 in arrears?

[greycioud] 20/10/2008 12:29

My quote was from a newspaper!!

[bryan2] 20/10/2008 09:04

About time too!

The Observer reports that the Serious Fraud Office could launch an inquiry into BBC business editor Robert Peston's recent string of market-moving banking 'scoops' after David Cameron's Tories raised suspicions that he could have a 'mole' inside 10 Downing Street or the Treasury. The SFO confirmed to the paper that its director, Richard Alderman, had received a letter from Tory MP Greg Hands, asking it to investigate 'allegations of fraudulent behaviour' at the heart of government.
At critical points in the NRK crisis he appeared to use insider/spin information supplied by BoE/Tresury to drive down the NRK share price.

[scribbler101] 19/10/2008 17:03

Grey - 4,201 in 600,000 is 1 in 142 by my sums. Not 1 in 36.

[bryan2] 19/10/2008 13:36

GreycIoud
A true Brit!!! which of course includes Scotland and Wales.
A true Prat more like!

[bryan2] 19/10/2008 12:25

Stress Testing the Bank of England

Earlier in the Northern Rock crisis Mervyn King said that Northern Rock would not have had a problem if it had 10B£ of insurance against a liquidity freezup.
In fact Northern Rock only had 2B£ of such insurance.
The House of Commons finance committee criticised Northern Rock and the FSA for not including such a possibility as a liquidity crisis in the Stress Testing of its business model.
These points were of course made with the benefit of hindsight.
The question that nobody seems to have asked the Bank of England is did it Stress Test itself for the possibility that the credit markets would remain frozen for 1 Month, 6 Months, 1 Year, 2 Years or longer?
The earlier point about liquidity insurance shows how out of touch Mervyn King is.
Now that all British Banks are suffering from the problem would mean that any insurance company that had to pay out in such a scale would have been long ago bankrupt.
From all the evidence it would appear that the BoE did not have a Stress Test that examined the possibility of a credit freeze.
The changes of BoE policy over the last 18 months point to a startled reaction to events rather than the enactment of a carefully thought out plan

[greycioud] 18/10/2008 17:25

1 in 36 NRK customers repo'd.

I am proud to be English. Not Scottish or Welsh. A true Brit!!! Eventually we will crush the Welsh & Scottish Assemblies and send the t*ssers packing!!

[diydan] 17/10/2008 18:34

GreycIoud
wait for the other banks to say what all their reps are.. I think you will find that NRK 3 month arrears rate of 1.87% and repos of 4,201 out of 600,000 will compare very well with the other banks.

[scribbler101] 17/10/2008 15:10

Grey - are you a Scottishman?

That would explain a lot.

[greycioud] 17/10/2008 10:55

Dan

They have more repo,s than anyone else due to the poor quality of the numpties they lend to!!

[bryan2] 17/10/2008 10:05

Back from holiday to find that Peston is being investigated for source of insider dealing knowledge.
Main investigation centres on his contact with man from Treasury.
The damage of his carefully placed leaks is apparent for all to see.
The main basket case among British Banks is now shown to be RBS!!
It will now be subject to 60% Nationalisation whatever that means.
We holders of 100% confiscated NRK stock find that hardly a day goes by without the grounds for our compensation claim becoming even more compelling.

[diydan] 16/10/2008 17:03

GreycIoud
Can you read?
An arrears rate of 1.87% and repos of 4,201 out of 600,000 mortgages. I wonder how many UK banks have an arreas rate better than that?

Oh yes and well over half of the loan repaid when the rest of the UK banking sector begging for £500B from BOE..

[greycioud] 15/10/2008 16:56

Scribbler

Stop being such a prig!!

[bigface] 15/10/2008 10:49

seen this ? links to nrk but Britannia link interesting

[kpwuk] 15/10/2008 09:53

Northern Rock says it will pay debt on time despite slumpNationalised bank admits £11.4bn left will be 'challenging'Phillip Inman The Guardian, Wednesday October 15 2008

Northern Rock vowed yesterday to pay back its multibillion-pound loan on time despite sharply deteriorating house prices and a looming recession that has sent arrears and repossessions rocketing in recent months.

The lender, which was nationalised earlier this year, said former directors at the centre of the group's collapse last summer would escape legal action after a lengthy investigation was unable to detect sufficient evidence of wrongdoing.

The bank's chairman, Ron Sandler, said a report by the law firm Freshfields and the accountants KPMG into the previous regime, headed by the former chief executive Adam Applegarth, had found "insufficient grounds to proceed with any legal action for negligence".

He said the report, which was accepted by the bank's board, would allow directors to focus on the organisation's future, which remained "challenging" while the economy continued to slow down.

The bank said in a third-quarter trading statement that it was "well ahead" of its government loan repayment target, having paid back more than half of the £26bn it owed, to leave £11.4bn outstanding as at September 30.

Northern Rock hit the headlines a fortnight ago when it revealed that savers panicked by the financial meltdown had deluged the bank with demands to deposit cash. Savers saw the publicly owned operation, which still has 70 branches, as a safe haven during a period of turbulence in financial markets and uncertainty over the future of several high-street rivals.

The Newcastle-based bank withdrew several savings products and put a cap on others to comply with EU rules limiting it to 1.5% of the savings market so as not to distort competition.

In a trading statement, the bank said that while it had successfully built a strong deposit base, it was finding it difficult to making further repayments of the loan. Sandler said: "We have continued to repay the government loan well ahead of plan; our deposit base is growing; our restructuring programme has been completed successfully, and a new and stronger management team is now in place. These are encouraging developments.

"But I don't want to convey the impression that any of this is going to be easy or anything other than arduous. Dislocated financial markets and falling house prices mean that the pace of progress achieved to date will be significantly more challenging to maintain going forward," he said.

Arrears of more than three months jumped to 1.87% in September from 1.18% in June, while repossessions increased from 3,710 in June to 4,201 in September, the company said.

Sandler said the worsening outlook for the economy was likely to lead to a further rise in arrears and repossessions on its 600,000 mortgage accounts.

Most of the repossessions were for properties secured with a "Together" mortgage, which allowed buyers to borrow up to 125% of the property's value. Together mortgages account for 80% of loans triggering repossession orders.

Before running into funding problems last summer, Northern Rock was one of Britain's biggest and most aggressive mortgage providers.

It was forced to turn to the Bank of England for emergency support after the money markets froze, leaving the group facing a funding crisis. A run on the bank saw it haemorrhage billions of pounds of deposits before a government guarantee stabilised its business. Months of searching for a private-sector buyer failed and the bank was nationalised in February.

More than 1,500 staff lost their job, of which 800 came through compulsory redundancies.

The lender has been reducing the size of its mortgage book in order to pay back its government borrowing, and repaid £15.4bn during the nine months to September 30. Repayments have fallen dramatically in recent months, leading to concerns that the bank will struggle to pay back the government without becoming more aggressive in tackling arrears.

Some mortgage brokers and anti-poverty campaigners have already warned that Northern Rock has moved quickly to repossess homes after customers have fallen into arrears. The Consumer Credit Counselling Service, which handles thousands of calls each month from distressed bank customers in debt, has accused the bank of lacking any care or leniency in its dealings with customers.

Sandler rejected the charge, arguing that the company and its staff made efforts to keep people in their homes whenever possible.

[kpwuk] 15/10/2008 09:52

Northern Rock says it will pay debt on time despite slumpNationalised bank admits £11.4bn left will be 'challenging'Phillip Inman The Guardian, Wednesday October 15 2008

Northern Rock vowed yesterday to pay back its multibillion-pound loan on time despite sharply deteriorating house prices and a looming recession that has sent arrears and repossessions rocketing in recent months.

The lender, which was nationalised earlier this year, said former directors at the centre of the group's collapse last summer would escape legal action after a lengthy investigation was unable to detect sufficient evidence of wrongdoing.

The bank's chairman, Ron Sandler, said a report by the law firm Freshfields and the accountants KPMG into the previous regime, headed by the former chief executive Adam Applegarth, had found "insufficient grounds to proceed with any legal action for negligence".

He said the report, which was accepted by the bank's board, would allow directors to focus on the organisation's future, which remained "challenging" while the economy continued to slow down.

The bank said in a third-quarter trading statement that it was "well ahead" of its government loan repayment target, having paid back more than half of the £26bn it owed, to leave £11.4bn outstanding as at September 30.

Northern Rock hit the headlines a fortnight ago when it revealed that savers panicked by the financial meltdown had deluged the bank with demands to deposit cash. Savers saw the publicly owned operation, which still has 70 branches, as a safe haven during a period of turbulence in financial markets and uncertainty over the future of several high-street rivals.

The Newcastle-based bank withdrew several savings products and put a cap on others to comply with EU rules limiting it to 1.5% of the savings market so as not to distort competition.

In a trading statement, the bank said that while it had successfully built a strong deposit base, it was finding it difficult to making further repayments of the loan. Sandler said: "We have continued to repay the government loan well ahead of plan; our deposit base is growing; our restructuring programme has been completed successfully, and a new and stronger management team is now in place. These are encouraging developments.

"But I don't want to convey the impression that any of this is going to be easy or anything other than arduous. Dislocated financial markets and falling house prices mean that the pace of progress achieved to date will be significantly more challenging to maintain going forward," he said.

Arrears of more than three months jumped to 1.87% in September from 1.18% in June, while repossessions increased from 3,710 in June to 4,201 in September, the company said.

Sandler said the worsening outlook for the economy was likely to lead to a further rise in arrears and repossessions on its 600,000 mortgage accounts.

Most of the repossessions were for properties secured with a "Together" mortgage, which allowed buyers to borrow up to 125% of the property's value. Together mortgages account for 80% of loans triggering repossession orders.

Before running into funding problems last summer, Northern Rock was one of Britain's biggest and most aggressive mortgage providers.

It was forced to turn to the Bank of England for emergency support after the money markets froze, leaving the group facing a funding crisis. A run on the bank saw it haemorrhage billions of pounds of deposits before a government guarantee stabilised its business. Months of searching for a private-sector buyer failed and the bank was nationalised in February.

More than 1,500 staff lost their job, of which 800 came through compulsory redundancies.

The lender has been reducing the size of its mortgage book in order to pay back its government borrowing, and repaid £15.4bn during the nine months to September 30. Repayments have fallen dramatically in recent months, leading to concerns that the bank will struggle to pay back the government without becoming more aggressive in tackling arrears.

Some mortgage brokers and anti-poverty campaigners have already warned that Northern Rock has moved quickly to repossess homes after customers have fallen into arrears. The Consumer Credit Counselling Service, which handles thousands of calls each month from distressed bank customers in debt, has accused the bank of lacking any care or leniency in its dealings with customers.

Sandler rejected the charge, arguing that the company and its staff made efforts to keep people in their homes whenever possible.

[kpwuk] 15/10/2008 09:51

Northern Rock says it will pay debt on time despite slumpNationalised bank admits £11.4bn left will be 'challenging'Phillip Inman The Guardian, Wednesday October 15 2008
Article history
Northern Rock vowed yesterday to pay back its multibillion-pound loan on time despite sharply deteriorating house prices and a looming recession that has sent arrears and repossessions rocketing in recent months.

The lender, which was nationalised earlier this year, said former directors at the centre of the group's collapse last summer would escape legal action after a lengthy investigation was unable to detect sufficient evidence of wrongdoing.

The bank's chairman, Ron Sandler, said a report by the law firm Freshfields and the accountants KPMG into the previous regime, headed by the former chief executive Adam Applegarth, had found "insufficient grounds to proceed with any legal action for negligence".

He said the report, which was accepted by the bank's board, would allow directors to focus on the organisation's future, which remained "challenging" while the economy continued to slow down.

The bank said in a third-quarter trading statement that it was "well ahead" of its government loan repayment target, having paid back more than half of the £26bn it owed, to leave £11.4bn outstanding as at September 30.

Northern Rock hit the headlines a fortnight ago when it revealed that savers panicked by the financial meltdown had deluged the bank with demands to deposit cash. Savers saw the publicly owned operation, which still has 70 branches, as a safe haven during a period of turbulence in financial markets and uncertainty over the future of several high-street rivals.

The Newcastle-based bank withdrew several savings products and put a cap on others to comply with EU rules limiting it to 1.5% of the savings market so as not to distort competition.

In a trading statement, the bank said that while it had successfully built a strong deposit base, it was finding it difficult to making further repayments of the loan. Sandler said: "We have continued to repay the government loan well ahead of plan; our deposit base is growing; our restructuring programme has been completed successfully, and a new and stronger management team is now in place. These are encouraging developments.

"But I don't want to convey the impression that any of this is going to be easy or anything other than arduous. Dislocated financial markets and falling house prices mean that the pace of progress achieved to date will be significantly more challenging to maintain going forward," he said.

Arrears of more than three months jumped to 1.87% in September from 1.18% in June, while repossessions increased from 3,710 in June to 4,201 in September, the company said.

Sandler said the worsening outlook for the economy was likely to lead to a further rise in arrears and repossessions on its 600,000 mortgage accounts.

Most of the repossessions were for properties secured with a "Together" mortgage, which allowed buyers to borrow up to 125% of the property's value. Together mortgages account for 80% of loans triggering repossession orders.

Before running into funding problems last summer, Northern Rock was one of Britain's biggest and most aggressive mortgage providers.

It was forced to turn to the Bank of England for emergency support after the money markets froze, leaving the group facing a funding crisis. A run on the bank saw it haemorrhage billions of pounds of deposits before a government guarantee stabilised its business. Months of searching for a private-sector buyer failed and the bank was nationalised in February.

More than 1,500 staff lost their job, of which 800 came through compulsory redundancies.

The lender has been reducing the size of its mortgage book in order to pay back its government borrowing, and repaid £15.4bn during the nine months to September 30. Repayments have fallen dramatically in recent months, leading to concerns that the bank will struggle to pay back the government without becoming more aggressive in tackling arrears.

Some mortgage brokers and anti-poverty campaigners have already warned that Northern Rock has moved quickly to repossess homes after customers have fallen into arrears. The Consumer Credit Counselling Service, which handles thousands of calls each month from distressed bank customers in debt, has accused the bank of lacking any care or leniency in its dealings with customers.

Sandler rejected the charge, arguing that the company and its staff made efforts to keep people in their homes whenever possible.

[knowsleyman] 15/10/2008 07:45

I sold out of NRK pretty close to the top, so have no direct interest any longer, but, recent events in the way other banks have been treated would appear to make the compensation argument pretty compelling.
The money loaned to NRK is only in petty cash terms now!!!!!!!!!!!!