Stupid is as stupid does
The fallen angel of the economy and his darling lap dog finally made a decision over what was left of Northern Wreck. To make matters perhaps even more unpalatable Gord and Ali (the would be Scottish comedic duo – by the way Gord is the one who is always stands on the left) have given the task (of a rescue ?) to the man who delivered the pensions industry (and for that matter pensioners) from a fate worse than prosperity.
The poor old rock has been saddled with management by an arms length quango – pity help the poor shareholders – and investors – I mean those with deposits, and don’t think the borrowers will get away scot free (so to speak). They, and especially those that took “together” mortgages should be on the look out. For it is thanks to Vince Cable, the Lib Dems economic spokesman, that these mortgages are now dead.
Because it is the “nearly man” of Lib Dem politics who branded the deals, and, one has to imagine, all the people who have one, as stupid! Lets face it, Vince is no slouch when it comes to knowing his financial stuff, and the views of a man with a PhD in economics from Cambridge should be taken account of by those at the docklands birdcage.
So should borrowers with “stupid” mortgages be worried? Well yes but only if they understood what they were getting. For those stupid enough to have stupid mortgages and not understand them and are therefore stupid (is that an oxymoron?) can rest assured and have no worries, because anyone who is stupid and has been sold a “stupid” product can’t possibly have been dealt with fairly, and as we know, that can only mean one thing. Yes a scandal, and not just any scandal but a huge mis-selling scandal like the one all the consumer champions have been predicting for years. They are right at last ! Hurrah.
So there we have it, a company in state ownership who’s borrowers will be treated “at no difference from any other bank or building society” being run by a man who was a financial regulator, which he now heads, which is being branded as a company that sold stupid mortgages (and now overpriced stupid mortgages).. being investigated by the FSA for TCF breaches ? Surely the visit by the FSA will need the whole of the Northumberland constabulary to cover every exit?
But who will pay the fine, will the newly incumbent be culpable ? was due diligence sufficiently diligent? And even when they work that out will they get a discount for paying early ? I think we should be told.