Andrew Winter

Have you not noticed what has gone so wrong with the worlds’ biggest banks? I don't think you have...

In recent weeks, I have spoken to one young couple on good salaries with a small deposit, that were offered up to $800,000 on a mortgage – they were both horrified and sensible enough to be sticking to a loan amount under $500k. Another couple who are being encouraged to build on land they had already paid 20% too much for and where their newly built home will actually be worth at least $300k less than it cost to build. Another guy who signed up for a ‘share trading’ account to play the market with a couple of thousand Dollars he could actually easily afford to lose if it all went wrong, was offered an instant $50k credit, which would not be so easy to lose but impossible to repay!

So come on guys stop this madness – sensible lending will make you money and keep the economy going just as well, start to give real advice and start to prepare your clients for a back - up plan. No one wants to go back to the very restricted old days, but neither do we want to end up in the sort of mess other countries are in either. When you end up with foreclosures – what happens then, you rarely handle those correctly.

The purpose of my ranting is to hope that lenders here really do look to the long term because it will be good for all of us

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