So where is all the money?

[JohnnyJones]

Where is it? Who's got it?

We haven't got any money, the Irish certainly haven't, same as half of Europe. The yanks the same, and the Aussies are broke.

Am I the only one who doesn't understand? Where is all the money? No one has burnt it in their back garden.

And the World Bank, who we all owe these Trillions to, who are they?

If anyone can post a laymans guide to this stuff it would be great!

[dudleybloke]

nobody had any in the first place.
its was all on finance!

[MilnerR]

We owe the money to those individuals, investors and countries who have government bonds. Currently the UK government owe me somewhere in the region of £20k. The debt is being bought and sold by various investment banks on the strength of that IOU's value. The value of which is determined by the interest rate on that loan and how likely the government is going to be able to repay the loan. I don't understand all the INS and outs but my limited understanding is that the majority of the money owed, is owed to citizens through private investment mechanisms.

[madala]

JohnnyJones said:

Where is it? Who's got it?

We haven't got any money, the Irish certainly haven't, same as half of Europe. The yanks the same, and the Aussies are broke.

Am I the only one who doesn't understand? Where is all the money? No one has burnt it in their back garden.

And the World Bank, who we all owe these Trillions to, who are they?

If anyone can post a laymans guide to this stuff it would be great!

....Oop North in Yorkshire....plenty stashed brass opp there lad.....

[BoRED S2upid]

The way I see it is nobody had it in the first place easiest example is when people get into negative equity on their house and cant pay it back there becomes a massive void or a little void but miltiply it by Millions and it adds to the mess the world is in.

PS The Saudis still have money all those guys pump it out of the ground daily.

[tonym911]

Default on ALL debts, and start again. It's only numbers.

[Mr E]

tonym911 said:

Default on ALL debts, and start again. It's only numbers.

Fine until you own government bonds personally.

[GreigM]

tonym911 said:

Default on ALL debts, and start again. It's only numbers.

It may be numbers, but it took me years of hard work to get a decent number - if it gets reset to zero I will absolutely go postal...then we'll see if you think its just numbers

[don4l]

dudleybloke said:

nobody had any in the first place.
its was all on finance!

This^^^^

Many of us have been living the high life on money that we haven't earned.

Politicians encouraged us in our profligacy, because they know that we are less likely to vote them out if we feel well off.

Even worse, left wing politicians introduced "affordable housing" policies. In the USA this was done in an above the board fashion. 10% of all new homes had to be "affordable".

Here in the UK, Prescott introduced "Housing Density" targets under the pretext of planning for future needs. Here in Surrey the target was (and still is??) 27 residences per acre. This was a very clever way to ensure that no more "upmarket" developments took place - two fingers to the middle classes.

The practical effect is that any developer who wants to build some nice houses on large plots gets his application rejected on the basis that it would breach the density targets. So, if you have a development of 6 large houses, then one 5 bedroom house has to be replaced by a block of flats.

Unfortunately, there were no buyers for these flats, so the builders did deals with the building societies to ensure that people who couldn't really afford to buy were able to get a mortgage. The building societies "insured" these loans because they knew that they were dodgy.

Other banks provided this insurance without really understanding the risk - and so the banking crisis was born. This is what happened in the UK and USA.

In Ireland and Spain things were subtly different. Huge numbers of people were either employed by, or investors in, the construction industry. Once again, politicians encouraged the situation for short term personal gain. The banks got sucked in and thought that they would win whatever the outcome.

There was a construction crisis in Spain in 1992. The banks repossessed thousands of properties from the developers. The market recovered in a couple of years, and the banks then sold the properties at a huge profit. So the Spanish banks ended up feeling immune to property crashes.

However, this time around the situation is very different. There is a huge surplus of properties that won't get used up for years. So the banks are sitting on assets that are almost worthless.

So, people who blame the "greedy bankers" are only half right. Politicians either led the way (UK and US) or encouraged the situation (Ireland and Spain).

Don
--

[StevieBee]

The money still exists. It's just not flowing as freely as it has done in the recent past.

[tuffer]

Take a look out of the window, see all those shiny cars that people are driving? Some donuts bought that kind of stuff by remortgaging their house (to unlock the trapped money ). They then bought an S4 Cabriolet for some ridiculous amount of money as well as a whole bunch of other tat. One day everyone woke up and realised they had to pay the money back and their house was not worth as much as they once thought. Rather than sit on negative equity they defaulted on payments and had the house repossessed along with the now worthless S4.....bingo, there goes a couple of hundred K. Rinse and repeat several million times and we have global financial meltdown.

Well done fktards.

[12gauge]

don4l said:

dudleybloke said:

nobody had any in the first place.
its was all on finance!

Here in the UK, Prescott introduced "Housing Density" targets under the pretext of planning for future needs. Here in Surrey the target was (and still is??) 27 residences per acre. This was a very clever way to ensure that no more "upmarket" developments took place - two fingers to the middle classes.

Per hectare surely?

[Corsair7]

tuffer said:

Take a look out of the window, see all those shiny cars that people are driving? Some donuts bought that kind of stuff by remortgaging their house (to unlock the trapped money ). They then bought an S4 Cabriolet for some ridiculous amount of money as well as a whole bunch of other tat. One day everyone woke up and realised they had to pay the money back and their house was not worth as much as they once thought. Rather than sit on negative equity they defaulted on payments and had the house repossessed along with the now worthless S4.....bingo, there goes a couple of hundred K. Rinse and repeat several million times and we have global financial meltdown.

Well done fktards.

So how many people do you personally know of that have had their house repossed this last few years? Or they're fancy cars? Personally, I know of none. If what you said was even close to being true, there would be millions of homeless people living on the streets and under the UKs bridges in ikea boxes, but do you know what, there aint any.

[don4l]

12gauge said:

don4l said:

dudleybloke said:

nobody had any in the first place.
its was all on finance!

Here in the UK, Prescott introduced "Housing Density" targets under the pretext of planning for future needs. Here in Surrey the target was (and still is??) 27 residences per acre. This was a very clever way to ensure that no more "upmarket" developments took place - two fingers to the middle classes.

Per hectare surely?

Hmmmm...
I was quoting from memory. Using Google I now come up with a target of 40 per Hectare for 2008/9 in Surrey Heath.

Either way, it had a similiar effect.

Don
--

[tuffer]

Corsair7 said:

tuffer said:

Take a look out of the window, see all those shiny cars that people are driving? Some donuts bought that kind of stuff by remortgaging their house (to unlock the trapped money ). They then bought an S4 Cabriolet for some ridiculous amount of money as well as a whole bunch of other tat. One day everyone woke up and realised they had to pay the money back and their house was not worth as much as they once thought. Rather than sit on negative equity they defaulted on payments and had the house repossessed along with the now worthless S4.....bingo, there goes a couple of hundred K. Rinse and repeat several million times and we have global financial meltdown.

Well done fktards.

So how many people do you personally know of that have had their house repossed this last few years? Or they're fancy cars? Personally, I know of none. If what you said was even close to being true, there would be millions of homeless people living on the streets and under the UKs bridges in ikea boxes, but do you know what, there aint any.

Globally......Plenty of people in the US have walked away from their mortgages willingly. And guess what, our banks bought in to that debt.

[Digga]

don4l said:

12gauge said:

don4l said:

dudleybloke said:

nobody had any in the first place.
its was all on finance!

Here in the UK, Prescott introduced "Housing Density" targets under the pretext of planning for future needs. Here in Surrey the target was (and still is??) 27 residences per acre. This was a very clever way to ensure that no more "upmarket" developments took place - two fingers to the middle classes.

Per hectare surely?

Hmmmm...
I was quoting from memory. Using Google I now come up with a target of 40 per Hectare for 2008/9 in Surrey Heath.

Either way, it had a similiar effect.

Don
--

The result of that fat retard's meddling in other areas has been homes - houses and flats - so crammed-in and devoid of sensible parking as to render them either unsaleable or worth less than some muppets did pay for them during the boom.

ETA There was abig row in Hill about 'beneficial' deals relating to this legislation and property developments owned or bought by Pressa's son. Given Hull's lack of gravitas and the political will to quash the news, it is unsurprising that it never really made national media, but it is thwere for the Googling. (I have a lot of relatives in the area and they give more detail than the news cuttings.)

Edited by Digga on Tuesday 30th November 12:39

[tinman0]

Corsair7 said:

tuffer said:

Take a look out of the window, see all those shiny cars that people are driving? Some donuts bought that kind of stuff by remortgaging their house (to unlock the trapped money ). They then bought an S4 Cabriolet for some ridiculous amount of money as well as a whole bunch of other tat. One day everyone woke up and realised they had to pay the money back and their house was not worth as much as they once thought. Rather than sit on negative equity they defaulted on payments and had the house repossessed along with the now worthless S4.....bingo, there goes a couple of hundred K. Rinse and repeat several million times and we have global financial meltdown.

Well done fktards.

So how many people do you personally know of that have had their house repossed this last few years? Or they're fancy cars? Personally, I know of none. If what you said was even close to being true, there would be millions of homeless people living on the streets and under the UKs bridges in ikea boxes, but do you know what, there aint any.

People tend not to post that they've just had their car repo'd. Nor do they put it on Facebook or Twitter. They just "sell" the car for whatever reason. Quietly get rid of it.

As for the house - how many people are back at their parents? Again, you probably don't post it on Facebook or Twitter.

"@mybestfriend - yeah just had the car and house repossed, how cool is that? tiny.pic/bailiffs"

[Corsair7]

tuffer said:

Corsair7 said:

tuffer said:

Take a look out of the window, see all those shiny cars that people are driving? Some donuts bought that kind of stuff by remortgaging their house (to unlock the trapped money ). They then bought an S4 Cabriolet for some ridiculous amount of money as well as a whole bunch of other tat. One day everyone woke up and realised they had to pay the money back and their house was not worth as much as they once thought. Rather than sit on negative equity they defaulted on payments and had the house repossessed along with the now worthless S4.....bingo, there goes a couple of hundred K. Rinse and repeat several million times and we have global financial meltdown.

Well done fktards.

So how many people do you personally know of that have had their house repossed this last few years? Or they're fancy cars? Personally, I know of none. If what you said was even close to being true, there would be millions of homeless people living on the streets and under the UKs bridges in ikea boxes, but do you know what, there aint any.

Globally......Plenty of people in the US have walked away from their mortgages willingly. And guess what, our banks bought in to that debt.

So re-read what you said. You just prooved yourself wrong. No one in the UK walking away from mortgages or buying shiney cars caused this issue, because that didnt happen. It might have happeend because of the crisis, but it hasnt been the cause. You cant look out any UK window and see what you described, becauase it happened accross the pond, and UK bankers/hedge fund managers bought re-packaged debts falsly described as AAA rating when in reality they were heavily loaded with high risk US mortgages. They did this because the returns were thought to be high (in the region of 20% per annum!) and they got blinded by the supposed profits. Nothing more than fraud.

[V8mate]

anonymous said:

[redacted]

But where is the money?

The OP wants to know where it has gone.

[Caruso]

It's like a giant game of Monopoly where all the players have borrowed from the Banker to buy properties and the value of those properties has now dropped and they can't pay the banker back.