HSBC Bank Blocking Large Withdrawals Without ‘Evidence’ Of Spending Need (UK)

Prophecy News Watch email ^ | January 26, 2014 | Unknown

[PowderMonkey]

"They cant just call a homeowner and demand full payment on a mortgage on the spot."

I don't know about your mortgage agreement, but mine have always included a provision specifically stating the lender can call in the note, demanding payment in full at any time, for any violation of the terms. The only thing that prevents it is the understanding it's bad for business, so they generally hold off on "going nuclear," but they can do it. You are correct. Banks make $$$ by loaning it out. They aren't in the real estate business, but they can and will drop the hammer when the time comes. My last zip cope was filled with over 600 homes on the auction block within a 2-mile radius of my front door. Hundreds more were in the banks' shadow inventory awaiting processing.

[sickoflibs]

OK, I am not sure how the EU fits in but I did find this:

Bank-Run Fears Continue; HSBC Restricts Large Cash Withdrawals Submitted by Tyler Durden on 01/24/2014 Zero heddge

[sickoflibs]

RE :”I don't know about your mortgage agreement, but mine have always included a provision specifically stating the lender can call in the note, demanding payment in full at any time, for any violation of the terms. The only thing that prevents it is the understanding it's bad for business, so they generally hold off on “going nuclear,” but they can do it. You are correct. Banks make $$$ by loaning it out.”

I was once short on a mortgage payment because the escrow went up and I forgot to adjust. It was ~ $50 short.

The company tried to hit me with a late fee on the entire mortgage for that more than the amount I was short, but I gave them grief and they backed off.

A year later they went under and sold my loan to another mortgage comp.

If they called in the loan now I could just pay it.

[PowderMonkey]

I’m seeing the words “cash” withdrawal used there. So, are we to assume the policy applies only to cash transactions? If so, I would go online and electronically transfer all my deposits to another bank. Addios, baby!

[JRandomFreeper]

I'll continue to avoid banks and statists that want to control my life.

/johnny

[sickoflibs]

RE :”I'll continue to avoid banks and statists that want to control my life.”

I like my credit union. Its not in the UK.

[Wolfie]

This is not a governmental law, that was my point.

[sarge83]

I have an uncle who got some inheritance money, probably $30-$40K range and he deposited it in his local bank in Georgia where he lived. After a month or so he went down and wanted to withdraw $24,000 cash. He intended to buy a new vehicle and wanted to pay cash for it. He is old and stubborn and wanted cash money in hand. The bank refused him, told him no more than a couple of thousand dollars each day. He was fit to be tied and eventually pulled every penny out of that bank. This was in the 1990’s.

I had a friend who was a WWI vet and something of a loan shark in our community from the 1920’s to the 1950’s. He went in to pay off his house loan late one Saturday afternoon right before the bank closed. He paid it in full and the banker was wanting to leave and my friend said I will pick up the receipt paid in full next week so you can get home.

My friend went down to collect his receipt the next week and the bank was packed, bank run, the beginning of the Great Depression. My friend saw the banker and went to his office and said I am here to get my receipt and lien released on my house and the banker started carrying on that he didn’t know what he was talking about and he owed so much on his house still etc...

My friend not having any of this whipped out his revolver and pointed it at the banker and said a few choice words followed by hand over my receipt of you ain’t going home, which will it be? The banker handed over the receipt marked paid in full. From that day on this old guy kept very little money in any of the local banks and packed a gun until the day he died, he was quiet a character.

[NEMDF]

Yeah, ‘cuz someone could lose all their guns at the bottom of the lake if out in an un-needed bass boat, right?? (WINK WINK)

[lbryce]

Yeah, I do remember seeing the commmercial on TV. It is especially funny, ironic in the light of the story on HSBC. Even if the guy brought his Iphone to show the bank the video it wouldn't make any difference.

Thanks for posting.