The "Credit Crunch" and you? - Page 15

Mark · 22-10-2008, 10:57

Well, seems our local MFI has gone (or is about to go). Rosebys and Motor World gone too. JJB next? At this rate we'll not need the 49 new shops currently being built.

cheets · 22-10-2008, 19:33

Got my wage slip today Redundancy £1373 + Retention Accumulator £601 - tax £90

Quote:

Originally Posted by Mark

Well, seems our local MFI has gone (or is about to go). Rosebys and Motor World gone too. JJB next? At this rate we'll not need the 49 new shops currently being built.

MFI in Wigan has shut, there is a Rosebys and Motor World

JJBs is based in Wigan, if that goes this town will be on its knees.

Mark · 22-10-2008, 19:43

Scuse the potentially impolite questions, but what did you do, and what's a 'Retention Accumulator'?

Tysonator · 22-10-2008, 19:52

The Housing sector was fuelled by greed. Not only was it now an opportunity for any one who could get a mortgage to go out and buy up lots of 2 bed apartments / houses for buy to let enterprise. Everyone wanted to make a killing in a particular market. The mortgage market linked to the building market, linked to financial markets linked to more funds being handed over to consumers in the form credit cards & loans. Every one went on big spending spree. Who cared about pay back, lets spend now. Get that LCD TV, get that sofa etc in that now expensive property they have just purchased.

Some newer companies have never know a recession / down turn in orders , in fact a lot of new 1st time buys had to jump in to property market when ever they could afford it. With mortgages being given away a 5 to 6 times salary !
It was only a matter of time when some of these 1st buyers were never going to afford payments in the future.

I agree with posts in here if banks had tighter control and lending and amounts lent out the housing market spiral could not have kept going up as there just would be no to buy.
Simple supply & demand.
Everyone got greedy, banks, building companies, estate agents, credit card companies etc.
I say some of these financial companies need to sack the stupid funds / traders managers and take the losses on the high risk funds they brought into. At the end of the day, high risk high return that’s the gamble. Flip side equals high loss. These scenario they had no provision for in there accounts. Investment purchased at an inflated cost and never going to yield the return should have had a doubtful provision.

Its there own fault, so suffer like we have to in the recession.

Any one can check my profile, I am an Accountant. I used my spare money to make extra payments against my mortgage. Used credit card companies 0% balance transfer deals to finance my purchases. Did not buy a brand new car, purchased a newly new car etc. not many people had forward sense of the future !

Now look were we are. If consumers stop spending then this economy is really in the sh*te !

Tysonator · 22-10-2008, 19:55

'Retention Accumulator'
I suspect this is some sort of pay out based on lenght of service with in his company

cheets · 22-10-2008, 20:13

Quote:

Originally Posted by Mark

Scuse the potentially impolite questions, but what did you do, and what's a 'Retention Accumulator'?

Long story, worked there for 7 years 5 part time and 2 full, but only got paid for 7 years part time weekly wage, was at a Asda warehouse, its shut because they have finally got one of the newly built automated warehouse down south working.

Not sure how the Retention Accumulator was worked out but it was at £12 for every day you worked in a week so my was 12 x 2 by the years served and some of the yearly bonus was added and some other crap.

Quote:

Originally Posted by Tysonator

Now look were we are. If consumers stop spending then this economy is really in the sh*te !

Snip, I knew there was a crash coming, glad I held off from getting a dead end job and getting a house, my mate who works at the same place bought a terraced house 2 years ago for £82.5k one in the street has sold for £75k this week so he is in major negative equity and has no job from Friday

checking on the internet he house sold for £22k in 2003, in 5 years it jumped to £82.5k the only thing the owners did was build a 6 foot x 4 foot extension, hardly £60k improvement.

The amount house prices have been push up over 8 years is shocking, nothing but greed, I agree with the spending, luckily I was brought up with savvy parents and they would save before spending or at least only buy some thing on credit if it was a necessity, broken fridge/washing machine. People have just spent, get a loan, spend, get a credit card, spend, remortgage, oh ***.

People have even get debt written off, if debt is written off, how pays the company for the goods? I could of gone out and got my self into some serious debt a few years ago but I just had the common sense and up bringing in buy now pay now.

Tysonator · 22-10-2008, 20:46

Cheets,
I am hoping to buy another property in the new year. I too sensed a crash, in fact I was hoping for a crash !
When the housing market bottoms out I will try and buy an new property and let it out, but not for stupid silly amounts of rent. I am not trying to make a killing just ptrotect my finacial exposer from my employer, if I am made jobless !

Darryn · 22-10-2008, 22:05

The credit crunch? whats that?

My quarterly bonus hasnt been affected, my annual payrise hasnt been affected and the price of fuel doesnt really bother me. From my point of view its just a load of hype in the papers that doesnt in any way affect/bother me.

Mark · 22-10-2008, 22:58

^^^ Similar. My employer seems (so far) to have been able to weather things. We're still hiring at any rate. It has had two effects - my SAYE share options and my two pension policies. That's pretty much a given with the stock market crash of course.

As for Woolies, it looks a bit scary. I know they sold some stores (to Tesco), and I know SAS bought a 4% stake in them (which may now have gone bad thanks to the Icelandic banking situation), but they're currently playing boardroom musical chairs. I don't think I'd want to be anywhere near there for a while.

Matblack · 22-10-2008, 23:17

My industry is fine Aitch's is a lot less predictable as its asset managment but unless all the funds are withdrawn then they will need someone to manage the accounts which makes her relatively safe. I'm not complacent though and I'm bloody glad we have a lot of savings and a lot of the mortgage paid off! If petrol had continued to go up I would have had to have had a big think about the car but I'm not inclined to sell it as it will have lost a lot of money as all cars have.

MB

22-10-2008, 19:52	#144
Tysonator Vodka Martini Join Date: Jan 2007 Location: ESSEX Posts: 874	The Housing sector was fuelled by greed. Not only was it now an opportunity for any one who could get a mortgage to go out and buy up lots of 2 bed apartments / houses for buy to let enterprise. Everyone wanted to make a killing in a particular market. The mortgage market linked to the building market, linked to financial markets linked to more funds being handed over to consumers in the form credit cards & loans. Every one went on big spending spree. Who cared about pay back, lets spend now. Get that LCD TV, get that sofa etc in that now expensive property they have just purchased. Some newer companies have never know a recession / down turn in orders , in fact a lot of new 1st time buys had to jump in to property market when ever they could afford it. With mortgages being given away a 5 to 6 times salary ! It was only a matter of time when some of these 1st buyers were never going to afford payments in the future. I agree with posts in here if banks had tighter control and lending and amounts lent out the housing market spiral could not have kept going up as there just would be no to buy. Simple supply & demand. Everyone got greedy, banks, building companies, estate agents, credit card companies etc. I say some of these financial companies need to sack the stupid funds / traders managers and take the losses on the high risk funds they brought into. At the end of the day, high risk high return that’s the gamble. Flip side equals high loss. These scenario they had no provision for in there accounts. Investment purchased at an inflated cost and never going to yield the return should have had a doubtful provision. Its there own fault, so suffer like we have to in the recession. Any one can check my profile, I am an Accountant. I used my spare money to make extra payments against my mortgage. Used credit card companies 0% balance transfer deals to finance my purchases. Did not buy a brand new car, purchased a newly new car etc. not many people had forward sense of the future ! Now look were we are. If consumers stop spending then this economy is really in the sh*te ! __________________ Will think of some witty to say, well when I think of it

22-10-2008, 19:55	#145
Tysonator Vodka Martini Join Date: Jan 2007 Location: ESSEX Posts: 874	'Retention Accumulator' I suspect this is some sort of pay out based on lenght of service with in his company __________________ Will think of some witty to say, well when I think of it

22-10-2008, 20:46	#147
Tysonator Vodka Martini Join Date: Jan 2007 Location: ESSEX Posts: 874	Cheets, I am hoping to buy another property in the new year. I too sensed a crash, in fact I was hoping for a crash ! When the housing market bottoms out I will try and buy an new property and let it out, but not for stupid silly amounts of rent. I am not trying to make a killing just ptrotect my finacial exposer from my employer, if I am made jobless ! __________________ Will think of some witty to say, well when I think of it

22-10-2008, 22:05	#148
Darryn Loves his cars more than his friends Join Date: Jun 2008 Location: Colne, Lancashire Posts: 108	The credit crunch? whats that? My quarterly bonus hasnt been affected, my annual payrise hasnt been affected and the price of fuel doesnt really bother me. From my point of view its just a load of hype in the papers that doesnt in any way affect/bother me. __________________ My Flickr

22-10-2008, 23:17	#150
Matblack Baby Bore Join Date: Jun 2006 Location: Svalbard Posts: 9,770	My industry is fine Aitch's is a lot less predictable as its asset managment but unless all the funds are withdrawn then they will need someone to manage the accounts which makes her relatively safe. I'm not complacent though and I'm bloody glad we have a lot of savings and a lot of the mortgage paid off! If petrol had continued to go up I would have had to have had a big think about the car but I'm not inclined to sell it as it will have lost a lot of money as all cars have. MB __________________ "we had roots that grew towards each other underground, and when all the pretty blossom had fallen from our branches we found that we were one tree and not two"

22-10-2008, 10:57	#141
Mark Screaming Orgasm Join Date: Jul 2006 Location: Newbury Posts: 15,194	Well, seems our local MFI has gone (or is about to go). Rosebys and Motor World gone too. JJB next? At this rate we'll not need the 49 new shops currently being built.

22-10-2008, 19:43	#143
Mark Screaming Orgasm Join Date: Jul 2006 Location: Newbury Posts: 15,194	Scuse the potentially impolite questions, but what did you do, and what's a 'Retention Accumulator'?

22-10-2008, 22:58	#149
Mark Screaming Orgasm Join Date: Jul 2006 Location: Newbury Posts: 15,194	^^^ Similar. My employer seems (so far) to have been able to weather things. We're still hiring at any rate. It has had two effects - my SAYE share options and my two pension policies. That's pretty much a given with the stock market crash of course. As for Woolies, it looks a bit scary. I know they sold some stores (to Tesco), and I know SAS bought a 4% stake in them (which may now have gone bad thanks to the Icelandic banking situation), but they're currently playing boardroom musical chairs. I don't think I'd want to be anywhere near there for a while.