Category: Banking

The unexpected hanging: Part 2, Too many banks here anyway

24 July, 2015 (10:00) | Austria, Banking, Consumer protection, Currency risk, Eurozone, Global news, Homeownership, Lending, Mortgages, Risk, Swiss franc | No comments

[Continued from yesterday’s Part 1.] By: David A. Smith Yesterday’s Part 1 told half the story of an Austrian homeowner and acquaintance of columnist/ pundit David Frum. as described six months ago in The Atlantic (January 29, 2015), whose astonishment at being assessed a €12,000 mandatory loan prepayment demand, because though paid in Euros and […]

The unexpected hanging: Part 1, Before it was pushed

23 July, 2015 (10:00) | Austria, Banking, Consumer protection, Currency risk, Eurozone, Global news, Homeownership, Lending, Mortgages, Risk, Swiss franc | No comments

By: David A. Smith The man was sentenced on Saturday. “The hanging will take place at noon,” said the judge to the prisoner, “on one of the seven days of next week. But you will not know which day it is until you are so informed on the morning of the day of the hanging.” […]

Live-in safety-deposit boxes

10 February, 2015 (09:00) | Apartments, Banking, Global news, Housing, Innovations, Investment, Markets, New York City, Property rights, Speculation |

By: David A. Smith Neil McCauley: A guy told me one time, “Don’t let yourself get attached to anything you are not willing to walk out on in 30 seconds flat if you feel the heat around the corner.” Now, if you’re on me and you gotta move when I move, how do you expect […]

Just WHO has a problem here?

5 February, 2015 (09:28) | Banking, Bankruptcy, Bonds, Capital markets, Euro, Eurozone, Global news, Greece, Grexit, Guarantees, Sovereign bankruptcy, Speculation, Syriza |

By: David A. Smith [Interrupting Month in Review, December for some current and topical news – Ed.] Nick Fury: No matter who wins or loses, trouble always comes around… The Avengers, Age of Ultron Here comes trouble As Tony Stark’s creation Ultron said, just before he launched all-out war on humanity, “Everyone creates the thing […]

Better to be franc?

26 December, 2014 (10:00) | Bank regulation, Banking, Capital markets, Currency risk, Eurozone, Foreclosure, Housing, Hungary, Lending, Mortgages, Switzerland |

By: David A. Smith Long ago I figured out that, when it comes to currency risk, never lend in foreign currency and never borrow in foreign currency.  I would have thought this was obvious, but some of the world’s smartest bankers (the Swiss) managed to put themselves into just such a foolish position, as reported […]