A View From Middle England - Conservative with a slight libertarian touch - For Christian charity and traditional belief - Free Enterprise NOT Covert Corporatism

Saturday, February 02, 2008

Scrambled Egg and the Citi Slickers!

This morning I woke to hear that about 160,00o customers of the online bank Egg are to have their credit cards withdrawn. The bank has been prompted to do this by its new owners, Citicorp. During the day it has become known that a lot of these customers are insensed. There appears to have been a haphazard way in totting up those who made the 160,000. One customer, Gillian Cox, of Farnham, Surrey, said she was "absolutely furious" to learn her credit card had been cancelled in what she described as an "unbelievable arbitrary action". Mrs Cox said she and her husband are "retired, no mortgage, no debts" and "always paid the balance off in full each month". So Egg on her face for no reason, then!

This is all about Citibank trying to rescue themselves from the financial mire they got into. Run by irresponsible wannabe cowboys, this bank has lost a staggering $18 billion in the sub-prime mortgage fiasco. The dodgy loans which they then repackaged and sold to other banks as prime, were always going to come back to bite them. A bit like a meat wholesaler selling meat unfit for human consumption to supermarkets, only for families to eat it as top dollar stuff.

They have some nerve, they really do. And that other bank, Societe Generale in Paris! They apparently knew of this young trader's antics as way back as last March. They probably hoped he'd come through, making them all rich in the process!

The whole world banking system stinks. It has been taken over by sharks and charlatans, who have almost to a man (and possibly a woman too!) given us the credit crunch, and sent economies either into recession or to the brink. We in Britain get the delectible Angela Knight, of the British Bankers Association saying " Whilst it is lovely to spend, it is the paying back that is always the difficulty". She, of course, is not talking of the culpable bosses of the banks, but of customers tempted beyond their means. Yes, we all have responsibility, but that means ALL and the bank bosses need to step up to the plate and admit that they have contributed big time to this horrendous mess!


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