The Barclays LIBOR scam

[zz000ter]

How can we trust the banks?
These organizations are like parasites.
Don't they realize that a parasite eventually kills the host
... and it too dies.

If you do not understand what Barclays did - maybe this infographic can help

Exposing the Barclays LIBOR Rigging Scandal (Infographic)
http://www.healthcareadministration.com/libor/

http://www.healthcareadministration.com/wp-content/uploads/libor.jpg

[vero95]

it's ironic that it appeared on the healthcare administration site as if there was no fraud in the healthcare :D

[mjl_toronto]

Are you really that surprised?
I'm more surprised they got caught. IMO, banks are there to make money. If they don't make money, society won't get access to their services. Sucks, but we live in an economy/society built on debt.

[Cough]

A real good source when they cant even spell funtamentally. By understating LIBOR, Barclays actually helped the average "joe" at the expense of fat cat investors.

Not saying they did right but there are bigger things to worry about.

[abu_sme]

By understating LIBOR, Barclays actually helped the average "joe" at the expense of fat cat investors.


You mean pension funds, sovereign wealth funds, retail investors holding mutual funds..that's just a start. Let's also not forget that interest rates paid on your savings account are also based on LIBOR.

[wilsonlam97]

Why did financial services become so complicated after the industrial revolution? Its unnecessary for it to be so complex for society to work.

[anyasok]

Why did financial services become so complicated after the industrial revolution? Its unnecessary for it to be so complex for society to work.
Correction. Financial services are unnecessary and period. There are only resources and access to them. Everything else is a structure superimposed on that devised by the "elite" to keep the public in the dark while they make use of that system to milk them dry till they're broke or dead.

[a-tree]

Correction. Financial services are unnecessary and period. There are only resources and access to them. Everything else is a structure superimposed on that devised by the "elite" to keep the public in the dark while they make use of that system to milk them dry till they're broke or dead.

lol

[Mark77]

All of my loans are directly indexxed to LIBOR (not "Prime", etc.). And I've probably been over-charged as a result. But I also own bank stock, so really, it probably nets itself out. Personally I think this is more of a black eye on the industry and on the monetary system we have, rather than a case where they managed to transfer economic value from one set of market participants to another in a way that was perverse or otherwise affected by fraud.

IMHO, the whole matter is a bit of a distraction or sideshow from bigger scams that are out there.

Just remember -- if Barclays can manipulate LIBOR which presumably is set with a bunch of market participants -- what's stopping the Canadian banks from manipulating "Prime" on consumer loans? Letting a banker set your interest rate at its whim is foolish, IMHO, unless you are hedged appropriately.

[vero95]

All of my loans are directly indexxed to LIBOR (not "Prime", etc.). And I've probably been over-charged as a result. But I also own bank stock, so really, it probably nets itself out. Personally I think this is more of a black eye on the industry and on the monetary system we have, rather than a case where they managed to transfer economic value from one set of market participants to another in a way that was perverse or otherwise affected by fraud.

IMHO, the whole matter is a bit of a distraction or sideshow from bigger scams that are out there.

Just remember -- if Barclays can manipulate LIBOR which presumably is set with a bunch of market participants -- what's stopping the Canadian banks from manipulating "Prime" on consumer loans? Letting a banker set your interest rate at its whim is foolish, IMHO, unless you are hedged appropriately.

how do you hedge appropriately against prime rate?

[ji2o0k]

hahah, good catch about "funtamentally".....lol.....


I wonder if any bankers will serve any jail time? Or will it be like the sub-prime mess and no one is really "accountable"........

[iEyeCaptain]

how do you hedge appropriately against prime rate?

hoard gold

[ji2o0k]

hoard goldthat and pumpkin futures......which is almost like gold anyways....

[anyasok]

hahah, good catch about "funtamentally".....lol.....


I wonder if any bankers will serve any jail time? Or will it be like the sub-prime mess and no one is really "accountable"........
Of course they wont serve any jail-time. They are protected by the government as being "saviors of the system". If someone steals $100 from a store he goes to jail but when TARP money is distributed to banks (regardless of whether it's paid back afterwards), they get to hand it out as golden-parachutes to their top staff.

Under that logic, the aforementioned thief of $100 should be allowed to pay it off at zero percent interest (just like the banks got their billions aid) and given the same time window the banks are given to pay off their portion of "aid".

But no... of course the corporations are so much more "ethical" and "important" than individuals of society and should be "untouchable".

[vero95]

that and pumpkin futures......which is almost like gold anyways....

pumkin futures are expensive right now. is it good time to buy?

[BornRuff]

How can we trust the banks?
These organizations are like parasites.
Don't they realize that a parasite eventually kills the host
... and it too dies.

If you do not understand what Barclays did - maybe this infographic can help

Exposing the Barclays LIBOR Rigging Scandal (Infographic)
http://www.healthcareadministration.com/libor/

Fraud or breaking the rules isn't in any way special to banks. Every system in the world has people who are willing to break the rules to get ahead, be it education where lots of people cheat, to your neighborhood mechanic overcharging people who don't know better. We always need oversight, and we should be happy that in this case, the people doing the oversight were actually able to catch this.

[BornRuff]

Correction. Financial services are unnecessary and period. There are only resources and access to them. Everything else is a structure superimposed on that devised by the "elite" to keep the public in the dark while they make use of that system to milk them dry till they're broke or dead.

Financial services facilitate access to resources. Instead of everyone hoarding their wealth under their mattress, they can chose to make that money available businesses and individuals to use to purchase everything from houses and cars to equipment, machinery and operating capital and get compensation for doing so.

I'm not saying that things are perfect as is, but financial services do serve a very useful purpose.

[IamToronto]

for years ive been telling people about the global banking scam run by these elitists

nobody listed to me. they told me i was a conspiracy theorist... told me i should "put my tin foil hat on"

haha the system really has so many weak and feeble minds caught up in this nonsense
people are too gullible. they trust this system way too much

i told you all.... wait and see. soon these "theories" will start to look like real conspiracies.

"Give me control of a nation's money and I care not who makes her laws." - Mayer Amschel Rothschild

"I believe that banking institutions are more dangerous to our liberties than standing armies. If the American people ever allow private banks to control the issue of their currency, first by inflation, then by deflation, the banks and corporations that will grow up around [the banks] will deprive the people of all property until their children wake-up homeless on the continent their fathers conquered. The issuing power should be taken from the banks and restored to the people, to whom it properly belongs." - Thomas Jefferson



http://www.youtube.com/watch?v=tGk5ioEXlIM

[morronatico]

All of my loans are directly indexxed to LIBOR (not "Prime", etc.).

How is it possible to get loans indexxed to Libor in Canada?