From: M Holmes 
Newsgroups: uk.politics.misc uk.finance
Subject: Re: Consumer debt getting out of control warns Financial Services Authority.
Date: Fri, 27 Jan 2006 16:18:48 +0000 (UTC)

In uk.finance mmaker@my-deja.com wrote:
> Miop wrote:

>> I don't think they even care anymore how people will pay the money
>> back, but I just can't work out why.

> It's called moral hazard: do you really think that the govermment would
> let Barclays go bust if they lost vast billions due to stupid lending?
> If the economy goes well and people keep paying interest they win, if
> the economy crashes and they're loaded up with bad debts, they'll get
> bailed out.... so why would they worry?

Barclays don't care because like other banks, they've securitised the
debts, parcelled them up and sold them in the derivatives markets.

FoFP

-- 
If Intelligent Design were true, the G-spot would be on the outside and
clearly labelled.