British banks in trouble - BIG trouble

 

The Bank of England is Britain’s equivalent to the U.S. Federal Reserve.

It is headed by a Jew, Mervin King.

King has frequently said he favors a “hands off” approach to the British economy.

Recently King had to do an about-face and start injecting loans into British banks to prevent the banks from collapsing. In the last three months, he has injected £18.8 billion ($ 37.6 billion) of new debt into a banking system that is already drowning in debt.

British slaves are beginning to panic. Two days ago, thousands of slaves lined up in the streets to pull their money out of banks operated by Northern Rock, which is Britain’s 5th largest mortgage lender. Northern Rock’s stock is in free-fall, and the slaves fear that when it collapses, Enron-style, they will get nothing. They want their money, not excuses. Few photos of this have been published in the U.S. media, because the bankers don’t want their American slaves to panic.

How did this come about? The banks, instead of keeping enough capital to back their loans, used their mortgage IOUs as collateral. This trick brought them a lot of profits for a while. Today nobody wants to buy those IOUs, or take them as collateral. Thus, the banks cannot pay their debts to other banks, or to the Jews of the central banks.

In the next few weeks, banks will post catastrophic losses. This will make their condition even worse. Investors will continue to take their money elsewhere. Hence there will be many bank failures in the coming months. U.S. Treasury Secretary Henry Paulson (Jew) is in England, discussing emergency plans, but there are no solutions.

In England, Northern Rock built up a $200 billion mortgage portfolio, but it cannot pay a $4 billion loan, because the $200 billion is IOUs. It is merely homeowners’ agreements to pay their mortgages. Northern Rock’s assets have no discernable market value. Therefore the Bank of England must give new loans to Northern Rock in order to bail it out. The Bank knows that if Northern Rock collapses, panic could spread.

The problem in England is similar to that in the USA. The criminals (financial institutions) don’t trust each other, and won't lend to each other, or buy each other's financial products. This happened in 1992, and the Bank of England had to flood the market with new debt to keep the game going.

Today, investors aren’t buying anything connected with real estate. The various banks (not central banks) are left standing there. They owe the central bankers, like everyone else does. They got greedy, and now they have no reserves to cover their losses. Countrywide, the largest mortgage lender in the USA, faces possible bankruptcy, and just took on more debt from the Fed. Every time the "government" (i.e., the Fed) bails out a failed bank, it issues more debt that ultimately must be paid by YOU. You cannot pay this debt. Instead, your standard of living goes down and down. Wages plummet. Jobs disappear.

The current crisis in the USA started when Bear Sterns couldn't find bidders for its mortgage-backed products. Therefore Bear Sterns shut down part of its operations. This created a shockwave that is building, and will circle the planet, since the market is now global. If you have a mortgage, it's quite possible that your mortgage payments go to China.

Hedge funds used mortgage-backed products to build fortunes. Now they are in serious trouble. Risk was piled upon risk. Many people were terrified of this, even people like billionaire Warren Buffet, and they issued dire warnings. But the financial industry was greedy, and it paid ratings agencies to issue rosy pictures.

Bush should announce to the public than all bank deposits will be covered by government insurance, but he’s too busy with his insane war. All the red warning lights are blinking. The plane is heading into a mountain, but Bush takes another drink and prattles on about the “war on terror.”

The mortgage meltdown in the USA is also affecting England. Therefore the Bank of England is now allowing British banks to to pledge a wider range of collateral so the banks can get more debt from the Bank of England. That is, the various banks are now allowed to put up more of their mortgage assets as security. This will set up England for an even bigger collapse. England has a higher per-capita rate of adjustable-rate mortgages than the USA does.

The various smaller banks cannot keep up with their loan payments to the Jews of the Bank of England. The Jews don’t care. They risk nothing. They lend no money. Instead, they extend credit. Like a Las Vegas casino, they run the game, and they always get everything in the end.

When the banks extend more credit, it is like a shot of adrenalin. It keeps the exhausted slaves rowing a few minutes longer, but it speeds their deaths.

At certain times, even a shot of adrenalin (debt) will not keep the galley slaves rowing. Therefore the central gangsters lower their interest rate slightly. That is, they allow the slaves to row slightly slower, in return for the slaves' promise that they will row faster than ever, once the slaves have their five-minute rest. Today the U.S. Fed lowered its prime interest rate by half a percent. (The Bank of England will probably announced a rate cut on 2 October.) This caused the stock market to soar higher than it has in five years, but it is no help to average slaves who cannot make their mortgage payments. The stock market is, in one sense, a casino where people bet which slaves will drop dead first.

By lowering the interest rate, the Fed knows it will cause inflation, since financial institutions will be allowed to take on more debt. (Inflation means more debt, and a lower standard of living for you.) The U.S. economy cannot keep up with this ever-mounting debt to the central bankers. We are fighting a losing battle. The current crisis in faith cannot be removed by saddling us with more debt. By lowering interest rates, the Federal Reserve will not stimulate economic growth or create jobs. It will simply cause the dollar to continue weakening, and buy us a few more weeks of life.

Part of the problem is that financial corporations have removed almost all the laws that used to protect us. This is part of the paradise known as the “free market.” In the wonderful “free market” there are no laws to protect the nation, or the people, and no laws to stop a fever of greed in the financial industry. Anyone who says we should have protections is dismissed as a "socialist."

All this is fine with the Jewish bankers, since they cannot be hurt no matter what happens. They live in splendor. You live in a cesspool. (If you complain about the cesspol, everyone will say you caused your own problems.)

The American public is starting to blame Greenspan’s insane credit policies. Greenspan is starting to blame Bush. Bush blames Muslims. No one dares blame the central bankers or the Master Race.

When Bush took office, oil was $22 per barrel. His Iraq nightmare has caused oil to reach $80 per barrel. When fuel becomes too expensive for trucks and airplanes to buy, our economy will crash. Therefore we must bomb Iran and jump-start the economy by having a world war.

The British are beginning to question their banking system, but Prime Minister Gordon Brown has pledged to keep the Jews free from all control. This has made Brown extremely unpopular, but Brown has unlimited money from the private bankers.

BOTTOM LINE

Once again, all these problems stem from private central control of the banks.

The private central banks maintain fractional reserve banking and debt-based currency. They create our financial nightmares. They inculcate greed. They cause collapses. They make it necessary to go to world war, even if Bush does not want to.

Can you stop it? No. Are you doomed? I don’t know.

I will say this…if you cannot keep up with any of your debts YOU ARE NOT TO BLAME.

Spread the word.

WE MUST dump the Fed, and private central banking.
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P.S. -- Learn to think of money as debt, because that’s how the Master Race has set things up for us. When you hear the Fed has “injected liquid” into such-and-such, or that the Fed “bailed out” such and such, know that the Fed did not give money.

If the Fed gives a company $20 billion, then $20 billion in credit (debt) has been issued. This debt can then be traded and sold, but it must all be paid back to the Master Race -- with interest.

Once you learn to think of money as debt, most of economics will become simple for you.

What we need, of course, is a currency that is not debt-based. To get that currency, we must unseat the private central bankers.

Posted by qrswave at http://www.wakeupfromyourslumber.com/blog  (article 3627)