Tel: 0845 458 2633
Scheme would aid victims of credit crunch
The Governor of the Bank of England, Mervyn King, took the opportunity yesterday to suggest to the country's main bank's chief execs that they might want to consider a new compensation scheme. The scheme would benefit savers who lose money in a bank's collapse.
The 350 delegates attending the conference heard the governor say that he knew his suggestion would be an unpopular one but that it was wise for banks to make upfront payments in to the scheme with "some element of prefunding" as natural. Angela Knight the British Bankers' Association's chief executive, however, said that her view was that prefunding was not essential, what was more essential was that payments should be made quickly within a system that consumers trust. Banks already belong to a scheme that which makes them liable for levies up to £4 billion a year.
The banking industry has made 80,000 job cuts worldwide and have made writedowns of £204 billion as a result of the credit crisis. The chairman of Europe's biggest bank HSBC, Stephen Green, said that he did not feel that the credit crisis was yet over.
The information contained within these news articles may include reference to taxation, legislation, regulation and other issues or concerns that may no longer apply.
Your property may be repossessed if you do not keep up repayments on your mortgage.
For more information on how we are paid for mortgages please click here.Grovelawn Financial Services, 3b Restormel Industrial Estate, Liddicoat Road, Lostwithial PL22 0HD — T: 0845 458 2633
Grovelawn Financial Services is a trading style of Grovelawn Limited
Grovelawn Limited is Registered in England & Wales number 5030300. Registered Address: 98 Station Road, Sidcup, Kent, DA15 7BY.
Consumer Credit Licence Number: 573287